Exclusive | Burger King’s Brand Owner and Its China Operator are in Active Negotiations

Foodinc has noticed that during a results conference call with analysts, RBI's global executives took the initiative to talk to the public about the fact that it recently sent a “termination notices” to Burger King's main franchisee in China, but the latter objected to it, and that the two sides have entered into a dispute resolution process while discussing an “amicable solution” to the problem.The two parties have entered into a dispute resolution process and are discussing an “amicable solution”.

In this regard, Burger King China responded to Foodinc's inquiry by saying that the two parties are now actively negotiating and are confident that they will reach new terms of cooperation, and emphasized that the news will not affect the day-to-day operation of Burger King restaurants in China and will continue to be committed to the development of the Burger King brand in China.

This means that, despite the unpredictable ending, both parties are releasing certain positive information, not excluding the possibility of “shaking hands and making peace”; among them, the above statement of Burger King's “mastermind” in China sounds more positive! --It is understood that one of the favorable factors for its negotiations is that the main franchise contract in China has not yet expired.

Data show that the main franchisee of Burger King China is the Turkish giant TFI TAB Food Investments (hereinafter referred to as: TFI), the latter “manipulation” time has been more than 12 years. As early as June 2012, TFI took Burger King China's main franchise and development rights, and is exclusively owned by the relevant agreement expires more than 7 years.

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