Factors Affecting Sales of Jollibee Talavera

Factors Affecting Sales of Jollibee Talavera
About the Subject
Jollibee is the largest fast food chain in the
Philippines, operating a nationwide network of over 750
stores. A dominant market leader in the Philippines,
Jollibee enjoys the lion’s share of the local market that is
more than all the other multinational brands combined. The
company has also embarked on an aggressive international
expansion plan in the USA, Vietnam, Hong Kong, Saudi Arabia,
Qatar and Brunei, firmly establishing itself as a growing
international QSR player.
The jollibee in SM Mall Baliwag is located at the
Ground Flr, of SM City Baliwag (Doña Remedios Trinidad Hwy),
Baliuag, Bulacan( Middle of the Mall) with minimum floor
area 350 sqm and minimum frontage 20 meters and 45 tables
and 200 chairs.
Values
• Customer Focus
• Excellence
• Respect for the Individual
• Teamwork
• Spirit of Family and Fun
• Humility to Listen and Learn
• Honesty and Integrity
• Frugality
Mission
“To serve great tasting food, bringing the joy of
eating to everyone.’’
TARGET MARKET
• Family
• Children
• Teenagers
Objectives
To determine the different problems why Jollibbe
Talavera have low costumers
There are many kinds and types of Fast Foods in the
market.people tends to like more the taste of the foods
offered by the fastfoods rather than choosing any types of
foods similar on what they are offering
Buyers: Low pressure
 The individual buyer no pressure to try their foods ,
its up to them whom they choose and what types of foods
they want to eat
 Fast foods in SM City Mall can accommodate larger
number of customers because majority of people were very
loyal to their chosen fast foods
Suppliers: Low pressure
 There are different sources of their products and even
suppliers , the suppliers can accommodate all the large
volume of their orders for raw products
Competitors Rivalry Among Existing Firms: High Pressure

Currently, there are large competitions in Talavera ,
There are other Fast Foods in the market that become
popular, like Karate Kid , because of their unique flavors.
These other brands have failed to reach the success that KFC
, Jollibee ,and McDonalds have enjoyed.
How the Product Helped
Jollibee uses globalization strategy to standardize the
taste of their food worldwide and try to focus on serving
the unique Philippine taste to the world.
Horizontal integration: Jollibee acquired the Greenwich
Pizza Corporation in 1994 and formed a joint venture with
Deli France in 1995. However, these diversifications are not
the main focus of the company as the Jollibee stores still
generate about 85% of the revenue for the company.
Parenting strategy: The company follows a centralized
organizational structure; all of the managers report to Tan
directly, including the international division.
The company also uses differentiation strategy as it
adapts the fast food to suit the taste of the Filipinos and
fix their main menu around the world.

Strength: Jollibee’s strengths lie in that it has a
dominant position in domestic market and achieving high
brand loyalty in Philippines. Jollibee also has experienced
managers who assist the franchisees to their success during
the start up stages. They value quality over anything, so
they can sustain the loyalty of their customers.
Weakness: The company is facing a lot of weaknesses in
their operations. First, it is the inability to coordinate
the activities between the international division and the
local division. They also have trouble at first in selecting
good franchise partners and suitable locations in the
international investments. Another problem is that, the
company does not fully utilize its resources to the best
results. The international division and the local division
have to constantly compete with each other for limited
resources. Lastly, the company, in its efforts to maintain
its Filipino identity in other countries, has not been able
to attract able staff or managers in the foreign country and
their staff turnover rate is high.
Opportunity: The opportunity in the fast food industry
lies in the globalization of the countries. People around
the world are beginning to accept other cultures as their
own and thus the entrance into these markets are getting
easier. Another opportunity is that, as time pressure builds

up for people, they want to look for food that is served
fast and provides good value to them. Thus people accept
fast food as a substitute for a meal.
Threats: Even though the global community is accepting,
it still has its own preferences and environments which
differentiate them from other countries. Therefore it is not
possible for the companies in the industry to apply a
standard set of menu throughout the world. Also,
international competition is rising and competitive forces
are very strong.
Results
Conflict between the view points of the staff in the
headquarters and the international division.
The management is inflexible in adapting their menus to
international markets.
Jollibee should restructure the organization chart into
regional based structure so that each market has the same
power and resources.
Jollibee should develop clear cut instructions
regarding the resources that the international division can
utilize and its authority of decisions.
Recommendation: Strategic package 2 is recommended because
it does not require a drastic change like in strategic

package 1. With SP2, the management should figure out how
important the international division is to them. If going
international is their ultimate goal, they should allow the
international division more room for resources and
communicate this clearly to the staff in the Philippines.
Careful communication should be performed so that no harsh
feelings will remain and some of the decision power should
be deregulated to the management of the international
division.

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Factors Affecting Sales of Jollibee Talavera

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Factors Affecting Sales of Jollibee Talavera

About the Subject

Jollibee is the largest fast food chain in the

Philippines, operating a nationwide network of over 750

stores. A dominant market leader in the Philippines,

Jollibee enjoys the lion’s share of the local market that is

more than all the other multinational brands combined. The

company has also embarked on an aggressive international

expansion plan in the USA, Vietnam, Hong Kong, Saudi Arabia,

Qatar and Brunei, firmly establishing itself as a growing

international QSR player.

The jollibee in SM Mall Baliwag is located at the

Ground Flr, of SM City Baliwag (Doña Remedios Trinidad Hwy),

Baliuag, Bulacan( Middle of the Mall) with minimum floor

area 350 sqm and minimum frontage 20 meters and 45 tables

and 200 chairs.

To determine the different problems why Jollibbe

Talavera have low costumers

There are many kinds and types of Fast Foods in the

market.people tends to like more the taste of the foods

offered by the fastfoods rather than choosing any types of

foods similar on what they are offering

Buyers: Low pressure

 The individual buyer no pressure to try their foods ,

its up to them whom they choose and what types of foods

they want to eat

 Fast foods in SM City Mall can accommodate larger

number of customers because majority of people were very

loyal to their chosen fast foods

Suppliers: Low pressure

 There are different sources of their products and even

suppliers , the suppliers can accommodate all the large

volume of their orders for raw products

Competitors Rivalry Among Existing Firms: High Pressure

There are other Fast Foods in the market that become

popular, like Karate Kid , because of their unique flavors.

, Jollibee ,and McDonalds have enjoyed.

How the Product Helped

Jollibee uses globalization strategy to standardize the

taste of their food worldwide and try to focus on serving

the unique Philippine taste to the world.

Horizontal integration: Jollibee acquired the Greenwich

Pizza Corporation in 1994 and formed a joint venture with

Deli France in 1995. However, these diversifications are not

the main focus of the company as the Jollibee stores still

generate about 85% of the revenue for the company.

Parenting strategy: The company follows a centralized

organizational structure; all of the managers report to Tan

directly, including the international division.

The company also uses differentiation strategy as it

fix their main menu around the world.

dominant position in domestic market and achieving high

brand loyalty in Philippines. Jollibee also has experienced

managers who assist the franchisees to their success during

the start up stages. They value quality over anything, so

they can sustain the loyalty of their customers.

Weakness: The company is facing a lot of weaknesses in

their operations. First, it is the inability to coordinate

the activities between the international division and the