Research Paper on "Burger King's Global Operations"

Research Paper 3 pages (1057 words) Sources: 5

[EXCERPT] . . . .

Burger King's preference to enter countries or markets with a huge population of young people and shopping centers is advantageous, especially in relation to greater demand for its products. A growing young population is advantageous to Burger King's chances of success in such countries because young people represent a huge portion of demand for first food products and services and ease of marketing with value menus to this population (Business Recorder, 2013). In addition, countries with large numbers of shopping centers are advantageous because shopping centers provide the firm with opportunities to market to bigger populations, enable sale of cheaper food, and consumer time is spent in these centers.

Influence of Burger King's Headquarters and Leadership

The international expansion strategy of Burger King has partly been influenced by its headquarters location. The firm's headquarters location has mainly influenced how limited its global expansion and growth is. On one hand, Burger King's headquarters location resulted in bigger opportunities in relation to increasing investment income. However, the location has weakened Burger King's global competitive position by limiting it to focus on Americas. As the Chief of Executive Officer of Burger King, I would use various tools and strategies to decide possible future locations for the company. Some of these tools or strategies include existing strategies such as markets with huge population of young people and high numbers of shopping centers (Zlomek, 2008). The other strategies include locations with high growth potential, franchising strategies, and product differentiation strategies.

Even though Burger King has numerous expansion opportunities, its international growth is still minimal. As a result, the company faces the challenge of identifying the most suitable locations for its future operations, which affects its present and future strategy. These challenges have made Burger King to lose considerable ground to its strongest competitor i.e. McDonalds in the past decade (Melnick, 2012). As a result, the company needs to transform its current strategy and ensure that future emphasis is based on factors or influences that would enable it to turn things around and promote significant growth.

In conclusion, Burger King's case study with regards to international expansion and operations provides vital lessons for the international fast food industry and conducting international business. Some of these lessons include the fact that international expansion can be both advantageous and disadvantageous, global expansion can influenced by location of a company's headquarters, and how to use past experience as guidelines for entrance into new markets or countries.

References

Business Recorder. (2013, December 23). 'Burger King Will Expand the Right Way,' President

Asia Pacific, Burger King. Business Recorder. Retrieved December 31, 2014, from http://www.brecorder.com/company-news/235/1266888/

Mears, J. (2012, December 19). Copy of Burger King. Retrieved December 31, 2014, from https://prezi.com/y8kdp_i3yxyx/copy-of-burger-king/

Melnick, J. (2012, August). Long Live the King. QSR Magazine. Retrieved December 31, 2014,

from http://www.qsrmagazine.com/reports/long-live-king

"Strategy & Vision." (n.d.). Burger King - Investor Relations. Retrieved December 31, 2014,

from http://investor.bk.com/burgerking/web/conteudo_en.asp?idioma=1&conta=44&tipo=43566

Zlomek, E. (2008, September 12). Burger King CEO's Global Business Strategy. Retrieved December 31, 2014, from http://archive.azcentral.com/community/glendale/articles/2008/09/12/20080912gl-bkceo0912-ON.html READ MORE

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