December 24, 2013

Fast Food Chains: 3rd World Versus Developed Countries

I find it weird that fast food chains open in third world countries first and faster than Developed Countries.

This week's headline news in the Food industry featured 2 major announcements:

  • Dunkin Donuts announced it will open in UK! ( Read more)

     While comparing to Middle East there is around 300+ chains of Dunkin Donuts! With              UAE, 74 stores and Riyadh city (KSA) up to 30 stores.
  • Burger King just opened its first branch in Paris! ( Read More
      Whereas  in Middle East it has expanded to over 250 chains ! ( Source: Burger King ME Website)
Photo Courtesy: Telegraphy - Burger King Paris

What does this mean?

I am talking about politics of globalization, dominating over local chains, and ruining native diets! I do believe that the reason why those chains didn't open in developed countries  in first place is merely because they have been faced by the government and lobbyists, pushed by the people who don't want such chains to be presently competing with local ones.

But in 3rd world countries who cares about local businesses and people's health?
Let them open.
Government and officials will give those powerful fast food chains, the land, with a condition of sharing with them the revenues.

Aside from competing with locals, the reason that fast food chains open in our region is due to profitability. We are talking here about a huge population and high purchasing power, compared to Europe.

Now, there are currently 91 Dunkin’ Donuts and 356 Baskin Robbins outlets in Europe but the continent only accounts for less than 1pc of Dunkin’ Brands’ profits. In a special Forbes interview with Dunkin Donuts' CEO, Nigel Travis, he clearly states that when asked the below question:

"Where is Dunkin’s biggest overseas market?
If you look at profits, the Middle East is the biggest. In terms of store count, Korea has 2,000 stores split between Dunkin’ and Baskin. Baskin has 1,300 stores in Japan. The challenge is to migrate some of our U.S. programs while localizing at the same time. The brand has to stand for something. Second, we have to build up critical mass by country"

The biggest profits for the big chains comes from our countries, the MENA region.
I think it is about time to do a sort of food revolution, support local chains, and eat out or order from them atleast once a week.

I am not saying boycotting the international chains. I dont like to take things for extreme. I do eat from them from time to time .  But we should weigh our available options when we are dining out, or ordering our pizza or burger.
 Go for the local option. Even if the taste is not as as good.
Yet believe me, the quality is better and more fresh because international chains ship all their foods frozen to us to keep a standard quality specifically the meat and dough. So these shipepd food contain more preservatives and are less fresh, than the local bakery, burger beside your home or work...

That's food for thought and thought about food!

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