SUBWAY, the American submarine sandwich shop, reached an agreement with a master franchisee to open nearly 4,000 new shops across mainland China over the next 20 years, Reuters reports.
International expansion is a key growth strategy for the privately owned US-based chain, which is in the midst of a turnaround plan that also relies on remodeled restaurants, updated menus and aggressive marketing.
While it seeks to expand overseas, the company has been closing thousands of US locations amid a host of problems including over-expansion and discounts that eroded franchisees' profits. Even so, Subway's global comparable sales rose 12.1 per cent in the first quarter.
Other companies are also beefing up their presence in China, including Starbucks, which plans to open 3,000 new stores there by 2025.
SeaNews Turkey
International expansion is a key growth strategy for the privately owned US-based chain, which is in the midst of a turnaround plan that also relies on remodeled restaurants, updated menus and aggressive marketing.
While it seeks to expand overseas, the company has been closing thousands of US locations amid a host of problems including over-expansion and discounts that eroded franchisees' profits. Even so, Subway's global comparable sales rose 12.1 per cent in the first quarter.
Other companies are also beefing up their presence in China, including Starbucks, which plans to open 3,000 new stores there by 2025.
SeaNews Turkey