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Tony Milton MRICS

BSc (Hons) Est Man

Fast Food
Monday, 16 March 2009





A McDonald's restaurant costs an estimated US$1 million to open, compared to $500,000 for a Pizza Hut, $300,000-­400,000 for a Lotteria and around $200,000 for a KFC but buy-in costs for these franchises is beyond the reach of most Vietnamese small and medium sized enter­prises. A McDonald's restaurant would have to earn revenue of over VND20 million (USD$1,250) per day to make a profit and have management and quality control measures sufficient to meet the standards of the parent companies. The late arrival of McDonald's on the scene in Vietnam has been attributed to a range of factors, from the lack of a suit­able local partner to being legally able to ensure a common model for these restaurants that are identical to those in other countries. For example, all of Lotteria’s 40 odd outlets in Vietnam are company-owned stores and not one is fran­chised to a local operator.





There are 3 BBQ Chicken outlets in Hanoi only.





Yum! Brands Inc., the world's largest restaurant firm in terms of network with more than 35,000 outlets worldwide, plans to double its Vietnam chain to 100 units by the end of 2010. Over the past 10 years, the com­pany has opened only 44 fast-food restaurants. Yum!, owns the KFC brand which has 31 KFC outlets in HCMC, 7 in Hanoi, 2 in Vung Tau and Dong Nai, and 1 in Haiphong and Can Tho. Yum! has 4 restaurant brands - KFC, Long John Silvers, Pizza Hut and Taco Bell.





A network of more than 500 convenient stores will be established in HCMC by a 51/49% JV between the Food Co of HCM City (Foocosa) and Hong Kong’s GR Viet Nam Holdings Ltd, the local arm of Hong Kong's Golden Resource Development International Ltd.


Last Updated ( Friday, 27 March 2009 )
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