Burger King forms joint venture to take on McDonald's in France
Burger King Worldwide Inc. (BKW) reportedly formed a joint venture to accelerate its expansion in France. BKW last week said that it will open stores in India.
According to a report by Bloomberg, Burger King will open its fourth store on December 17 in Paris' Saint-Lazare train station. The first restaurant operated by the new joint venture between BKW, Bertrand Holding Co. and Natixis' Naxicap Partners will open in the first half of next year.
Burger King Europe, Middle East and Africa Regional President Jose Cil told Bloomberg that the fast food chain and its Whopper brand are iconic in France. Cil said that the French quick-service restaurant market is quite lucrative.
BKW is looking to go after about 20% of all the fast food sales in France, the report said.
Bloomberg said BKW has been signing deals to open more stores offshore, including India, South Africa and China. The fast food chain is facing tougher competition and declining consumer confidence in the US, where most of its branches are located.
Burger King exited the French market in 1997, closing about 40 outlets. It returned last year and has opened three locations in a partnership with Italian restaurant operator Autogrill SpA, the report said.
Burger King will be taking on hamburger eatery Quick, as well as 1,250 McDonald's stores in France, Bloomberg said.