Business Intelligence on Retailing, Franchising, and Consumerism in China

McDonald's Teams Up With BuBuGao In Hunan

McDonald's China has signed an agreement with BuBuGao Trade Chain establishing a strategic alliance in their future development and the two companies will jointly open four fast food restaurants in Hunan in 2009.

Early in 2005, McDonald's Hunan branch started to cooperate with BuBuGao and opened their first joint restaurant in Dongtang, Changsha. In November 2007, the two companies opened another restaurant in Hengyang.

At present, BuBuGao's chain stores have opened all over Hunan and the company has also entered some cities of Jiangxi Province, providing supermarket and department store retail services to consumers. Its strategic alliance with McDonald's further enlarges the business development of both sides and the two companies will jointly open four new McDonald's restaurants.

Li Hui, general manager for McDonald's China, said that McDonald's Hunan will cooperate more closely with BuBuGao and accelerate its development in the Hunan market to create a win-win situation.

Founded in 1998, McDonald's Hunan has opened 26 restaurants in Hunan's 11 cities and counties in Hunan: Changsha, Zhuzhou, Xiangtan, Changde, Yueyang, Hengyang, Chenzhou, Shaoyang, Zhangjiajie, Liuyang, and Liling.

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