Business Intelligence on Retailing, Franchising, and Consumerism in China

McDonald's Opened 200 Restaurants In China In 2011

According to McDonald's China, the international fast food chain opened 200 new restaurants in China in 2011, marking a new expansion record in the country.

With the fast expansion, China has reportedly become the third largest market worldwide for McDonald's.

To accelerate its development in China, McDonald's will continue to increase its investment in the marketplace, and its total investments in 2012 is expected to increase by 50% compared with last year. The investments will be mainly used for opening new restaurants, upgrading existing restaurants, and expanding services. The company plans to open 225 to 250 new outlets in China in 2012.

Kenneth Chan, chief executive officer for McDonald's China, told local media that by restaurant expansion, the Chinese market is the fastest growing market in the global system of McDonald's. To achieve its development strategy, McDonald's introduced the franchise model into China in 2011. So far, the company has successfully launched and developed this new model in Zhuhai and Yunnan. Meanwhile, it has developed seven franchisees and two franchised developers, operating a total of 36 restaurants.

In addition, McDonald's has over 150 drive-through restaurants in China, with an annual growth of 25%. It also has 480 McDelivery sites, 1,000 dessert stations, 280 McCafe stores, and over 1,000 24-hour restaurants in the country.

In 2012, McDonald's will launch Internet booking services in five Chinese major cities, including Shanghai, Beijing, Guangzhou, Shenzhen, and Tianjin.

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