This is an English adaptation of a FoodBud historical article originally published on July 1, 2022.
Jollibee is one of the best-known restaurant brands in the Philippines, where its fried chicken is often treated as a national fast-food staple. Founded by a Chinese-Filipino entrepreneur, the company has grown from a small ice cream franchise into one of the country’s leading restaurant groups.
As of March 2022, Jollibee Foods Corporation operated or franchised 6,246 stores worldwide. Its portfolio included Jollibee, Chowking, Greenwich, Red Ribbon, Mang Inasal, SuperFoods, Yonghe King, Hong Zhuang Yuan, Tim Ho Wan, Smashburger, The Coffee Bean & Tea Leaf, Milksha, and several licensed brands.
In 2021, systemwide sales reached RMB25.86 billion, up 20% year on year. Revenue was RMB18.7 billion, up 18.8%. Net profit attributable to the listed company was RMB700 million, compared with a loss in 2020.
In the first quarter of 2022, systemwide sales were RMB7.3 billion, up 25.5%. Revenue was RMB5.2 billion, up 23.6%. Net profit attributable to the listed company was RMB280 million, up 1,412.3% year on year.
Store counts below reflect brands disclosed in the latest quarterly report available to the article at the time.
Jollibee: western-style fast food
Jollibee is the group’s flagship brand and the largest fast-food chain in the Philippines. As of March 2022, the brand had 1,182 stores in the Philippines: 431 company-operated and 751 franchised.
Outside the Philippines, Jollibee had 56 stores in the United States and 23 in Canada. Other markets included Vietnam with 152 stores, Hong Kong with 18, Brunei with 18, Singapore with 18, Macau with 3, Malaysia with 2, the Middle East with 51, Europe with 14, and Guam with 1. In Europe, the stores were in Italy, the United Kingdom, and Spain, with 2, 11, and 1 store respectively.
Chowking: Chinese fast food
Chowking is the Philippines’ largest Chinese fast-food chain. It was founded in 1985 by Filipino-Chinese entrepreneur Robert Kuan and acquired by Jollibee in 2000. Its menu covers noodles, dim sum, buns, wontons, rice, and Chinese-style set meals.
As of March 2022, Chowking had 559 stores in the Philippines: 187 company-operated and 372 franchised. It also had 16 stores in North America and 33 in the Middle East.
Greenwich: pizza and pasta
Greenwich Pizza focuses on western-style products including pizza and pasta. Jollibee acquired 80% of Greenwich Pizza in 1994, then bought the remaining 20% in 2006 for RMB46.7 million.
As of March 2022, Greenwich had 271 stores in the Philippines: 145 company-operated and 126 franchised.
Red Ribbon: bakery and cakes
Red Ribbon has become one of the fastest-growing and largest bakery chains in the Philippines. Jollibee acquired the brand in 2005.
As of March 2022, Red Ribbon had 518 stores in the Philippines: 180 company-operated and 338 franchised. It also had 36 stores in North America.
Mang Inasal: grilled chicken and fried chicken
Mang Inasal was founded by Sia in 2003. By 2009, six years after its first branch opened, the chain had reached 100 stores and attracted Jollibee’s attention.
In 2010, Jollibee acquired 70% of Mang Inasal for RMB365 million. In 2016, it completed the acquisition of the remaining 30%.
As of March 2022, Mang Inasal had 577 stores in the Philippines: 15 company-operated and 562 franchised.
SuperFoods: Vietnam-focused restaurant group
SuperFoods mainly includes Highlands Coffee and Vietnamese pho chain Pho24. In 2011, Jollibee acquired 50% of SuperFoods for US$25 million.
As of March 2022, Highlands Coffee had 500 stores: 421 company-operated and 79 franchised. Pho24 had 38 stores: 22 company-operated and 16 franchised. Another 4 Pho24 stores were in the Philippines.
In the first quarter of 2022, SuperFoods revenue was RMB190 million, up 12.5% year on year.
Yonghe King: Chinese fast food
Yonghe King originated in Taiwan and became a well-known Chinese fast-food chain in mainland China. In 2004, Jollibee acquired 85% of Yonghe King for US$22.5 million, then bought the remaining 15% for US$6 million. Total consideration was US$28.5 million, or about RMB190 million.
As of March 2022, Yonghe King had 400 stores: 293 company-operated and 107 franchised.
Hong Zhuang Yuan: congee chain
Hong Zhuang Yuan was founded in 1993 and became a well-known Beijing congee chain. In 2008, Jollibee acquired 100% of the company for US$55.5 million, or about RMB370 million.
As of March 2022, Hong Zhuang Yuan had 53 stores: 50 company-operated and 3 franchised.
Tim Ho Wan: dim sum chain
Tim Ho Wan was co-founded by chef Mak Kwai Pui, formerly of Lung King Heen at the Four Seasons Hotel Hong Kong, and chef Leung Fai Keung. The first Tim Ho Wan opened in Mong Kok, Hong Kong, in 2009 with only 20 seats. One year later, it received one Michelin star.
From 2018, Jollibee repeatedly increased its stake in Titan, Tim Ho Wan’s parent company. In 2018, it bought 45% of Titan for SGD45 million and obtained Tim Ho Wan’s Asia-Pacific franchise rights. In 2019, it raised its Titan stake to 60%, bringing investment to SGD120 million; that year, Titan acquired the Tim Ho Wan brand and trademarks. In 2020, Jollibee bought another 25% of Titan for SGD36.3 million. In 2021, it acquired the remaining 15%.
In the final 2021 transaction, Tim Ho Wan was valued at RMB2.3 billion. As of March 2022, Tim Ho Wan had 8 stores in China.
Smashburger: burger chain
Smashburger was founded in the United States in 2007. In 2015, Jollibee spent US$100 million to acquire 40% of the company, valuing it at US$335 million. After several additional transactions, Jollibee had acquired full ownership by 2018.
As of March 2022, Smashburger had 248 stores: 131 company-operated and 117 franchised.
The Coffee Bean & Tea Leaf: coffee and tea chain
The Coffee Bean & Tea Leaf was founded in Southern California in 1963. Over 50 years, it expanded to more than 1,000 stores across 27 countries.
In 2019, Jollibee acquired 80% of The Coffee Bean & Tea Leaf for US$350 million, or about RMB2.3 billion. The remaining 20% was held by Jollibee’s Vietnam partner Viet Thai, which also held an interest in SuperFoods. The article noted potential synergies with Highlands Coffee and Jollibee’s intention to list Coffee Bean separately.
As of March 2022, Coffee Bean had 1,062 stores worldwide: 295 company-operated and 767 franchised.
Milksha: tea chain
Milksha opened its first store in 2004. Over more than a decade, it expanded internationally to Singapore with 12 stores, Australia with 3, and Canada with 2.
In November 2021, Jollibee acquired 51% of Milksha for US$12.8 million, or about RMB85.77 million.
As of March 2022, Milksha had 264 stores: 18 company-operated and 246 franchised.
Licensed brands
Jollibee’s North American brand licensing activity has focused mainly on the Philippines and China. In the Philippines, it operated or partnered around brands including Burger King, Panda Express, Yoshinoya, and Dunkin’ Donuts.
As of March 2022, Jollibee-operated licensed brands in the Philippines included 105 Burger King stores, 6 Panda Express stores, and 3 Yoshinoya stores.
In China, Jollibee held Dunkin’ Donuts operating rights. In 2015, it obtained exclusive operating rights for Dunkin’ Donuts in Hong Kong, Macau, Fujian, Hunan, Jiangxi, Guangdong, Hainan, Guangxi, Beijing, Tianjin, Hebei, Shanxi, Chongqing, Guizhou, Sichuan, Yunnan, Heilongjiang, and Jilin. The stated target at the time was 1,400 Dunkin’ Donuts stores within 20 years. As of March 2022, Jollibee operated only 7 Dunkin’ Donuts stores in China.
Jollibee was founded in 1975 by Tony Tan Caktiong and became the largest listed restaurant group in the Philippines.
Tan was born in 1953 into a second-generation Chinese-Filipino immigrant family. His father, Tan Lan Yin, came from what is now Gangfu Community, Shenhu Town, Jinjiang, Fujian. At age 13, he went to the Philippines to make a living, first working odd jobs in restaurants, then as a cook in a Manila Chinese restaurant. In the 1960s, he started his own Chinese restaurant in the southern Philippines.
Tan Caktiong ranked third among seven siblings. As children, he and his brother often helped at the family restaurant after school. His father taught them that if you make clothes, they must look good; if you run a restaurant, the food must taste good.
In 1975, Tan Caktiong graduated from the University of Santo Tomas in Manila with a degree in chemical engineering. At 22, he visited an ice cream factory in Quezon City with colleagues and saw a franchise opportunity. In May that year, he used family savings of 350,000 pesos to obtain the franchise rights and opened two ice cream shops: Cubao Ice Cream House and Quiapo Ice Cream House.
Customers later asked for more than ice cream. Tan added hot meals and sandwiches, which proved more popular than ice cream. By 1978, he had six ice cream shops. After discussing with his family, he ended the ice cream factory franchise agreement and converted all stores into fast-food restaurants, creating the early form of Jollibee.
Jollibee soon met McDonald’s head-on. When McDonald’s opened in Manila in 1981, many expected the global chain to dominate the Philippines and threaten Jollibee’s 11 stores. McDonald’s opened 6 stores in two years and invested heavily in advertising; each store’s sales quickly surpassed Jollibee’s. By 1983, McDonald’s held 27% of the fast-food market, while Jollibee held 32%.
Political change beginning in August 1983 pushed the Philippines into economic crisis. Foreign companies, including McDonald’s, slowed investment. Jollibee kept expanding and developing products for local tastes. By 1986, when foreign companies increased investment again, Jollibee had already secured a leading market position.
Tan Caktiong attributed part of the company’s success to food tailored to Filipino preferences. Jollibee’s fried chicken was crispy and less spicy than McDonald’s. Its noodles were sweeter, matching local tastes, while McDonald’s pasta used more tomato sauce. Jollibee also sold mango products, Filipino rice noodles, honeyed beef steak rice, and Chinese-style items that McDonald’s did not offer.
Jollibee also emphasized training and employee treatment, arguing that employee morale strongly affects service in a competitive industry. The brand’s bee mascot also resonated with children. Tan said the bee symbolized Filipino cheerfulness: bees fly around busily but happily, making sweetness for life.
By 1985, Jollibee’s domestic leadership was largely established. Overseas business contacts, including friends of the Tan family, began encouraging Tan Caktiong to authorize franchises in other countries.
That year, Jollibee made its first overseas expansion in Singapore through investors including Jollibee, local managers, and five Filipino-Chinese partners. The operation soon ran into conflict: local managers resisted Jollibee’s operating-standard inspections, while Jollibee insisted on standardization. In 1986, the parties canceled the franchise agreement and closed the stores.
In 1986, Jollibee formed a 50-50 Taiwan joint venture with a friend of Tan Caktiong. The opening was initially popular, but sales fell because of a poor location. Conflict between Jollibee’s oversight staff and the local partner followed, and in 1988 Jollibee ended the joint venture and withdrew from Taiwan.
In August 1987, Jollibee set up a Brunei joint venture with Sheomart, one of the Philippines’ largest department-store companies. By the end of 1993, it had successfully opened 4 stores.
Jollibee first accumulated international experience in less developed fast-food markets such as Brunei and Vietnam, then gradually expanded to Guam and Hong Kong. It continued localizing menus: in Indonesia, it introduced a coconut milk and rice product; in Hong Kong, it launched mushroom chicken rice.
Tan Caktiong later summarized the first round of overseas expansion this way: in Singapore and Taiwan, local partners operated the business and disliked Jollibee’s operational control; in Brunei, local investors were quiet partners who supported managers sent from the Philippines. The lesson was that partner selection and partner management were critical.
He also observed that McDonald’s succeeded globally partly because it was skilled at choosing partners from a large candidate pool. Jollibee did not yet have that level of brand power. Site selection was another challenge: less-known brands entering a new country or city often struggle to access the best locations.
Jollibee listed in the Philippines in 1993, while Tan Caktiong and family members retained control and key management roles, particularly in important operating departments. Many franchisees were family members or friends. At the same time, Jollibee hired professionals in marketing and finance. In January 1994, the newly formed international business department hired Tony Kitchner, who had worked at Pizza Hut for 14 years, as general manager.
At a planning meeting in autumn 1994, Kitchner proposed an international strategy with two themes: targeting Filipino immigrants overseas, which later proved limited, and planting flags by entering markets before competitors, as in Brunei. The practical approach was to use Jollibee’s Philippine success and the Tan family network to study franchise conditions in different countries and choose target markets.
Tensions persisted between the international and domestic business units, especially over menu items and logo changes. By November 1996, financial pressure from rapid expansion led Tan Caktiong to stop supporting Kitchner’s faster growth strategy. The company preferred to slow down and make sure each store was profitable, supporting cash flow and long-term partnerships.
After 1997, Jollibee adjusted its cross-border strategy. Until 2001, it focused mainly on improving management of existing overseas stores and making each store profitable, opening fewer new locations. From 2002, it increasingly used cross-border acquisitions.
In 2002, Jollibee acquired a Japanese fast-food chain in California, marking its first overseas expansion by acquisition. In February 2004, through wholly owned subsidiary Jollibee International, it spent US$22.5 million to acquire 85% of Yonghe King in China from investors including Baring.
In China, Jollibee also invested in San Pin Wang and later sold it. In recent years, the group acquired Coffee Bean and Milksha, alongside its earlier acquisition of Highlands Coffee, pointing to coffee and tea as a major growth area outside fast food.
Jollibee grew from two ice cream stores in 1975 to more than 6,000 stores worldwide by March 2022. For restaurant operators, its history highlights several operating principles.
Focus on foodservice over the long term. In 2004, Tan Caktiong sent his son, Joseph Tanbuntiong, to China to develop the business. When asked how long he needed to stay, Tan Caktiong replied that he would need to stay for three generations, reflecting a commitment to building locally over the long term.
That same year, Tan Caktiong received the World Entrepreneur of the Year award. In an interview, he said the recognition may have reflected how rare it was for a company to keep investing in fast food for decades and stay focused on one field.
From 1975 to the article’s publication, Jollibee had remained focused on restaurants and had not invested or operated outside foodservice. The article’s strategic point is that smaller companies with limited resources need concentration, especially when facing stronger competitors.
Protect the home base. Tan Caktiong compared fast food to constructing a building: the foundation must be built first, then each floor added. Strategically, that foundation is the company’s home base; managerially, it is basic execution, including operating standardization.
A strong home base supports survival, funds expansion, and gives a company somewhere to recover when new businesses or markets underperform.
Taste and localization are core. Jollibee China president Zhang Shuhua said in an interview that the founder’s family was highly committed to taste. Tan Caktiong’s father believed Chinese flavors could be expressed alongside global cuisines, and the family insisted that deliciousness came first.
Tan Caktiong applied that principle to fast food. His hamburger was designed for Filipino tastes, which reduced McDonald’s advantage when it entered the Philippines with a more American flavor profile. After defending its market leadership, Jollibee kept using taste localization as a core product-development strategy.
One month after launching a new product, Jollibee would conduct market research and evaluation. If response fell short of expectations, it would quickly replace the product. In the Philippines, Jollibee introduced a new product about every month and a half, while McDonald’s averaged about one every six months.
In overseas markets, Jollibee continued the same approach, using consumer research and product tasting to adjust menu structure and categories in each market.
Tan Caktiong also personally searched globally for appealing foods. He viewed Taiwan’s snack culture as a valuable source of product ideas that, if selected well and standardized, could support influential brands.
He argued that regional differences in food culture and eating habits are not the main reason Chinese fast food struggles to scale. Chains can use different hero products in different regions, but the critical challenge is standardized execution and continuously solving operational problems.
Keep learning after failure. The article argues that success in a home market does not guarantee success overseas, especially for smaller companies with limited resources. Early international setbacks are common, and entrepreneurs need the discipline to keep learning.
Jollibee’s difficult starts in overseas markets affected Tan Caktiong’s confidence but did not end the effort. The company treated failed attempts as tuition: it paid for mistakes but gained operating knowledge that later supported international expansion.
Tan Caktiong also learned from earlier generations and from world-class fast-food companies. In 1978, while running hamburger shops, he frequently visited the United States to study how American chains operated. He would visit two or three stores of each brand from a customer’s perspective, focusing on operating standardization and market execution. Those standardized operating systems became one of Jollibee’s key success factors.
Note: All valuation, acquisition, IPO/listing, store-count, financial, and forward-looking figures are historical as of the original July 1, 2022 article and its cited March 2022 reporting period.