| 04 January 2012 | 10 Comments
 
 

McDonald's

McDonald’s, the world’s largest restaurant chain, officially announced that they are intending to open a franchise in Tunisia. McDonald’s is now looking for potential franchisees, and has launched an international call for bids on franchises.

Tunisia has been a target for many international entrepreneurs, but the corruption that dominated the business environment under the previous regime hampered foreign investors from establishing businesses in Tunisia.

However, the current business environment in Tunisia is more encouraging. The government has made it a priority to boost foreign investment in an effort to alleviate the national burden of unemployment through job creation. It is expected that the government will offer substantial tax incentives to the first investors in Tunisia.

“Baguette et Baguette,” a Tunisian chain, is presently the only fast food franchise operating in Tunisia, and a potential competitor for McDonald’s upon the chain’s arrival. Nabil, a manager of one of Baguette’s restaurants expressed optimism that McDonald’s would not reduce the number of Baguette customers. “We are not afraid of McDonald’s coming to Tunisia. After all, the quality of service we provide will make the difference.” He expressed that while McDonald’s could steal some attention away while they are the new franchise in the country, customers will ultimately return to “Baguette et Baguette” given its good food for reasonable prices.

Fathi, the owner of a restaurant frequented by the Tunisian street crowd expressed similar sentiment, he does not think his business will be adversely impacted by the entry of McDonalds in the Tunisian food market. “Tunisians are fond of eating. Tunisia is becoming more and more of a consumer society and the Tunisian market can absorb other food franchises,” he said.

Others were not as optimistic about the entry of McDonald’s into the food market and place the blame on the government for allowing McDonald’s to enter Tunisia. Mahmoud, who sells boiled egg sandwiches on the street wants to see the government supporting existing local small businesses rather than multinational corporations that don’t reinvest their earnings in the local community. “The government should help locals to improve their small business instead of letting foreign investors come to our country and compete with us. They are making things more difficult for us to win our bread,” he complained.

Many other American franchisers have expressed their intentions to open establishments in Tunisia. However, new international businesses often have to overcome challenges when establishing franchises abroad, which include the lack of brand recognition and language barriers.


Comments (10)

Trackback URL | Comments RSS Feed

  1. Asking questions are genuinely pleasant thing if you are not understanding anything totally, however this post offers nice understanding yet.

  2. TERRY says:

    As an American, I find this news disturbing for the Tunisian people. With the promise of jobs, the people will be subjected to promoting food that in the long term WILL cause health problems.
    LOW COST will be paid with HIGH risks to health.
    I believe the people eat BETTER food HERE than most Americans. Our food is full of Genetically engineered CORN and SOY, growth hormones, affecting early puberty, antibiotics, FILLERS full of “pink slime” and chemicals, dyes, preservatives. The information is on the net that is well documented.
    Surely, there are BETTER opportunities than peddling CHEMICAL FOOD!
    MONEY and PROFIT at the expense of the health of a population is not a good win-win but a win-lose proposition. The business wins and the people lose.
    How about jobs in RECYCLING to help the environment?
    The mediocal industry has an oath, “FIRST DO NO HARM.” Look at the American health issues, of OBESE CHILDREN, children with DIABETES, CANCER and other health problems. As Hippocrates said, “Let thy food by thy MEDICINE and thy Medicine be thy FOOD.” McDonalds and all the other so-called restaurants is NOT FOOD. For the sake of your people , DO NOT accept GREEDY, PROFIT focused companies who do not care about your people to sell their poison!
    http://www.newser.com/story/99599/why-mcdonalds-food-never-decays.html

  3. Ahmed says:

    I will consider three elements if McDonald is surely coming to Tunisia.

    Element number 1: McDonald will boost the economy by creating new jobs. Not sure if University Graduates will be flipping burgers but being employed is better that being jobless.

    Element number 2: Unfortunately, McDonald will be serving junk food. This may lead to obesity and other health problems. I would imagine that they will have the 100 Millimes menu (equivalent to the Dollar menu in the US) where you can eat all the unhealthy food. Believe me they will have a cheap menu so they can attract everyone.

    Element number 3: A lot of the previous comments focused on how McDonald will have a negative impact on the local food businesses. Let us not forget that in order for these types of restaurants to be successful any person should be allowed to open a franchise. I think it should not be restricted to a person.

    To conclude McDonald overall will be a great opportunity for the Tunisian economy because it will create jobs, business owners and entrepreneurs will be able to enjoy new franchise that had been proven lucrative and finally this will overweight the health concerns of MCD.

  4. Sidomou says:

    Unfortunately these days we can no longuer find a good “kaftaji”, a good “lablabi” or a “ftairi”, in la Marsa there is only one shop that sells a real tunisian “kaskrout bitton”, we tunisians mostly have no much money, and the thing with Mc Donald is that you can dine for a few dinars, that is not to mention the quality or whatever we eat ! for me and some of my friends, that is the only reason why we go to Mc Do ! If tunisians do not want us to do so, they better then make good healthy tunisian food, that is all I have to say, because nothing is better than a real good boal of “lablabi” or a fresh “plat tunisien” like the ones we used to eat years ago in “la Goulette” !….
    Tounsi Horr

  5. Jomaa says:

    What is your source??? There was a hoax a few days ago based on the ability to display a franchise application form on McDonald’s website that says “Tunisia.” Do you have a source for this news?

  6. Ziad says:

    I’m wondering what is all this sudden interest about McDonald in Tunisia! Who cares about McDonald at these difficult times! … It looks like a new era of dominated business environment under the new Islamic regime!

    Poor Tunisia :( !

  7. Melanie says:

    Actually us “White-trash” prefer couscous!

  8. Salah says:

    Although I am personally not a particular fan of McDonald’s and would prefer to NOT see it in Tunisia I can understand that you have to a certain extent open up the market. Nevertheless I do hope the new government will regulate it, and indeed keep a policy of also trying to protect small businesses. I think the guy in the article was valid in mentioning that most bigger coorporations making use of franchise do not reinvest their money in the Tunisian society. Whereas small business owners ALWAYS do. This is for the government to consider. Nevertheless it has in my opinion always been a matter of time before McDonald’s would settle in Tunisia. That time has now come, unfortunately :’(

    Lets just hope that in 10 years now Tunisia will not just become another copy of European countries where you find in every city the same brands, drinks, fast-food restaurants etc.

  9. zingry says:

    crappy food into Tunisia…I wonder what kinda equivalent white-trash clientele will MacDonalds attract in Tunisia. I hope that no food chain opens up in Tunisia especially the unhealthy US type of fast food chains. Besides, we are killing most small independent businesses. An unequal competition between the groceries of the neighborhood and carrefoure, gean, monoprix add to it fastfood chains competing with local restaurants…what’s next now ? starbucks, caribou coffee….
    Honestly if they give them a license I officially consider these politicians DUMB.

Leave a feed back