Retail in Asia

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McDonald’s plans to sell Taiwan stores to franchise operator

McDonald’s Corp said it is aiming to sell all of its 413 Taiwan-based stores to a franchise operator, as the US fast-food chain looks to cut costs globally and turn around its flagging China business.

The move could help comfort investors who were skeptical and wanted specific details after McDonald’s new CEO Steve Easterbrook announced a revamp plan in May that included reorganizing business units and selling outlets to franchisees.

A China-based spokeswoman for the company said the burger chain was looking for a single entity to oversee all of the Taiwan stores. The US chain relies heavily on franchises in more mature markets such as the United States, but traditionally has focused on self-operated stores in China. It has said previously it is trying to increase the proportion of franchised stores there.

(Source: Jakarta Globe )