Prática de Shadowing: Why McDonald’s Flopped In Vietnam - Aprenda a falar inglês com o YouTube
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Fast food restaurants dominate markets all over the world.
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Fast food restaurants dominate markets all over the world.
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Burger King has more than 16,000 locations in over 100 nations.
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And McDonald's has over 36,000.
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There's one in a decommissioned airplane in New Zealand,
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and there's even one in Vatican City.
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Fast food is a more than half a trillion a year business.
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But there's one place where these chains can't seem to take off,
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and that place is Vietnam.
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Here's why McDonald's and Burger King are failing to find a mass following in Vietnam.
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There was a lot of hype when McDonald's first opened its doors in Vietnam in 2014.
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The launch drew crowds of locals who waited hours to get their hands on a Big Mac.
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But fast forward to today and the hype has slowed way down.
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McDonald's, which launched in Vietnam in 2014,
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has only 17 stores there.
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And Burger King, which entered the market in 2011,
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has only 13 as of 2018.
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Failure to capture the attention of the Vietnamese market was odd,
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given that these burger chains had previously been met with success when expanding into Asian countries.
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McDonald's has seen tremendous growth in countries like China and Japan.
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where it has thousands of storefronts in both countries.
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And Burger King has grown its franchise in Japan from 12 restaurants in 2008 to 98 last year.
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McDonald's is ranked second out of all foreign fast food in mainland China behind KFC,
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and Burger King is ranked fourth.
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But Vietnam was a different story.
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When McDonald's finally entered the Vietnamese market in 2014,
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it planned to open 100 stores in Vietnam within 10 years.
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But so far today, it's only launched 17.
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The same thing happened to Burger King.
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The company invested $40 million in Vietnam in 2012,
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with the goal of opening 60 restaurants by 2016,
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according to Vietnam Business Review.
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And as of 2018, there are just 13 Burger Kings in Vietnam.
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Both McDonald's and Burger King did not respond to CNBC's questions about why they face such trouble breaking into the Vietnamese market.
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Fast food in the States is popular because you can get it now.
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Vietnamese food is the same thing.
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If you go to street vendors,
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you can get your bowl of pho or your banh mi also maybe even faster than McDonald's.
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So that kind of defeats the value proposition of fast food in Vietnam.
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But part of the problem seems to be that fast food giants underestimated their local rivals.
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Vietnamese diners are spoiled for choice in top tier cities like Hanoi or Ho Chi Minh City,
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which has made it tough for international fast food chains to compete.
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For the Vietnamese, we have our banh mi sandwiches,
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and those sandwiches are sold on the streets at rock bottom prices compared to McDonald's and Burger King.
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According to the European Commission,
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Vietnamese consumers dedicate a sizable portion of their income to food.
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And of that money spent on food,
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78 percent of that cash went to local vendors, street stalls and kiosks.
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Just 1% went toward fast food restaurants in Vietnam.
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Vietnam's food service sector has over 540,000 outlets.
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Over 430,000 outlets are local vendors and food kiosks.
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There's nearly 80,000 full-service Vietnamese restaurants and almost 22,000 local bars and cafes.
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But as for fast food chains,
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they account for just over 7,000 outlets in Vietnam.
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Fast food chains are so outnumbered in Vietnam,
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partly because of the severed diplomatic ties between the U.S and Vietnam.
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After the United States withdrew forces from Vietnam following the war in 1973,
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all diplomatic relations were severed between the two countries in 1975.
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It wasn't until 1995 that the United States and Vietnam mended fences and opened the door for trade.
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If you know anything about the history of Vietnam,
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like the last 30 to 40 years,
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there was a lot of growth,
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but only really in the last 20.
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A lot of storefronts are literally just people's homes.
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They'll live upstairs and they'll just convert the downstairs into any sort of street-bending option.
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In 1997, KFC was one of the first American brands to open up shop in Vietnam,
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but it was entering an already crowded food market.
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It took seven years for KFC to open just 10 restaurants.
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So KFC changed course and updated its menu to better fit local tastes.
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The brand introduced the KFC chicken rice and the KFC shrimp burger for Vietnamese customers.
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And today, the company has 130 KFC stores in 21 Vietnamese cities.
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But the hefty price tag for KFC meals seemed to be worth it for customers.
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But comparatively high prices weren't unique to KFC.
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McDonald's and Burger King's prices are also considered to be at a premium compared to local vendors.
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Local vendors can feed twice as many people as a single meal does at Burger King and McDonald's at half the cost.
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But these high prices are only part of the problem for McDonald's and Burger King.
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The way food is served in Vietnam has a lot to do with it.
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When Americans go to a restaurant,
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they normally find something on the menu that they like and order it for themselves.
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In Vietnam, it's more of a family-style serving experience.
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Burgers have a tough sell in Vietnam because they're not really a food you want to share.
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There are basically two rules.
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I mean, first rule is you need to be able to share the food.
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Second rule is it needs to be chicken.
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When you then look at the burgers,
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it's not chicken, it's not terrible.
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And I think it's just not a cuisine that is exciting to the Vietnamese.
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And it doesn't look like things will be getting better for fast food chains anytime soon.
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More Vietnamese customers are retreating from fast food chains each year.
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Traffic to fast food chains dropped 31% from 2016 to 2018,
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while visits to street food vendors were up 70% during that two-year span.
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But not all fast food chains have failed to appeal to locals.
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Just take KFC and Pizza Hut.
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McDonald's and Burger King make up 2.8% of the total share of foreign fast food chains in Vietnam.
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But KFC makes up 11.4% and Pizza Hut makes up 21.3%.
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McDonald's and Burger King aren't giving up just yet.
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The companies have made efforts to adapt their menus to reflect the cultural influences of Vietnamese cuisines,
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like the grilled pork rice with egg from McDonald's and the fish-rice combo from Burger King.
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Experts say that it's going to take a lot more than revamping a menu to compete with
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so many local foods crowding the market space.
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With the popularity of fast food in Vietnam on the decline,
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McDonald's and Burger King have a hard future ahead when it comes to satisfying the Vietnamese tastes.
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Contexto & Antecedentes
O vídeo explora o fracasso das grandes cadeias de fast food, como McDonald's e Burger King, no mercado vietnamita. Apesar do sucesso em outros países asiáticos, como China e Japão, essas redes enfrentaram dificuldades ao tentar conquistar o paladar dos vietnamitas. O autor aborda a diferença cultural no consumo de alimentos e a preferência dos locais por opções de comida rápida tradicional, como o pho e o banh mi, que são oferecidas em barracas de rua a preços acessíveis.
Top 5 Frases para Comunicação Diária
- “O fast food é popular nos Estados Unidos porque você pode obtê-lo rapidamente.” – Essa frase destaca a conveniência do fast food em comparação com opções locais.
- “Os consumidores vietnamitas gastam 78% de sua renda em vendedores locais.” – Uma observação que ilustra o valor das opções locais sobre as internacionais.
- “As sanduíches banh mi são vendidas nas ruas a preços baixos.” – Uma referência à cultura alimentar do Vietnã que desafia o valor percebido do fast food.
- “Os concorrentes locais dominaram o mercado alimentício nas grandes cidades.” – Uma análise da concorrência significativa que os fast foods enfrentam no Vietnã.
- “O fast food não se destacou como esperávamos.” – Uma expressão da frustração por parte dos investidores e da realidade do mercado.
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