Zbots (or Z-Bots) are small action figures that were made by Galoob and first released in 1992. Galoob released four series of Zbots from 1992 to 1994. Galoob also created a number of Zbot vehicles alongside the figures. The heroes were the ZBots (Designed to Defend!). The villains were the Voids (Made to Menace!). Each side has their own logo, usually imprinted on each robot's torso, although some do not have a visible logo. The Z-Bots' logo is a "Z", while the Voids' is a stylized "V".
168-544: Each Zbot design came in two different color sets, each listed as an individual character. Additionally, the Zbots often outnumbered the Voids two to one. Generally, the packages came with three of the figures each, with either two Voids and a Zbot, or two Zbots and a Void. The original story behind the Zbots was that they were invented in 2025 by a group of scientists to protect the world from evil. However, almost sixty years later,
336-536: A McDonald's restaurant in Moscow , Russia in the early 1990s, and contrasting them with the nearly nonexistent queues to Burger King restaurants in Stockholm , Sweden . Although the majority of the restaurant locations are privately held by individual owners and its financial dependence on those owners, Burger King's relationship with its franchises has not always been harmonious. Occasional disagreements between
504-526: A 2005 dispute with the NFA over issues including brand development and advertising, Burger King severed its relations with the group. Claiming that the NFA was resisting structural changes that BK was making in regards to pricing, hours and its new gift card program, CEO John Chindsey claimed "many instances of the NFA's non-cooperation and affirmative disruption of efforts to improve the Burger King system" were
672-741: A breach of the implied duty of good faith and fair in its actions towards the franchise. The actions were eventually consolidated in a single case in the Southern District Court under Judge Maricia G. Cooke, where Burger King requested and was granted a summary judgement against the Sadiks. The judgment was upheld on appeal by the United States Court of Appeals for the Eleventh Circuit in June 2009. Eventually,
840-475: A change in how the company interacts with its franchises. The new owners moved to settle any disagreements with its franchises while initiating a sale of the majority of corporate locations with the goal of becoming an exclusive franchisor. The company also entered into several new franchise agreements that will allow it to dramatically expand its presence in several new markets including the BRIC nations . Additionally
1008-489: A company-sponsored turn around program when Burger King started its new value program in 2006. The program required all locations to carry a specific set of products at a discounted price, with limited exemptions for certain locations that met a set of criteria. The Sadiks applied for an exemption to the pricing requirement but were turned down by Burger King. In response to the denial, the Sadiks closed two of their locations without consulting Burger King and refused to implement
1176-689: A corporate plan to take advantage of the growing middle class in these regions. The company began its move into Sub-Saharan Africa in May 2013 when Burger King opened its first outlet in Cape Town South Africa . The company sold franchise rights to local gaming and slots machine operator Grand Parade Investments Ltd. The South African operation sold over double its initial forecasts in its opening weeks with sales of $ 474,838 at just one of its outlets in Cape Town in its first seven weeks. In
1344-626: A corporate restructuring of the chain, first renaming the company Burger King. They ran the company as an independent entity for eight years (eventually expanding to over 250 locations in the United States), before selling it to the Pillsbury Company in 1967. Pillsbury's management tried several times to restructure Burger King during the late 1970s and the early 1980s. The most prominent change came in 1978 when Burger King hired McDonald's executive Donald N. Smith to help revamp
1512-510: A counter-claim that the company had violated the conditions of the master franchising agreement and was in breach of the contract. In a decision handed down by the Supreme Court of New South Wales that affirmed Cowin's claims, Burger King was determined to have violated the terms of the contract and as a result was required to pay Cowin and Hungry Jack's a $ 46.9 million ( Aus , $ 41.6 million USD 2001) award. The court's decision
1680-696: A damaging fiscal slump for Burger King and Pillsbury. Poor operation and ineffectual leadership continued to bog down the company for many years. Pillsbury was eventually acquired by the British entertainment conglomerate Grand Metropolitan in 1989. Initially, Grand Met attempted to bring the chain to profitability under newly minted CEO Barry Gibbons; the changes he initiated during his two-year tenure had mixed results, as successful new product introductions and tie-ins with The Walt Disney Company were offset by continuing image problems and ineffectual advertising programs. Additionally, Gibbons sold off several of
1848-759: A deal with another of its franchises, the Beboca Group of Panama, to create a new corporate entity to handle expansion and logistics in the LAC region which until this time had no centralized operations group. The deal follows a unification of the company's web presence in Latin America and the Caribbean, as well as aligning all of its various web initiatives including mobile services, Facebook presence and guest relation tools. The Latin American moves are part of
SECTION 10
#17327721793982016-540: A deal with local petrochemical company Sasol outlets will be opened at filling stations across the country from 2014. In April 2014 it was announced that due to high demand the number of new outlets being opened in 2014 would be increased from 12 to 14 across the country. In December 2013, Burger King returned to Finland after three decades of absence. The first restaurant, located on Mannerheimintie in central Helsinki , instantly proved so popular that for every day since its opening, people have had to queue in front of
2184-567: A default of the franchise agreement, allowing the company to limit the number of new Hungry Jack's branded restaurants and ultimately claim the Australian market as its own, a purpose that was extraneous to the agreement. After Burger King Corporation lost the case, it decided to terminate its operations in the country, and in July 2002, the company transferred its assets to its New Zealand franchise group, Trans-Pacific Foods (TPF). The terms of
2352-756: A federal lawsuit. As a result, the larger Burger King chain was ordered not to build any franchises within a 20-mile radius of the Mattoon Burger King. An existing trademark held by a shop of the same name in South Australia forced the company to change its name in Australia to "Hungry Jack's", while another state trademark in Texas forced the company to abandon its signature product, the Whopper, in several counties around San Antonio. The company
2520-603: A franchisee which is given the designation of master franchise for the territory. The master franchise will then be expected to sub-license new stores, provide training support, and ensure operational standards are maintained. In exchange for the oversight responsibilities, the master franchise will receive administrative and advertising support from Burger King Corporation to ensure a common marketing scheme. The 3G Capital ownership group announced in April 2011 that it would begin divesting itself of many corporate owned locations with
2688-422: A full franchising system in 1961, it relied on a regional franchising model where franchisees would purchase the right to open stores within a defined geographic region. These franchise agreements granted the company very little oversight control over its franchisees and resulted in issues of product quality control, store image and design and operations procedures. In 1967, after eight years of private operation,
2856-453: A geopolitical dispute involving Muslim and Jewish groups on multiple continents over the application of, and adherence to, international law . The case eventually elicited reactions from the members of the 22-nation Arab League . The Islamic countries within the League made a joint threat to the company of legal sanctions including the revocation of Burger King's business licenses within
3024-428: A group of rival scientists stole the technology and built rival machines. The current war, according to the description, is taking place in the 22nd century. The later Vortexx HQ and Fang Fighter playsets developed it further, by giving the scientist who created the Zbots a name and making a computer virus the real reason the Voids exist, making them robots who used to be Zbots but had their circuitry corrupted. Some of
3192-494: A joint franchise agreement with Burger King to open 1000+ new locations in China over a five- to seven-year period. This agreement is the largest single franchise agreement in the history of Burger King and will make the new Chinese venture the largest BK franchise in the world. The agreement gives the new franchise group control of the existing 63 locations in the country. The expansion has both pluses and minuses for Burger King, as
3360-479: A list of possible alternative names derived from pre-existing trademarks already registered by Burger King and its then corporate parent Pillsbury, that could be used to name the Australian restaurants. Cowin selected the "Hungry Jack" brand name, one of Pillsbury's US pancake mixture products, and slightly changed the name to a possessive form by adding an apostrophe "s" forming the new name Hungry Jack's. Hungry Jack's currently owns, operates or sub-licenses all of
3528-556: A local master franchisee. However, the International Consortium of Investigative Journalism revealed that Burger King retained its stake in the Russian franchises through an offshore joint venture with the Russian state-owned VTB Bank and a Ukrainian investment firm linked to corrupt deals with Ukraine's former pro-Russian leader. In October 2023, Tom Curtis, president of Burger King U.S. & Canada, announced
SECTION 20
#17327721793983696-531: A major expansion into Siberia . This move puts Burger King in a superior position to chief rival McDonald's as it currently doesn't operate any locations east of the Ural Mountains . Further expansion moves were also made in other global markets during 2012. The African market saw a new agreement with JSE-Listed Grand Parade Investments of South Africa to enter Africa's largest economy, with restaurants opening in 2013. In Europe, Burger King returned to
3864-563: A minor player in the market it yet to truly establish a brand identity as McDonald's and Yum! This position could allow Burger King to position itself as a more upscale competitor akin to Starbucks. In January 2014, Burger King continued its expansion by beating McDonald's to China's western province of Xinjiang, opening up a store in the capital city of Ürümqi . Master franchise: Beboca Ltd. While Burger King has had operations in Central and South America for several years, they were under
4032-431: A new 150,000 square feet (14,000 m ) five-story headquarters building to be built at 5707 Blue Lagoon Drive, just down the street from its existing nine-story headquarters at 5505 Blue Lagoon Drive. This was slightly smaller than the 200,000 square feet (19,000 m ) it was leasing in its current headquarters building at the time. In 2018, Burger King moved into its new headquarters at 5707 Blue Lagoon Drive after it
4200-547: A new store design at its annual franchisee convention in Canada, branded "The Sizzle". The company planned to remodel existing Burger King locations with a new look inside and outside, to tackle slowing business after the 2020 coronavirus pandemic . The overhaul plan included more kiosks, dedicated pickup areas for mobile app orders, food-ordering platforms like Doordash , Uber Eats , and Grubhub , and an improved drive-thru service. In 2023, Burger King remodeled several locations in
4368-552: A piece of equipment known as the Insta-Broiler. The Insta-Broiler oven proved so successful at cooking burgers, Kramer and Burns required all of their franchises to carry the device. The rights to open stores in Miami, Florida, belonged to two businessmen named James McLamore and David R. Edgerton and their company: South Florida Restaurants, Inc. Due to operational issues with the Insta-Broiler, in 1954 McLamore and Edgarton made
4536-473: A plan to float approximately 20 percent of BKC on the NYSE . The NFA believed that any money raised from the issue would not be put into helping bolster the then flagging BK, but would instead end up being used to help Diageo bolster its liquor brands. The deal collapsed when the NFA was unable to put together an acceptable financing package. When an agreement to purchase Burger King by a group led by TPG Capital
4704-600: A program to help the roughly 20 percent of its franchises, including its four largest, who were in financial distress, bankruptcy or had ceased operations altogether. Partnering with the California-based Trinity Capital, LLC, the company established the Franchisee Financial Restructuring Initiative, a program to address the financial issues facing BK's financially distressed franchisees. The initiative
4872-618: A promotion where Kids Meals came with Z-Bots. KFC also had a promotion. Burger King Burger King Corporation ( BK , stylized in all caps ) is an American multinational chain of hamburger fast food restaurants . Headquartered in Miami-Dade County, Florida , the company was founded in 1953 as Insta-Burger King , a Jacksonville, Florida –based restaurant chain. After Insta-Burger King ran into financial difficulties, its two Miami-based franchisees David Edgerton (1927–2018) and James McLamore (1926–1996) purchased
5040-424: A region or country. These regional franchises are known as master franchises , and are responsible for opening new restaurants, licensing new third party operators, and performing standards oversight of all restaurant locations in these countries; one of the larger examples of a master franchise is Hungry Jack's , which oversees over 300 restaurants in Australia. The 2011 purchase of the company by 3G Capital led to
5208-566: A restaurant in Madrid . Beginning in 1982, BK and its franchisees began operating stores in several East Asian countries, including Japan, Taiwan , Singapore and South Korea . Due to high competition, all of the Japanese locations were closed in 2001; however, BK reentered the Japanese market in June 2007. BK's Central and South American operations began in Mexico in the late 1970s and by
Zbots - Misplaced Pages Continue
5376-500: A restricted, per store licensing model. The 1978 restructuring, led by a new director of operations, firmly placed the mantel of franchise oversight on the shoulders of the company. While Burger King still utilizes a version of its revamped franchising system in the United States, outside of North America its international locations licenses are still sold on a regional basis with franchises owning exclusive development rights for
5544-570: A restructuring of the company to reverse its fortunes. 3G, along with its partner Berkshire Hathaway , eventually merged the company with the Canadian-based doughnut chain Tim Hortons under the auspices of a new Canadian-based parent company named Restaurant Brands International . Burger King's menu has expanded from a basic offering of burgers, french fries, sodas, and milkshakes to a larger and more diverse set of products. In 1957,
5712-693: A revamped menu strategy, a series of programs designed to revamp individual stores, a new restaurant concept called the BK Whopper Bar , and a new design format called 20/20 . These changes successfully re-energized the company, leading to a score of profitable quarters. Yet, despite the successes of the new owners, the effects of the Great Recession weakened the company's financial outlooks while those of its immediate competitor, McDonald's, grew. The falling value of Burger King eventually led to TPG and its partners divesting their interest in
5880-583: A significant portions of Burger King's growth during the decade of the 2010s. In the Mexican market, Burger King sold 97 corporate-owned locations to its largest franchisee in that country. The deal means multi-chain operator Alsea S.A.B. de C.V will eventually operate approximately half of Mexico's 400+ Burger King locations while receiving exclusive expansion rights in Mexico for a twenty-year period. Elsewhere in Central America, Burger King entered in
6048-464: A statement that it "unequivocally supported" the suit, and that "...the franchisor does not have the enforceable right to mandate extended hours." Circuit Judge Jon I. Gordon dismissed the lawsuit without prejudice in November requesting the plaintiffs refile with a clarified complaint. An amended complaint was filed by the three franchises a month later. In response to a motion to dismiss filed by
6216-507: A substantial portion of its revenue was dependent on franchise fees. During the transitional period after 3G Capital acquired the company, Burger King's board of directors was co-chaired by John W. Chidsey, formerly CEO and chairman of the company, and Alex Behring , managing partner of 3G Capital. By April 2011, the new ownership had completed the restructuring of Burger King's corporate management and Chidsey tendered his resignation, leaving Behring as CEO and chair. Burger King Corporation
6384-469: A support organization for the families and friends of cancer patients. When the predecessor of Burger King first opened in Jacksonville in 1953, its menu consisted predominantly of basic hamburgers, French fries, soft drinks, milkshakes, and desserts. After being acquired by its Miami, Florida, franchisees and renamed to its current moniker in 1954, BK began expanding the breadth of its menu by adding
6552-489: A takeaway food shop in Adelaide . As a result, Burger King provided the Australian franchisee, Jack Cowin , with a list of possible alternative names derived from pre-existing trademarks already registered by Burger King and its then corporate parent Pillsbury, that could be used to name the Australian restaurants. Cowin selected the "Hungry Jack" brand name, one of Pillsbury's US pancake mixture products, and slightly changed
6720-810: A tenfold increase in locations in the country by 2016. Burger King and Vinci are expected to invest about $ 570 million ( US$ ) to expand operations in the country during the five-year period. The expansion deal is an attempt to catch up to American chains that have already established a presence in Brazil as well as the rest of Latin America. Master franchise: the Kurdoğlu family Chinese : 汉堡王 (lit. Hamburger King) Through 2012, Burger King lagged significantly behind McDonald's (1400 locations in China) and Yum! Brands (4500 KFC and Pizza Hut locations in China) in
6888-878: A winning prize that is usually a food or beverage product, but includes (rarer) items such as shopping sprees or trips. In the Northeast , BK has affiliated itself with the Major League Baseball team the Boston Red Sox and its charitable foundation, the Jimmy Fund . The group runs the contest in Boston. In the New York City area, it operates the contest in association with the Burger King Children's Charities of Metro New York and
Zbots - Misplaced Pages Continue
7056-691: Is Turkey's largest multi-brand restaurant operator and one of the largest Burger King franchisees in Europe with 450 locations in that country. The previous year, the Cartesian Capital Group had taken a minority stake in TAB Gida, giving the firm access to additional capital for growth in Turkish market. In April 2012, the Kurdoğlus and Cartesian utilized the additional capital to enter into
7224-627: Is an Indian quick-service restaurant company which is the master franchisee for Burger King in India and Indonesia . It was established in 2013 as a partnership between Everstone Capital Asia and Burger King Worldwide to open Burger King restaurants in India. The company launched its initial public offering in 2020 and listed on the National Stock Exchange of India and Bombay Stock Exchange . Everstone Capital holds 40.9% stake in
7392-690: Is an international fast-food and casual dining restaurant operator. The company is primarily based in Wrocław and operates in Poland , the Czech Republic , Hungary , Russia , Bulgaria , Romania , Serbia , Croatia , Spain , France and the United States . In 2007, AmRest received its license to operate Burger Kings in Poland through BK's Burger King Europe GmbH holding unit. The new license
7560-602: Is currently an independently operated subsidiary of RBI . RBI's present organizational structure includes five primary segments: Tim Hortons , Burger King, Firehouse Subs , Popeyes Louisiana Kitchen and International. International encompasses the aggregated outcomes from the operations of each brand outside the United States and Canada. Josh Kobza, the CEO of RBI, was appointed in 2023. Before taking over as CEO in February 2023, Kobza served as CFO, CTO, and COO of RBI. Tom Curtis,
7728-660: Is responsible for the licensing and development of BK franchises in those regions. In the APAC region, the Singapore-based BK AsiaPac, Pte. Ltd. business unit handles franchising for East Asia, the Asian subcontinent and all Oceanic territories. The LAC region includes Mexico, Central and South America and the Caribbean Islands. 2012 saw a major international expansion initiative. The primary thrust
7896-518: Is the master franchise and thus is now responsible for oversight of the operations that country with Burger King only providing administrative and advertising support to ensure a common marketing scheme for the company and its products. Over a 10-year period starting in 2008, Burger King predicted 80 percent of its market share would be driven by foreign expansion, particularly in the Asia-Pacific and Indian subcontinent regional markets. While
8064-587: Is the McLamore Foundation, also a non-profit, 501(c)(3) corporation that provides scholarships to students in the U.S. and its territories. In various regions across the United States, Burger King and its franchises have aligned themselves with several charitable organizations that support research and treatment of juvenile cancer. Each year, these coalitions hold a fund raising drive called "A Chance for Kids", in which Burger King restaurants sell lottery -style scratch cards for $ 1. Each card produces
8232-672: Is the only franchise to operate under a different name due to a trademark dispute with a similarly named restaurant in Adelaide , South Australia , and a series of legal cases between the two. The predecessor to Burger King was founded in 1953 in Jacksonville, Florida , as Insta-Burger King. After visiting the McDonald brothers' original store location in San Bernardino, California , the founders and owners (Keith G. Cramer and his wife's uncle Matthew Burns), who had purchased
8400-491: The 2022 Russian invasion of Ukraine , many companies, including Burger King, faced growing pressure to halt operations in Russia. In March 2022, Burger King claimed to have suspended all its corporate support, including operations, marketing, supply chain, investments and expansion in Russia in response to the invasion of Ukraine, including support to the more than 800 fully franchised restaurant chains in Russia managed by
8568-504: The BSE and NSE in India. The IPO was subscribed over 150 times. The stock opened at ₹112.5 per share on December 14, nearly double the IPO price of ₹60 , and closed at ₹135 . Burger King has been involved in several legal disputes and cases, as both plaintiff and defendant, in the years since its founding in 1954. Depending on the ownership and executive staff at the time of these incidents,
SECTION 50
#17327721793988736-532: The Cutler census-designated place . In August 2014, the future of the company's Miami headquarters was again in doubt as reports surfaced that Burger King was in talks about buying the Canadian restaurant chain Tim Hortons . The merger between Burger King and Tim Hortons created the fast food company now known as Restaurant Brands International Inc. In 2016, Burger King signed a build-to-suit lease agreement on
8904-938: The New York Yankees . Funds raised in these areas go to support the Dana–Farber Cancer Institute , located in Boston. In Nebraska, the company is affiliated with the Liz's Legacy Cancer Fund "BK Beat Cancer for Kids" program at the UNMC Eppley Cancer Center at the University of Nebraska Medical Center in Omaha . In the Pittsburgh region, it funded the establishment of the Burger King Cancer Caring Center,
9072-460: The Pillsbury Company acquired the Burger King brand and its parent company Burger King Corporation. At the time of the purchase, the chain had grown to 274 restaurants in the United States. Pillsbury continued to grow the company utilizing the existing franchise system despite its flaws. The power of its independent franchises came to a head in 1973 when Chart House, owner of 350 restaurants and one of its largest franchise groups, attempted to purchase
9240-440: The continental United States in 1963 with a store in San Juan, Puerto Rico , it did not have an international presence until several years later. Shortly after the acquisition of the chain by Pillsbury, it opened its first Canadian restaurant in Windsor, Ontario in 1969. Other international locations followed soon after, including Australia in 1971, with a restaurant in the Perth suburb of Innaloo , and Europe in 1975, with
9408-417: The " Whopper " became the first major addition to the menu, and it has since become Burger King's signature product. Conversely, Burger King has introduced many products that have failed to catch hold in the market. Some of these failures in the United States have seen success in foreign markets, where Burger King has also tailored its menu for regional tastes. From 2002 to 2010, Burger King aggressively targeted
9576-471: The 18–34 male demographic with larger products that often carried correspondingly large amounts of unhealthy fats and trans-fats . This tactic would eventually damage the company's financial underpinnings and cast a negative pall on its earnings. Beginning in 2011, the company began to move away from its previous male-oriented menu and introduce new menu items, product reformulations, and packaging, as part of its current owner 3G Capital's restructuring plans of
9744-432: The 1970s, all of which were spurned by Pillsbury. After the failed attempts to acquire the company, the relationship between Chart House and Burger King soured and eventually devolved into a lawsuit. Chart House eventually spun off its Burger King operations in the early 1980s into a holding company called DiversiFoods which, in turn, was acquired by Pillsbury in 1984 and absorbed into Burger King's operations. As part of
9912-426: The 1970s, structural deficiencies in Burger King's franchise system became increasingly problematic for Pillsbury. A major example was the relationship between Burger King and Louisiana-based franchisee Chart House, Burger King's largest franchisee group at the time with over 350 locations in the United States. The company's owners, William and James Trotter, made several moves to take over or acquire Burger King during
10080-486: The AmeriKing failure; one of BK's regional owners, Miami-based Al Cabrera, purchased 130 stores located primarily in the Chicago and the upper mid-west region, from the failed company for a price of $ 16 million , approximately 88 percent of their original value. The new company, which started out as Core Value Partners and eventually became Heartland Foods , also purchased 120 additional stores from distressed owners and revamped them. The resulting purchases made Cabrera
10248-404: The Asian subcontinent and all Oceanic territories. The LAC region includes Mexico, Central and South America and the Caribbean Islands and has no centralized operations group. Australia is the only country in which Burger King does not operate under its own name. When the company set about establishing operations down under in 1971, it found that its business name was already trademarked by
SECTION 60
#173277217939810416-423: The Burger King headquarters with the remainder moving in phases in August 2002. Prior to the moving to its current headquarters in 2002, Burger King had considered moving away from the Miami area to Texas; Miami-Dade County politicians and leaders lobbied against this, and Burger King stayed. Before 2002, the company's previous headquarters was located in a southern Dade County campus located on Old Cutler Boulevard in
10584-435: The Canadian restaurant and coffee shop chain Tim Hortons and merge it with Burger King with backing from Warren Buffett 's Berkshire Hathaway . The two chains retained separate operations post-merger, with Burger King remaining in its Miami headquarters. A Tim Hortons representative stated that the proposed merger would allow Tim Hortons to leverage Burger King's resources for international growth. The combined company became
10752-457: The Caribbean (LAC). In each of these regions, Burger King has established several subsidiaries to develop strategic partnerships and alliances to expand into new territories. In its EMEA group, Burger King's Switzerland-based subsidiary Burger King Europe GmbH is responsible for the licensing and development of BK franchises in those regions. In APAC region, the Singapore-based BK AsiaPac, Pte. Ltd. business unit handles franchising for East Asia,
10920-416: The Chinese market, operating less than 100 stores in the country. Previous owners TPG Capital had intended to open hundreds of new locations in the country by this point but had not been able to carry through with their plans. On the other side of Aisia, The Kurdoğlu family, along with its partners the Üründül family, operated a major franchisee of Burger King In Turkey through its TAB Gida operation. TAB Gida
11088-700: The French market in 2012 with an agreement with multinational operator Autogrill , a move that has met with some excitement in the country. The chain left the country in 1997, closing its 22 franchised and 17 corporate locations after a poorly executed entry into the market that left it unable to compete against McDonald's and local chain Quick . The partnership with Autogrill is a move to consolidate Burger King's presence in travel plazas along major highways in France, Italy, Poland and other European nations. Since its purchase in 2011, Burger King has seen 14% sales increase in its Latin American and Caribbean operations. The continued expansion in these market could provide
11256-500: The Hungry Jack's locations to Burger King, which Cowin declined. Burger King Corporation accused Hungry Jack's of violating the conditions of the renewed franchise agreement by failing to expand the chain at the rate defined and sought to terminate the agreement. Under the aegis of this claim, Burger King Corporation, in partnership with Royal Dutch Shell 's Australian division Shell Company of Australia Ltd., began to open its own stores in 1997 beginning in Sydney and extending throughout
11424-473: The Hungry Jack's restaurants in Australia. As the master franchise for the continent, the company is responsible for licensing new operators, opening its own stores and performing standards oversight of franchised locations in Australia. At the end of Burger King's 2012 fiscal year, Hungry Jack's is the largest Asian/Pacific franchisee of the chain with 347 restaurants either directly owned by parent company Hungry Jack's Pty or through third party licensees. After
11592-470: The Indian market has the company at a competitive disadvantage with other fast food restaurants such as KFC because of the aversion of the country's large Hindu majority to beef. BK hopes to use their non-beef products, such as their TenderCrisp and TenderGrill chicken sandwiches, as well as other products like mutton sandwiches and veggie sandwiches, to help them overcome this hurdle to expand in that country. 3G has reported that it will continue with
11760-430: The Japanese locations were closed in 2001; however, BK reentered the Japanese market in June 2007. BK's Central and South American operations began in Mexico in the late 1970s, and by the early 1980s it was operating locations in Caracas, Venezuela ; Santiago, Chile ; and Buenos Aires, Argentina . While Burger King lags behind McDonald's in international locations by over 12,000 stores, by 2008 it had managed to become
11928-402: The NFA claimed was made up of corporate picked members that did not truly represent the franchises. Further changes in menu structure, advertising, demographic targeting and franchise-corporate interactions upset the franchise group. Over the next several years TPG made several changes to the company that eventually brought the two sides to loggerheads that devolved into several lawsuits. In
12096-501: The NFA noted the franchise agreement only required locations to be open until 11:00pm and did not contain riders that allowed the corporate parent to amend the agreement. In response to the changes, three Miami-area franchise filed a suit in July 2008 with the Eleventh Judicial Circuit Court of Florida in Miami to stop the change and force the company to make it optional instead of required. The NFA issued
12264-523: The NFA. In 1990, Hungry Jack's renewed its franchise agreement with then BK parent Burger King Corporation, which allowed Hungry Jack's to license third party franchisee. One of the terms and conditions of the renewed agreement required Hungry Jack's to open a minimum number of new locations each year for the duration of the contract. Shortly after the Australian trademark on the Burger King name lapsed in 1996, Burger King requested that Cowin rebrand
12432-497: The TPC Capital-led group on hold. The developments eventually forced Diageo to lower the total selling price of the chain by almost $ 750 million . After the sale, newly appointed CEO Brad Blum initiated a program to help roughly 20 percent of its franchises, including its four largest, who were in financial distress, bankruptcy or had ceased operations altogether. Partnering with California-based Trinity Capital, LLC,
12600-585: The TPG-led group continued BK's international expansion by announcing plans to open new franchise locations in Eastern Europe, Africa and the Middle East, and Brazil, the company plan is focusing on the three largest markets – India, China, and Japan. The company plans to add over 250 stores in these Asian territories, as well as other places such as Macau , by the end of 2012. Its expansion into
12768-537: The US, was forced to enter Chapter 11 bankruptcy. The failure of AmeriKing accompanied with declining market position deeply affected the value of the company, and put negotiations between Diageo and the TPC Capital-lead group on hold. The developments eventually forced Diageo to lower the total selling price by almost three-quarters of a billion dollars. After the sale, newly appointed CEO Bradley Blum initiated
12936-414: The United States at a time when corporate advertising costs were falling, which would allow an increased media presence of approximately 25% from the previous year (2008). The NFA contended that Burger King Corporation improperly redirected 40% of restaurant operating funds (ROF) paid by the two beverage suppliers to franchises since 1990 into the corporate advertising budget. These funds were often used by
13104-573: The United States with the "Sizzle" concept. While the remodel plan was an overhaul to the entire restaurant, Burger King was also investing in a "Refresh" initiative in order to replace equipment and upgrade technologies. By the end of 2023, Burger King completed 264 remodels and exited the year with 46% of its restaurants with a modern image. Burger King Holdings was the parent company of Burger King when it went public in 2002. Burger King derived its income from several sources, including property rental and sales through company owned restaurants; however,
13272-422: The United States, the company originally relied on a regional franchise model with owners having exclusive expansion rights in a defined geographic territory. This model proved to be problematic as it led to issues of food quality, procedures and image management. A 1970s attempt by one of its largest franchises to take over the chain led to a restructuring of its franchising system, tossing the old method in favor of
13440-479: The Whopper sandwich in 1957. This quarter-pound (4 oz (110 g)) hamburger was created by Burger King's new owners James McLamore and David Edgerton as a way to differentiate BK from other burger outlets at the time. Since its inception, the Whopper has become synonymous with Burger King and has become the focus of much of its advertising. The company even named its new kiosk-style restaurants Whopper Bars . Burger King franchises The majority of
13608-508: The Whopper to "look about 35% bigger in its advertising than it is in reality". Burger King has two in-house national charitable organizations and programs. One is the Have It Your Way Foundation, a U.S.-based non-profit ( 501(c)(3) ) corporation with multiple focuses on hunger alleviation, disease prevention and community education through scholarship programs at colleges in the U.S. The other charitable organization
13776-494: The Z-Bots & Voids, called Morphbots, have the ability to transform. There were some, called Bitebots, which could "bite" simply opening their large mouths, often the size of their body. Some had wheels which gave them the ability to roll. There were also sets of Z-Bots & Voids that combined to make even larger bots. They were called Linkbots. Their names even combined into one. Baz, Oo, and Ka, for example, became Bazooka. There
13944-408: The agreement required Burger King Corporation to provide administrative and advertising support as to insure a common marketing scheme for the company and its products. Trans-Pacific Foods transferred its control of the Burger King franchises to Hungry Jack's Pty Ltd, which subsequently renamed the remaining Burger King locations as Hungry Jack's . In the summer of 1999, a geopolitical dispute with
14112-716: The auspices of different companies. In December 2012, Burger King entered into a new agreement with Beboca Ltd., a franchisee in Panama and Costa Rica. The new agreement establishes a new entity, BK Centro America (BKCA), that will be the new master franchise for Costa Rica, El Salvador, Guatemala, Honduras, Nicaragua and Panama; BKCA will be responsible for overseeing the development of Burger King franchisees in these countries. Additionally, BKCA will provide logistics support, advertising and purchasing assistance not only in those countries, but others in Burger King's Latin American and Caribbean development area. AmRest Holdings ( WSE : EAT )
14280-440: The brand, in turn causing significant financial damage to Burger King's franchises. By 2001 and nearly eighteen years of stagnant growth, many of its franchises were in some sort of financial distress. The lack of growth severely impacted Burger King's largest franchise, the nearly 400-store AmeriKing; the company, which until this point had been struggling under a nearly $ 300 million debt load and been shedding stores across
14448-417: The brand. Neglect of Burger King by new owner Grand Metropolitan and its successor Diageo further hurt the standing of the brand, causing significant financial damage to BK franchises and straining relations between the parties. By 2001 and after nearly 18 years of stagnant growth, the state of its franchises was beginning to affect the value of the company. One of the franchises most heavily affected by
14616-429: The cases, the situations raised legal questions, dealt with legal compliance, or resulted in legal remedies such as changes in contractual procedure or binding agreements between parties. The resolutions to these legal matters have often altered the way the company interacts and negotiates contracts with its suppliers and franchisees, or how it does business with the public. Further controversies have occurred during
14784-460: The chain from Pillsbury for $ 100 million ( USD ) which Pillsbury declined. When Chart House's bid failed, its owners Billy and Jimmy Trotter put forth a second plan that would require Pillsbury and Chart House spin off their respective holdings and merge the two entities into a separate company. Again Pillsbury declined the proposed divestiture. After the failed attempts to acquire the company,
14952-485: The chain in a US$ 3.26 billion sale to 3G Capital of Brazil. Analysts from financial firms UBS and Stifel Nicolaus agreed that 3G would have to invest heavily in the company to help reverse its fortunes. After the deal was completed, the company's stock was removed from the New York Stock Exchange, ending a four-year period as a public company. The delisting of its stock was designed to help
15120-506: The changes were necessary to maintain a competitive stand against McDonald's and Wendy's. Burger King stated that roughly 60% of its franchised locations already operated until midnight, but it sought to have the extended hours of operation cover 100% of locations in order to begin a nationwide advertising campaign promoting late-night sales. On June 1, 2008, the company amended the directive to require restaurants to stay open until 2:00am Thursday-Saturday and open at 6:00am Monday-Saturday. At
15288-521: The communities they serve. On April 9, 2019, Nations Restaurant News reported that Burger King filed a lawsuit on Fritz Management LLC to remove Burger King trademarks from 37 units in South Texas after unsanitary conditions were found at a restaurant in Harlingen, Texas . In May 2019, the lawsuit was settled with the franchisee, Fritz Management (a subsidiary of Sun Holdings Inc), keeping
15456-552: The company a Q3, 2013 profit of US$ 68.2 million over the same quarter, 2012 of US$ 6.6 million. At the end of its 2013 fiscal year, Burger King was the second largest chain of hamburger fast food restaurants in terms of global locations, behind industry bellwether McDonald's, which had 32,400 locations. At the end of 2014, Burger King ranked fourth among US food chains in terms of US sales, behind McDonald's , Starbucks , and Subway . Burger King now has over 12,000 stores worldwide. In January 2024, Restaurant Brands International,
15624-426: The company established the Franchisee Financial Restructuring Initiative, a program to address the financial issues facing BK's financially distressed franchisees. The initiative was designed to assist franchisees in restructuring their businesses to meet financial obligations, focus on restaurant operational excellence, reinvest in their operations, and return to profitability. Individual franchisees took advantage of
15792-409: The company guidelines and policies. However, by 1988 Burger King parent Pillsbury had relaxed many of Smith's changes, scaled back on construction of new locations and stalling growth. When Pillsbury was acquired in 1989 by Grand Metropolitan , the company fell further into decline, a pattern which continued under Grand Met successor Diageo . This institutionalized neglect further hurt the standing of
15960-463: The company in 1959 and renamed it "Burger King". Over the next half-century, the company changed hands four times and its third set of owners, a partnership between TPG Capital , Bain Capital , and Goldman Sachs Capital Partners , took it public in 2002. In late 2010, 3G Capital of Brazil acquired a majority stake in the company in a deal valued at US$ 3.26 billion. The new owners promptly initiated
16128-523: The company licenses its franchisees varies depending on the region, with some regional franchises, known as master franchises , responsible for selling franchise sub-licenses on the company's behalf. Burger King's relationship with its franchises has not always been harmonious. Occasional spats between the two have caused numerous issues, and in several instances, the relations between the company and its licensees have degenerated into precedent-setting court cases. Burger King's Australian franchise Hungry Jack's
16296-413: The company moved to establish new master franchise agreements in several regions while realigning its operations in several markets. The company known today as Burger King itself began as a franchise; the predecessor of the modern company was founded in 1953 in Jacksonville, Florida , as Insta-Burger King. The original founders and owners, Keith J. Kramer and Matthew Burns, opened their first stores around
16464-666: The company owed the NFA $ 1.7 million in total subsidy funds. The two sides settled their differences in April 2006 when Burger King agreed to pay the disputed subsidy funds to the group. Additionally, Burger King announced that it would honor an October 2004 deal in regards to compensation for the operation of the annual Burger King/franchise convention. A similar issue again arose in 2009 when Burger King diverted several million dollars of advertising rebates paid to its American franchises by Coca-Cola Corporation and Dr. Pepper Snapple Group to its own coffers. The company intended to utilize these funds to increase its advertising presence in
16632-432: The company repair its fundamental business structures and continue working to close the gap with McDonald's without having to worry about pleasing shareholders. In the United States domestic market , the chain fell to third place in terms of same store sales behind Ohio-based Wendy's . The decline was the result of 11 consecutive quarters of same store sales decline. In August 2014, 3G announced that it planned to acquire
16800-442: The company return to independence when it was purchased from Diageo by a group of investment firms led by TPG Capital for US$ 1.5 billion in 2002. The new owners rapidly moved to revitalize and reorganize the company, culminating with the company being taken public in 2006 with a highly successful initial public offering . The firms' strategy for turning the chain around included a new advertising agency and new ad campaigns,
16968-513: The company was valued at over $ 150 million, and was sold to New York-based GSO Capital Partners . Other purchasers included a three-way group of NFL athletes Kevin Faulk , Marcus Allen and Michael Strahan who collectively purchased 17 stores in the cities of Norfolk and Richmond , Virginia; and Cincinnati -based franchisee Dave Devoy, who purchased 32 AmeriKing stores. After investing in new decor, equipment and staff retraining, many of
17136-473: The company's assets in an attempt to profit from their sale and laid off many of its staff members. Burger King's headquarters experienced major damage in 1992 from Hurricane Andrew . After Gibbon's departure, a series of CEOs each tried to repair the company's brand by changing the menu, bringing in new ad agencies and many other changes. The parental disregard of the Burger King brand continued with Grand Metropolitan's merger with Guinness in 1997 when
17304-649: The company's expansion in the Middle East. The opening of a Burger King location in Ma'aleh Adumim , an Israeli settlement in the Israeli-occupied Palestinian territories , led to a breach of contract dispute between Burger King and its Israeli franchise due to the hotly contested international dispute over the legality of Israeli settlements in the Palestinian territories in accordance to international law. The controversy eventually erupted into
17472-517: The company's responses to these challenges have ranged from a conciliatory dialog with its critics and litigants, to a more aggressive opposition with questionable tactics and negative consequences. The company's response to these various issues has drawn praise as well as, in some instances, suggestions of political appeasement. A trademark dispute involving the owners of an unrelated restaurant also named Burger King in Mattoon, Illinois , led to
17640-402: The company. As of December 31, 2018, Burger King reported that it had 17,796 outlets in 100 countries. Of these, nearly half are located in the United States, and 99.7% are privately owned and operated , with its new owners moving to an almost entirely franchised model in 2013. Burger King has historically used several variations of franchising to expand its operations. The manner in which
17808-414: The company. In a plan called "Operation Phoenix", Smith restructured corporate business practices at all levels of the company. Changes included updated franchise agreements, a broader menu and new standardized restaurant designs. Smith left Burger King for PepsiCo in 1980 shortly before a system-wide decline in sales. Pillsbury's Executive Vice President of Restaurant Operations Norman E. Brinker
17976-441: The country were closed down and converted to Burgeranches. Master franchise: Hungry Jack's Pty. Australia is the only country in which Burger King does not operate under its own name. When the company set about establishing operations there in 1971, it found that its business name was already trademarked by a takeaway food shop in Adelaide . As a result, Burger King provided the Australian master franchisee, Jack Cowin , with
18144-486: The decision to replace the Insta-Broiler with a mechanized gas grill they called a flame broiler. Even though the company had rapidly expanded throughout the state until its operations totaled more than 40 locations in 1955, the original Insta-Burger King ran into financial difficulties and the pair of McLamore and Edgarton purchased the national rights to the chain and rechristened the company as Burger King of Miami. When McLamore and Edgarton's Burger King Corporation began
18312-479: The decision, the franchise group filed a second suit that claimed the deal was not properly structured and was implemented without the franchises' consent. The NFA suit claimed BK acted in bad faith by implementing the deal after the franchises had twice voted down the deal. When 3G Capital purchased Burger King in January 2011, the company moved to resolve all disputes with its franchises. By April, Burger King and
18480-524: The dispute between Burger King and its franchises came to center on the 2009-2010 promotion for the Buck Double sandwich. The Buck Double was a quarter-pound double cheese burger designed to compete against the McDonald's McDouble sandwich. The primary issue was financial in nature, the franchises claimed that Burger King forced them to sell the sandwich at a loss of 10¢ per sandwich. Franchisees sued
18648-564: The diversion to the parent company violated the beverage contracts between various parties. Negotiations between the two entities eventually failed, which led to a class action suit being filed in the United States District Court for the Southern District of California against Burger King Corporation, Coca-Cola and Dr. Pepper on behalf of all Burger King franchises in the United States in May 2009. In
18816-506: The early 1980s in Caracas , Venezuela, Santiago , Chile, and Buenos Aires , Argentina. While Burger King lags behind McDonald's in international locations by over 12,000 stores, as of 2008 it had managed to become the largest chain in several countries including Mexico and Spain. The company divides its international operations into three segments; the Middle East, Europe and Africa division (EMEA), Asia-Pacific (APAC) and Latin America and
18984-512: The entire marketplace. Controversies and disputes have arisen with groups such as People for the Ethical Treatment of Animals (PETA), governmental and social agencies, and unions and trade groups over various topics. These situations have touched on legal and moral concepts such as animal rights , corporate responsibility , ethics , and social justice . While the majority of the disputes did not result in lawsuits, in many of
19152-409: The expiration of the trademark in the late 1990s, Burger King unsuccessfully tried to introduce the brand to the continent. After losing a lawsuit filed against it by Hungry Jack's ownership, the company ceded the territory to its franchisee. Hungry Jack's is now the only Burger King brand in Australia; Cowin's company Hungry Jack's PTY is the master franchise and thus is now responsible for overseeing
19320-464: The extensions on multiple grounds; operators claimed employee and customer safety was jeopardized by the extended hours, with several Miami-area franchises noting incidents in 2006 and 2007 where staff or customers were killed during extended hours. Additionally it was claimed that the extended hours were not profitable due increased costs associated with operating the locations at times with lower customer traffic and subsequent lower sales. Franchises and
19488-447: The failed company for a bargain basement price of $ 16 million, or approximately 88 percent of their original value. The new company, which started out as Core Value Partners and eventually became Heartland Foods , also purchased 120 additional stores from distressed owners and completely revamped them. The resulting purchases made Mr. Cabrerra BKB's largest minority franchisee and Heartland one of Burger King's top franchises. By 2006,
19656-465: The filing, the NFA claimed the three defendants were in violation of a 1999 beverage contract that set specific beverage syrup usage goals. The four parties settled shortly after the filing when Burger King agreed to seek advertising funds from other sources. In 2007, Burger King announced its "competitive hours" requirement that mandated locations extend their hours of operation to midnight for most of its American locations. Burger King's reasoning for
19824-541: The focus of multiple, highly contentious disputes between the parent company and its franchises for several years during the TPG ownership period. The dispute was at the center of two separate but related court cases filed against Burger King by an individual Burger King franchise in New York City and the NFA. At the heart of the disputes is the legal concept of the implied covenant of good faith and fair dealing in regards to long-term franchise agreements. The first indication of
19992-400: The formerly failing stores have shown growth upwards of 20 percent. With the sale of Burger King to 3G Capital of Brazil in 2010, Burger King made the decision to sell off almost all corporate owned stores to its franchises by the end of 2013. One major move towards this goal was the sale of over 275 stores to corporate franchise group Carrols Corporation of New York and nearly 100 stores to
20160-490: The formerly failing stores showed growth approaching 20 percent. As part of 3G's restructuring plan, the company decided to divest itself of its corporate owned locations by re-franchising them to private owners and become a 100% franchised operation by the end of 2013. The project, which began in April 2012, saw the company divest corporate-owned locations in Florida, Canada, Spain, Germany, and other regions. The move gave
20328-408: The franchises agreed to a non-monetary settlement where the franchise were allowed to reprice the Buck Double to $ 1.29 US$ as well as giving them more power in future in determining the makeup of the Burger King value menu. The parent company also hired a Chicago, Illinois franchisee, Dan Wiborg, as its new North American president, a move that helped franchise relations due to his former position with
20496-406: The franchises to pay for beverage support systems such as filtration units and local marketing, and diversion of the funds would cost franchises at least $ 65 million (USD) between 2010 and 2012. These funds often helped the franchises' bottom lines, as they were often used to offset other costs imposed on the franchises by Burger King, such as the $ 1 (USD) Double Cheeseburger. The NFA claimed that
20664-465: The franchises' displeasure with their parent over this issue came in 2005 and involved claims by a Manhattan-based franchise that the company failed to take into account local market conditions when setting prices. E-Z Eating Corp., operator of five restaurants in New York and owned by brother-sister partners Elizabeth and Luan Sadik, had been struggling after the 9/11 terrorist attacks but had been in
20832-571: The franchising reorganization segment of Operation Phoenix, Donald N. Smith initiated a restructuring of future franchising agreements in 1978. Under this new franchise agreement, new owners were disallowed from living more than one hour from their restaurants – restricting them to smaller individuals or ownership groups and preventing large, multi-state corporations from owning franchises. Franchisees were also now prohibited from operating other chains, preventing them from diverting funds away from their Burger King holdings. This new policy effectively limited
21000-608: The global Islamic community and Jewish groups in the United States and Israel arose over an Israeli franchisee opening stores in the territories. When Burger King franchisee in Israel, Rikamor, Ltd., opened a store in the settlement of Ma'aleh Adumim in August of that year, Islamic groups, including the Arab League and American Muslims for Jerusalem, argued that international Burger King parent Burger King Corporation's licensing of
21168-411: The group calls Franchisee Relations Advocacy. It acts as a corporate negotiator that mediates with corporate-franchise disputes, as a government lobbying group to deal with issues that affect the fast-food industry as a whole, and it provides group health , property and casualty insurance . In 2001, the group announced a plan to purchase Burger King from then-parent Diageo after the company put forth
21336-550: The intent to increase the number of privately held restaurants to 95%. In 2016, the percentage of privately owned Burger King establishments grew to 99.5%. RBI maintains that approximately 100% of Burger King franchises are privately held restaurants. Burger King was formerly headquartered in a nine-story office tower by the Miami International Airport in unincorporated Miami-Dade County, Florida. On Monday July 8, 2002, 130 employees began working at
21504-415: The lack of growth was the nearly 400-store AmeriKing Inc., one of the largest Burger King franchisees. By 2002, the franchise owner, which until this point had been struggling under a nearly US$ 300 million debt load and been shedding stores across the US, was forced to enter Chapter 11 bankruptcy. The failure of AmeriKing deeply affected the value of Burger King, and put negotiations between Diageo and
21672-495: The largest chain in several countries, including Mexico and Spain. The company divides its international operations into three segments: The Middle East, Europe and Africa division (EMEA), Asia-Pacific (APAC) and Latin America and the Caribbean (LAC). In each of these regions, Burger King has established several subsidiaries to develop strategic partnerships and alliances to expand into new territories. In its EMEA group, Burger King's Switzerland-based subsidiary Burger King Europe GmbH
21840-573: The largest minority franchisee of Burger King, and Heartland one of the company's top franchises. By 2006, the company was valued at over $ 150 million , and was sold to New York–based GSO Capital Partners . Other purchasers included a three-way group of NFL athletes Kevin Faulk , Marcus Allen , and Michael Strahan who collectively purchased 17 stores in the cities of Norfolk and Richmond, Virginia ; and Cincinnati -based franchisee Dave Devoy, who purchased 32 AmeriKing stores. After investing in new decor, equipment and staff retraining, many of
22008-628: The location in the West Bank. Several American-based Jewish groups issued statements that denounced the decision as acceding to threats of boycotts by Islamic groups. Burger King Corporation issued a statement that it "made this decision purely on a commercial basis and in the best interests of thousands of people who depend on the Burger King reputation for their livelihood". Eventually, the regional master franchise for Israel, Orgad Holdings, decided to close its operations in that country and merge all operations with its own local chain, Burgeranch . It
22176-745: The locations of international fast-food restaurant chain Burger King are privately owned franchises. While the majority of franchisees are smaller operations, several have grown into major corporations in their own right. At the end of the company's fiscal year in 2015, Burger King reported it had more than 15,000 outlets in 84 countries; of these, approximately 50% are in the United States and 99.9% are privately owned and operated. The company locations employ more than 37,000 people who serve approximately 11.4 million customers daily. Since its predecessor's inception in 1953, Burger King has used several variations of franchising to expand its operations. In
22344-590: The member states' territories. A related issue involving members of the Islamic faith over the interpretation of the Muslim version of canon law , Shariah , regarding the promotional artwork on a dessert package in the United Kingdom raised issues of cultural sensitivity, and, with the former example, posed a larger question about what companies must do to ensure the smooth operation of their businesses in
22512-610: The minority held Magic Burger of Florida. Shortly after the acquisition of the chain by Pillsbury in 1969, Burger King opened its first Canadian restaurant in Windsor, Ontario , in 1969. Other international locations followed soon after: Oceania in 1971 with its Australian franchise Hungry Jack's , and Europe in 1975 with a restaurant in Madrid , Spain . Beginning in 1982, BK and its franchisees began operating stores in several East Asian countries, including Japan, Taiwan , Singapore and South Korea. Due to high competition, all of
22680-449: The name to a possessive form by adding an apostrophe "s" forming the new name Hungry Jack's. After the expiration of the trademark in the late 1990s, Burger King unsuccessfully tried to introduce the brand to the continent. After losing a lawsuit filed against it by Hungry Jack's ownership, the company ceded the territory to its franchisee. Hungry Jack's is now the only Burger King brand in Australia; Cowin's company Hungry Jack's Pty Ltd.
22848-549: The operations in Australia, with Burger King only providing administrative and advertising support to ensure a common marketing scheme for the company and its products. Master franchise: Vinci Partners Burger King entered the Brazilian market in 2004, eventually operating and franchising 108 locations in the country by 2011. In June of that year, Burger King entered into a new master franchise agreement with Brazilian venture capital firm Vinci Partners. The agreement calls for
23016-505: The owner of the brand, announced it would purchase the largest franchisee of the chain, Carrols Restaurant Group , for around $ 1 billion. At the time of the announcement, Carrols had 1,022 Burger King locations (along with 60 Popeyes locations). The goal was to remodel 600 of the restaurants, then sell them back to franchisees over five to seven years. The move represented a departure from the existing model of largely franchising locations. While BK began its foray into locations outside of
23184-431: The parent company claiming that it did not have the authority to dictate pricing structures for the independently held franchises. The court dismissed the case in a decision that stated the company could legally dictate pricing structures over its franchises objections, but found that there was enough evidence to allow the franchises to move forward with their claims of dealing in bad faith in a separate case. In response to
23352-472: The parent company, the judge ruled in January 2009 in favor of Burger King. In his decision, Judge Gordon stated that the franchise contract clearly does provide Burger King the right to establish minimum hours standards for its franchises. After purchase of the company by 3G, Burger King conceded to the franchises request the mandate be changed to a recommendation and relaxed its position on the extended hours. The pricing of Burger King's value menu had been
23520-402: The plans to grow globally, even ramping up the planned expansion to help increase their return on investment. It is expected that 3G Brazilian-based management connections in the region may help Burger King expand in Brazil and Latin America, where it has been having problems finding acceptable franchisees. In December 2020, Burger King India went in for an initial public offering (IPO) on
23688-498: The president of Burger King U.S. and Canada, was appointed in 2021 and oversees the operation of the Burger King Corporation in the United States and Canada. In North America, Burger King Corporation is responsible for licensing operators and administering of stores. Internationally, the company often pairs with other parties to operate locations or it will outright sell the operational and administrative rights to
23856-420: The reason for the break. The company also announced that it would be diverting a $ 1 million (USD) NFA advertising subsidy into the company's own advertising fund. In a response, the NFA chairman Daniel Fitzpatrick responded in a letter to Burger King's parent stating that "to sever relations with the ... NFA is extremely regrettable" and based on "an erroneous set of facts, innuendo and rumor" claimed that
24024-456: The regions of New South Wales , Australian Capital Territory and Victoria . In addition, BK sought to limit HJ's ability to open new locations in the country, whether they were corporate locations or third-party licensees. As a result of Burger King's actions, Hungry Jack's owner Jack Cowin and his private holding company Competitive Foods Australia began legal proceedings in 2001 against Burger King's parent Burger King Corporation with
24192-691: The relationship with Chart House and the Trotters soured; when Chart House purchased several restaurants in Boston and Houston in 1979, Burger King sued the selling franchisees for failing to comply with the right of first refusal clause in their contracts. Burger King won the case, successfully preventing the sale. The two parties did eventually reach a settlement where Chart House kept the Houston locations in their portfolio. Chart House eventually spun off its Burger King holdings and refocused on its higher end chains; its Burger King holding company, DiversiFoods,
24360-556: The restaurant to get in, sometimes for over half an hour. The only exception so far has been Christmas time, when the restaurant was closed. According to Mikko Molberg, the leader of the Finnish Burger King franchise, the restaurant has attracted over 2000 customers on every single day, which has surprised the restaurant employees and the franchise owners. The long queues have been extensively covered and ridiculed in social media , comparing them to people queuing in front of
24528-458: The rights to two pieces of equipment called "Insta-machines", opened their first restaurants. Their production model was based on one of the machines they had acquired, an oven called the "Insta-Broiler". This strategy proved to be so successful that they later required all of their franchises to use the device. After the company faltered in 1959, it was purchased by its Miami, Florida, franchisees, James McLamore and David R. Edgerton. They initiated
24696-449: The sale had TPF assume oversight of the Burger King franchises in the region as the Burger King brand's master franchisee. Trans-Pacific Foods administered the chain's 81 locations until September 2003 when the new management team of Burger King Corporation reached an agreement with Hungry Jack's Pty Ltd to re-brand the existing Burger King locations to Hungry Jack's and make HJP the sole master franchisee of both brands. An additional part of
24864-522: The scheme in their other two locations. Burger King responded by suing the company in the United States District Court for the Southern District of Florida for breach of contract, and eventually revoked the franchise agreement for the remaining two locations in January 2006. The Sadik's responded by filing their own lawsuit in 2008 in the United States District Court for the Eastern District of New York claiming that Burger King had engaged in
25032-562: The size of franchisees and prevented larger franchises from challenging Burger King Corporation as Chart House had. Smith also sought to have BKC be the primary owner of new locations and rent or lease the restaurants to its franchises. This policy would allow the company to take over the operations of failing stores or evict those owners who would not conform to the company guidelines and policies. By 1988, parent company Pillsbury had relaxed many of Smith's changes, scaling back on construction of new locations, which resulted in stalled growth of
25200-409: The size of franchisees and prevented larger franchises from challenging Burger King as Chart House had. Smith also altered the way the company dealt with new properties by making the company the primary owner of new locations and rent or lease the restaurants to its franchises. This policy would allow the company to take over the operations of failing stores or evict those owners who would not conform to
25368-520: The store helped legitimize the settlement. Beyond the called-for Islamic boycott of the company, the Arab League also threatened the revocation of the business licenses of Burger King's primary Middle Eastern franchise in the 22 countries that are part of the League's membership. Burger King Corporation quickly pulled the franchise license for that location and had the store shuttered explaining that Rikamor, Ltd. had violated its contract by opening
25536-403: The third-largest international chain of fast food restaurants. The deal led to a controversy over the practice of tax inversions , in which a company decreases the amount of taxes it pays by moving its headquarters to a tax haven , a country with lower rates, but maintains the majority of their operations in their previous location. As a high-profile instance of tax inversion, news of the merger
25704-415: The time of the announcement, Burger King stated it believed the franchise agreement allowed it set minimum hours and that most of it franchisees had agreed to the extended hours of operation. After the deadline passed, Burger King notified its franchises on July 3 that if any of them failed to implement the new policy by July 8, the franchises would be in default of their agreement. Many franchises opposed
25872-399: The trademarks on all 37 units. On November 19, 2019, a lawsuit was filed by a vegan from Atlanta, Georgia against Burger King for allegedly failing to clearly disclose that Impossible Whopper burgers were heated on the same grill as their beef burgers. The lawsuit was dismissed. On March 28, 2022, a lawsuit was filed against Burger King, alleging the fast food chain falsely advertised
26040-567: The two have caused numerous issues, and in several instances the company's and its licensees' relations have degenerated into precedent-setting court cases. In the United States, approximately 90 percent of Burger King's franchises have banded together to form the Burger King National Franchise Association (BKNFA or NFA). The 900-member group is based in Atlanta , Georgia, and is designed to provide what
26208-426: The two organizations formed the holding company Diageo . Eventually, the ongoing systematic institutional neglect of the brand through a string of owners damaged the company to the point where major franchises were driven out of business, and its total value was significantly decreased. Diageo eventually decided to divest itself of the money-losing chain and put the company up for sale in 2000. The 21st century saw
26376-500: Was aimed at the BRIC nations with several new master franchise agreements in those countries that will eventually create upwards of 2500 new stores by the 2020. One of these deals also creates the single largest international franchise agreement in the company history, a deal to open over 1000 stores in China with a new "super"-franchise headed by the Kurdoglu family of Turkey. An updated agreement with its Russian franchisee will see
26544-421: Was claimed by Ograd owners Eli and Yuval Orgad that Israelis preferred the taste of the local brand over the American chain. One blogger, a former manager of a Burger King in the United States, claimed that both chains were basically the same in product and preparations, it was Burger King's failure to fully adapt to the local market tastes that doomed them in that country. By September 6, 2010, all 55 locations in
26712-583: Was criticized by U.S. politicians, who felt that the move would result in a loss of tax revenue to foreign interests, and could result in further government pressure against inversions. In 2019, Burger King reported that it planned to close up to 250 low-volume locations per year, with closures coming into effect in 2020. In February 2021, Burger King began testing a customer loyalty rewards program called "Royal Perks" in Los Angeles, Miami, New York City, New Jersey and Long Island, New York. Following
26880-572: Was designed to assist franchisees in restructuring their businesses in order to meet financial obligations, focus on restaurant operational excellence, reinvest in their operations and return to profitability. Individual owners took advantage of the AmeriKing failure; one of the BK regional owners, Miami-based Al Cabrera, purchased 130 stores located primarily in the Chicago and the upper mid-west , from
27048-485: Was even a series of military-themed robots called Combots. Often the same model with different paint jobs was used as both a Void and Z-bot. There were also 1/2 inch tall Z-Bots called Mini Z's. These Z's had interchangeable parts. Some Z-Bots had motors that made them go faster simply by scooting them along the floor. These were called Revbots. There were even giant Z-Bots that acted as playsets. There were many accessories including spaceships. In 1994, Burger King had
27216-559: Was eventually acquired by Pillsbury $ 390 million (USD) in 1984 and folded into Burger King's operations. The regional licensing model remained in place until 1978 when the company hired McDonald's executive Donald N. Smith to help revamp the company. Smith initiated a restructuring of all future franchising agreements, disallowing new owners from living more than an hour's drive from their restaurants, preventing corporations from owning franchises and prohibiting franchisees from operating other chains. This new policy effectively limited
27384-516: Was finished. As of August 2024, the Burger King system operates more than 18,700 locations in more than 100 countries and U.S. territories. When Burger King Corporation began franchising in 1959, it used a regional model where franchisees purchased the right to open stores within a geographic region. These franchise agreements granted BKC very little oversight control of its franchisees and resulted in issues of product quality control, store image and design, and operational procedures. During
27552-595: Was initially reached in 2002, franchises celebrated the severance of Burger King from Diageo. However, the relationship quickly soured after the 2004 purchase was completed, with the TPG-led management group immediately voicing concerns over the relationship between Burger King and its franchises. In a statement from the new TPG appointed management, Burger King disparaged the NFA as one of the problems interfering with company operations. The new owners also began dismantling franchise advisory committees, replacing them with what Burger King called "excellence advisory councils" that
27720-480: Was one of the first major cases in Australia that implied that the American legal concept of good faith negotiations existed with the framework of the Australian legal system, which until that verdict, had rarely been seen in the country's courts. In its decision, the Court stated that Burger King had failed to act in good faith during contract negotiations by seeking to include standards and clauses that would engineer
27888-457: Was only able to enter northern Alberta , in Canada , in 1995, after it paid the founders of another chain named Burger King . Legal decisions from other suits have set contractual law precedents in regards to long-arm statutes , the limitations of franchise agreements , and ethical business practices. Many of these decisions have helped define general business dealings that continue to shape
28056-564: Was part of Burger King's plan to expand its presence in existing European markets while opening new ones. AmRest expected to open several new locations in Poland over a five-year period. By February 2012, the company was considering using its foothold in India through its La Tagliatella Italian food chain to bring the Burger King brand to that country. At the time, BK had failed to establish itself with in India at least twice. As of December 2012, AmRest operates 37 Burger King locations in three countries. Restaurant Brands Asia ( NSE : RBA )
28224-839: Was tasked with turning the brand around, and strengthening its position against its main rival McDonald's. One of his initiatives was a new advertising campaign featuring a series of attack ads against its major competitors. This campaign started a competitive period between Burger King, McDonald's, and top burger chains known as the Burger wars . Brinker left Burger King in 1984, to take over Dallas-based gourmet burger chain Chili's . Smith and Brinker's efforts were initially effective, but after their respective departures, Pillsbury relaxed or discarded many of their changes, and scaled back on construction of new locations. These actions stalled corporate growth and sales declined again, eventually resulting in
#397602