“‘It won’t be too long before we reach 1,000 Pizza Hut restaurants in China,’ said Angela Loh, Yum! China’s chief concept officer,” in a recent Reuters article.
Plans now call for doubling the Pizza Huts in China to 220.
But the company has other, more fragrant plans for that nation to the north of us, as you’ll see at the end of this post. A few lucky Canadians will be able to squirt Eau de Pizza Hut all over themselves in time for the holidays.
The New Chinese Food
Yum! has two types of Pizza Hut offerings in China, a full-service restaurant and pizza delivery.
“KFC accounts for the lion’s share of Yum’s restaurants in China, where the company was a pioneer and remains the largest Western restaurant operator,” the Reuters article continues.
“But the company is no longer a lone wolf in China, where foreign brands have flocked and local upstarts are getting a foothold.
“‘We do face more severe competition,’ Loh said.
“Yum’s rivals in China include U.S. companies such as McDonald’s Corp (MCD), Subway, Papa John’s International Inc. (PZZA) and Starbucks Corp. (SBUX).”
BusinessWeek notes that the Chinese aren’t as wild about pizza, as say, the Americans: “Food other than pizza — fried shrimp, soups, steak — accounts for about half of sales at Pizza Huts in China.”
Yum! is now focusing on smaller cities in China and hopes to take a big bite into the restaurant market in India.
“In 2013, Yum plans to build 700 restaurants in China. This year, the company had predicted it would build 650 but ended up building more than 800,” BusinessWeek notes.
Yum! Brands is No. 40 on BetterInvesting Magazine’s Top 100 Companies held by our members. The company also owns Taco Bell.
And Yum! is getting into the fragrance business, sort of, maybe. The company says in a news release that what began as a Facebook page gag has led to “a brand new fragrance from Pizza Hut Canada boasting top notes of freshly baked, hand-tossed dough.”
The limited edition perfume celebrates Pizza Hut Canada reaching 100,000 Facebook fans. Only 110 bottles were produced and given to the first fans to clamor for the scent.
We refuse to wear dough-scented parfum, unless it comes with everything except anchovies.
BetterInvesting is a national nonprofit organization that has been empowering individual investors since 1951. Founded in Detroit, the association (formerly known as National Association of Investors Corporation) was born out of the conviction that anyone can become a successful long-term investor by following commonsense investing practices. BetterInvesting has helped more than 5 million people become better, more informed investors by providing webinars, in-person events, easy-to-use online tools for analyzing stocks and mutual funds, a monthly magazine and a community of volunteers and like-minded investors. For more information about BetterInvesting, visit its website at http://www.betterinvesting.org/investing/landing/openhouse/blog/index.html or call toll free (877) 275-6242.
Want more BetterInvesting? Sign up for our free weekly investing newsletter at www.betterinvesting.org/weekly.