2. INTRODUCTION
3rd largest Burger chain in the world.
Founder : Dave Thomas on 15th, Nov.1969 in
Columbus, u.s.
Headquarters : Dublin, Ohio
Locations : Approximately 6,650 locations in 30
Countries.
Parent Company : Wendy’s International
Number of Employees : Around 46000
7. PEST ANALYSIS ( SAUDI ARABIA )
Political Environment :- The Kingdom of Saudi
Arabia is a monarch ruled by King Abdullah. The
country is governed by Islamic laws. The country is
politically stable and undergoing political reforms
though in a slower pace.
Economical Environment :- Saudi Arabia's
economy beheld good growth and is expected to
reach US $754.7 billion by 2017. The country's
economy is termed as high income and is the largest
one in Middle East. Saudi Arabia has an edge with its
strong economical strength and weak opposition
pattern. Another major issue of the country is an
unbalanced relationship between the public and the
private sectors presiding together.
8. CONT.
Social Environment :- The Al Saud family also
affirmed that they are committed to
supporting the economic growth and be part
of the developed nations. On the other hand,
this political situation affects the restaurant
industry positively because the restaurant
industry remains the major uncontested
method of entertainment among Saudis.
Particularly, by law, all restaurants are
required to have single-males section
separated from the family section to adhere
to the tradition and religious requirements.
9. CONT.
Technological Environment :- Currently,
Saudi Arabia is becoming a technological
focused. The spending on connectivity and
human resources have been increased. With
the growing private sector, systems with
advanced and innovative technologies are
being installed. Efforts are also being made to
make IT an integral part of the Saudi Arabian
educational system.
10. PEST ANALYSIS ( KUWAIT)
Political Environment :- Kuwait is a
constitutional monarchy with a parliamentary
system of government. Kuwait City serves as the
country's political and economic capital. Kuwait is
often described as the most liberal country in the
region. The country has the world's fifth largest
oil reserves. Kuwait is the eighth richest country
in the world per-capita.
Economical Environment :-Kuwait's economy is
likely to grow at a much faster rate than the
global GDP over the next five years and reach an
estimated $201.3 billion at the current price by
2018. Oil and natural gas is the leading industry in
Kuwait and contributes approximately 59% to the
total GDP of the country.
11. CONT.
Social Environment :- Kuwait has a drastic
social structure based on wealth and heredity.
On the top of the social scale there is the
ruling family Al Sabah. The sharp contrast of
the classes can be easily exposed from
comparison of wealthy native Kuwaiti and
extraordinary poor immigrants with limited
rights. Moreover, social mobility is much
inactive because of the cultural heritage,
clannishness, and government initiatives.
12. CONT.
Technological Environment :- Kuwait almost
doesn’t produce any high-technological solutions
and there are no renewable energy sources in use
currently, although some movements towards
high technology development are seen, but in
terms of education and scientific literacy.
Kuwait is directing its attention towards
Inclusive Education, which provides opportunity
to all children, irrespective of their social class,
including children with special needs. Kuwait has
one of the largest shipping industries in the
Persian Gulf region. The Kuwait Ports Public
Authority manages and operates ports across
Kuwait.
13. SWOT ANALYSIS OF WENDY’S
Strengths:-
More than 40 years of experience in the fast
food industry.
Global presence with restaurants in around 30
countries.
Third largest burger chain with around 6650
locations.
Employee strength of 46000
Globally recognized brand
Strong supply chain network
Popular for its taste and use of fresh beef
instead of frozen
14. SWOT ANALYSIS
Weaknesses
Fast food perceived as unhealthy
Operation of franchisees is difficult to
manage
Less number of locations as compared to its
competitors globally ( Approx. 6650 Outlets)
( Mc Donald's has more than 35000 Outlets)
( Burger King has more than 13000 Outlets)
15. SWOT ANALYSIS
Opportunities:-
Global expansion
Introduce the breakfast menu in all locations after
revising the menu
Acquisition of smaller restaurants
Threats
Tough competition from McDonalds and Burger king .
Increase in price of raw materials.
People are getting conscious about their health and
avoiding unhealthy fast food
Diseases like obesity resulting from fast food
consumption
16. CONCLUSION
Maximum percentages of ownership in the
share capital of a corporate franchisee by GCC
nationals and foreigners in each country
% of GCC Ownership of Franchisee
Saudi :- 75%
Kuwait :- 100%
% of Foreign Ownership of Franchisee
Saudi :- 75%
Kuwait :- 49%
17. CONCLUSION
So,
All the Given Facts and PEST Analysis ( which
shows that the Govt. of this Country is Stable,
People are Comparatively Open Minded to Accept
and Try New Things ).
Shows That Saudi Arabia is
Better Place for any of the Franchisee to Set up
Their Business and Expect Good Profit as well.
18. REFERENCES
Research and Market Pestle (2012-2017), Business
wire, Feb.14, 2013.
Wendy’s official Report, retrieved from,
https://www.wendys.com/en-us/about-
wendys/restaurants-around-the-world
GGC Pest Analysis, CIA, World Fact Book, Nov.14
Economic Figures, IMF, World Economic Outlook,
Apr.14
Wikipedia Report, retrieved from,
https://en.wikipedia.org/wiki/Wendy%27s
