Core Viewpoint - Burger King's operations in China are facing significant challenges, leading to the closure of underperforming stores and a growing number of franchisee complaints regarding operational issues and financial losses [1][12][41]. Group 1: Franchisee Experiences - Franchisees like Hui Fang invested over 3 million yuan to open Burger King stores, only to face operational difficulties and poor product quality, leading to financial ruin [6][11][22]. - Many franchisees reported receiving spoiled ingredients and inadequate support from the headquarters, resulting in a breakdown of the franchisee-headquarters relationship [7][20][37]. - The franchise model, which promised a return on investment within 3-4 years, has proven to be misleading, with many franchisees now seeking legal recourse against the company [12][23][50]. Group 2: Market Position and Expansion - Burger King has struggled to establish a strong market presence in China, with only 1,474 stores by the end of 2024, compared to McDonald's 6,820 stores [27][41]. - The rapid expansion from 52 stores in 2012 to over 1,000 by 2018 was not matched by adequate support for franchisees, leading to operational challenges and store closures [35][39]. - The company's financial reports indicate a decline in new store openings, with 2024 seeing a net decrease of 113 stores, highlighting the ongoing struggles in the Chinese market [41][42]. Group 3: Operational Challenges - The franchise model employed by Burger King has been criticized for its high operational costs and lack of support for franchisees, with an 11% revenue share taken by the headquarters [22][37]. - The company's failure to adapt its menu and marketing strategies to local tastes has contributed to its struggles in the competitive fast-food landscape in China [46][47]. - The recent decision by Burger King's parent company to terminate its partnership with the Turkish TFI Group and take direct control of operations indicates a shift in strategy aimed at addressing these challenges [49][50].