Good morning. Chickenjoy—its crispy, juicy fried chicken—and Jolly Spaghetti are signature menu items at Jollibee, a Filipino fast-food chain that is building a growing fan base in the U.S. Now, the company is setting its sights on Wall Street. The Philippines-based Jollibee Foods Corporation (JFC), the restaurant’s parent company, disclosed earlier this month that it plans to spin off its international operations and pursue a U.S. initial public offering for that business. The contemplated spin-off and l ...

Company Overview - Larry Culp has successfully transformed General Electric (GE) by splitting it into three public companies: GE HealthCare Technologies, GE Vernova, and GE Aerospace [1] - GE HealthCare went public on January 4, 2023, and its stock has increased by almost 50% since then [1] - GE Vernova has seen a remarkable 400% increase since its debut in April 2024, largely driven by AI-related electricity demand, while GE Aerospace has more than doubled in value [1] Leadership and Strategy - Peter J. Arduini, CEO of GE HealthCare, is focusing on reviving the company's legacy by enhancing leadership development and product production processes [3] - Arduini emphasizes the importance of reducing "noise" in decision-making, which can be more challenging in larger organizations [3] - The revival of performance reviews and leadership development initiatives is part of Arduini's strategy to restore the effective management practices that characterized GE in its earlier years [3] Historical Context - GE was once a highly revered company, with a market cap of around $600 billion at its peak in 2000, equivalent to over $1 trillion today [2] - The company faced significant challenges over the years, including the dot-com crash, 9/11, the Enron scandal, and the 2008 financial crisis, which led to its decline and eventual breakup [2]

Expansion Strategy - Jollibee aims to triple its North American presence to 350 stores, directly competing with KFC, Chick-fil-A, and Popeye's [1] - The company is targeting the broader American market beyond the Filipino diaspora [1] Market Trends - American consumers are increasingly open to diverse flavors, including Korean barbecue, Thai curry, and ube [2] - Rising beef prices are driving burger chains to add more poultry options to their menus [2] Competitive Advantages - Jollibee's fried chicken has been rated the best in America for two years [2] - Jollibee stores average $4.2 million in annual sales, double the industry norm [3] Potential Challenges - With only 350 stores, Jollibee risks being dwarfed by rivals with thousands of locations [3] - Dishes like banana ketchup spaghetti may be harder to sell as a drive-through staple [3] Product & Marketing Strategy - Jollibee is betting that familiar formats with Filipino twists, such as fried chicken and pineapple-topped burgers, can succeed in the US market [4]