An American-based restaurant company, Chipotle Mexican Grill, has announced its plan to open its first branch in Asia next year, starting with South Korea through a joint venture with one of the nation’s restaurant operators, SPC Group, before moving to Singapore.
The company operated more than 3,800 branches worldwide, but 98% of which is located in the U.S. As for the international branch, most of them are located in Canada and Europe. Still, the company has been planning to access other markets in recent years as well.
Back in July 2023, Chipotle cooperated with Kuwait-based operator, Alshaya Group, to open its branches in the Middle East region. So far, there are three of its restaurants in Kuwait and three more in the United Arab Emirates.
Earlier this year, the restaurant company made another agreement, but with Latin American operator, Alsea. As a result, it was able to access the Mexican market as its first restaurant in the country is expected to open next year.
Nonetheless, its performance is not doing well as its stock has fallen 35% this year. Investors are concerned over the company’s same-store sales, which has been declining for two consecutive quarters, and the strength of the U.S. consumer spending.
