Krispy Kreme Doughnuts Inc. recently announced that it has entered into a development agreement with its Japanese franchisee, Krispy Kreme Doughnut Japan Co. Ltd., for expanding in Japan. Per the deal, franchisee will develop and operate 73 new restaurants in the Kanto, Kansai and Chubu regions of Japan in the coming five years. The terms of the deal were not yet disclosed.
The latest deal will strengthen the company’s longstanding relationship with its franchisee partner, started long back in 2006. The deal affirms management’s intent to make Japan one of the prime markets for international expansion, considering its stepped-up economy and status of being the second largest quick-service restaurant market in the world. The company seeks to capitalize the country’s potential in full.
Krispy Kreme plans to open 30 international franchise stores, 5 to 10 company stores, and 5 to 15 domestic franchise stores in 2012.