Korean fried chicken franchise Genesis BBQ has caved to the Korea Fair Trade Commission (KFTC) and pledged to publicize its profit margins and treat its franchisees better.
Specifically, BBQ said on Thursday that it would cut the number of items that its franchise stores are required to purchase from the company headquarters. Additionally, the company will set up an ad-hoc committee to reflect the opinions of franchisees in managerial decisions.
The KFTC has put pressure on the company in recent months to change its controversial practices, namely the main source of the company’s profits. BBQ makes most of its money by charging higher than market prices for most of the items that the franchisees are required to buy directly from the company.
Full Content: The Korea Times
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