Shake Shack’s Unusual International Business Strategy

Compared to most rival international franchise chains, the relatively young Shake Shack is tiny-- operating only 235 restaurants all together. What the company lacks in size, it makes up for in a uniquely large global footprint, which now spreads across stores in 16 countries.

According to an article on CNN Business, Michael Kark, Shake Shack’s chief global licensing officer, said that while most American companies expand regionally before going international, Shake Shack “did it from the exact opposite perspective.”

“International expansion helps Shake Shack punch above its weight and connect with consumers worldwide,” the article continued. “But it also poses certain challenges, as the company must navigate supply chains in several markets and make sure several partners replicate the Shake Shack experience.”

The company tries to partner with the right international operators to ensure that Shake Shack remains attractive to international consumers. While the company prefers to use American ingredients even in its global locations, the chain often adds a local twist to its core menu.

Tara Comonte, Shake Shack CFO, explained that international expansion is "a great part of our business, and we're really excited and bullish about it."

To read the full article, click here.