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McDonald's Allows Franchising in Shanghai and Shenzhen

Franchising will be allowed in China's two richest cities

SHENZHEN - Starting in 2014, McDonald's Corp has allowed franchising in China's two richest cities: Shanghai and Shenzhen.

The franchising officially began in both Shanghai and Shenzhen on December 10, 2013. Some insiders suspect that the financial hit taken by franchises such as KFC due to the bird flu outbreak last year may be the reason McDonald's has taken a more aggressive approach to its marketing in China.

Apparently, McDonald's first allowed franchising in 2010. The franchise-acceptable provinces at that time were Jiangsu, Fujian, Sichuan and a portion of Guangdong.

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