tag:blogger.com,1999:blog-9177745.post114390345857622531..comments2024-03-28T11:30:20.005-05:00Comments on El Salvador Perspectives: McDonald's in El SalvadorTimhttp://www.blogger.com/profile/02452039674856298357noreply@blogger.comBlogger7125tag:blogger.com,1999:blog-9177745.post-20714331308083615752007-07-03T13:16:00.000-05:002007-07-03T13:16:00.000-05:00Conquistador -- what's the source of your informat...Conquistador -- what's the source of your information that the award was overturned?Timhttps://www.blogger.com/profile/02452039674856298357noreply@blogger.comtag:blogger.com,1999:blog-9177745.post-19356772662248860032007-07-03T11:22:00.000-05:002007-07-03T11:22:00.000-05:00Bukele's victory has been overturned. He has now h...Bukele's victory has been overturned. He has now hire the Washington D.C. firm of Alston & Bird to represent him. The partner at Alston & Bird handling the case is former Sneator Bob Dole. When Dole ran for president, his campaign manager for the northeast was Charles Glazer - current US Ambassador to El Salvador. Dole, on behalf of Bukele, tries to lobby Glazer, apparently to no effect: the day after the phone call, Bukele published (CoLatino) a screed against Amb. Glazer for refusing to be pressured by his former boss. Good for Amb. Glazer. Incidentally, Bukele has also been convicted of embezzling millions in retirement funds from his ServiPronto employees.Anonymousnoreply@blogger.comtag:blogger.com,1999:blog-9177745.post-1144156473710882142006-04-04T08:14:00.000-05:002006-04-04T08:14:00.000-05:00These comments make me curious. Why did the court...These comments make me curious. Why did the court rule in favor of Bukele? It sounds like there was good cause for McDonald's to terminate the franchise contract.Timhttps://www.blogger.com/profile/02452039674856298357noreply@blogger.comtag:blogger.com,1999:blog-9177745.post-1144085600650304662006-04-03T12:33:00.000-05:002006-04-03T12:33:00.000-05:00Wendy's all the way...Wendy's all the way...Anonymousnoreply@blogger.comtag:blogger.com,1999:blog-9177745.post-1144084187353729812006-04-03T12:09:00.000-05:002006-04-03T12:09:00.000-05:00I have many Salvadoran friends and, coincidentally...I have many Salvadoran friends and, coincidentally, was in El Salvador when the court ruled in favor of Roberto Bukele.<BR/><BR/>My friends never had anything positive to say about McDonald's in El Salvador. This probably explains why they always displayed a preference for Burger King when I began to mingle with the Salvadoran community in Washington DC, early 2001.Anonymousnoreply@blogger.comtag:blogger.com,1999:blog-9177745.post-1144061897605947612006-04-03T05:58:00.000-05:002006-04-03T05:58:00.000-05:00yes, but on this count, as someone beenin El Salva...yes, but on this count, as someone beenin El Salvador since 1983, you are absolutely correct with all the facts stated<BR/>McServi is/was horrible<BR/>and it is always best to support the little guy anyway such as the corner hamburger stand or taco joint versus the 'big guys'<BR/>PeaceHodadhttps://www.blogger.com/profile/04993011326473703588noreply@blogger.comtag:blogger.com,1999:blog-9177745.post-1144038578791336652006-04-02T23:29:00.000-05:002006-04-02T23:29:00.000-05:00While I am not privy to any inside details, and th...While I am not privy to any inside details, and therefore cannot comment on the merits of either party's arguments, there are three things I can say about this:<BR/><BR/>a) The quality of the food, packaging, and buildings in 92-96, when I would try Bukele's McD's about once a year just to see if he had miraculously improved, was... despicable. I mean, bad. Worse than the worst you ever saw. Once a year, I went back to Servipronto, to see if the threat of lawsuit would make Bukele react... nothing. I can confirm that the guy was ruining the brand at at time we were getting flooded with Wendy's and Pizza Hut and a fast-growing Biggest.<BR/><BR/>b) Bukele was famous (deservedly or undeserverdly, I don't know) for paying bad. I do know about managers leaving at the drop of hat during that period, to pursue other opportunities... any opportunities.<BR/><BR/>c) The other key insight is that El Salvador's courts are ruinous. They haven't been able to sort out a measly franchise breach in 12 years! This is a major reason for any investor to give a pass to El Salvador (and much of Latin America, for that matter), and put their money elsewhere. My advice to any investors: do your contracts under Delaware, NY, London, or Fla. law, or go for binding arbitration. For all practical purposes, the local Court may as well be inexistent.<BR/><BR/>BTW, the paragraph above describes why many costs of doing business in ES are so high. Since you can never get recourse through the Courts, you have to get everything pre-paid or covered by a Letter of Credit in your favor. When fully-collateralized deals are not possible, you have to have a large operational margin to simply write-off any non-performing contracts. Shame.<BR/><BR/>(El-Visitador will now duck while he awaits the sure-fire Bukele defamation suit).El-Visitadorhttps://www.blogger.com/profile/08823897085882597971noreply@blogger.com