Now that Burger King has agreed to sell itself to 3G Capital for $3.3 billion, retail industry insiders are collectively scratching their heads as to what might have prompted the Brazilian-backed player to bet its money on such a challenging acquisition. Yesterday, Fortune published a story outlining everything that had gone wrong for the chain in the past couple of years and trying to gauge how difficult it might be for 3G Capital to fix it. Today, Bloomberg Business Week has taken a closer look at what 3G's strategy might be in the coming months. One thing seems certain: it won't be an easy turnaround.
(Meanwhile, Burger King shareholders seem blissfully unaware of how the chain is perceived in the business world and have started a lawsuit against it for accepting a low ball offer).
Let us know what you think. Is Burger King doomed to forever be second best? What do you think 3G Capital will do when it takes over operations? Will Burger King be around in 10 year's time or will it be run into the ground by private equity's cost-cutting measures?