This post is a response to Ivy Luo’s post concerning the collaboration of the two extremely successful North American franchises. I thoroughly agree with Ivy’s view on seeing the alliance as an opportunity for Tim Hortons to in make their reputation known in America, and to establish franchises internationally. However, I do feel this will stir up quite a bit of controversy in Canada as well, since some Canadians will tend to view this collaboration as a loss of Canadian identity for Tim Hortons.
Taking account of Tim Horton’s previous relationship with Wendy’s and the increasing “Americanization” of companies worldwide, Canada may see this development as the corporation’s permanent migration into the American market. On a separate note, as well increasing share values and possibly strengthening their identity in the Canadian market, Burger King also may have ulterior objectives with this collaboration. Along with increased revenue and profit, this article states that a Burger King executive will be become the CEO of the new company. From Canada’s viewpoint, his could be interpreted as a virtual “takeover” of Tim Hortons.
Tim Horton’s is essentially one of the main “faces” of Canada’s food industry. This union may appear to be an excellent opportunity to gain popularity and develop the industry worldwide, however Tim Hortons must also consider the drawbacks and loss of national support due to this partnership.