this post was submitted on 04 Aug 2023
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Target's failed expansion into Canada. It's taught as a case study on what not to do in business schools now.
Wendy's tried to get into the Netherlands, but couldn't, because there was already a snackbar (think small fastfood place but greasier) that was registered under the name "Wendy's" at the chamber of commerce. This spawned a lawsuit. You had Wendy's, a local snackbar who claimed rights to the name because they were already established, and Wendy's, a franchise coming from America. They claimed right to the name because they were a franchise, and not just a single fastfood joint.
To solve this issue, the local snackbar opened up a second location, making local Wendy's a franchise, and winning them the lawsuit