Japanese food service giant Colowide Co. has unveiled plans to establish a significant presence in the Middle East, aiming to operate 55 restaurants by March 2030. This ambitious strategy kicks off with the opening of its renowned Gyu-Kaku Japanese barbecue chain in Dubai. This move is part of a broader $4.1 million joint venture with a key subsidiary of the United Arab Emirates’ Chinese Palace Group, showcasing Colowide’s commitment to international growth.
The venture, which sees Colowide taking a 60% stake through its subsidiary Reins International, signifies a strategic push into the UAE, starting with Dubai. Colowide is not just stopping at barbecue; it plans to diversify its offerings to include sushi and other cuisines, tailoring its business model to meet local demands and preferences. This strategy includes considering franchising opportunities and developing new business models adapted to the local market.
Partnering with Chinese Palace Group, which operates around 50 Chinese and Japanese restaurants in the region, Colowide aims to leverage the group’s regional expertise to expedite its expansion. The collaboration is set against a backdrop of a recovering global restaurant demand post-COVID-19, with the Middle East identified as a market ripe with potential due to its large working-age population.
With around 400 locations already abroad, including in North America and various Asian markets, Colowide is no stranger to international operations. The company’s vision extends beyond immediate expansion, aiming to quintuple its overseas restaurant business revenue by March 2030. This move into the Middle East represents a strategic endeavor to tap into new markets, reflecting a broader trend of Japanese companies seeking growth beyond their domestic borders.
