“Create a shameless company”… Baek Jong-won refutes controversial article point by point [Current News]

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, ‘Baek Jong-won, the CEO of Deobon Korea, who is in conflict with some franchisees, directly refuted a report containing related content.’,
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, ‘In a video released on his YouTube channel yesterday (22nd), Baek focused on explaining the significant discrepancy in sales between franchisees and the headquarters, as well as the short lifespan of franchisees.’,
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, ‘Regarding the claim that last year’s average sales of franchise stores decreased to less than half of that in 2010 while headquarters sales increased by 9 times, he explained, “Changes due to the average reduction in store size.”‘,
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, ‘According to the data presented in the video by Baek, the average store size decreased from 50 pyeong in 2015 to 23 pyeong in 2023, more than half.’,
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, ‘The explanation is that with the increase in small-sized stores, the average sales per store naturally decreased.’,
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, ‘[Audio] Baek Jong-won/Deobon Korea CEO’,
, ‘”You can check the sales per pyeong. In 2010, the average sales per pyeong was 17.82 million won, and in 2023, it increased to 23.5 million won. However, the article claimed that the sales per store were halved.”‘,
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, ‘Regarding the fact that the increase in headquarters sales is “considerably higher than franchisees, with franchise numbers increasing by 11 times but sales only increasing by 9 times,” he added, “The operating profit margin was not high last year at 6.2%.”‘,
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, ‘[Audio] Baek Jong-won/Deobon Korea CEO’,
, ‘”How can they say that franchise store sales have halved and the headquarters have increased by 9 times, creating such a ridiculous company? If you compare similar brands like us, you will see that the operating profit margin is tremendously higher.”‘,
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, ‘He claimed that the average survival period of brand franchise stores is 3.1 years is factually incorrect.’,
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, “He explained that it was a mistake to express the ‘operating period’ calculated from the opening date to the reporting date as the ‘survival period’ calculated until the closure date.”,
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, ‘[Audio] Baek Jong-won/Deobon Korea CEO’,
, ‘”Since 2010, most rapidly expanding stores are small brands that have been in business for less than 5 years, so it’s natural that their operating period is short.”‘,
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, ‘Finally, Baek said, “I am sorry for the unintended damage to the franchisees” and explained the background for personally refuting the allegations by saying, “The lifeline of over 2,700 store owners is at stake.”‘,
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, ‘This is KBS News, Choi Jun-hyuk.’,
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