It has been confirmed that some franchise brands operated by TheBorn Korea, led by Baek Jong Won, are effectively entering the phase of closing down.
According to the food service industry, on April 22, three franchise brands under TheBorn Korea—Gosok Udon, Quickban, and Baekcheolpan 0410—currently have zero locations nationwide.
In the case of Nakwon Gopchang, only one directly operated store remains. Although it is registered in the franchise information disclosure documents, there has been no expansion of franchised stores. Brands without any store locations are effectively considered to have withdrawn from business.
Additionally, some brands like Go to Wok and Seongseong Sikdang are barely maintaining their existence, with fewer than one location across the country and no directly operated stores, raising questions about the brands' sustainability.
Directly operated stores serve as the basic infrastructure for franchise operations, which are essential for brand standardization, training, and testing new products. However, TheBorn Korea appears to be struggling to maintain even headquarters-level operations. Legal risks that have recently surfaced are compounding the situation, and there are signs of franchisee withdrawals even among the company’s major brands.
Although TheBorn Korea has not officially announced a complete withdrawal of these brands, they are effectively in a state of suspension.
While TheBorn Korea owns a total of 25 brands, more than half (16 brands as of last year) have seen a decline in store numbers. Except for key brands like Paik’s Coffee, Hong Kong Banjeom, and Yeokjeon Udon, overall growth is slowing down.
An industry insider commented, “There have long been concerns that TheBorn Korea operates too many brands, but it managed to endure thanks to CEO Baek Jong Won’s recognition and credibility. However, recent owner-related risks have led to a simultaneous decline in brand trust and franchisee retention.”
They added, “Trust is the core of the franchise business, and under the current circumstances, it seems difficult for underperforming brands to make a comeback.”
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