In Italy The Rise And Fall Of Dominos: A Tale Of Ambition And Struggle

The Italian Dominos Pizza business has shut its doors after suffering several difficulties and eventually failing to win over the Italian market. Due to the liquidation proceedings involving the franchise partner ePizza, creditors may only be able to collect 5% of their liability.

The last of the franchise’s 29 locations were closed last summer. The company had taken out large loans to finance its audacious aspirations to establish 880 outlets throughout Italy. The American fast food giant struggled to establish a presence in the intensely competitive Italian pizza sector despite efforts to conform to Italian tastes.

Dominos brand has had great success in other regions of Europe and the rest of the world, so its decision to leave the Italian market is a major setback. Nonetheless, the business is still dedicated to looking for growth prospects in other areas, and over the next several years, it intends to establish hundreds of additional stores there.

One of the most known fast-food companies globally, Dominos is present in over 90 countries. Millions of people all around the world still enjoy the company’s pizzas, sides, and desserts, which have assimilated into the contemporary fast-food culture.

The difficulties the Italian franchise encountered should serve as a warning to other businesses considering international expansion. Success for a brand in one area does not necessarily translate to success in another. Each new market a company enters requires careful consideration of its specific cultural and market characteristics.

The Rise And Fall Of Dominos Pizza In Italy

The difficulties faced by Dominos in Italy may also be indicative of a wider pattern whereby Italian customers favor authentic, regional pizza alternatives over American-style fast food businesses. This is not the first time a foreign fast-food business has had trouble in Italy; McDonald’s also encountered serious difficulties there and had to close a number of its locations.

The Dominos franchise in Italy failed, which serves as another reminder of the dangers of using excessive borrowing to finance business development. Franchise owners must carefully consider the possible returns on their investments and make sure they are not taking on too much debt.

Businesses aiming to go worldwide might learn a lot from the collapse of the Dominos franchise in Italy. It is essential to thoroughly evaluate the distinctive cultural and market variables of each location before entering since success in one place does not ensure success in another. In addition, franchise partners need to be aware of the dangers of taking on excessive debt to finance growth strategies.

One of the most popular fast-food chains worldwide is Domino’s. Domino’s dedication to innovation is one of the main elements that has aided in its success. From its early acceptance of online ordering to its most recent testing with drone delivery, the corporation has always been eager to adopt new technology and business processes.


What happened to Dominos in Italy?

The Italian Domino’s chain “sought protection from creditors” earlier this year “after running out of cash and falling behind on its financial payments,” according to Bloomberg on Tuesday and court records. According to Bloomberg, the business had 10.6 million euros ($10.8 million).

Also Read: For Your Business Needs The Right Point Of Sale Software

Divya Rajput

As I am a Quick learner, enthusiastic and self-driven professional working in the Content and PR domain of personal finance field. Ability to work in competitive environment, good research and time management skills, solution oriented methods.

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