Goobne Chicken signs franchise contract with Texas-based company

Goobne Chicken, an oven-baked chicken brand operated by GN Food Corporation of South Korea, announced on Thursday that it had signed a master franchise agreement with Texas-based company Dream Associates, Inc. on March 14 to expand its stores in the United States. Currently, Goobne Chicken has already opened two US locations in Torrance, Los Angeles County and Fullerton, Orange County.

A master franchise agreement is a method for a franchisor to receive brand royalties and fees, and to provide technology and brand usage rights to local companies, rather than directly expanding overseas.

Dream Associates will establish Goobne Chicken US corporation through this agreement to operate the franchise business in Texas, and Goobne will receive monthly royalties from the corporation during the contract period.

Dream Associates has multiple bakeries, Japanese restaurants, and other businesses in Texas, and is expected to help Goobne with its stable overseas expansion based on its understanding of the local market. Both companies aim to open additional stores in major Texas cities, including Dallas, Houston, Austin and San Antonio, as well as smaller nearby cities to attract local consumers.

Texas has a relatively high immigrant population and diverse food culture, and the demand for Korean food, known for its healthy reputation, is high along with the Korean wave. Goobne has already introduced "oven-baked chicken" that is not fried in oil and has received good reviews from health-conscious consumers in the domestic market, so it is expected to be popular in Texas as well.

"Over the past 18 years, we have introduced various oven-cooked dishes through 1,125 domestic stores and firmly established ourselves as oven-cooking masters among consumers. Now, we will make efforts to promote the excellence of K-chicken beyond Korea, starting with the North American market," said Jeong Tae-yong, the CEO of GN Food.

Write to Kyeong-je Han at hankyung@hankyung.com