Potato Corner launches probe into location poaching issue

Potato Corner on Wednesday said it has launched an internal investigation into allegations that it has been setting up company-owned outlets in locations earlier identified by franchisees or mall operators.

In a statement on its Facebook page, the company expressed hope that the inquiry it launched would allow it “to address these concerns properly.”

“We do not take actions that intentionally disadvantage the very entrepreneurs who help grow our brand,” Potato Corner said.

The popular fried potato snack chain has been at the center of online discussions alleging that it had been installing company-owned branches or kiosks at locations proposed by franchise applicants for which they supposedly submitted feasibility studies.

Potato Corner has also supposedly been taking over branches in malls after declining to renew franchise agreements.

The company said it was listening to public sentiments.

“Recently, concerns have been raised about how our franchise locations are selected. We hear you. Thank you for bringing this to our attention,” Potato Corner said.

The company, however, denied that it had been taking advantage of its franchisees, saying such alleged practices "do not align with our values, standards, and policies."

“At PotCor, our franchisees are our partners, and our growth has always been built on shared success,” it added.

Potato Corner said it has reached out privately to the individuals who raised the issue “to gain a better understanding of their concerns, verify the details, and act on the claims.”

“While we have not received any response, our lines remain open should they wish to engage,” the company said.

It gave assurance to its franchise community that preventive controls and measures are in place "to ensure effective and appropriate site selection for our valued franchisees." 

"We remain committed to fair, respectful, and responsible practices, ensuring win-win outcomes across the Potato Corner community,” it added.—MCG, GMA Integrated News