NEW YORK—Subway reached an agreement with a master franchisee to open nearly 4,000 new sandwich shops across mainland China over the next 20 years, it said on Tuesday.
International expansion is a key growth strategy for the privately owned U.S.-based chain, which is in the midst of a turnaround plan that also relies on remodeled restaurants, updated menus, and a splashy marketing campaign.
While it seeks to expand overseas, the company has been closing thousands of U.S. locations amid a host of problems, including over-expansion and discounts that eroded franchisees’ profits.
Even so, Subway’s global comparable sales rose 12.1 percent in the first quarter….