From cooking in a trailer to running 2,300 restaurants across the world, Andrew and Peggy Cherng are the billionaires you've never heard of.
This is the story of how two college sweethearts built Panda Express 🧵
This is the story of how two college sweethearts built Panda Express 🧵
Born in 1948, the son of a chef, Andrew Cherng immigrated from China to the U.S. in 1966.
Earning a master's degree in applied mathematics from the University of Missouri, Cherng was highly accomplished at 24 y/o.
But his greatest accomplishment from school?
Earning a master's degree in applied mathematics from the University of Missouri, Cherng was highly accomplished at 24 y/o.
But his greatest accomplishment from school?
Meeting his future wife, Peggy.
A classic college sweetheart love story.
In 1972, the happy couple moved to LA so Andrew could help his cousin run a Chinese restaurant called Ting Ho.
After becoming the right hand man for his cousin, Andrew decided to step away.
A classic college sweetheart love story.
In 1972, the happy couple moved to LA so Andrew could help his cousin run a Chinese restaurant called Ting Ho.
After becoming the right hand man for his cousin, Andrew decided to step away.
And that's when he stumbled upon an old coffee house for sale.
With the help of his father, Andrew secured $60K in SBA loans to buy the coffee house and start his own restaurant.
And Andrew, Peggy, and Ming-Tsai (Andrew's father) opened Panda Inn.
With the help of his father, Andrew secured $60K in SBA loans to buy the coffee house and start his own restaurant.
And Andrew, Peggy, and Ming-Tsai (Andrew's father) opened Panda Inn.
An upscale Chinese restaurant with one catch.
The chef, Ming-Tsai, was cooking from a trailer behind the restaurant.
But quickly Panda Inn drew crowds and tables filled up.
However, Andrew hated the idea of turning away customers because tables were full.
The chef, Ming-Tsai, was cooking from a trailer behind the restaurant.
But quickly Panda Inn drew crowds and tables filled up.
However, Andrew hated the idea of turning away customers because tables were full.
So you could often find Andrew in the parking lot apologizing for the crowd and offering a free drink for those who waited.
It was this type of customer intimacy that helped Panda Inn flourish.
The Cherng's operated Panda Inn for 9 years and then tragedy struck.
It was this type of customer intimacy that helped Panda Inn flourish.
The Cherng's operated Panda Inn for 9 years and then tragedy struck.
Andrew's father, Ming-Tsai died in 1982.
The Cherngs were devastated.
They lost their role model and one of the most vital members of the Panda team.
This forced their hand. Peggy had to quit her full time job in software and join the Panda team.
The Cherngs were devastated.
They lost their role model and one of the most vital members of the Panda team.
This forced their hand. Peggy had to quit her full time job in software and join the Panda team.
With the opening of a second Panda Inn, Peggy was proving to be a HUGE asset.
An M.S. in computer science and a Ph.D. in electrical engineering, Peggy was the leading force behind putting computers to process orders in their restaurants.
An M.S. in computer science and a Ph.D. in electrical engineering, Peggy was the leading force behind putting computers to process orders in their restaurants.
What is normal now, was a rarity back in the 80's.
Peggy was able to use her skills to optimize company operations and logistics like tracking inventory.
Now with 2 restaurants, the Cherngs were looking to expand.
That's when the developers of Glendale Galleria came knocking.
Peggy was able to use her skills to optimize company operations and logistics like tracking inventory.
Now with 2 restaurants, the Cherngs were looking to expand.
That's when the developers of Glendale Galleria came knocking.
One of the developers had eaten at Panda Inn and fell in love with the authentic Chinese cuisine.
They encouraged the Cherngs to open up an "express" restaurant in the food court of the new mall.
A new venture that the couple took head on.
They encouraged the Cherngs to open up an "express" restaurant in the food court of the new mall.
A new venture that the couple took head on.
The newly-added "Panda Express" business grew at full tilt.
By 1985, the Panda Restaurant Group had opened 9 stores.
And in 2023 there are over 2,300 Panda Express locations across the globe.
But with extreme growth comes extreme competition.
By 1985, the Panda Restaurant Group had opened 9 stores.
And in 2023 there are over 2,300 Panda Express locations across the globe.
But with extreme growth comes extreme competition.
Japanese food entrenched itself within the American palate.
In 2020, the Japanese food market reached $22.1B, posing a threat to the Cherng's cuisine empire.
To counteract this, they started their own Japanese chain, Hibachi-San, to put in food courts with Panda Express.
In 2020, the Japanese food market reached $22.1B, posing a threat to the Cherng's cuisine empire.
To counteract this, they started their own Japanese chain, Hibachi-San, to put in food courts with Panda Express.
With 10 locations across the U.S., the Cherngs have their feet entrenched in both markets.
Now each 74 years old, Andrew and Peggy still own and operate the Panda Restaurant Group and have amassed a net worth of $2.7B.
And it all started in a trailer.
Now each 74 years old, Andrew and Peggy still own and operate the Panda Restaurant Group and have amassed a net worth of $2.7B.
And it all started in a trailer.
If you enjoyed this thread, follow @TGorny for other business stories.
Here is another you might like:
Here is another you might like:
https://twitter.com/TGorny/status/1625528244656123907
If you enjoyed this thread, follow @TGorny for other business stories.
Here is another you might like:
Here is another you might like:
https://twitter.com/tgorny/status/1625528244656123907
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