Does Cheesecake Factory support Israel? Key insights

Editorial Team
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There is often the need to take a critical study of business activity, alliance, corporate rhetoric, and leverage to understand the stance of multinational corporations on sensitive geopolitical matters. The case of The Cheesecake Factory—a popular American company known for its cheesecakes and extensive menu—may be interesting when examining its activities in Israel. In November 2017, the Cheesecake Factory was already noticeable in Israel, in terms of its business presence. When it first moved to the Israeli market, it established a small shop of 20 square meters at Sharonim Mall in Hod Hasharon. 

They have since expanded to a few locations, including major shopping malls in Tel Aviv such as Sarona Market, Dizengoff Center, and TLV Fashion Mall. The attention these restaurants in Israel give to the sale of cheesecakes, whole cakes, or slices takes precedence over the entire menu items as those found in the full-service restaurants in the United States. Local clients seeking an American confectionary journey will be hooked by the prices, which range between approximately 30 shekels per slice and 220 shekels for extra-large cakes. These elements demonstrate a well-defined company plan: By operating in major cities where there is a growing demand for well-known American brands, the Cheesecake Factory is actively investing in and profiting from the Israeli consumer market.

Licensing and international expansion strategy

The Cheesecake Factory uses a combination of corporate ownership in the United States and international license agreements to run its business. The business uses licensing agreements with regional partners in charge of local operations for its Middle East operations, which include the Gulf nations and Israel. For example, the expansion into Kuwait, Saudi Arabia, UAE, Qatar, and Bahrain is managed by the Kuwaiti company M.H. Alshaya Co., which manages more than 70 brands in 19 countries.

Although the Israeli licensing structure is not specifically described on the company’s website, it is consistent that local licensees, rather than direct corporate management, are usually in charge of outside markets. Under this model, daily operations are run locally while adhering to corporate quality standards, even though The Cheesecake Factory brand is present in Israel.

Political positioning and corporate statements

The publicly available sources and official company messages did not reveal any statement made explicitly and directly by the CEO and the board of The Cheesecake Factory regarding their stance on Israel and the Israeli-Palestinian conflict. They avoid entering the political arena or maintaining affiliations or endorsements, but valuable corporate information, about-us pages, etc., emphasize the quality of food and their origin, charitable donations to such organizations as the Oscar and Evelyn Overton Charitable Foundation, and foreign expansion plans. In comparison with some companies that publicly support causes or give up relationships to take a stand on politics, Cheesecake Factory appears to adopt a neutral official stance, at least regarding the importance of its brand and product and not its geopolitical association.

Cultural and community involvement in Israel

The Cheesecake Factory is basically a business operation; however, its operations in Israel also fit in with holiday and cultural events in the area. The interesting point here is that the Israeli importers and managers attempt to make their products and services familiar to the Jewish holidays like Shavuot, and this holiday has its specific connections with dairy foods, including cheesecake. The efforts of certifying cheesecake ingredients as kosher are in order to be mindful of the local religion-related food laws, a way of encouraging the acceptability of a particular food item in Israeli society. By catering to local market preferences, the chain establishes a rapport with Israeli customers without necessarily taking a political stand. This demonstrates a sincere commercial commitment.

Assessing support: business vs. political support

1. Business support

The Cheesecake’s participation in the market and its commercial nature can make it clear that it is compatible with Israel. However, the business has since (2017) established itself in Israel with several cheesecake stalls and mall stores, but mainly around the Tel Aviv region. The set of the brand cheesecakes will be offered in these spots, such as original American and adaptations to the preferences of the people of a specific geographical location, such as kosher certification programs that adhere to Jewish dietary laws. Similar to multinational companies entering new markets with the usage of licensing and local cooperation, this expansion implies an intelligent commercial decision to spread recognition of the brand name and exploit the demand in Israel.

This growth of the Cheesecake Factory in Israel follows the trend in other larger countries where the company has licensed its name to individual operators in the geographies who, in turn, operate the restaurants under a locally adapted version of the corporate brand standards. With a focus on product distribution and franchising rather than direct managerial supervision, the company’s presence in Israel is commercial.

2. Political support

There is no proof that The Cheesecake Factory publicly supports Israel’s policies, government, or Israeli-Palestinian conflict in any way or expresses any political opinions. Without getting into politics, the company’s official marketing and business materials concentrate on restaurant expansion, food quality, and general corporate social responsibility. There hasn’t been any notable advocacy, philanthropic endeavor, or public campaign that is solely related to Israel or the region. Although the existence of Cheesecake Factory restaurants in Israel may be interpreted by certain customers as an implicit show of political support, the corporation has made no public remarks or taken any action to promote this interpretation. The corporate activity appears neutral and market-driven rather than ideological.

The wider background of activism and consumer backlash

The Israel-Palestine conflict puts pressure on certain corporations in today’s highly politicized global consumer environment. Due to apparent support or disapproval, one side or the other has boycotted a number of businesses. However, The Cheesecake Factory has not been prominently listed among companies that publicly advocate for or against Israel or Palestine. Its presence in Israel is essentially commercial and gastronomic rather than ideological, although any corporation operating there unavoidably becomes enmeshed in consumer impressions connected to the greater conflict.

The company’s philanthropy and global image

In 2021 alone, the company donated over 662,000 pounds of food to local nonprofits through its Nourish Program, which distributes excess food from restaurants. The Cheesecake Factory has donated over $6 million to Feeding America, the biggest food bank network in the country, since 2008. Over a million pounds of peanut butter have been contributed to hunger relief efforts by their workforce, who also take part in annual events like the Peanut Butter Drive. 

The foundation has given millions of dollars (more than $4.6 million as of 2024) to the City of Hope Comprehensive Cancer Center, one of California’s top biomedical research and treatment facilities, through its yearly charity golf tournaments and associated fundraising activities.

Local community initiatives, including Saturday youth programming at The Salvation Army’s Siemon Center in South Los Angeles, are supported and funded by the Foundation. The company also participates in its Give Back Team Sponsorship program that matches the donations based on the size of the team and drives volunteers among staff members to raise 

money and volunteer in the organizations they are interested in.

The Cheesecake Factory, as part of a broad strategy of social responsibility, emphasizes its ability to prevent food waste by donating, ethical sourcing of food, and involvement in various environmental and social programs besides direct donations.

Conclusion

The Cheesecake Factory has largely contributed to the state of Israel by establishing several sites within the country to promote the sale of cheesecakes and meet the needs of Israeli cultural inclination. Through partnering with local licensees, introducing of kosher-friendly products, and the use of popular shopping malls in Tel Aviv and other locations, the chain has been able to integrate into the retail environment in Israel. Nevertheless, neither a public nor an explicit corporate political position supports Israel or its policies. The company’s presence in Israel is not a result of political activism or official backing, but rather of business expansion in a profitable market.

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Brussels Morning is a daily online newspaper based in Belgium. BM publishes unique and independent coverage on international and European affairs. With a Europe-wide perspective, BM covers policies and politics of the EU, significant Member State developments, and looks at the international agenda with a European perspective.
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