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Retreat or Persevere: iFood's Growth Dilemma
Luíza Neves Marques da Fonseca
Business School, Tecnológico de Monterrey, Mexico
Clarice Secches Kogut
IAG Business School, Pontifical Catholic University of Rio de Janeiro, Brazil
Eduardo Russo
Rio Grande College of Business at Sul Ross State University, USA
Volume 20: 2025, pp. 607-620; ABSTRACT
In March 2022, Rodrigo Santos, Latin America Director of iFood, faced a pivotal decision. After an ambitious expansion into Mexico, Argentina, and Colombia, iFood – Brazil’s leading food delivery platform – struggled with fierce local competition abroad, as well as cultural, technological, and operational challenges. This resulted in higher operational costs and lower profit margins. Investors grew increasingly concerned about the potentially low or negative returns on these international ventures, especially as iFood still had room to grow in Brazil. The company was at a crossroads, and Rodrigo needed to make a strategic decision: should iFood continue with international operations, or consider withdrawing from these markets to refocus on its domestic operations? In addressing this dilemma, this case invites students to explore the complexities of scaling service platforms, compare growth strategies, and assess the risks of internationalization. It also provides a foundation for examining the strategic drivers that determine when and how companies decide to retreat from global markets.
Keywords: Internationalization, De-Internationalization, Digital Platforms, Growth Strategies, Food Delivery.
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