...1.0 Introduction Kentucky Fried Chicken is one of the well-known fast food restaurants in the world. Kentucky Fried Chicken (KFC) Corporation, based in Louisville, Kentucky, is the world's most widespread chicken restaurant chain offering services to more than 12 million customers in 109 countries all around the world. KFC operates more than 5,200 restaurants in the United States and more than 15,000 units around the world. KFC was founded by Harland Sanders (Sanders) in the early 1930s. He started cooking and serving food for hungry travelers who stopped by his service station in Corbin, Kentucky, US. KFC has been a brand and operating segment, of Yum Brands since 1997 when that company was acquired from PepsiCo as Tricon Global Restaurants Inc. Background of the Ethical Issue : Recently KFC faced accusation from non government organizations like PETA and Greenpeace regarding unethical practices from KFC’s supply chain such as Pilgrim’s Pride and Cargill.KFC was accused of ill-treatment towards its chicken by PETA and Greenpeace blamed KFC for its role in the destruction of the Amazon rainforest. This case study discusses these ethical issues in detail and concludes with suggestions and recommendations from the case study team, on how similar issues could be avoided or tackled. Objectives Understand the significance of cultural, economic, regulatory and ecological issues while establishing business in a foreign country. Which are: Appreciate the need for protecting animal...
Words: 275 - Pages: 2
...TRAINING COACHING AND LEADING THE SALES FORCE: KENTUCKY FRIED CHICKEN I. Time Content Eugene Somosa officially took over as a Training Coach in KFC Philippines. Prior to assuming the position, Mr. Eugene was in charge with increasing the store’s sales and coaching the standardization guidelines in all kfc staffs. Now, he reflected on the last 5 years of KFC’s sales strategy and searched for direction. Should he focus with giving the company continous sales increase through making out the best employees? Or should he focus with reaching customer’s satisfaction through giving beyond-the-expectations services. With the customer’s complains inflation and the resignation of the company’s employees, its reputation in the market suffered. Mr. Eugene had a lot to figure out. He was not responsible for the events that led up to the situation, but he have to deal with the aftermath of the training team. II. Point of View KFC needs time-to-time store visits to ensure that standard procedures were being followed by staffs as well as the management team. Strict training and caoching should be done with the newly-hired employees. KFC offers quality foods that really satisfies their customers desires. Services are given satisfactory at times, also. Active sales promotions are observed everywhere. III. Historical Background of the Company From Young Cook to KFC's Famous Colonel Kentucky Fried Chicken, pioneered by Colonel Harland Sanders, has grown to become one of the...
Words: 998 - Pages: 4
...Kfc Japan Case Study – KFC Japan INTRODUCTION Kentucky Fried Chicken (KFC) was set up by Harland Sanders. In the first decades of the enterprise there were no management systems or strategic controls. However, it worked fine in the beginning, mainly because for launching new franchises an entrepreneurial spark was fundamental. Nevertheless, the company grew and after suffering declines in sales and profits the implementation of strategic planning, which was introduced by Michael Miles in late 1975, seemed to be an adequate measure to solve the problems. By 1979, the various programs of the strategic planning progress were beginning to show results. Anyhow, some foreign subsidiaries resisted and didn’t want to adopt these measurements. PROBLEM STATEMENT One of the main problems KFC was facing, was that foreign subsidiaries were not willing to adapt standards – like strategic planning - imposed by the headquarter. Especially KFC-J has been strongly resisting the implementation of administrative operational controls and systems. Should the headquarters be prepared to accept operational variations? Moreover, it had to be clarified what was an appropriate level of performance expectations for overseas units. Even though it was obvious that KFC had to maintain its drive for aggressive growth, there was incertitude about how to ensure the continuance of such growth. Additionally, there was the issue of how to expand into new markets and countries successfully. KFC had...
Words: 306 - Pages: 2
...Case Study 1 KFC in India – Ethical Issues 1. Since its entry into India in 1995, KFC has been facing protests by cultural and economic activists and farmers. What are the reasons for these protests and do you think these reasons are justified? Explain. No tolerance for ‘cruel multinationals’ was the main reason for the protests made by cultural and economic activists and farmers. Due to the economic liberalization policy of the Indian government during the early 1900’s, foreign fast food companies were granted permission to enter India. From the cultural and economic activists and farmers perspective there were numerous disadvantages with the opening of these fast food chains, in particular KFC. The main fear for nationalists and cultural activists was the disturbance to the Indian culture and the effect of globalisation. Though KFC had implemented traditional Indian dishes such as ‘tandoori chicken’ and ensured that it was more nutritious, this does not enquire that the majority of those who visit KFC will not go for other junk-food alternatives. With a low rate of obesity, hypertension, heart disease and cancer, India now faced a threat to these illnesses caused by high sodium and cholesterol through the consumption of meat, fried, and processed foods. From an economic viewpoint, the opening of more KFC chains initially stimulated employment and infrastructure opportunities as well as providing the Indian economy (FDI) with many benefits. This also gave a chance for...
Words: 1163 - Pages: 5
...Case Study McDonald’s and KFC: Recipes for success in China COUNTRY LEVEL With the largest population in the world, the emerging economy of China was an easy target for companies to begin their international growth. The opportunity to make money in this country is what excites companies to try and integrate their businesses into the area. China is currently a part of the BRICS association making it one of the five major emerging economies in the world. China is located in Southeast Asia along the coastline of the Pacific Ocean. It sits as the fourth largest country in the world and is currently the second largest economy in the world measured by the Purchasing Power Parity Scale. This scale shows that a product in two different countries should have the same price when expressed at the same currency. With China’s size and increasing economy they have really worked to open their economy to international trade. This opens up the market for companies to try and enter and become successful. (Economy, 2010). Companies like KFC and McDonalds saw they opportunity and began to enter the Chinese market. These bolds moves paid off for some and not so much for others. Throughout the analysis we will see who the real winner is and what the future holds for these industries. QUICK-SERVICE INDUSTRY Both KFC and McDonalds are part of the quick-service industry. Many people know this industry as fast food but this is the correct name for it. This industry has been around for years and is...
Words: 3692 - Pages: 15
...I. ISSUES In 1996, KFC remained the world’s largest chicken restaurant chain and third largest fast food chain. It held over 50 percent of the U.S market in terms of sales and ended 1995 with over 9000 restaurants worldwide. KFC opened 234 new restaurants in 1995 and operated in the 68 countries. One of the first fast food chains to international during the late 1960’s, KFC had developed one of the world’s most recognizable brands. Despite of the KFC’s past success in the U.S market, much of the KFC’s growth was driven by its international operations, which accounted for 94 percent of all KFC restaurants built in 1994 and for 100 percent of the increase in 1995. Domestically the restaurant count dropped by seven restaurants because of unit closures, intense competition among the largest fast food competitors resulted in a number of obstacles to further expansion in the U.S market. Expansion of free standing restaurants was particularly difficult. Fewer sites were available for new construction and those sites, because of their increase cost, were driving profit margins down. However the most critical or major issue of this case in the future will be their ability to handle changes. Their system is older, in terms of facilities and product form, and their attitudes still don’t reflect the realities of their changing business environment. One on the great challenges at KFC is that there is a lot that needs fixing and the...
Words: 3635 - Pages: 15
...dissertation REPORT on “COMPARATIVE STUDY OF CONSUMER BEHAVIOUR PREFERANCE TO McDonald, KFC & PIZZA HUT IN NOIDA” Submitted To Submitted By dr. adarsh arora ruchika jain Faculty Guide A3104609016 B.com (H) 2009-2012 AMITY college of commerce and finance AMITY UNIVERSITY UTTAR PRADESH ACKNOWLEDGEMENT “Not a single gram can be breaking the whole vessel”. This is a common saying and it is correct. Any project is not an outcome of a single participation but it is a team work. So, I take a great opportunity to thank those entire people who helped me throughout my project. With deep sense of gratitude, I want to acknowledgment my faculty guide, Dr. ADARSH ARORA, for his valuable guidance and timely suggestion offered to me throughout the course of my project. I take an opportunity to acknowledge our heartiest thanks to department for their valuable guidance and support at all time in fulfilling the requirement for the reasonable work. Last but not least, I also very much thankful to my parents, sister, my seniors, my batch mates and friends especially for their continuous encouragement and moral support in preparing this project. DECLARATION I hereby certify that the project work being presented in this report “COMPARATIVE STUDY OF CONSUMER BEHAVIOUR PREFERANCE TO McDonald, KFC & PIZZA HUT IN NOIDA ” .Institute is...
Words: 3735 - Pages: 15
...MINOR PROJECT REPORT ON “TO STUDY AND ANALYZE THE CONSUMER BUYING BEHAVIOR WHILE EATING OUT AT KFC AND TO STUDY THE MARKETING STRATEGIES OF KFC FROM THE PERSPECTIVE OF STRATEGIC MARKETING” PROJECT SUPERVISOR SUBMITTED BY:- Amity School Of Business (ASB) Sector 125, Noida, Uttar Pradesh Phones: 0120 244 5252 Website: www.amizone.net CERTIFICATE This is to certify that Mr.___________, Roll No.________, has completed his research project and has submitted this project report entitled “To study and analyze the consumer buying behavior while eating out at KFC and To study the marketing strategies of KFC from the perspective of Strategic Marketing” towards part fulfillment of the requirements for...
Words: 8895 - Pages: 36
...Comparative Study of McDonald's and Kentucky Fried Chicken (KFC) Development in China Wei Hu & Yuanyuan Xie Bachelor’s Thesis 28. 04. 2013 International Business Administration Bachelor’s degree (UAS) SAVONIA UNIVERSITY OF APPLIED SCIENCES THESIS Abstract Field of Study Social Sciences, Business and Administration Degree Programme Degree Programme in International Business Author(s) Wei Hu & Yuanyuan Xie Title of Thesis Comparative Study of McDonald's and Kentucky Fried Chicken (KFC) development in China Date 28.04.2013 Pages/Appendices 53+2 Supervisor(s) Jari Niemelä &Heikki Likitalo Client Organization/Partners McDonald's Corporation & Kentucky Fried Chicken Corporation Abstract McDonald's and KFC are two international fast food restaurants. They both expended their businesses in global scale. It is obvious that McDonald surpassed KFC in terms of sales and fame in international level. However, in China, KFC performs better than McDonald's. The aim of this study is to find out how these two companies developed differently in Chinese market. By making a comparative study of McDonald's and KFC, different operation and competitive strategy theory will be integrated with their development situation. Research is made based on strategy theory, Internet sources and interviews. The thesis is started with general information, Chinese fast food industrial situation introduction and thesis structure. After having introduced the two companies background, we illustrated strategy...
Words: 13594 - Pages: 55
...Kentucky Fried Chicken (KFC) Corporation is the world's most widespread chicken restaurant chain offering services to more than 12 million customers in 109countries all around the world. Background of the Ethical Issue Recently KFC faced accusation from non government organizations like PETA and Greenpeace regarding unethical practices from KFC’s supply chain such as Pilgrim’s Pride and Cargill. KFC was accused of ill-treatment towards its chicken by PETA and Greenpeace blamed KFC for its role in the destruction of the Amazon rainforest. This case study discusses these ethical issues in detail and concludes with suggestions and recommendations from the case study team, on how similar issues could be avoided or tackled. PETA Perspective Every year more than 1 billion chickens are killed from the chicken farms, meant for KFC. The improper breeding of birds combined with improper working conditions of workers and lack of ethically efficient operation processes led to improper practices in KFC’s supplier’s poultry farms. As a result KFC was accused of animal abuse by PETA, on the supplier’s farm. The People for Treatment of Animals (PETA), an animal right protection organisation, accused KFC for its unethical treatment (behaviour) towards the chicken in KFC’s supplier factory farms. Pilgrim’s Pride (PP) is one of KFC’s award-winning supply operations and the second largest processor of chickens in the United States. PETA’s investigations in Pilgrim’s Pride poultry farm...
Words: 1530 - Pages: 7
...Factors effecting…. Factors Effecting Brand Preferences: A Comparative Study of McDonald’s and KFC Abstract The study was undertaken with an objective to identify factors affecting brand food products about two major food industries i.e. Mc-Donald’s and Kentucky Fried Chicken (KFC). Factors included were taste and quality of product, price of product, delivery of product, availability of product, environment of restaurant, staff of behavior and value for money. A pre design questionnaire was used to collect relevant data about these two food industries. The study found that the product of KFC were relatively better as compared to that of Mc-Donald’s in most of the traits studied especially in Taste and quality of food, price of product, staff behavior, delivery of product, and environment of the restaurant. Key words: Brand Preference, McDonalds, KFC Restaurants are becoming an important part in an industry system, providing services to people away from home in the form of foods. In view of this many forms took place and one break through is fast food restaurants. Factors effecting…. Fast food was a breakthrough from traditional catering method and standards fast food has their own benefits which their consumers perceive. Because of which they patronize their selection. Such benefits were rated on different variables shown in figure below. Perception regarding such benefits may be formed by word of mouth communication, exposure to promotion from restaurants...
Words: 4019 - Pages: 17
...INTRODUCTION This project puts in perspective the multinational company called Yum!Brands, which is an American company in the fast-food industry. We will be discussing about some aspects of this company generally, but we intend to give more details on the company Kentucky Fried Chicken(KFC) which is one of the Strategic Business Units (SBU) of Yum!Brands. We will give the profile of Yum!Brands and KFC, and also analyze the strategy of the company, its internal and external environment, its position vis-à-vis its competitors, its competitive advantage and how far it has come/how well it is doing today. We intend to focus on one local market, so in this project we are taking KFC China as our case study. We decided to choose Yum!Brands and specifically KFC as our project case study because we have noticed the rapid growth of the fast-food industry. Fast-food is a typical American trend which reflects the American eating culture of “grabbing a quick bite” so to speak. Today people are very busy, not only in America but all over the world. People have less time to sit and eat a home cooked meal, especially at lunch time when almost everyone is out of the house and working. The most convenient thing to do is to go for a “fast-food”. We noticed that this trend has even moved from being just a lunch-time substitute for home cooked meals to being a fun time meal between friends, colleagues and family. Some corporate bodies even order fast-food for meetings or corporate get-togethers...
Words: 1643 - Pages: 7
...Matriculation-no.: 493 581 6 Matriculation-no.: 492 682 8 1/3 KFC entered the Chinese market in 1987 as an American company. 27 years later, KFC has established its presence in virtually every larger Chinese city and has developed its localization to an astonishing degree. KFC’s performance in the Chinese market significantly outgrew the brand’s performance in its home market in terms of revenue and outlet numbers. With more than 4.500 outlets, KFC China generates more than half of its yearly revenue for the Kentucky based Yum! Brands. There is no doubt that KFC China has written an impressive page in the history of western brands succeeding in the Chinese market. The aim of our case study was to answer three questions: what made KFC so successful in China? Which challenges and opportunities does the company face today? And which strategies are and/or should be in place? To answer the first question, standard macro-analysis tools were used and a detailed look at the market environment at the time of market entry was taken as well as the measures KFC undertook by then. The following are the factors that we believe contributed to KFC China’s success: Reposition: KFC’s reposition into a Chinese style western brand enabled KFC to catch the market trend when it entered the Chinese market. Localization: KFC used localized food to attract customers and employed local management to gain insights of Chinese market. Rapid expansion: KFC China took rapid expansion to garner and repeat first mover...
Words: 878 - Pages: 4
...| KFC in Pakistan | Case Study | Submitted by: S.M. Ahtashamul Hoque April 12, 2013 HISTORY OF KFC Historically fast food industry had emerged in the 1920’s to cater the needs of American busy lifestyle. “White Castle” is generally considered the first fast food restaurant started in 1921. Later on, many other fast food brands have launched their operation & became successful. Basically fast Food Industry boom took place during the period of 1950s to 70s in which many successful global brands started their operation. Globally some famous fast food brands are KFC (1952), McDonald (1940s), Burger King (1954), Arby’s (1964), and Wendy’s (1974). Kentucky Fried Chicken (KFC) is founded by Colonel Harland Sanders is one of the most recognized fast food chains in America. Recently it is owned by PepsiCo and became the part of their Tricon Global Restaurant Division, now a day known as “Yum Brand”. KFC operates in more than 80 countries & territories with over 11000 outlets today serving some 8 million customers every day. Along with core product line fried chicken, they have been satisfying customers with Chicken Nuggets, Popcorn chicken, Hamburgers, Pork ribs & a variety of desserts. KFC- PAKISTAN: KFC launched its operation in Pakistan in 1996, opening its 1st outlet at Gulshan e iqbal, Karachi in January’ 1997. It has got a tremendous market in Pakistan & currently operating in 11 cities with 40 outlets nationwide. The franchise right of KFC Pakistan...
Words: 1470 - Pages: 6
...Introduction KFC, which has full name as Kentucky Fried Chicken, is one of well-known fast food brand names in the world due to their effective marketing strategies. To create good marketing strategies, KFC needs to understand the market by conducting a market research and collecting information about micro and macro environment. Therefore, they can influence factors in the micro environment and respond to potential macro environmental factors that can affect to them within next 12 months in Australia. This report focuses on marketing concepts which explain micro and macro environment. These key marketing concepts will be analysed and explain how KFC applied into their strategies. This report is based on academic resources such as marketing lecture notes of Insearch, text books of Philip Kotlers and academic online resources. II - Micro Environment Micro environment is examined as an environment in which the company can indirectly influence such as customers, partners, competitors and industry. For each factor, the company need to have suitable strategies to affect. 1. Customers Under marketing concepts of Philip Kotler (Marketing Management, Defining marketing for the 21st century, Philip Kotler), customers are determined as people who purchase product and they may or may not use that product for themselves. Besides, Kotler states that customers are centred instead of products. The company need to meet their customers’ needs, wants or demands. In this case study, KFC applied...
Words: 1678 - Pages: 7
