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 theory as thesis theoretical basis. Next, by comparing McDonald’s and KFC’s core competitive power, we analyzed the main difference and some similarities comprehensively of McDonald’s and KFC’s business and competition strategy. In research finding chapter, we introduced qualitative finding, it is the main research method we have used. The thesis is ended in conclusion, after main finding,