Kfc Case Analysis

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KFC, also known as Kentucky Fried Chicken is an American restaurant founded by Colonel Sanders in 1930. This restaurant specializes in fried chicken, opening its first location in North Corbin, Kentucky. Furthermore, they have expanded in over 100 countries. KFC has been extremely successful operating around the world, but there has been delivery problems in the United Kingdom. In this article, British Broadcasting Corporation highlights the delivery problems KFC is experencing with over half of their outlets in the United Kingdom closing leaving customers frustrated. As soon as KFC changed their delivery services to DHL, the restaurant had to close their outlets due to a delivery problem. DHL believes that there are operational issues, …show more content…
BBC states “Our teams are working flat out all hours to get the rest back up and running as soon as possible - but it's too early to say how long it will take to clear the backlog." (“Chicken Chaos”) KFC has to rely on their delivery system to be effective. While KFC cannot manage DHL, they do have the power to pick the delivery system that will the most effective. When KFC realized DHL was running under one distribution center, they realized they made a huge mistake. This mistake will clearly impact business. With KFC closing their outlets, the restaurant will continue to lose revenue. While KFC is not certain when they will be running again, this allows customers to find a new restaurant. This can further affect business in the future if the issue is not resolved. This will negatively impact business for the United Kingdom and possibly the United States if this problem expands …show more content…
Additionally, this is an incentive for someone else to open a restaurant similar to KFC. While this may not impact the United States, customers will seek a restaurant that will provide them fried chicken. My recommendation to the CEO is to reevaluate their delivery system, bringing back Bidvest again. This can lead to individuals to acquire their job again. Furthermore, this will draw the originally customers back to KFC. KFC has experienced a chicken shortage due to their unexpected change. KFC is handling the issue immediately, but customers continue to bash the chain. While customers will find another restaurant to eat, KFC may see a permit decline in the long run. KFC will continue to decline in revenue until their issue is resolved, making it uncertain how KFC will be operating in the

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