Case Study Of Kfc

Improved Essays
KFC China’s decision to focus on healthy food option is a good strategic management decision to take due to several factors that can promote health related issues. Yum Brands own KFC, Pizazz Hut and Taco Bell and the growing number of middle class consumers hold the key to this success. There has been increasing changes in Chinese eating habits dating back to 1949 and 1978 when there were major food shortages resulting on the dependency of coupon-based supply products such as flour, rice, and meat, including cooking oil. During the difficult times, having more grains and less protein and vegetables was the normal diet. In 1978 China opened its economy resulting in an increase of availability in food and peoples’ income. With an abundant food …show more content…
Food consisted of freshly prepared selections purchased every day from super markets. However, the introduction of supermarkets and refrigerators had many consumers shopping on a bi weekly basis although retired people continued shopping from their neighbourhood markets. Even though the younger generation had moved out, some went home to their parents to eat dinner if they lived near or within the area. As the middle class grew and could afford KFC is when the company strives to achieve a positive outcome. Because its mission and core values were based on the US. Business model, to grow and capture the Chinese market they had to modify it. Since on average they were opening one restaurant a day, they developed a unique strategy with a competitive advantage. Their vision was to turn KFC into a national business that was perceived as being Chinese with rapid expansion to into the smaller and midsize cities. As well, they wanted to develop a countrywide supply chain organization while providing extensive training for their employees in customer service. In the beginning the focus was on franchising which later shifted to ownership of units benefiting the centralized purchasing system when they implemented the system wide quality standards as the focus was on building their …show more content…
By 2005 a third accounted for the obese population in the world which was between 70 to 90 million. Nevertheless, the issue with children due to the one child policy was even more alarming. Overweight and obese children had reached 12 million, with a third accounting for the fastest children in the world. The result was due to grandparents and parents pampering them and fed them more than necessary. The development of the “New Fast Food” concept not only emphasized quality, taste, variety, coking platform and an eating occasion but reemphasized, fast, high quality, safe and delicious, nutritious and balanced, healthy living which were rooted in China. Different protein such as shrimp fish and beef were added including wraps, oven roasted chicken to sandwiches and vegetables dishes which the Chinese enjoy. Creating a balanced meal option with the emphasis on moderation and variety than sticking with a simple menu was the proactive strategy they took. Offering a small discount on combo items and the elimination of super-size items to children’s meals served with vegetables and juice were all part of the strategy to having educational messages and nutritional information on tray mats. This included hostesses teaching nutrition lessons to children. The exercise every day makes you healthy your life slogan was Yum’s way of promoting physical

Related Documents

  • Improved Essays

    Chick-Fil-A Case Study

    • 556 Words
    • 3 Pages

    Chick-Fil-A is the largest quick-service chicken restaurant chain in the United States, however CFA is limiting it self from reaching the full capacity of other chicken based fast food restaurants. Although they have a solid base here in the U.S. a company so successful could greatly benefit from a more diverse outlook. Since 1986 the company has experienced gradual growth and is currently concentrating its US expansion to Western and Northeastern states. As of now, the company has no intentions of international expansion. CFA is also a Christian based company, and is very public about its beliefs; In fact it is the basis for which they attribute their success, and excellence.…

    • 556 Words
    • 3 Pages
    Improved Essays
  • Improved Essays

    Case Study Of Chick Fil A

    • 719 Words
    • 3 Pages

    CHICK-FIL-A THE PROBLEM: How do you convince consumers to try a “healthier” tastey chicken sandwich instead of buying “fast food?” SOLUTION: Cause a spectacle Background Chick-fil-A’s signature product is the chicken sandwich, served primarily during the lunchtime daypart. This means the restaurant chain competes on one of the fiercest battlegrounds – the fast food restaurant market.…

    • 719 Words
    • 3 Pages
    Improved Essays
  • Decent Essays

    Case Study Kroger

    • 107 Words
    • 1 Pages

    Shopping at Kroger can mean lots of extra savings on gas right now! They have a few different Fuel Point promotions that you can take advantage of (and even combine) to save up to $1 off a gallon. In case you’ve never used their Fuel Points, here’s the basics you should now… you earn 1 point for every $1 spent at Kroger. 100 points is equal to 10¢ off per gallon of gas up to 35 gallons.…

    • 107 Words
    • 1 Pages
    Decent Essays
  • Great Essays

    While mainstream American customers tended to stay away from small, independently owned Chinese restaurants, through P.F. Chang’s expansion and development, an increasing amount of Americans continued to accept P.F. Chang’s as genuine Chinese food. By having the financial resources to create a restaurant that exudes comfort and a trendy atmosphere, it represented a new image for Chinese restaurants and as a public company with standardized chain stores, enabled real Chinese food to be a part of the high-end American restaurant…

    • 1432 Words
    • 6 Pages
    Great Essays
  • Great Essays

    Burger King Case Study

    • 5506 Words
    • 23 Pages

    Court of Appeals of Ohio, First District, Hamilton County. NADEL et al., Appellants, v. BURGER KING CORPORATION et al., Appellees. No. C-960489. -- May 21, 1997 Edward J. Felson and Stephen R. Felson, Cincinnati, for appellants. Jonathan P. Saxton, Cincinnati, for appellee Burger King Corporation.…

    • 5506 Words
    • 23 Pages
    Great Essays
  • Improved Essays

    Chick-Fil A Case Study

    • 282 Words
    • 2 Pages

    Chick Fil A has always been known for it’s great hospitality. The hospitality at Chick Fil A is the biggest key to their fast success. The key is caring. At Chick Fil A, everyone is treated with dignity and respect. This food chain ranks first in restaurant customer-service surveys.…

    • 282 Words
    • 2 Pages
    Improved Essays
  • Great Essays

    Futuristic Lens

    • 1066 Words
    • 5 Pages

    Futuristic Lens Over the years, the fast food industry has become an extremely profitable business due to the quickly prepared food. One of the main contributors to the fast food restaurants is the growing epidemic known as childhood obesity. Children across the nation are plagued by fast food restaurants and unhealthy diets. In fact, only about 2% of American children have healthy diets that don’t consist of fast food ("10 Surprising Facts About Childhood Obesity.").…

    • 1066 Words
    • 5 Pages
    Great Essays
  • Superior Essays

    Mayo Clinic Obesity

    • 1487 Words
    • 6 Pages

    The Mayo Clinic describes obesity as a “complex disorder involving an excessive amount of body fat”. Even though most people think that obesity is solely a cosmetic issue, the major issues that it causes are anything but superficial. Obesity kills approximately 300,000 people per year and by 2030 it is predicted that half of Americans will be overweight or obese. Along with the 35% of Americans who die from obesity each year, 15% of them are male and 20% of them are female. Obesity can increase your chances of developing heart disease, getting diagnosed with cancer or even having a stroke.…

    • 1487 Words
    • 6 Pages
    Superior Essays
  • Improved Essays

    Child Obesity In America

    • 722 Words
    • 3 Pages

    In today’s society, there are a variety of illnesses and diseases that Americans deal with on a daily basis. One of these diseases that have a leading percentage rate in the United States is obesity. According to obesity.org, “Obesity is one of the most pervasive, chronic diseases in need of new strategies for medical treatment and prevention.” Obesity has taken a toll on the younger generation, the future of America: children and adolescents. From the easy access to fast food restaurants throughout the country to our former First Lady, Michelle Obama, who brought light to her solution to child’s obesity with her nationwide campaign, Let’s Move!, there has been exposure to the topic yet there is still room for improvement.…

    • 722 Words
    • 3 Pages
    Improved Essays
  • Improved Essays

    Obesity In America

    • 762 Words
    • 4 Pages

    In the United States today, obesity has become an enormous issue. Just in the last two decades the obesity rate has highly increased. Food chains lure society into constantly eating. They even give out coupons and have deals to appeal more people. The eating habits of society is becoming quite harmful and is starting to produce gluttonous children, over-indulgent adults, and food industries more focused on sales than their customer’s health.…

    • 762 Words
    • 4 Pages
    Improved Essays
  • Great Essays

    Yum ! Case Study

    • 3911 Words
    • 16 Pages

    1.0 Identification of Symptoms Yum! Brand or Yum! is an American fast food company that operates licensed brands such as KFC, Pizza Hut and Taco Bell. Yum! Brand International and China had increased rapidly due to aggressive store expansion programme and cost-cutting drive.…

    • 3911 Words
    • 16 Pages
    Great Essays
  • Great Essays

    These strategies lead some of the company to exit or to go bankrupts. With the fish master box released to the market, it has implied that KFC has new strategy to enter new product market and gaining new customers in those markets. By venturing in new market, KFC may be able to gain new customers base and loyal customers. 4.0 MARKETING…

    • 1719 Words
    • 7 Pages
    Great Essays
  • Great Essays

    Case Study Of KFC Company

    • 1455 Words
    • 6 Pages

    The other subsystem of production is also important here for the performance of KFC, and this include matters like linkage between operations, suppliers, showrooms, and delivery issues. The external factors affecting the company include matters of rivalry and the different government regulations. b) Multiple cause diagram “work…

    • 1455 Words
    • 6 Pages
    Great Essays
  • Improved Essays

    Hong Konger also was used for western food and McDonald has a large customer base. Then, when McDonald's is a fast food restaurant company, it enables the service they performed in a short period and appropriate with this fast-paced lifestyle in Hong Kong. However, the public in Hong Kong aware about nutrition and healthy lifestyle will reduce the nutrition they have high cholesterol. Then, McDonald tries to ensure customers do not switch the direction of other foods. So, McDonald tried to including healthy foods in the menu, such as salads and…

    • 822 Words
    • 4 Pages
    Improved Essays
  • Improved Essays

    People may argue that fast food contributes to obesity but they cannot deny that they have every right to do exercises, eat nutritious food in order to stay healthy. Fast food establishments are not the only reason why people become overweight, they do not deserve all that hatred and criticism. Research has clearly pointed out that people are the main causes of the obesity epidemic as they are suffering from their own terrible decisions. Even though this essay is only limited to the U.S, it can partly show the effects of fast food on human, the impact people’s choices have on their declining health. It is undeniable that fast food has a negative effect on human health but it is not logical at all to blame a single factor for such a social problem.…

    • 1537 Words
    • 7 Pages
    Improved Essays