Mcdonald 's Famous Golden Arches And Yum ! Brand 's Kentucky Fried Chicken

1863 Words Nov 28th, 2016 8 Pages
McDonald’s famous golden arches and Yum! Brand’s Kentucky Fried Chicken (KFC) are among the most iconic fast food establishments in the United States of America, but had mainly stayed in the home country. By the 1950’s both chains had a very strong presence in the United States and had began to invest abroad. After a lackluster attempt in Japan, KFC set its sights on China. China was and continues to be the one of the fastest growing economies on the planet. This is extremely enticing to companies operating in mostly saturated economies like Canada, Europe and the United States. China offered a virtually untouched economy with over a billion consumers and almost non existent competition leading to a boom in foreign investment. The Chinese economy was extremely unappealing to investors prior to the 1970s due to communist rule and the United States not recognizing the People’s Republic of China. However, relations began to normalize between China and the United States and American investors became more confident. This was solidified with a February 1972 visit to Beijing, Hangzhou and Shanghai by President Richard Nixon. This was the first presidential visit since the People’s Republic was established in 1949. The country is home to over a billion people, far higher then the United States’ some 300 Million people. The Chinese economy quickly began to grow. Their GDP growth has reached upwards of 9% annually. This versus the United States’ 2-3%. It was clear there was money…

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