Kentucky Fried Chicken

Kentucky Fried Chicken

Introduction

Kentucky Fried Chicken (KFC) is the world's leading fast food restaurant chain which specializes in fried chicken. The company headquarter resides in Louisville, Kentucky, United States. The company positioned itself as the major player in food chain specializing in fried chicken. The company is the second largest restaurant chain worldwide after McDonald's. It is the world's second largest restaurant chain overall (as measured by sales) after McDonald's, with over 18,000 outlets in 120 countries and territories as of December 2012. It enjoys a significantly great share of global food market.

KFC is founded by Harland Sanders during the great depression in United States. He began selling fried chicken after observing the potential of the restaurant franchising concept. The KFC franchise challenged the dominance of the hamburgers in food change and resulted in the rapid popularity of fried chicken in food market.

The branding of KFC is done in a remarkable manner. The owner, Harland Sanders, marketed the name of restaurant chain along with himself as Colonel Sanders. He became a legendary figure whose name is widely used and prominently used in KFC branding. It is one of the first food chains to spread out its branches and outlets internationally in several countries. However, KFC was entitled to keep its functions compatible to international standards.

Discussion

Question 1

The increasing demand of food chain franchises persuaded KFC to globalize. The globalization enabled KFC to open several franchises in other countries worldwide. The introduction of KFC abroad was made after observing the opportunities in international markets where hamburgers were considered as the center of food retail chain. The franchises allowed many job offers to subject countries and attracted financial flow. The dynamics of food chain globalization includes capital accumulation, the behavior of international consumers, state regulations, and constant innovations.

KFC has seen the competitors managing businesses successfully in international markets. For example, McDonalds has been the first mover in global markets before KFC. This appealed and motivated KFC to step further towards globalization. The increase in profitability has been another concern fueling the globalization desire. The same objectives were set by KFC backed by strategies parallel to international standards and policies.

Question 2

KFC used a set of strategies to enter different markets. The positive acceptance of KFC food chain and its unique specialty as market leaders in fried chicken boosted the rapid growth of KFC. For example, the intense growth and development of KFC in China encouraged the food chain to widen its supply in countries. However, they shifted from mass-marketing to consumer-focused marketing as their strategies for successful customer attraction and retention. KFC emphasized on the individual customer need and interest through its consumer-focused marketing and public relations. It understood the variability of customer need according to the various geographic regions and territories. The change in taste and environment is carefully observed by KFC before introducing the franchise in different countries. Secondly, the communication through feedbacks of people was used as tools to improve the KFC standards in ...