Welcome to KFC

Angeles Flores Rene Guillarme Yvette Minjares Jarvis Mullahan Armando Robles Denise Simon

‡ Yum! Brands is run by David Novak.KFC Facts ‡ KFC is based in Louisville. ‡ 8 million customers each day. ‡ Founded by Colonel Harland Sanders in 1952. Kentucky. Chairman & CEO ‡ KFC Division is run by Cheryl Bachelder. ‡ More than 11. and is the world¶s most popular chicken restaurant chain. President and Chief Concept Officer .000 outlets ‡ 85 countries and territories around the world.

is a Fortune 300 company Yum! Brands.. RJ Reynolds & KFC.500 in more than 100 countries and territories. spined-off of its qsr¶s into independent Tricon Global Restaurants. KFC was acquired by Heublein Inc. KFC went public 1969. Inc.00 SS Check 1964. Heublein & KFC Inc. 1964. Col Sanders had more than 600 franchised outlets in the US and Canada. Sanders started franchising his recipe door to door financed by his $105. Inc. Inc. PepsiCo. was acquired by PepsiCo. 2002.2 Billion in 50 years ‡ ‡ ‡ ‡ ‡ ‡ ‡ ‡ ‡ ‡ ‡ 1952. is the world's largest restaurant company in terms of system units with nearly 32. . 1966. was acquired by RJ Reynolds 1986.2 Billion . Tricon changed it's corporation name to Yum! Brands. Listed on the NYSE 1971. Inc. NOW: ± ± ± ± Yum Brands. Yum! Brands.From $105 to 7. Sold his interest in his company for $2 million to a group of investors. 1982. Col. Inc. for $285 million. global system sales totaled more than $22 billion in the year 2001. $840 million. 1997. Inc. Current Market Cap value on the NYSE is 7.

Yum! Financial Data & Trends In Past 5 Years: Debt Ratio has dropped 25% Net Income after Taxes has increased 31% Profit Margin has increased 41% .

*In Thousands .S. International Presence & Competition The International Portfolio of 5 leading U. Brands give Yum! a distinctive advantage over the single-brand competitors.Yum! Brands. Inc.

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KFC Domestic & International .

Yum Brands Inc. has outperformed the market Computer Information Systems Newly established Computer information system Marketing Positioning among competitors is favorable unconventional methods of distribution multibranding Management Objectives and goals are measurable and achievable Team empowerment Productions/Operations Constant improvement on quality of chicken Producer and operators are strategically located .Internal Analysis Functional Areas Finance/Accounting Since 2001.

Internal Factors SW ‡ Strengths ± Multibranding Strategy ± Name recognition and Reputation ± Employee Loyalty ± Global Expansion ± Targeting Non-Traditional Outlets ‡ Weaknesses ± Conflicting Corporate Cultures ± No defined target market ± Time it takes to market new products .

External Factors OT ‡ Opportunities ± International Appeal to American products ± Economies of Scale and Scope ± The downturn of the US economy ‡ Threats ± PETA ± Consumer health food trend ± Saturated fast food industry .

Space Matrix ‡ Competitive Advantage ‡ Industry Strength CA IS Aggressive position FS ‡ Environmental Stability ‡ Financial Strength ES .

BCG Matrix Asia Europe ? Americas USA .

99 Asia A ericas ro e ‡ rand trategy Matrix ± Q adrant I .99 Weak 1.0 to 2.Additional Matrices ‡ I Matrix A I I Strong to A I Average 2.0 to 1.

Alternatives ‡ KFC Hospice Dinners ± Delivering a caring outreach to the terminally ill (SO) ‡ KFC Cafeterias ± Offering dishes competitors do not (SO) ‡ KFC Grocery Products ± The Cornel is always home (SO) .

Alternatives Not Chosen Our recommendations to KFC KFC Cafeteria Market Development Concentric Diversification KFC Groceries Product Development Market Penetration Concentric Diversification ‡ Similar to Furrs or Lubys ‡ Fast food with traditional restaurant environment ‡ Reaching out to a new market ‡ Similar to Taco Bell groceries ‡ Advantage of Name Recognition ‡ Frozen Meals ‡ Chicken Breading Mix .

± Why? ‡ ‡ ‡ ‡ Political & Social Image Advances KFC¶s name recognition and reputation ³Secret Recipe´ Expands employee loyalty .KFC Hospice dinners Delivering outreach to terminally ill ± Hospice delivers meals to the terminally ill nationwide. ± These meals are delivered directly to the patient in their own home.

Product Development Bring back rotisserie chicken Concentric Diversification Add more to KFC product & service variety to the patients .Strategic Management Market Development KFC will introduce their present and new products and services into new geographic/demographic areas.

Implementations ‡ Market Research ‡ Determine area¶s demand to determine boundaries ‡ Expand menu ‡ Healthier choices ‡ Meals will be sold at cost ‡ Determine effects on budget .

Long-term company objective ‡ KFC is a publicly traded company with responsibilities to all shareholders ‡ By becoming a more ³socially responsible´ corporation we hope to attract a new type of investor while retaining our current stockholders. . Thank you for your attention ‡ Ben & Jerries & Starbucks have benefited financially by promoting their ³socially responsible corporation´ ‡ KFC hopes to achieve this by becoming synonymous with hospice.

The End .

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