“A STUDY OF CONSUMER

SATISFACTION TOWARDS KFC"

A Project Submitted to

University of Mumbai for partial completion of the degree ofMaster

in Commerce Under the Faculty of Commerce

By

“SHAIKH MUSKAN MEHBOOB”

Under the Guidance of

“DR. NITIN DWIVEDI”

BUNTS SANGHA MUMBAI’S

ANNA LEELA COLLEGE OF COMMERCE AND ECONOMICS AND SHOBHA JAYARAM
SHETTY COLLEGE FOR BMS
Affiliated to the University
NAAC Accredited 'B' Grade

Januaury 2023.

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 Bunts Sangha Mumbai
Anna Leela College of Commerce and Economics & Shobha Jayaram Shetty
College for BMS
Shashi Manmohan Shetty Higher Education Complex,
Buntara Bhavanmarg, Kurla, Mumbai 400070
Affiliated to the University
NAAC Accredited 'B' Grade
___________________________________________________________________________________________

Certificate
This is to certify that Miss/ Shaikh Muskan Mehboob has worked and duly completed
her/his Project Work for the degree of Master in Commerce under the Faculty of
Commerce in the subject of Accountancy/ Management and her/his project is
entitled, “A Study of Consumer Satisfaction Towards KFC” under my supervision.

I further certify that the entire work has been done by the learner under my guidance and that
no part of it has been submitted previously for any Degree or Diploma of any University.

It is her/ his own work and facts reported by her/his personal findings and investigations

Dr. Nitin Dwivedi.

Date of submission:

2
 Declaration by learner

I the undersigned Miss / SHAIKH MUSKAN MEHBOOB here by, declare that the
work embodied in this project work titled “ A Study of Consumer
Satisfaction Towards KFC” forms my own contribution to the research work
carried out under the guidance of Dr. Nitin Dwivedi is a result of my own research
work and has not been previously submitted to any other University for any other
Degree/ Diploma to this or any other University.

Wherever reference has been made to previous works of others, it has been clearly
indicated as such and included in the bibliography.

I, here by further declare that all information of this document has been obtained and
presented in accordance with academic rules and ethical conduct.

Shaikh Muskan Mehboob

Certified by

Dr. Nitin Dwivedi.

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 Acknowledgment

To list who all have helped me is difficult because they are so numerous and the depth is so
enormous.

I would like to acknowledge the following as being idealistic channels and fresh
dimensions in the completion of this project.

I take this opportunity to thank the University of Mumbai for giving me chance to do
this project.

I would like to thank my I/C Principal, Dr. Rajendra Patil for providing the necessary
facilitiesrequired for completion of this project.

I take this opportunity to thank our Coordinator, CA Kiran Gajjar for her moral
support and guidance.

I would also like to express my sincere gratitude towards my project guide

Dr. Nitin Dwivedi whose guidance and care made the project successful.

I would like to thank my College Library, for having provided various reference books and
magazines related to my project.

Lastly, I would like to thank each and every person who directly or indirectly helped me in
the completion of the project especially my Parents and Peers who supported me
throughout my project.

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 INDEX

Chapter No. Name of Topic Page No.

EXECUTIVE SUMMARY 8

1 INTRODUCTION 9

1.1 KFC India 10

1.2 Porter’s Five-Forces Analysis 13

1.3 Competitive Analysis 16

1.4 Environmental Factors & Opportunities 19

1.5 S.W.O.T. Analysis 21

1.6 4 P’s of Marketing 22

REVIEW OF LITRETURE /
2 HYPHOTHESIS 26-28

3 RESEARCH METHODOLOGY 29

4 PROFILE OF STUDY 31

5 DATA INTERPRETATION 35

6 FINDINGS 49

6.1 RECOMMENDATIONS 50

6.2 CONCLUSION 51

7 BIBLIOGRAPHY 52

8 QUESTIONNAIRE 53

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 LIST OF TABLES

SR NO. TABLE NAME PAGE NO.

1 COMPETITIVE ADVANTAGE 18

2 GENDER 36

3 AGE 37

4 INCOME 38

5 AREA OF RESIDENCE 39

6 LIKING TOWARDS FAST FOOD 40

7 KIND OF FAST FOOD 41

8 PREFERRED FOOD 42

9 VISITING FREQUENCY 43

10 PRICE 44

11 VISITING KFC WITH 45

12 RECOMMENDATION 46

13 KFC’ STAFF TAKES CARE OF IT’S CUSTOMERS 47

14 FOOD QUALITY 48

15 KFC ENVIRONMENT 49

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 LIST OF FIGURES

SR NO. FIGURE NAME PAGE NO.

1 MACRO ECONOMICS 18

2 MICRO ECONOMICS 19

3 GENDER 36

4 AGE 37

5 AREA OF RESIDENCE 38

4 LIKABILITY TOWARDS FAST FOOD 39

5 KIND OF FAST FOOD 40

6 TYPE OF FAST FOOD 41

7 VISITING FREQUENCY 42

8 PRICE 43

9 VISITING KFC WITH 44

10 RECOMMENDATIONS 45

11 KFC’S STAFF TAKES CARE OF ITS CUSTOMERS 46

12 FOOD QUALITY 47

13 KFC ENVIRONMENT 48

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 EXECUTIVE SUMMARY

In this final report of Research Methods and Techniques, this project report begins with an introduction. Then
a brief introduction of the fast food industry. I have also taken some reviews of professors who have given
their views on fast food industry especially on KFC. Statistical analysis of the gathered data and a suggestion
of this project is also part of this report. In the end I tried to make some recommendation regarding KFC
customers.

In order to accomplish this task, initially research proposal report had been generated. I applied the whole
research process on to it, starting from the very first step of setting the objectives for my research to the
results obtained .I went through a lot of steps. After setting the objectives, I have selected a sample. After
selecting a sample from which primary data & the required information were to be extracted. The research
instrument used for this purpose was questionnaires; questionnaires remained the main focus of this research.
Whole data was then analyzed statistically. I conducted a total survey of 14 questionnaires and put the
primary data into statistical pie chart. Then the questionnaire analysis was done with the help of the
frequencies extracted from the survey. In the end the results in the form of conclusion were drawn and finally
findings and recommendations were made according to that analysis.

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 CHAPTER 1

INTRODUCTION

KFC Corporation, based in Louisville, Kentucky, is the world’s most popular chicken restaurant chain,
specializing in Original Recipe ®, Extra Crispy TM, and Colonel’s Crispy Strips® chicken with home style
sides and five new freshly made sandwiches. Every day, nearly eight million customers are served around the
world. KFC’s menu everywhere includes Original Recipe® chicken—made with the same great taste Colonel
Harland Sanders created more than a half-century ago. Customers around the globe also enjoy more than 300
other products—from a Chunky Chicken Pot Pie in the United States to a salmon sandwich in Japan. KFC
continues reaching out to customers with home delivery in more than 300 restaurants in the United States and
several other countries. And in quite a few U.S. cities, KFC is teaming up with other restaurants, Taco Bell
(TA.CO) and Pizza Hut, selling nearly fifty years ago; Colonel Sanders invented what is now called “home
meal replacement” – selling complete meals to harried, time strapped families. He called it, “Sunday
Dinner, Seven Days a Week”.

KFC specialized in chicken and they says,

“No body’s cooking like KFC today and we are the chicken experts” “There is no competitor for spicy
chicken which is made by KFC”

Mission statement

“To be the leader in western style quick service restaurants through friendly service, good quality food
and clean atmosphere”

Tagline

“It’s finger lickin’ good”

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Goals of KFC

 Build an organization dedicated to excellence.

 Consistently deliver superior quality and value in our products and services.

 Maintain a commitment to innovation for continuous improvement and grow, striving always to be
the leader in the market place changes.

 Generate consistently superior financial returns and benefits our owner and employees.

To establish in India our position as leading WQSR (Western Quick Service Restaurant) chain, serving good
value. Innovative chicken-based products. Consistently, providing a pleasant dining experience, with fast
friendly, in a clean and convenient location. At all times we must be dedicated to providing excellent and
delighting customers.

KFC India

KFC is the world’s No.1 Chicken QSR and has industry leading stature across many countries like UK,
Australia, South Africa, China, USA, Malaysia and many more. KFC is the largest brand of Yum
Restaurants, a company that owns other leading brands like Pizza Hut, Taco Bell, A&W and Long John
Silver. Renowned worldwide for it’s finger licking good food, KFC offers its signature products in India too!
KFC has introduced many offerings for its growing customer base in India while staying rooted in the taste
legacy of Colonel Harland Sander’s secret recipe. Its signature dishes include the “crispy outside, juicy
inside” Hot and Crispy Chicken, flavorful and juicy Original Recipe chicken, the spicy, juicy & crunchy
Zinger Burger, Toasted Twister, Chicken Bucket and a host of beverages and desserts. For the vegetarians in
India, KFC also has great tasting vegetarian offerings that include the Veggie Burger, Veggie Snacker and
Veg Rice meals. In India, KFC is growing rapidly and today has presence in 11 cities with close to 50
restaurants.

After a series of jobs, in the mid-1930s at the age of forty, Colonel Sanders bought a service station, motel
and cafe at Corbin, a town in Kentucky about 25 miles from the Tennessee border.
It is here that Sanders began experimenting with different seasonings to flavor his chicken which travelers
loved and for which he soon became famous.

During the next nine years he developed his secret recipe of 11 herbs and spices and the basic cooking
technique which is still used today. Sander's fame grew. He sold his chicken on the highway! But when the
highway was removed, he sold up and traveled the United States by car, cooking chicken for restaurant
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owners and their employees. If the reaction was favorable Sanders entered into a handshake agreement on a
deal which stipulated a payment to him of a nickel for each chicken the restaurant sold.

VALUES OF KFC

 Focus all our resources to our restaurants operation because that is where we serve our customers.
 Reward and respect the contributions of each individual at KFC.
 Expand and update training with time and be the best we can be and more. Be open, honest and
direct in our dealings with one and other.

 Commit ourselves to the highest standard to the personal and professional integrity at all times.
 Encourage new and innovative ideas because these are the key to our competitive growth.
Reward result and not simple efforts.

 Dedicate ourselves to continuous growth in sales, profit and size of organization. Work as a team.

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 PHILOSOPHY OF KFC

The CHAMPS Program

Champs stands for our belief that the most important thing each of us can do is to focus on the customer. It
stands for our commitment to provide the best food and best experience for the best value.

CHAMPS stand for the six universal areas of customer expectation common to all cultures and all restaurants
concepts.

THE CHAMPS

These are: Cleanliness, Hospitality, Accuracy, Maintenance of Facilities, Product Quality, and Speed of
Service.

CHAMPS is the philosophy to ensure that the customer has the consistent quality experience in every
restaurant, every day, on every occasions and you will be playing role in delivering CHAMPS to our
customer Entry.
KFC Original Recipe

 6 cups Crisco Shortening

 1 eggs well beaten

 2 cups Milk 2 cups Flour

 2 teaspoons ground pepper

 3 tablespoons salt

 1 teaspoon MSG

 1/8 teaspoon Garlic Powder

 1 dash paprika

 2 Frying Chickens cut into 6 pieces

Place shortening into the pressure cooker and heat over medium heat to the shortening reaches 400F or 200C.
In a small bowl, combine the egg and milk. In a separate bowl, combine the remaining six dry ingredients.
Dip each piece of chicken into the milk until fully moistened. Roll the moistened chicken in the flour mixture

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until well coated. In groups of four or five, drop the covered chicken pieces into the shortening and lock the
lid. When pressure builds up cook for 10 minutes.

Porter’s Five-Forces Analysis

For the current Indian market for fast food, it is not difficult for a fast food restaurant to enter the market.
However, it would be extremely difficult to take over already running major fast food chains' dominancy in
India or even make a significant amount of profit. While there are enough people in urban India for any
restaurant to survive, KFC holds the first-mover advantage into the 'non-veg food specialty food segment'
that gives them free reputation. Customers, especially children who are used to going to KFC as a treat or
reward from their parents or grandparents, are not going to want to go to other restaurants they’ve never
heard of. The brand name is already established. Also, there is already a large variety in the numerous
western-style dining places in India, such as McDonald’s, Pizza Hut, Domino's and Subway, and any new
fast-food entrants would just be presenting something very similar to what’s already there. While small
Neighborhood restaurants generally have low barriers to entry, these are the barriers to entry for similar
restaurant businesses to enter the fast-food chain market. Buyer/Supplier Bargaining Power The customers of
KFC, especially as individual buyers, have almost no bargaining power because if only one customer
threatens to no longer eat at KFC, the store is not going to lower its price because the cost of losing one
customer is not very great. The suppliers, like the buyers, have very little bargaining power. In terms of food,
KFC, upon its move into India, urged many of its U.S. suppliers to also extend branches into India. KFC also
began helping local suppliers by giving them technological support to improve their products. This is a
brilliant strategy because the supplies that KFC would otherwise need to import from the U.S. can now be
obtained domestically, and if the U.S. suppliers decide to raise their prices, KFC can easily switch to the
local suppliers. This gives us a brilliant strategy. With this strategy, KFC created 7 competition among its
suppliers, lowering the supplier bargaining power. In terms of human resources, labor cost is extremely low
because the supply of non-skilled workers great exceeds the demand for them. With so little buyer and
supplier bargaining powers, KFC is able to have a very tight control over its prices and expenditures. Unlike
what one would expect, KFC has little rivalry with similar fast-food chains in India. The primary reason is
that their core products are different, as in they sell different kinds of fast foods with very different tastes and
styles. For example, if KFC raised its price for chicken by a small amount, Indian chicken lovers who may
not be as accepting to pizzas (many Indian people strongly dislike the taste of cheese) are not going to switch
to Pizza Hut just because the price for KFC increased. In addition to that, these restaurants have such
different target customers that the fluctuation of price for one restaurant is not going to affect the others. For
example, a full meal at KFC ranges about Rs. 100, whereas a full meal at Pizza Hut can cost over Rs. 300.
The drastic difference in price assures no price competition between these restaurants.

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 Promotions

In India KFC not advertise their products too much because people KFC due to its reputation in other
countries. They promote their products through special packages. They promote their products through
billboard, pamphlets and through other promotion strategies.

Current target market

Segmentation

KFC has divided the market of India into distinct groups of customers with different demands, tastes and
behavior who require separate products or marketing mix.

In India the niche marketing is being used for particular classes of people.

They have made segments of the market on the following bases.

 Demographical

 Behavior

 Geographical

By using these three bases they segmented the market as under.

DEMOGRAPHICAL BASIS

In demographics their first segment is consisted of the income factor i.e. high income, average income and
low income.

BEHAVIOR

In behavioral aspect they segmented the market on the basis of quality, taste and price.
Following are the different possible segments in this regard.

 Taste conscious

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  Quality conscious

 Class conscious

 Combination of price and quality

GEOGRAPHICAL BASIS

On the basis of the geographical factor we have divided our market in three main segments.

 Urban areas

 Sub urban areas

TARGET MARKET FOR FAST FOOD

After evaluation of various segments, KFC has decided to target the market of Urban and Suburban Areas of
Pakistan.

Product usage

 People are educated and they want variety in their diet.

 Normally people of rural areas don’t take fast food. On the other hand people of urban areas take fast
food.

 Income of the people of urban areas is normally high and they can afford to purchase such products,
which are slightly higher in price as compared to prevailing prices of local food in the market.

 People of Urban Areas are more quality conscious than the people of Rural Areas. In Urban Area
there lived people from every walk of life and profit generation is easier than in Rural Areas.

 Population density is higher in Urban Areas as compared to Rural Areas, so the numbers of customers
are more in Urban Areas.

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 COMPETITIVE ANALYSIS

Competitors

You cannot enjoy the business without competitors. No organization can afford to ignore their competitors. It
is very important for a marketing manager to monitor the activities of there competitors, what they are doing?
KFC adopted such sort of strategy that there is no competitor for spicy chicken, which is made by KFC.

KFC beats its competitors through the revising marketing strategy at every movement but the main
competitor of KFC is McDonald's.

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 COMPETITIVE ADVANTAGE

KFC McDonalds

Spicy Products(Indian people like spicy Burger & French Fries

products instead of boiled food)

Arabian Rice & Zinger Burger Big Mac

Free Delivery Charges for Home Delivery

Chicken is eaten by every community Beef is banned in some Community

Local Staff & Highly Qualified because local Its Staff consist of simple Graduates and give
staff can better deal with customers them training

KFC uses Top to Bottom & Bottom to Top McDonalds uses Top to Bottom Approach
Approach in Management

KFC is Co-Branding with walls No such case

Macro environment

KFC operates in a larger macro environment of forces that creates opportunities, but also threats. (Kotler et al
2003). A company such as KFC usually cannot influence trends in the macro environment, as they affect
people and organizations on a larger scale. However, KFC has to carefully examine macro environmental
trends and must create competitive responses to such trends. There are six major macro environmental forces
KFC has to take into account.

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Micro environment

The micro environment consists of all forces that are close to KFC, and on which KFC has an impact. They
directly affect KFC’s ability to serve its customers. Three major components influence KFC’s micro
environment:
Competitors because the fast food market in India is highly competitive, KFC faces a wide number of direct
and indirect competitors. KFC’s main competitors are fast food chains such as McDonald’s and Domino’s,
which are already well established throughout India.

McDonalds’s in particular is a direct competitor, as they have already successfully introduced their Salads
plus line (http://www.theage.co.in), which directly targets ‘healthy food’ conscious Indians. But, there are a
number of other competitors that is also focusing on ‘chicken’ types products. All this competition makes it
quite difficult for KFC to maintain or even broaden their customer base. However, with the introduction of a
new and healthy product range, KFC can differentiate itself from most competitors and will gain a
competitive advantage.
Customers

KFC’s customer market consists solely of the consumer market. KFC’s products are bought by individuals
(males, females, singles, and families). Therefore, the product range KFC offer should appeal to as many
people within this consumer market as possible, to ensure that the maximum number of products can be sold.
The characteristics of these individuals and a segmentation of them are discussed later in this report.

It is found that KFC compete its competitors by five ways:

 KFC compete its competitors through marketing strategy

 They offered different packages at different events like Ramadan offer, midnight offer etc.

 KFC compete their competitors by providing good services

 They must hire the hard-selling persons to market their product in the market and motivate their
employees for the sake of organizations and employees do well and they compete their competitors
 KFC has quality products and through these quality products they compete their competitors.

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 ENVIRONMENTAL FACTORS AND OPPORTUNITIES

Political

The operations of KFC are affected by the government policies on the regulations of fast food operation.
Currently government are controlling the marketing of fast food restaurant because of health concern such as
cardiovascular and cholesterol issue and obesity among the young and children in the country. Governments
also control the license given for open the fast food restaurant and other business regulation need to follow
such as for a franchise business. Good relationship with government in giving mutual benefits such as
employment and tax is a must for Socio cultural

India is the second most populous nation in the world with an approximate population of over 1.1billion
people. This population is divided in the following age structure: 0-14 years – 31.8%, 15- 64 years – 63.1%
and 65 years and above – 5.1%. There has also been a continuous increase in the consumption of fast food in
India. The social trend toward fast good consumption is changing and India has seen an increase of 90% fast
food consumption from the year 2002- 2007. This increase is far greater than the increase in the BRIC
nations of Brazil (20 per cent), Russia (50 per cent) and China (almost 60 per cent). Thus this shows a
positive trend for fast food industries in India.

Technological

The Indian fast food Industry is heating up with a lot of foreign players entering the Indian market. The
technological knowhow and expertise will also enter the Indian market with an increase in competition. With
the lower rates and increase technology the fast food counters are attracting youth by giving them attractive
deals.

Environmental

As one of world largest consumer of beef, potatoes and chicken, KFC always had been critics for world
environmentalist. This is because high consumption of beef causing the greenhouse effect by methane gasses
coming from the cow’s ranch. Large-scale plantation has effect the environment and loss of green forest
opening for plantation activities. Vegetarian environmentalist criticizes the fast-food giant for cruelty to
animals and slaughtering.

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Legal factors

As a certified fast food operator, there are many regulations and procedures that KFC should follow. For
example is the Halal certification that becomes a concern to Muslim consumers. KFC should protect its
integrity and consumer confidence by ensuring all materials and process are as claimed or must followed.

MARKETING STRATEGIES OF KFC

There are different strategies adopted by KFC for different events. They market their products on different
events and in different activities as they are helping SOS village.

According to KFC, kids become the future permanents customers and we know very well that without any
marketing strategy no marketing program and no product is successful because we depend upon customers,
customer not depend on us.

 KFC is following Niche Marketing and Societal Marketing techniques.

 KFC possess a western culture because some of the Indian people are also following that culture.

 KFC are moving from Divisional Level to the District level by opening branches.

 KFC also offer free home delivery.

 KFC open their outlets on reachable places.

 KFC menu consists of more than 30 products.

KFC gives more priority to Family.

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 S.W.O.T. ANALYSIS

SWOT analysis means Strength, Weakness, Opportunities and Threats. The S.W.O.T. analyses of KFC are:

STRENGTH

 Goodwill and reputation: The Company certainly has earned a good name and reputation by its
previous products and services in the market. It is even more recognized in other markets outside
India, where the company is among the leading fast food giants. The brand is recognized and trusted
in India for its quality products, price, and customer service. It therefore has a good head start and
enjoys a good chance of becoming a leader in Indian fast food industry.

 Employee Loyalty: Employee Loyalty is one of the major strengths of KFC. The turnover rate in the
company is amongst the lowest in the industry.

WEAKNESSES

 KFC was losing market share as other Chicken chain increased sales at a faster rate.

 KFC share of Chicken Segment sales fell from 71 percent 1999 , to less than 56 percent in 2009 , a 10
-years drop of 15 percent.

 Huge competition in this segment.

 India is still mostly a vegetarian dominated cultured society. South India is especially very much so.
This may reduce the market share of the company.

OPPURTUNITIES

 New Markets: Globalisation has opened doors for new markets for the company. As the developed
markets are mostly saturated, the developing countries like India and China promises a good market
and generation of demand in the future. With more than 70% of the markets in India being
unexplored and unorganized, KFC has a good scope of expanding its operations in the country.

21
  Cross Culture: Generally, there is a good acceptance of American culture of fast food in
India. People are opening up to fast foods more regularly in their daily lives and not just
keeping it a once in a month affair. Thus, Indian mindset is fast changing.

THREATS

 Competition: Competitor companies like McDonalds are fast catching up with the
market. McDonald’s with sales of more than 19 billion in 1999, accounted for 15 percent
of the sales of the nation’s top 100 restaurant chains.

Organisations like PETA People for Ethnic Treatment for Animals have given a bad name to the
company which may prove disastrous to the image of the firm. Currently, KFC is under massive
attacks from animal organisations, questioning the way KFC’s suppliers are threatening the
chicken, before they got slaughtered.

 KFC campaigns, such as the one from PETA are affecting KFC’s brand image in a
negative way and result in direct dollar losses, as less people are consuming KFC
chicken.

 Saturated US Market: Now KFC cannot rely on just its home market to generate sales. As
the US markets are already saturated and leave no or little scope for growth, company
necessarily needs to look at offshore foreign markets to generate sales and keep up the
profit

4 P’s of MARKETING in Case of KFC

1. PRODUCTION:
Basically the product is anything that be offered to a market for attention, acquisition, use, or
consumption that might satisfy a want or need. KFC is specially dealing in the chicken products;
Basically, KFC has the special raspy for chicken products that is why, KFC known as a chicken
specialist all over the globe. KFC target the Asia and east side because they observe that they
people are like the chicken products, so they enter in the market due to the demand of their
chicken products. KFC provides variety of product, those products are:
 Original recipe chicken

 Hot Wings

 Boneless Strips

 Hot & Crispy Chicken

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  Smoky Grilled Chicken

 Chicken Rice Bowl

 Veg Strips

 Veg Rice Bowl

 Veg Zinger Burger

KFC provides many more products in different sections such as Burgers, Rice Bowls, Snacks and
many more in veg and non-veg department.

2. PRICING:
KFC during pricing their products keep the different points in the mind like they adopt the cost
base price strategy. Pricing of the product includes the Government taxes and excise duties and
then they come at final stage of determine the price of their products. KFC prices of products are
a bit high according to the market segment and it is also compatible to the stander of their
products.

3. PROMOTION:

Promotion is one of the necessary plates in any form of business or in other words you can say
that promotion is the key of success. If you promote your product at the right time. KFC also
known the importance and significance of promotion so they uses the bill boards the major
source of advertisement and one of the most important thing that they uses media especially the
newspapers to promote their products. They are also creating awareness among the masses about
their existing product range as well they tell us about the future product.

Marketing efforts to be taken by the restaurant:

 Paste delivery posters at petrol pumps, flats, colleges, plazas, and departmental stores.
 Distribution of delivery flyers in residential areas, markets, plazas and institutions (as per
the plan).
 Visit offices and business places.

4. PLACEMENT
23
In the case of the KFC the placement of the product is not important but the placement of the
restaurant is important. The products of the KFC is cooked at the sport and then served after that.

 Free home Delivery´ strategy: They provide free home delivery to offices & homes.
Accessibility: Resulting in several outlets to cater to the needs of people in & around the
city.
 Hectic lifestyle: Due to the hectic lifestyle of office going individuals the fast food
concept saves time of preparing food and gives the customer a full meal quickly. Due
to KFC placing itself close to schools, colleges, cinemas and markets which are mostly
populated by the young and those who are in a hurry, KFC enjoys a large number of
footfalls every day.

Packaging
We are asked as many questions on our packaging as our products by our customers. The
Packaging for KFC products is chosen according to performance against three key criteria:

 Heat Retention

 Moisture removal

 Grease absorption
The packaging material and carton design are all adapted to maximize performance against these
three criteria.

24
Recycled Paper
All our clamshells and chicken boxes contain as much recycled material as it is legally allowed.
By law we are required to have virgin fiber board in any part of the packaging that is in contact
with food. Any virgin fiber comes from board suppliers who use pulp bought from managed
forest in Scandinavia. This ensures that any wood cut for paper production is replaced with new
plantings.

Environmental concerns
Over and above ensuring our packaging is supplied via recycled or renewable resources; KFC are
enthusiastically complying with the new environmental directives on recovery and recycling of
packaging waste

Branding
This research measured and compared the brand identity of Kentucky Fried Chicken (KFC) in
India. Brand identity was defined as the customer impressions of four different KFC identity
elements - properties, products, presentations, and publications. A survey of young consumers in
the countries showed that the respondents were more apt to eat within KFC restaurants, and
spend more time doing so, than the Americans. The Chinese also had much more positive
impressions of KFC. Brand identity impressions were correlated with overall customer
satisfaction and with future patronage intentions for both groups. These findings support a model
where differences in cultural frames of reference lead consumers to actively localize the brand
identity of this nominally globalized product.

Sales promotion
For the sales promotion KFC introduced their goods like watches, keychain, etc. to the
customers.

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 Chapter 2

REVIEW OF LITERATURE

Monika J.A. Schroder, (2005) in her research paper most respondents regularly purchased fast
food from one of the companies; purchases were mostly impulsive or routine, suggesting
relatively low‐level involvement in each case. While there was skepticism regarding the CSR
activity being promoted, expectations about socially responsible behavior by the companies were
nevertheless high. Four factors were isolated, together explaining 52 per cent of the variance in
fast‐food purchasing behavior. They were brand value, nutritional value, ethical value and food
quality.

Mintzberg, (2008) according to his research paper KFC is one of the largest franchise
companies. One of the branches of KFC consists of 100 employees. These business reports
critically underpin the issues which emerge during the processes, designs and supply chain of the
business. It will also unveil that how can KFC become the market leader and gain the
competitive advantage over all the rivals.

Krug, (2001) an initiative to seek new opportunities, a striving desire to achieve superiority, an
expanding enterprise and a vision: determinants which aid in defining the competence culture of
Kentucky Fried Chicken. The global fast-good industry while apart of various segments creates a
competitive market, one that chains are pushing to become superior.

Sudipta Kumar Jana, (2018) as per his research KFC’s brand experience is the entire customer
perception developed during the different phase of the pre purchase, purchase and post purchase
phase of the consumption process. Brand personality positively influences customers’
experiential value. Brand experiences and attitude are antecedents of brand equity and the
predictive power of brand experience is stronger than brand attitude for brand equity.

Manal Magdy Mohammed Hassan, (2019) according to his research the area in which families
live and where their ancestors originated influence food likes and dislikes. These food
preferences result in patterns of food choices within a cultural or regional group. Food items
themselves have symbolic value or meanings attached to them. This paper studies how KFC as a
brand target consumer internationally. More specifically, how KFC also alters, modifies and
changes their products under the same brand umbrella (KFC) in different countries with special
reference to India. This study is more about the strategies used to communicate images of their
brand rather than conduct an empirical study on a wide scale.

26
Udaya Narayana Singh, (2019) KFC has diversified and added many local flavors and cultures
into its original product and change in its branding and marketing strategy across the world. KFC
has targeted consumers globally by accommodating the local food culture into their menu. They
have a differential strategy while promoting offers which are different across the regions and also
take into consideration the parameters like age. KFC targets the youth specifically which is in
line with the Consumer Consumption Theory

Makam Balaji, (2011) in today’s market world, customer satisfaction has become a major issue
and sustaining a competitive advantage. Customer satisfaction is considered as an important part
of the firm's corporate strategy and a key driver of long-term consumer loyalty and market value.
Customer satisfaction leads to an increased price tolerance level, thereby potentially increasing
the consumers’ willingness to pay a price premium for products/services. With higher levels of
customer satisfaction, firms will be able to achieve higher levels of future cash flow, above-
market returns, lower customer transaction costs and increased shareholder value.

Ali Nasir and Huma Zafar, (2014) revealed that consumers who go to restaurant for family
celebration will often look for quality, environment, exceptional employee service and security
services. There is a possibility that consumers who go to restaurants for family celebration will
often ignore the high price of the restaurants, because they want high quality and pleasurable
environment for their celebration. Consumers who go to restaurants just because there is no one
to cook at home or they are far from their homes will often look for low price and they will
sacrifice the exceptional security and service and quality of food. The business people like family
celebration consumers will also focus more on quality and environment instead of low price
because they are business people and high quality is mostly in their budget. They can afford high
price for high quality.

27
 HYPHOTHESIS

There are several factors that may impact customer satisfaction at KFC.

 Quality of food: Customers are more like to by satisfied if the food they receive is of high
quality with good flavour and freshness.
 Service: Customers are more likely to be satisfied if they received good service from the
KFC staff, including being greeted in a friendly manner receiving their order quickly and
having their needs attended to in a timely manner.
 Cleanliness: Customers are more like to be satisfied if the restaurant is clean and well
maintained.
 Price: Customers are more like to be satisfied if they feel that they are getting good value
of their money.
 Convenience: Customers are more like to be satisfied if they are able to place their order
and receive their food quickly and easily, whether they are dining in a restaurant or
ordering for takeout of delivery.

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 Chapter 3

RESEARCH METHODOLOGY

In this chapter we include what is our research design, sample size & what is our population.
After this we include results of our research work than findings & customers suggestions as well.
Data Source
We used both primary and secondary sources of data
• Secondary Sources
• Primary Sources
• Questionnaire

Population
In our research convenience sampling method is being used and to select our research sample,
the target respondent has been selected using random sampling. Target audience has been
selected mainly from KFC’s.
The primary data are those which are collected fresh and for the first time and thus happen to be
original in character. The secondary data are those which have already been collected by
someone else and which have already been passed through the statistical process. The methods of
collecting are to be originally collected, while in case of secondary data the nature of data
collection work is merely of compilation We used both primary and secondary sources of data

PRIMARY SOURCE
In case of this report I collected the primary data during the course. The data was collected
through the survey method where the respondents were required to fill up the questionnaires.

SECONDARY SOURCE
Secondary data means the data already available, which has already been collected and analyzed
by someone else. It includes the published data available in the form of:
• Various publications
• Journals

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 • Books, magazines, Newspapers
• Internet

During my project work I did collected the secondary data from all these sources.

TOOLS USED IN SURVEY

The various tools used in conducting the survey are as follow:
• Observation Method
• Questionnaire

OBSERVATION METHOD
Observation method is the most commonly used method. Observation becomes a scientific tool
and the method of data collection for the researcher when it serves a formulated research purpose
systematically planned and recorded and is subjected to checks and controls on validity and
reliability under the observation without asking from the respondent

QUESTIONNAIRE METHOD
This method of data collection is quite popular in case of big queries. In this method a
questionnaire is presented to a concerned person with a request to give answers of the questions.
The general form of questionnaire can be either structured or unstructured. Structured
questionnaires are those in which there are definite, concrete and predetermined questions. When
these characteristics are not present in the questionnaires, it is termed as unstructured. The
questions included can be in the form of closed ended which involves choice of answers or it can
be open ended questions which asks for the respondents personal opinions and views.

Sampling Method
Convenience sampling will be used for drawn sample.
Sample Size
Sample size 100 is selected in order to conduct this research

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 Chapter 4

PROFILE OF STUDY

KFC (short for Kentucky Fried Chicken) is an American fast food restaurant chain
headquartered in Louisville, Kentucky, that specializes in fried chicken. The chain is a subsidiary
of Yum! Brands. KFC was founded by Colonel Harland Sanders, an entrepreneur who began
selling fried chicken from his roadside restaurant in Corbin, Kentucky, during the Great
Depression. Sanders identified the potential of the restaurant franchising concept, and the first
"Kentucky Fried Chicken" franchise opened in Utah in 1952. KFC popularized chicken in the
fast-food industry, diversifying the market by challenging the established dominance of the
hamburger. By branding himself as "Colonel Sanders", Harland became a prominent figure of
American cultural history, and his image remains widely used in KFC advertising to this day.
However, the company's rapid expansion overwhelmed the aging Sanders, and he sold it to a
group of investors led by John Y. Brown Jr. and Jack C. Massey in 1964.

History

KFC was one of the first American fast-food chains to expand internationally, opening outlets in
Canada, the United Kingdom, Mexico, and Jamaica by the mid-1960s. Throughout the 1970s and
1980s, it experienced mixed fortunes domestically, as it went through a series of changes in
corporate ownership with little or no experience in the restaurant business. In the early-1970s,
KFC was sold to the spirits distributor Heublein, which was taken over by the R.J. Reynolds
food and tobacco conglomerate; that company sold the chain to PepsiCo. The chain continued to
expand overseas, however, and in 1987, it became the first Western restaurant chain to open in
China. It has since expanded rapidly in China, which is now the company's single largest market.
PepsiCo spun off its restaurants division as Tricon Global Restaurants, which later changed its
name to Yum! Brands.

KFC is known for its slogans "It's Finger Lickin' Good!", "Nobody does chicken like KFC",
and "So good".

Target Market of KFC

As the outlets of KFC are in posh area and prices are too high (overhead expenses-rent, air
conditioning, employees) So, KFC targets upper and middle classes. Target market depends upon

31
size and growth rate of population, Company resources and structural attractiveness of market
segment.

Hectic Lifestyle of individuals

• Persons who have hectic lifestyle & spend more time at work, KFC provides them less stress
about waiting for food.

Quality Conscious
• People who are more conscious about the quality of the food, KFC provide them quality
food.

Placement of Outlets
• Due to KFC placing itself close to schools, colleges, cinemas and markets which are mostly
populated by the young and those who are in a hurry, KFC enjoys a large number of footfalls
every day. In addition, they also have outlets close to non-vegetarians.

KFC’s Strategies
Given the competitive nature of fast food joints, KFC uses the Push Strategy (pushing product
through advertisements, promotions etc.) to help them create:-

Awareness
Awareness is established among masses about new promotional schemes on various items of
KFC via banners and billboards. Customers are informed about different price ranges, deals and
their associated timings via advertisements even on home delivery services by providing deal
brochures along with the food supplied. Their customers representatives are also advertise
various deals and promotional schemes.

Be different
KFC has customized the products with local touch e.g. soups and spices are added with the
regional trends

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Sound attractive
KFC sounds attractive not only in food, but also provides interesting and innovative toys with
family deals. It also provides attraction to the visiting kids by providing play area for the kids.
KFC also provides Internet facility for their customers.

Pricing Strategy
KFC globally enters the market using market skimming. Their products are priced high and
target the middle to upper class people. Gradually they trickle down the prices focusing on the
middle to lower class people to penetrate both sides of the market.

Cost Based Strategy

KFC price their product keeping different points in view. They adopt the cost based price
strategy. Pricing of the product includes the govt. tax and excise duty and then comes the final
stage of determine the price of their product. The products are bit high priced according the
market segment and it is also comparable to the standard of their product. In the cost based
method we include the variable and fixed cost.

Menu of KFC
• Burger: - Zinger burger, Veg Zinger burger, KFC favorites meal, combos etc.

• Rice Bowls: - Popcorn rice, Smoky rice, Chicken rice, Veg rice etc.
• Snacks: - large popcorn, Chicken Wings, Chicken boneless strips, Hot & crispy, Smoky
Grilled etc.
• Chicken: - Hot & Crispy, Smoky Grilled, Meals etc.
• Drinks: - Pepsi can, Pepsi bottle, Red Bull etc.

Vision statement of KFC

"To sell food in a fast, friendly environment that appeals to price conscious, health-minded
consumers."

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 Mission statement of KFC
“Their mission is to become the leading kitchen offering convenient meals, and feeding
every family with a sweet tasting meal.”

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 Chapter 5

DATA INTERPRETATION

Analysis & results of the study

1. Gender

Gender No. of Responses Percentage (%)

Male 51 51%
Female 49 49%
Total 100 100%

Gender
Male Female

49%
51%

Interpretation
51% Males love to go KFC whereas female percentage is 49%

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 2. Age

Age No. of Resposes Percentage %

15-25 72 72%

25-35 14 14%

35-45 10 10%

45 and above 4 4%

Total 100 100%

Age
15 - 25 25 - 35 35 - 45 45 and above
4%

10%

14%

72%

Interpretation
15-25 age groups of people love to go KFC their percentage is around 72%, whereas 25-35 age
group of people’s percentage is 14%.

35-45 age group of people’s percentage is 10% whereas 4% is for age group of 45 and above.

36
 3. Income

Income No. of Responses Percentage

10000 – 25000 56 56%
25000 – 50000 24 24%
50000 and above 20 20%
Total 100 100%

Income
10,000 - 25,000 25,000 - 50,000 50,000 and above

20%

24% 56%

Interpretations :

56% of people having income from 10,000 – 25,000 love to visit KFC, whereas people having
income from 25,000 – 50,000 is 24%

20% people having income 50,000 and above visit KFC the least.

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 4. Area of Residence

Place No. of Resposes Percentage (%)

Kurla 49 49%

Sakinaka 8 8%

Ghatkopar 38 38%

Vidya Vihar 5 5%

Total 100 100%

5% Area of Residence
Kurla Sakinaka Ghatkopar Vidya Vihar

38% 49%

8%

Interpretation

People residing in Kurla love to go KFC and their percentage are 49%, for the people residing in
Ghatkopar their percentage is 38%, whereas for the people residing in Sakinaka the percentage
is 8% and for people residing in Vidya Vihar the percentage is 5%.

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 5. Do you like fast food

LIKABILITY No. of Reponses Percentage

Yes 91 91%

No 9 9%

Total 100 100%

Likeability
Yes No

9%

91%

Interpretation

Fast food is known as a quick service restaurant, in daily routine

tough life people will like to buy fast food to preserve their time. As
per our research 91% respondents of our sample size like fast food
& 9% respondents do not like fast food.

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 6. Which kind of fast food you buy more often.

Preference No. of Responses Percentage %

Burger 35 35%

Pizza 42 42%

Sandwich 23 23%

Total 100 100%

Preference
Burger Pizza Sandwich

23%
35%

42%

Interpretation
42% people love to eat Pizza
35% people love to eat Burger
23% people love to eat sandwich
 7. What would you prefer

Preference No. of Responses Percentage%

Non-veg 80 80%

Veg 20 20%

Total 100 100%

Preference
Non-veg Veg

20%

80%

Interpretation

80% people are Non-vegetarian

20% people are Vegetarian

 8. How often do you visit KFC

Visiting Frequency No. of Responses Percentage %

Occasionally 65 65%

Monthly 31 31%

Weekly 4 4%

Total 100 100%

Visiting Frequency
Occasionally Monthly Weekly
4%

31%

65%

Interpretation
65% People Visit KFC Occasionally
31 % people visit KFC Monthly
4% people visit KFC weekly
9. Do you find KFC product price reasonable

Price No. Of Response Percentage (%)

Yes 65 65%

No 35 35%

Total 100 100%

Price
Yes No

35%

65%

Interpretation:

65% People feel that KFC provide food in reasonable price.

35% People feel that KFC does not provide food in reasonable price.
 10. With who do you prefer to visit KFC

Visiting KFC With No. of Responses

Percenatge (%)
Alone 11 11%

Family 26 26%

Friends 63 63%

Total 100 100%

Sales

21 Recommendations
Yes
No
79

Interpretation
63% people love to go KFC with Friends
26% people love to go KFC with family 11%
people visit KFC alone.
 11. Do you recommend to your friends and family to visit
KFC

Recommendations No. of Responses

Percentage (%)

Yes 79 79%

No 21 21%

Total 100 100%

Recommendations

21
Yes
No

79

Interpretation
79% people recommend KFC to their Friends.
21% people do not recommend KFC to anyone else
 12. Does KFC staff take care of its customers?

Taken Care of Customer No. of Responses Percentage

Strongly Disagree 1 1%
Disagree - -
Neutral 35 35%
Agree 53 53%
Strongly Agree 11 11%
Total 100 100%

Taken Care of Customers

Strongly Disagree Disagree Neutral Agree Strongly Agree
1% 0%

11%

35%

53%

Interpretation
53% respondents are agreeing that KFC’s staff takes care of its customers. 11% respondents are
strongly agreeing that KFC’s staff takes care of its customers. 35% respondents have neutral
opinion. 11% respondents strongly disagree with this stat.

46
 13. Do you think KFC provides the best fast food

Food Quality No. of Responses Percentage (%)

Strongly Disagree 1 1%
Disagree 8 8%
Neutral 46 46%
Agree 39 39%
Strongly Agree 6 6%
Total 100 100%

Food Quality
Strongly Disagree Disagree Neutral Agree Strongly Agree
1%
6% 8%

39%

46%

Interpretation
45% People agreed that KFC provide best Fast Food
9% people thinks that, KFC Does not provide quality FOODS.
46% people think, KFC AS Neutral.

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 14. Do you think KFC provides neat & clean environment.

KFC Environment No. of Responses Percentage (%)

Strongly Disagree - -
Disagree 2 2%
Neutral 20 20%
Agree 66 66%
Strongly Agree 12 12%
Total 100 100%

Environment
Strongly Disagree Disagree Neutral Agree Strongly Agree
2%
12%

20%

66%

Interpretation

66% people agree that KFC provide neat & clean environment.

20% people say that KFC is neutral in terms of environment.

12% people are strongly agreeing with the environment of KFC.

2% people disagreed with the environment provided by KFC.

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 Chapter 6

FINDINGS

From the whole research the team members have got following major findings.

 Likeness of fast food is there among the people & almost one third of the population.

 On average males visit KFC more often than females.

 People do agree that price of KFC is economical

 As per findings people having age between 15 to 25 have more interest to visit KFC.

 According to our survey people like the taste & quality of KFC’s chicken burger.

 As per the finding we conclude that people of Kurla like pizza more often than other fast
food like sandwiches, burgers etc.

 As per the finding people of Kurla like the ingredients of KFC.

 As per the findings we conclude that people of Kurla agree that KFC is providing neat &
clean environment.

 As per the findings we conclude that people are agreeing that KFC providing hygienic
food.

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 RECOMMENDATIONS

 KFC should provide parking facility to its customers it becomes a competitive edge for
KFC.

 Some products of KFC like twister, family feast, hotshots, wings, rice are good not
excellent. KFC should increase the best level of taste for all these products.

 KFC should provide a place for birthday parties.

 KFC provide low fat menu.

 KFC management to take care of quality of service and make sure you have proper
equipment to serve the orders.

 KFC should further uphold its quality standards, deliver superior customer service and
create values.

 KFC should create more attractive and satisfying environment for customers.

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 CONCLUSION

KFC is one of most successful companies in the world today. With its rapid embracement of
globalization, the firm has been able to expand and retain numerable growth; as well as
continuing to explore with its growth potential in the coming years. From the beginning of the
company’s development in the United States, to its spread in England, Australia and more
recently India and China, the firm has been able to provide a variety of food products and other
to its consumers. From the Smoky Chicken Grilled, to the Rice Bowlz, the company‟s
successive strategies, specifically with heavy research and development have allowed it to fulfill
the tastes of locals in every country it operates. KFC has provided its customers with wide
variety of products and has performed very well on the scale of customer satisfaction. While
performing the survey it has been noticed that people love fast food especially non – veg. People
of a specific area known as Kurla have the highest number of customers followed by Ghatkopar.
People of all the age loves to have something spicy in terms of food. There is a bit disadvantage
to KFC and that is its feedback responses. KFC understands customers problem but reacts too
slow or takes quite a long time to implement the said feedback by customers. Its leaders in all of
its major departments have established prices worldwide in all types of currencies, making its
foods affordable for customers of all classes. The company’s challenges of providing healthier
foods to its patrons have contributed to its financial success, thus enabling loyal consumers. In
certain countries, such as India and China, eating at a KFC has become a luxury, primarily
among the middle class, who feel a sense of empowerment that they too can afford to eat at
quality restaurants. However, as the company continues to settle into its new environments, it
will slowly cater to the lower class, as can be seen in the United States. The strategies developed
by its experts, thus allows for the company to increase in revenues, quality, and bring about
consumer satisfaction.

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 BIBLIOGRAPHY

1. “KFC Kentucky Fried Chicken”/ grilled twister

2. KFC, "Yum 2010 Annual Report" (PDF).

http://www.yum.com/annualreport/docs/annualReport08.pdf.

3. http://www.scribd.com/doc/19080033/Kentucky-Fried-Chicken-KFC-Marketing-
Mixfour-Ps

4. Nation's Restaurant News.

http://findarticles.com/p/articles/mi_m3190/is_n8_v25/ai_10403447/. Retrieved 2007-08-

24

5. http://www.KFCresearchandmarkets.com/research/759b86/kfc_benchmark_anal

6. https://online.kfc.co.in/menu

7. https://en.wikipedia.org/wiki/KFC

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 QUESTIONNAIRE

1. Gender

o Male
o Female

2. Age

o 15-25
o 25-35
o 35-45
o 45 and above

3. Income

o 10,000 – 25,000
o 25,000 – 50,000
o 50,000 and above

4. Area of Residence

o Kurla
o Sakinaka
o Ghatkopar
o Vidya Vihar

5. Do you like fast food?

o Yes
o No

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6. Which kind of fast food you buy more often?

o Burger
o Pizza
o Sandwich

7. What would you prefer?

o Non – Veg
o Veg

8. How often do you visit K.F.C.?

o Occasionally
o Monthly
o Weekly

9. Do you find K.F.C. product price reasonable?

o Yes
o No

10. With whom do you prefer to visit K.F.C.?

o Alone
o Family
o Friends

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11. Do you recommend to your friends and family to visit KFC?

o Yes
o No

12. Does KFC staff take care of its customers?

o Strongly Disagree
o Disagree
o Neutral
o Agree
o Strongly Agree

13. Do you think KFC provide the best fast food?

o Strongly Disagree
o Disagree
o Neutral
o Agree
o Strongly Agree

14. Do you think KFC provide neat & clean environment?

o Strongly Disagree
o Disagree
o Neutral
o Agree
o Strongly Agree

55