KFC fast food

it has grown to become a true multi-domestic company. . it is present in various countries around the world and it has been able to establish a renowned International reputation in multiple continents. KFC has focused on foreign markets since the 1960s and has found a new challenge today in conquering Asia.INTRODUCTION OF KFC Kentucky Fried Chicken is one of the largest fast food Franchise concepts of today. Starting in the United States in the 1930s.

1890) at the age of sixty-five. . KFC® is currently one of the largest businesses of the global food service industry and is widely known around the world as the face of Colonel Sanders. Every year. The Colonel had spread his industry to more than 80 countries and territories globally.HISTORY The Kentucky Fried Chicken® was founded by Colonel Harland Sanders (born on September 9. over a billion KFC® chicken dinners are served featuring the Colonel’s “finger licking’ good” special recipe.

Listed on the NYSE 1971. Sold his interest to Massey & Brown for $2 million. Inc. KFC was acquired by Heublein Inc. NOW:  Yum Brands. PepsiCo. Heublein & KFC Inc.  .7 Billion $.00 1964. RJ Reynolds & KFC. $840 million. spined-off it to Tricon Global Restaurants. Col. . 1997. was acquired by RJ Reynolds 1986. Inc. 1964. 1966. Inc.500 in more than 100 countries and territories. is the world's largest restaurant company in terms of system units with nearly 32.7 Billion $ in 58 years 1952. Sanders started franchising his recipe door to door financed by $105. for $285 million. 2002. was acquired by PepsiCo. KFC went public 1969.KFC’s Journey From $105 to 9. Current Market value of the Yum Brands on the NYSE is 9. Col Sanders had more than 600 franchised outlets in the US and Canada. 1982. Inc. Tricon changed it's corporation name to Yum! Brands.

4 billion in 1999. with sales of 4. Generate $1B each year . KFC customer base remained loyal to the KFC brand because of its unique taste. Ranks highest among all chicken restaurant chains for its convenience and menu variety. Strong trademarks recipes. Despite gain by Boston Market and Chick-fill A. KFC has continued to dominate the dinner and take out segment of the Industry.SWOT ANALYSIS STRENGTHS KFC continued to dominate the Chicken Segment.


WEAKNESSES KFC was loosing market share as other Chicken chain increased sales at a faster rate. Lack of knowledge about their customers. to less than 56 percent in 1999. which was only growing at about 1 percent per year. . a 10-years drop of 15 percent. Failed to rank in top 20 in growth in 2000. KFC leadership in U.S market was so extensive that it had fewer opportunities to expand its U. Question of over franchising leads to loss of control and quality. KFC share of Chicken Segment sales fell from 71 percent 1989. Lack of focus on R&D.S restaurant base.

Per store sale at Burger King remained flat and Hardee’s per store sale declined by 10 percent. In 1999. Friend’s and Shoney’s were forced to shut down restaurants because of declining profits. Within the Pizza Segment. Pizza Hat and Little Caesars Closed underperforming restaurants. with a 16 percent market share.OPPORTUNITIES McDonald’s accounted for 35 percent of the Sandwich Segment while Burger King ran a distant Second. Boston Market soon entered Bankruptcy proceedings. Boston Market was a new restaurant chain that emphasized roasted rather than fried chicken. Baby boomers aged 35 to 50 constituted the largest customer group for fast-food restaurants. Church’s broadened its menu to include buffalo chicken wings. . macaroni and cheese. beans and rice and collard greens. In family Segment.

KFC nearest competitor Popeye. In Family Segment. Steak n Shake and Cracker Barrel expend its restaurant by more than 10 percent.THREATS McDonald’s with sales of more than 19 billion in 1999. In early 1990s’ many industry analysts predict that Boston Market would challenge KFC for market leadership. . accounted for 15 percent of the sales of the nation’s top 100 restaurant chains. Boston market and Chick-fil-A market share gains were achieved primarily by taking customer away from KFC.5 million per year. McDonald’s generated per store sale 1. Popeye’s replaced Boston market as the second largest chicken chain in 1999.0 billion. ran a distant second with sales of 1. Much of the growth in dinner houses came from new unit construction in suburban market and small town.

KFC had largest market share of fast food chains in Maxico. because their production plants in Maxico were utilizing local resources. But financial constraints restricted KFC from doing so. New Competitors like Habib’s and Wendy’s were establishing new restaurants in Maxico. Devaluation of Peso does not effected KFC. KFC focus on strengthening its position in Maxico & Carabian Only. .FINDINGS AND RECOMMENDATIONS FINDINGS KFC was trying to increase market share in other regions of South America beside Maxico & Carabian.

which enables it to control quality. An a peeling business model and good strategy has golden opportunity to shape the rules and establish itself as the recognize market leader.RECOMMENDATIONS If KFC could increase company own restaurants. On the other hand if company operated franchise based restaurants throughout Latin America. KFC could make strategic alliances with key suppliers to gain advantage over competitors in the market. its brand image could be build and its competitors will be loosing first more advantage. so its growth is high and entry barriers are low. Latin American markets is developing markets. services and restaurant cleanliness. . Therefore more capital is needed.




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