Fast food restaurants are popular among the consumers nowadays. Many fast food restaurants are trying to serve the needs in the market as people seek for quick and convenient place to eat. Due to the fact that there are a huge amount of fast food chains available in the global market, fast food companies have to strive for success. Just by providing quick and convenient style of eating for the customers is not sufficient to stay competitive. This is why it is interesting to study and learn about a fast food company that stands out in such a competitive environment. What has KFC China been doing to become successful? What marketing strategies did they use to dominate the market? We shall find out in the following sections. History and General Background KFC is one of the most popular fast-food restaurant chains by the Yum! Brands and fried chicken is what the company specializes. KFC was founded by Harland Sanders, which was later known as Colonel Sanders. Moreover, KFC was one of the first fast-food restaurant chains to expand internationally, including the opening outlets in Beijing, China, in November 1987 (KFC Website, 2013). The fact that KFC was the first Western fast food company in China makes it very challenging to satisfy the Chinese market. Trying to sell the same products or services is a typical approach to most foreign expansion for franchise businesses (Bell, 2011). However, one-size fits all approach is not what KFC chooses to apply for their company. According to Shelman, the writer of the case study regarding KFC’s Explosive Growth in China, key success for KFC China is to change the menu to suit Chinese tastes and style of eating (Starvish, 2011). “One of the lessons I take away from this case is that to ... ... middle of paper ... .../14/the-8-strangest-offerings-at-kfc-china KFC Website. (2013). Responsibility. Retrieved from http://www.kfc.com/about/responsibility.asp Liu, W. (2008). When in rome: the key to KFC’s success story in China. Retrieved from http://www.businessforum-china.com/management_article_detail.html?articleid=355&nowpage=1 Oches, S. (2013). The qsr 50. Retrieved from http://www.qsrmagazine.com/reports/qsr-50-0 Starvish, M. (2011). KFC’s explosive growth in China. Retrieved from http://hbswk.hbs.edu/item/6704.html Yum CSR. (2012). KFC linhyin Hangzhou leed gold restaurant & KFC jingpan shanghai leed gold restaurant. Retrieved from http://www.yumcsr.com/environment/green-building-examples.asp Zhou, L. (2012). Cultural adaptation pattern analysis of McDonald’s and KFC in the Chinese market. Retrieved from http://www.diva-portal.org/smash/get/diva2:534795/FULLTEXT01.pdf
Chinese restaurants have some good and bad qualities, but both do well in their own situation.
Many people all over the United States identify Panda Express as not only authentic but also the best Chinese food they have ever had. However, it is initially important to understand that Panda Express is not real Chinese food and incomparable to cuisines found in China. By exploring the impact of American culture and its’ effects on Chinese food in America, it will shine light on Panda Express’ authenticity. The importance of this research lies in clarifying the false perception people have about Panda Express. It will elucidate how American culture influences a Chinese restaurant to acclimate and cater to
On one side, menu items of Chinese restaurants change a lot when the Chinese immigrants came to the United States. For instance, authentic Chinese restaurants does not have General Tso’s Chicken and fortune cookies. The dish of General Tso’s Chicken is originally from America. Since the General Tso’s chicken has a same name with a famous Chinese statesman in the last century. Most people think it is authentic Chinese food. But actually, it is inauthentic Chinese food. There is a joke of this disk. That is even Zongtang Zuo does not eat General Tso’s chicken because of the dish of name is from Zongtang Zuo (“The Strange Tale”). The other is fortune cookies. People do not eat fortune cookies after they finish all dishes in China because there are cultural differences. In China, the Chinese restaurants has not a traditional culture which eats fortune cookies after finish eating all dishes. Also, the cold water does not exist at the dinner table in China. Hot water is almost always served (Xiaoyu Yan). But, the cold water absolutely appeared in the Chinese restaurants in the United States. Even the authentic menu items do not include either fortune cookies or General Tso’s Chicken. On the other side, Chow Mein is a traditional Chinese food. But, the chef changes the cooking process of Chow Mein in the United States. The reason is the owner of restaurant wants to adapt
Watson proves that the uncertainties of if Hong Kong would be able to stand true to their heritage is nothing to worry about. He states that the people of Hong Kong “have most assuredly not been stripped of their cultural heritage”. In fact, Watson explains that Hong Kong is not being taken over by the American way, but is simply embracing their already heterogeneous culture. Through his discussions on the changing views of the food, dining customs, and traditions we learn that McDonald’s was forced to adapt to the culture of Hong Kong just as much as the people of Hong Kong needed to expand their familiarities to accept McDonalds.
The fast food restaurant industry, which includes quick-service and fast-casual restaurants, is highly segmented with the top 50 companies accounting for only 25% of the industry’s sales. The $120 billion industry includes over 200,000 restaurants with 50% of those specializing in hamburger entrees. (hoovers.com 2008) The major competitors in the industry include McDonald’s, Burger King, Taco Bell, Subway, and KFC – Chick-fil-A’s major competitor in chicken sales. Chick-fil-A’s unique position in the market, specializing in chicken-based entrées, has lead to a competitive advantage which the company has been able to capitalize on. Recently, many competitors have added chicken entrees in order to compete in the market segment. Through marketing strategies and company initiatives, Chick-fil-A has tried to stay distant from competitors, offering a fresh alternative to the ordinary fast food restaurant.
Not only are Korean cosmetics gaining popularity due to dramas, but Korean food has also spread its wings. In China, fried chicken and beer became immensely popular due to the drama You Who Came from the Star. Customers waited three hours in line to buy fried chicken and beer at different restaurants in making the income shoot up compared to the previous income from the year before (Chen Tian, 2014).
KFC is chicken restaurant chain which is fast food. That is the most popular and has many chains around the world. Now KFC is business successful but it was failed that is interesting how KFC become successful after failed. The cause KFC failed marketing result from goes forward in the wrong direction. By 2005, KFC fall into a difficult situation, sales slump, the reduce consumers this result from poor performance both the challenges category and challenges brand itself. The category challenges, health agenda had trendy in that time people focus on healthy food so KFC is fast food it not popular in consumer. The challenges brand itself that is problem
BR was sold to Delta Foods in 1996 for US $2 billion. At this time, it was one of the largest fast-food chains in the world generating sales of US $6.8 billion. DF purchase of BR brought in a new cultural paradigm. DF is an individualistic, aggressive growth company with brands they believe are strong enough to support entry into new overseas markets without the need for local partnership. The DF strategy is one of direct acquisition and JV’s were not part of their strong suit. DF strategic implementation is based on hiring local managers directly or transferring seasoned managers from their soft drink and snack food divisions. The DF disdain for JVs is clearly reflected by their participation in only those JVs where local partnering was mandatory (e.g. China) to overcome regulatory barriers to entry. JVs had been the predominant strategy for BR which was unlike the DF outlook. Terralumen’s strategy was misaligned and out of sync with the DF strategy. This was unlike the complementarity that existed with BR’s strategy. This misalignment began to affect the JV relationship that had worked well with BR in the initial years. The failure of Terralumen and DF to recognize this fundamental cultural difference between their operational strategy styles i.e. Individualistic and Collectivism leads to their inability to proactively create steps for better alignment in the early period after acquisition, creating uncertainties and difficulties for both corporations. There is a lack of communication and virtually absence of trust between two new partners. DF appeared to be flexing its muscles in the relationship and using a more masculine approach compared to Terralumen’s more feminine approach. Both the corporations are strategically involved in a complex situation where they appear reluctant to address the issues at stake and move ahead together. The DF strategy of
This particular case is about the implementation of the popular fast-food chain, Burger King, into the Japanese market. Despite its’ strong market position in other countries, Burger King has some difficulties to face within the Japanese market. In this report, my team and I will analyze Burger King’s current situation and problems and suggest alternatives.
Now days , the customers so awareness of the fast food industries and its ingredients like no effected, no allergy, fresh, pure and others food which will be available on time in related area. Such sort of features are provided by burger fuel and the government policy of china is also welcoming to the foreign investor. It means the government policy is favorable for the foreign investor and franchisor. For instance, the competitors like burger kings, KFC are there in china. Therefore the burger fuel also enter into the Chinese market thorough the franchise and local partnership. Franchising is a rapidly increasing model for business expansion in the retail sectors like fast food industry and it is going to be making their own market in growing service sector of the Chinese economy in the years to come. The growth of modern retail trade has been the driving force behind it. The old age population are very low in china but the active population is very high at the age group 25-54 years is 47.2% (male 327,130,324/ female 313,029,536). Therefore, the target age group is18-35 years, employed and those people are eager to eat at outside. The burger fuel is also totally focus to
CHANGING PREFRECE depended vastly on the fast food manus. For example we can mention about SALAD. Now salad was never considered as a part of fast food menu. But with the change of taste and preference, fast food chains like Windy, Taco Bell, and McDonald have introduced SALAD into their menus. This preference is not stopping only with salads. In 2002, McDonald’s introduced great tasting new products including premium salads, n salads plus menu; Chicken McNuggets made with white meat; Fish McDippers; Chicken Selects; and new breakfast offerings like the McGriddle sandwiches. Here as a fast food chain, McDonald did not have to introduce new dishes in their menus but with the impression and image in the market analysis, of increasing demand and chan...
... conclusion, to compete with the intense competition in today’s fast-food market, KFC China differentiates the company by being innovative. Three significant innovative strategies are localizing the menu, understanding the Chinese culture, and hiring local management. KFC demonstrates that one size fits all approach in the global market does not always work. Many typical Western approach to foreign expansion is to deliver the same products or services as their original establishment. For instance, Domino’s Pizza, an American restaurant chain, nearly failed in Australia due to the underestimation of the need to adapt their offerings to the local tastes. KFC China offers important lessons for global firms. It is essential to know that to what extend the company should keep the existing business model in emerging markets and to what extend it should be thrown away.