JUN
5
COMPETITIVE ADVANTAGE KFC
http://blogs.ubc.ca/abhinavsharma/files/2010/10/KFC-Competitive-Advantage-300x300.jpg
Company Profile
KFC (Kentucky Fried Chicken) is a fast food restaurant chain headquartered in Louisville, Kentucky, United States, which specializes in fried chicken. An "American icon", 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. The company is a subsidiary of Yum! Brands, a restaurant company which also owns Pizza Hut and Taco Bell.
KFC was founded by Harland Sanders, 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 marketing himself as "Colonel Sanders", Harland became a legendary figure of American cultural history, and his image remains prominent in KFC branding. However, the company's rapid expansion saw it grow too large for Sanders to manage, and in 1964 he sold the company to a group of investors led by John Y. Brown, Jr. and Jack Massey.
KFC was one of the first fast food chains to expand internationally, opening outlets in England, Mexico and Puerto Rico by the mid-1960s. Throughout the 1970s and 1980s, KFC experienced mixed fortunes domestically, as it went through a series of corporate owners who had little or no experience in the restaurant business. In the early 1970s, KFC was sold to the spirits firm Heublein, who were taken over by the R.J. Reynolds food and tobacco conglomerate, who sold the chain to PepsiCo. The chain continued to expand overseas however, and in 1987 KFC became the first Western restaurant chain to open in China. The chain has since expanded rapidly in China, and the country is now the company's most profitable market. PepsiCo spun off its restaurants division as Tricon Global Restaurants, which later changed its name to Yum! Brands.
KFC primarily sells fried chicken pieces and variations such as chicken fillet burgers (chicken sandwiches [US]) and wraps, salads and side dishes such as French fries and coleslaw, desserts and soft drinks, often supplied by PepsiCo. Its most famous product is pressure fried chicken pieces, seasoned with Sanders' "Original Recipe" of 11 herbs and spices. The exact nature of these ingredients is unknown, and represents a notable trade secret. Larger portions of fried chicken are served in a distinctive cardboard "bucket", which has become a signature of the chain since being introduced by franchisee Pete Harman. KFC is known for the slogan "finger lickin' good", which has since been replaced by "Nobody does chicken like KFC" and "So good".
Operations
KFC is a subsidiary of Yum! Brands, one of the largest restaurant companies in the world. While Yum! does not offer individual figures for its restaurant brands, KFC's 2011 sales revenue was estimated at $15 billion. KFC has its headquarters in Louisville, Kentucky, United States, in a building on 1441 Gardiner Lane known colloquially as "The White House" due to its resemblance to the Washington, D.C. building. Headquarters include executive offices and the company's research & development facilities. KFC is incorporated in the U.S. state of Delaware.
As of 2012, there were over 18,000 KFC outlets in 120 countries and territories around the world: 4,200 in China, 9,000 internationally and 4,600 in the United States, with China accounting for 49 per cent of revenue. All restaurants are furnished with images of Colonel Sanders. As well as dine-in and take-out, many KFCs offer a drive-through option. KFC offers a limited delivery service in a small number of markets, mostly in densely populated areas such as Singapore. KFC was described in 2012 by Bloomberg Businessweek as a "muscular player" in developing regions, specifically Africa, China and India, while noting its falling market share in the United States to rivals such as Chick-fil-A and Popeyes.
China
http://upload.wikimedia.org/wikipedia/commons/thumb/f/fb/Kfc_of_china.jpg/170px-Kfc_of_china.jpg
A KFC in China, displaying the 1997 – 2006 logo
KFC pioneered Western-style fast food in mainland China when it opened its first outlet in Beijing in November 1987. It is the largest restaurant chain, with 4,260 branches, and China is one of the only countries in the world where McDonald's is not the dominant fast food chain. Clifford Coonan of The Irish Times described the chain as "by far the most pervasive symbol of Western culture in China." KFC believes it has been successful in China because it has adapted its menu to suit local tastes, offering such items as rice congee, egg custard tarts and tree fungus salad, with an average of 50 different menu items per store. Chinese consumers enjoy spicy chicken, and the Zinger burger is the highest selling menu item. Another item is the Dragon Twister, a wrap that includes fried chicken, cucumbers, scallions, and duck sauce. The chain is aided in that fried chicken has been a staple Chinese dish since antiquity, whereas rival chain offerings such as hamburgers are foreign and relatively unknown. The chain has adapted to a market in which, as of 2010, there were only three restaurants per million of population in contrast to the sixty per million in the United States: stores are two to three times larger than American (and European) outlets; many are open 24 hours a day and provide home delivery; and two new products are released each month. Warren Liu, a former vice-president of Tricon Global Restaurants (the KFC parent company) argued that, "being the first ... has continued to provide KFC with a substantial competitive advantage." Ninety per cent of Chinese sites are company owned, in contrast to just 11 per cent internationally. The chain immediately set itself apart in the late 1980s when it hired managers from emerging Asian economies rather than importing American managers. KFC also created its own distribution infrastructure, as none existed previously. After this start, the chain's continued growth in the region can be largely credited to Yum! chief executive David Novak, who expanded 100 stores in 1997 to 4,800 in 2013. Since 2006, Yum! has also operated the East Dawning chain, which incorporates Chinese cuisine alongside the traditional KFC menu items.
In 2008, David Novak said that he envisioned eventually operating more than 20,000 restaurants in China, saying: "We're in the first inning of a nine-inning ball game in China". At the start of 2008, the chain added its first Chinese street snack to its menu, the youtiao. The street snack menu was expanded in 2010 with the addition of the shaobing. In August 2010, KFC China had its biggest product launch to date: the Rice Bowl heralded the arrival of rice as an accompaniment across the chain. In December 2012, the chain was hit by allegations that its suppliers injected antiviral drugs and growth hormones into poultry in ways that violated food safety regulations. This resulted in the chain severing its relationship with 100 suppliers, and agreeing to "actively co-operate" with a government investigation into its use of antibiotics. KFC China sales in January 2013 were down 41 per cent against the previous year.
United States
http://upload.wikimedia.org/wikipedia/commons/thumb/d/d9/2011-01-28_KFC_Taco_Bell_in_Morrisville%2C_NC.jpg/220px-2011-01-28_KFC_Taco_Bell_in_Morrisville%2C_NC.jpg
The basic model for KFC in the United States, not necessarily duplicated elsewhere, is a focus on low prices, a limited menu (29 items on average) and an emphasis on takeout. Many KFC locations are co-located with either Taco Bell or Pizza Hut, the other Yum! Brands restaurants. When Yum! owned Long John Silver's and A&W Restaurants, these brands were often co-branded with KFC as well. Often these locations behave like a single restaurant, offering one menu with food items from both restaurant brands. The concept originated in 1991, with a KFC-Taco Bell combination opening in Virginia. Some locations were also opened as combinations of KFC, Taco Bell and Pizza Hut; this experiment has been described as a "failure" and was satirized in the film Young Adult (2011) as a "Kentacohut". Yum! CEO David Novak blames franchisees not having their hearts in the venture as the reason for its failure.
Since its founding, Sanders and KFC used cottonseed or corn oil for frying, but in the 1980s the company began to switch to cheaper oils such as palm or soybean. In the 2000s it became apparent that these oils contain relatively high levels of trans fat, which increases the risk of heart disease. In October 2006, KFC said that, in the United States, it would begin frying its chicken in trans fat-free oil. This would also apply to their potato wedges and other fried foods, however, the biscuits, macaroni and cheese, and mashed potatoes would still contain trans fat. By April 2007 trans fat-free soybean oil had been introduced in all United States KFC restaurants.
Low U.S. sales in 2008 were blamed on a lack of new ideas and menu items. The Spring 2009 launch of Kentucky Grilled Chicken only resulted in a temporary halt to the sales decline. In 2010 KFC announced a turnaround plan that included improving restaurant operations, introducing value items and providing healthier menu options. In the same year, Advertising Age noted that KFC was losing market share to its smaller chicken restaurant rival, Chick-fil-A. In 2011 Bloomberg referred to KFC USA as "an also-ran to McDonald's Corp". In 2012, Forbes magazine described how many of the KFC outlets were "aged and uninviting", and that the chain "hasn't introduced an exciting new food item in ages".
Some analysts have speculated that
JUN5COMPETITIVE ADVANTAGE KFChttp://blogs.ubc.ca/abhinavsharma/files/2010/10/KFC-Competitive-Advantage-300x300.jpgCompany ProfileKFC (Kentucky Fried Chicken) is a fast food restaurant chain headquartered in Louisville, Kentucky, United States, which specializes in fried chicken. An "American icon", 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. The company is a subsidiary of Yum! Brands, a restaurant company which also owns Pizza Hut and Taco Bell.KFC was founded by Harland Sanders, 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 marketing himself as "Colonel Sanders", Harland became a legendary figure of American cultural history, and his image remains prominent in KFC branding. However, the company's rapid expansion saw it grow too large for Sanders to manage, and in 1964 he sold the company to a group of investors led by John Y. Brown, Jr. and Jack Massey.KFC was one of the first fast food chains to expand internationally, opening outlets in England, Mexico and Puerto Rico by the mid-1960s. Throughout the 1970s and 1980s, KFC experienced mixed fortunes domestically, as it went through a series of corporate owners who had little or no experience in the restaurant business. In the early 1970s, KFC was sold to the spirits firm Heublein, who were taken over by the R.J. Reynolds food and tobacco conglomerate, who sold the chain to PepsiCo. The chain continued to expand overseas however, and in 1987 KFC became the first Western restaurant chain to open in China. The chain has since expanded rapidly in China, and the country is now the company's most profitable market. PepsiCo spun off its restaurants division as Tricon Global Restaurants, which later changed its name to Yum! Brands.KFC primarily sells fried chicken pieces and variations such as chicken fillet burgers (chicken sandwiches [US]) and wraps, salads and side dishes such as French fries and coleslaw, desserts and soft drinks, often supplied by PepsiCo. Its most famous product is pressure fried chicken pieces, seasoned with Sanders' "Original Recipe" of 11 herbs and spices. The exact nature of these ingredients is unknown, and represents a notable trade secret. Larger portions of fried chicken are served in a distinctive cardboard "bucket", which has become a signature of the chain since being introduced by franchisee Pete Harman. KFC is known for the slogan "finger lickin' good", which has since been replaced by "Nobody does chicken like KFC" and "So good".OperationsKFC is a subsidiary of Yum! Brands, one of the largest restaurant companies in the world. While Yum! does not offer individual figures for its restaurant brands, KFC's 2011 sales revenue was estimated at $15 billion. KFC has its headquarters in Louisville, Kentucky, United States, in a building on 1441 Gardiner Lane known colloquially as "The White House" due to its resemblance to the Washington, D.C. building. Headquarters include executive offices and the company's research & development facilities. KFC is incorporated in the U.S. state of Delaware.As of 2012, there were over 18,000 KFC outlets in 120 countries and territories around the world: 4,200 in China, 9,000 internationally and 4,600 in the United States, with China accounting for 49 per cent of revenue. All restaurants are furnished with images of Colonel Sanders. As well as dine-in and take-out, many KFCs offer a drive-through option. KFC offers a limited delivery service in a small number of markets, mostly in densely populated areas such as Singapore. KFC was described in 2012 by Bloomberg Businessweek as a "muscular player" in developing regions, specifically Africa, China and India, while noting its falling market share in the United States to rivals such as Chick-fil-A and Popeyes.Chinahttp://upload.wikimedia.org/wikipedia/commons/thumb/f/fb/Kfc_of_china.jpg/170px-Kfc_of_china.jpgA KFC in China, displaying the 1997 – 2006 logoKFC pioneered Western-style fast food in mainland China when it opened its first outlet in Beijing in November 1987. It is the largest restaurant chain, with 4,260 branches, and China is one of the only countries in the world where McDonald's is not the dominant fast food chain. Clifford Coonan of The Irish Times described the chain as "by far the most pervasive symbol of Western culture in China." KFC believes it has been successful in China because it has adapted its menu to suit local tastes, offering such items as rice congee, egg custard tarts and tree fungus salad, with an average of 50 different menu items per store. Chinese consumers enjoy spicy chicken, and the Zinger burger is the highest selling menu item. Another item is the Dragon Twister, a wrap that includes fried chicken, cucumbers, scallions, and duck sauce. The chain is aided in that fried chicken has been a staple Chinese dish since antiquity, whereas rival chain offerings such as hamburgers are foreign and relatively unknown. The chain has adapted to a market in which, as of 2010, there were only three restaurants per million of population in contrast to the sixty per million in the United States: stores are two to three times larger than American (and European) outlets; many are open 24 hours a day and provide home delivery; and two new products are released each month. Warren Liu, a former vice-president of Tricon Global Restaurants (the KFC parent company) argued that, "being the first ... has continued to provide KFC with a substantial competitive advantage." Ninety per cent of Chinese sites are company owned, in contrast to just 11 per cent internationally. The chain immediately set itself apart in the late 1980s when it hired managers from emerging Asian economies rather than importing American managers. KFC also created its own distribution infrastructure, as none existed previously. After this start, the chain's continued growth in the region can be largely credited to Yum! chief executive David Novak, who expanded 100 stores in 1997 to 4,800 in 2013. Since 2006, Yum! has also operated the East Dawning chain, which incorporates Chinese cuisine alongside the traditional KFC menu items.In 2008, David Novak said that he envisioned eventually operating more than 20,000 restaurants in China, saying: "We're in the first inning of a nine-inning ball game in China". At the start of 2008, the chain added its first Chinese street snack to its menu, the youtiao. The street snack menu was expanded in 2010 with the addition of the shaobing. In August 2010, KFC China had its biggest product launch to date: the Rice Bowl heralded the arrival of rice as an accompaniment across the chain. In December 2012, the chain was hit by allegations that its suppliers injected antiviral drugs and growth hormones into poultry in ways that violated food safety regulations. This resulted in the chain severing its relationship with 100 suppliers, and agreeing to "actively co-operate" with a government investigation into its use of antibiotics. KFC China sales in January 2013 were down 41 per cent against the previous year.United Stateshttp://upload.wikimedia.org/wikipedia/commons/thumb/d/d9/2011-01-28_KFC_Taco_Bell_in_Morrisville%2C_NC.jpg/220px-2011-01-28_KFC_Taco_Bell_in_Morrisville%2C_NC.jpgThe basic model for KFC in the United States, not necessarily duplicated elsewhere, is a focus on low prices, a limited menu (29 items on average) and an emphasis on takeout. Many KFC locations are co-located with either Taco Bell or Pizza Hut, the other Yum! Brands restaurants. When Yum! owned Long John Silver's and A&W Restaurants, these brands were often co-branded with KFC as well. Often these locations behave like a single restaurant, offering one menu with food items from both restaurant brands. The concept originated in 1991, with a KFC-Taco Bell combination opening in Virginia. Some locations were also opened as combinations of KFC, Taco Bell and Pizza Hut; this experiment has been described as a "failure" and was satirized in the film Young Adult (2011) as a "Kentacohut". Yum! CEO David Novak blames franchisees not having their hearts in the venture as the reason for its failure.Since its founding, Sanders and KFC used cottonseed or corn oil for frying, but in the 1980s the company began to switch to cheaper oils such as palm or soybean. In the 2000s it became apparent that these oils contain relatively high levels of trans fat, which increases the risk of heart disease. In October 2006, KFC said that, in the United States, it would begin frying its chicken in trans fat-free oil. This would also apply to their potato wedges and other fried foods, however, the biscuits, macaroni and cheese, and mashed potatoes would still contain trans fat. By April 2007 trans fat-free soybean oil had been introduced in all United States KFC restaurants.
Low U.S. sales in 2008 were blamed on a lack of new ideas and menu items. The Spring 2009 launch of Kentucky Grilled Chicken only resulted in a temporary halt to the sales decline. In 2010 KFC announced a turnaround plan that included improving restaurant operations, introducing value items and providing healthier menu options. In the same year, Advertising Age noted that KFC was losing market share to its smaller chicken restaurant rival, Chick-fil-A. In 2011 Bloomberg referred to KFC USA as "an also-ran to McDonald's Corp". In 2012, Forbes magazine described how many of the KFC outlets were "aged and uninviting", and that the chain "hasn't introduced an exciting new food item in ages".
Some analysts have speculated that
การแปล กรุณารอสักครู่..