Your Name: Ashley Lashuay
Answer all three questions listed below during/after viewing the video. Answer in complete sentences, with proper paragraphs, grammar, and sentence structure.
1.
|Marketing activity |As practiced in the U.S. |As practiced in Japan |Provide reasons for the differences|
| | | |in practice between the U.S. and |
| | | |Japan |
|(This is an example) |Outlet is stand-alone …show more content…
and building |Outlet is located in a building |High cost of building (per square |
|Locating KFC outlet |is relatively larger in square |with many other businesses; |foot) and stand-alone buildings are|
| |footage |relatively smaller in size |not available.
|
|1. Public Relations |Outlets are stand-alone, unless |Manager will personally greet and |Personal communication held to |
| |combines with another entity or put|introduce himself to neighborhood |higher standard, and is practiced |
| |into a shopping mall, managers tend|competitors, delivering gifts and |more in Japan. |
| |to not personally associate so much|coupons | |
| |as Japanese do—less personal | | |
| |connections | | |
|2. Training |Once hired, on the job training, or|Use lecture and on the job training|Japanese employee attitude- “Hired
|
| |looking over the handbook is all |tactics, every morning employees |for life”, great sense of company |
| |that employees are given |verbally state the KFC motto. |morale, take high pride in company |
|3. Menu Adaptions |Chicken and mashed potatoes are |Change menu to offer fish and |Provide different options suited |
| |essential to U.S market--- |chips, yogurt, and smoked chicken |towards the wants and needs of |
| |authenticity |that is sold by weight |Japanese customers |
|4. Marketing |No use of display cases outside of |Set-up display cases with molded |Provide the Japanese customer with |
| |outlet |replicas of food, so customers are |the ability to see what they can |
| | |aware of choices |get before they actually pay |
|5. Advertising |TV commercials express KFC’s famous|Spend $5 million on TV commercials |Status and authenticity held in |
| |recipe—aspects of taste, |that express authenticity and |high esteem in Japanese culture |
| |authenticity, and health are |aristocratic presence | |
| |advertised | | |
2. KFC forged a strategic alliance (partnership) with a Japanese corporation when it entered Japan. What advantages did KFC gain from this partnership? What potential problems would KFC encounter when using this partnership approach compared to the alternative method of doing it alone?
KFC partnered with Mitsubishi Trading Company, who had a huge representation in the poultry market. Some advantages to forging an alliance are that they gain a better understanding of the Japanese culture, they gain a bigger presence in the Japanese culture by association with Mitsubishi, greater financial backing and investment opportunities, they can plan for longer periods, and KFC has the opportunity to leverage itself with finance and accounting aspects because they use Mitsubishi’s resources to explain the benefits to the U.S. corporation. Some potential problems that could arise for KFC when partnering with Mitsubishi is that any move that Mitsubishi makes, whether is be in the food industry or not, directly relates to the appearance of KFC. They also have a bigger liability when partnering with someone else, along with bigger costs.
3. Discuss THREE factors that contributed to the success of KFC in Japan.
• Adaption to the Japanese culture through different menu selections and advertising that pertained to the needs and wants of Japanese consumers. For example, mashed potatoes were not popular in Japan, so the company made the switch to french fries, which were more popular.
• The CEO took great care in personal relationships with not only franchise owners and employees, but also competitors. He gained the trust and respect of employees and franchise owners and invested in the relationships through conventions and dinners.
• Training of employees was of utmost importance. Each morning, they would recite the KFC motto, which not only showed their dedication to KFC, but also the pride that they took to uphold the mission of the company. (Quality, Service, Cleanliness) Lectures were used as, well as on the job training that set examples of expectations of how each employee was to perform each task.