Kfc Has a Refocused International Strategy
KFC has a refocused international strategies to grow its company and franchise restaurant based on over the world.
Competitive MKT strategy: developed 3 types of chicken :Original recipe (pressure cooked) Extra crispy (fried) tender roast (roasted).
If there were just a few things that China has wholly embraced from the West, it would be their love for Kentucky Fried Chicken, or KFC as it is more commonly known. In 1987, the fast-food operator opened its first outlet near Tiananmen Square in Beijing. Then came 2,000 other outlets, which sprung up across China within the next 20 years – a phenomenal achievement by any standard.
The improbable success of KFC China can be attributed to a few key ingredients: context, people, strategy and execution, so says Warren Liu, a former vice president of business development and a member of Tricon Greater China Executive Committee. Tricon was the predecessor to KFC China’s parent company YUM! Brands. |
In his book ‘KFC in China: Secret Recipe for Success’, Liu says it was firstly the context in which KFC entered the China market, that paved the way for its eventual success.
“Strategy is context-dependent; a strategy that works well in a stable and mature market economy would most likely not work well in China, given the diversity of its people, geography, the heritage of a rich and complex culture, and a rapidly and continuously changing business environment since China’s economic reforms commenced in 1978,” Liu says in his book. |
Case in point: when KFC first entered Hong Kong in 1973, it quickly grew to 11 restaurants in the following year. But it misjudged the local market and failed to develop a suitable business model. By 1975, all 11 restaurants were forced to close their shutters. Ten years later, KFC came back with a vengeance, eventually franchising its operations to a company called Birdland, which was backed by a group of local investors.
KFC’s rocky experience in Asia served as invaluable and
Competitive MKT strategy: developed 3 types of chicken :Original recipe (pressure cooked) Extra crispy (fried) tender roast (roasted).
If there were just a few things that China has wholly embraced from the West, it would be their love for Kentucky Fried Chicken, or KFC as it is more commonly known. In 1987, the fast-food operator opened its first outlet near Tiananmen Square in Beijing. Then came 2,000 other outlets, which sprung up across China within the next 20 years – a phenomenal achievement by any standard.
The improbable success of KFC China can be attributed to a few key ingredients: context, people, strategy and execution, so says Warren Liu, a former vice president of business development and a member of Tricon Greater China Executive Committee. Tricon was the predecessor to KFC China’s parent company YUM! Brands. |
In his book ‘KFC in China: Secret Recipe for Success’, Liu says it was firstly the context in which KFC entered the China market, that paved the way for its eventual success.
“Strategy is context-dependent; a strategy that works well in a stable and mature market economy would most likely not work well in China, given the diversity of its people, geography, the heritage of a rich and complex culture, and a rapidly and continuously changing business environment since China’s economic reforms commenced in 1978,” Liu says in his book. |
Case in point: when KFC first entered Hong Kong in 1973, it quickly grew to 11 restaurants in the following year. But it misjudged the local market and failed to develop a suitable business model. By 1975, all 11 restaurants were forced to close their shutters. Ten years later, KFC came back with a vengeance, eventually franchising its operations to a company called Birdland, which was backed by a group of local investors.
KFC’s rocky experience in Asia served as invaluable and