The five competitive forces (Porter’s framework) as applied to this industry McDONALD’S 1. Threat of substitute products Low-Moderate – Availability of the MCD products – Choose MCD for Easting and Entertainment – Narrows Threat of Substitutes due to introduction of local taste products. 2. Threat of new entrants HIGH – Regulation of Limit – Easy Access Market and Low start up cost – Example of SubWay’s market penetration 3. Intense rivalry among existing players HIGH
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change in demographic trends in the past two decades has seen an overall increase in costs for KFC and other fast food chains. Due to immense price competition and saturation of the US market‚ KFC is unable to raise its prices to cover the increased costs. The slower US population growth rate‚ oversupply of fast food chains and the minuscule 1% growth in the US restaurant industry per year has resulted in KFC’’s focus on expansion of their international markets. 2.0 Secondary Problems 2.1 Short
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relating to the fast- food industry. 2.2 Porter’s Five Forces – Fast-food Industry 1.2.1 New Entrants “The industry is dominated by a number of international quick Service Restaurant Chains‚ including McDonald’s‚ Burger King‚ Pizza Hut‚ KFC and Domino’s “(Data monitor‚ 2010). So the market of fast food is highly competitive‚ and the cost to entry the fast food industry is high. This force should be weak. 1.2.2 Substitutions Substitutes are readily available: food can be purchased
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SWOT KFC SWOT analysis 2013 | Strengths | Weaknesses | 1. Second best global brand in fast food industry in terms of value ($ 6 billion) 2. Original 11 herbs and spices recipe 3. Strong position in emerging China 4. Combination of KFC – Pizza Hut and KFC – Taco Bell 5. KFC is the market leader in the world among companies featuring chicken as their primary product offering | 1. Untrustworthy suppliers 2. Negative publicity 3. Unhealthy food menu 4. High employee turnover
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Financial Analysis Report (FAR) YUM! Brands‚ Inc. The fast food and quick service restaurant industry consisted of about 945‚000 restaurants representing approximately $552 billion in annual sales. The industry is highly fragmented‚ with the top 50 companies holding about 25% of industry sales and is intensely competitive with respect to food quality‚ price‚ service‚ convenience‚ location and concept (Hoovers 2009). The major companies of the industry include McDonald’s‚ Burger King‚
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International Management & Negotiations Yum! Brands in China – A Success Story Table of Contents 1 Yum! Brands 1 2 Expansion in China 1 3 Yum! Brands vs McDonalds in China 2 4 Main Brands 3 4.1 KFC 3 4.2 Pizza Hut 4 4.3 Taco Bell 6 4.4 Local Brands 7 5 Success Factors 10 5.1 Management 10 5.2 Globalization vs Localisation 10 5.3 Life Style and Leisure Restaurants 11 5.4 Employment 11 5.5 Partnerships 11 5.6 Distribution Network 12 5.7 Expansion
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Abdelaziz 1/14/2015 Fast Food Restaurants: 1. McDonalds 2. Arby’s 3. Burger King 4. IHOP 5. KFC 6. Little Caesars 7. Chipotle 8. Panera Bread 9. Subway 10. Pizza Hut Cost (Least to most): 1. McDonalds 2. Burger King 3. KFC 4. Arby’s 5. Little Caesars 6. Subway 7. Chipotle 8. Pizza Hut 9. IHOP 10. Panera Bread Health (Least to Most): 1. McDonalds 2. KFC 3. Burger King 4. Arby’s 5. Little Caesars 6. Pizza Hut 7. IHOP 8. Chipotle 9. Subway 10. Panera Bread Executive Summary
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Why did Pizza Hut Quit Franchise Team 9 1. Introduction: In 1993‚ Pizza Hut made a 10-year agency contract with Hong Kong’s famous agent‚ Jardine Matheson. It gave power of agency and its market expansion business in southern part of China to Jardine‚ which became the only agent of Pizza Hut in China. And from then on‚ Pizza Hut went on a hard way of expansion. However‚ in late May‚ 2004‚ Yum Brands declared that they had taken back the management and administrative powers of all 130 branch
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McDonalds has one of the largest chain of restaurants worldwide‚ but the other world renowned food chains who cut come as competition for McDonalds are Burger King Corporation‚ Yum Brands – parent company of KFC‚ Starbucks and the other local burger cafes. Burger King has over 11‚500 outlets worldwide which means that they are geographical diversified‚ they are globally renowned for its slogan “Have it your way”‚ and most importantly they serve burgers and a variety of side dishes which are not
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Jiang Zhenghui Past Development of Yum!Bands In 1997‚ with KFC‚ Pizza Hut‚ Taco Bell three famous brands of food systems (This system is a business unit of PepsiCo‚ PepsiCo’s three main business is soft drinks‚ snack foods‚ fast food.)‚ Yum!Bands separated from PepsiCo and listed on the New York Stock Exchange. From then‚ the world’s largest restaurant group - Yum global food Group has been formally established. All shareholders and members of the company may not have thought of that just used
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