KFC analysis
Kentucky Fried Chicken Corporation (KFC) is the worlds largest chicken restaurant chain and the third largest fast-food chain. Due to the industry’s maturity and saturation, KFC has been losing market share in the U. ... KFC was one of the first fast-food chains to go international in the late 1950s. KFC is one of the worlds most recognizable brands. These facts give KFC an advantage in pursuing global markets. ... These figures are strengths of KFC, which will allow for future growth in already established markets. The intent of this writing is to provide criticism of KFC’s strategy. By examining market and industry conditions, KFC should adjust it’s expansion decisions. ... By carefully examining foreign growth markets, KFC can make expansionary moves that prove profitable. ... By allowing a competitor to establish itself in a market, KFC could lose an advantage. ... KFCs customer base has remained loyal to the KFC brand because of its unique taste. This is KFCs distinctive competence, since KFC taste is very unique and popular. Such uniqueness provided KFC with a competitively valuable capability. Despite its dominance, KFC has been losing market share. ... However, the increase in fast food consumption and technological advances could give KFC the impetus to boost profits. ... KFC should evaluate each market opportunity available from Latin America. ... Mexico could be identified as highly attractive market opportunity for KFC. ... Industry and competitive analysis are key to strategy making. ... In the chicken segment, KFC has been losing market share as other chicken chains increased sales at a faster rate. Many industry analysts predicted that Boston Market would challenge KFC for market leadership. ... The food industry can be competitively attractive for KFC. ... KFC could lower prices to gain a temporary advantage and improve product differentiation. ... KFC already has a good market position within the industry. A good strategy would provide a good defense and allow KFC to earn above-average profits. ... One possible option for KFC would be to merge with other growing chicken chains such as Popeyes, Chick-fil-A, or Boston Market.