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Essay / Research Paper Abstract
This 17 page paper examines the reasons behind the high level of success that Kentucky Fried Chicken (KFC) had found in the Chinese market, especially when compared to competitors such McDonalds or Burger King. The paper looks at how the company has gained competitive advantages and how the firm has managed to appeal to the Chinese market, including the localization strategy with the introduction of menu items aimed the Chinese culture. Issues such as general strategy, management structure and the way that western and eastern cultures have been dealt with are all discussed. The bibliography cites 11 sources.
Page Count:
17 pages (~225 words per page)
File: TS14_TEKFCchina2.rtf
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Unformatted sample text from the term paper:
1. Introduction Kentucky Fried Chicken, known more commonly as KFC, has become very popular in China. KFC is part of Yum! Brands, a company which now has China as its
number 1 market (Nations Restaurant News 20). KFC is the largest western style fast food chain that is present in the country with in excess of 2,100 restaurants in the
country run under franchise agreements by the end of 2007 (Nations Restaurant News 20). This places the company ahead of other well known western fast food chains such as McDonalds,
who had only 800 restaurants by the end of 2007 (Campaign 19). The history of Kentucky fried chicken began during the 1930s in the United States, starting out as a
small business which records the use of a franchise model, involving a high level of uniformity between the different outlets focusing on offering the same menu as well as a
high level of quality, service and cleanliness (QSC). Today, along with McDonalds, Kentucky Fried Chicken is one of the most recognized Western brands found in China. KFC and Chinese
market in 1987 with a single restaurant in Beijing, and by 1989 growth to be relatively constrained with only three new restaurants, making a total of four by the end
of that year (Nations Restaurant News 20). Considering the very different political situation during the 1980s the decision of KFC to expand into China could be seen as one of
the companys more risky international strategies. Hindsight demonstrates of the risk was worth taking. Since its initial entrance into the market there have been changes as the company has seen
rapid growth, achieving growth rates three times that of its closest rival; McDonalds (Morrison and Beamish 44). Therefore, the success of KFC seen in China has not been a system
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