THE IMPACT OF BUSINESS STRATEGIES ON FAST FOOD COMPANIES’S SUCCESS – A CASE STUDY OF KFC Instructor: Mrs. Cinna Lee Students: Nguyen Phuong Anh Nguyen Ha Vy Chu Kieu Chinh Pham Thu Ha Class: S08 – ITP Ha Noi, November 2014

Agenda Introduction Literature Review Results and Discussions Conclusion

Chap 1. Introduction 1. Research Background: Modern Life Today people increasingly busier saving time fast food

2. Research Purpose

To find investigate the history and development of fast food companies in the world To figure out the impact of business strategies on KFC’ success To help promote development KFC’s successful strategies  

3. Operational Definitions: Business Strategy Fast-food KFC Company

4. Significance of the Study : Fast food services have now become an integral part of the activities of the human diet Fast food is present not only in the place of entertainment but also crept into the workplace and schools

5. Research Questions Q1. What is the history and development of international fast food companies ? Q2. What is the impact of business strategies on KFC’s success ? Q3. How to promote KFC’s successful business strategies ?   6. Research Schedule The research will be carried out under the supervision of Ms. Cinna Lee– the teacher of ITP, start in September, 2014 and finished in November, 2014.  

CHAPTER 2. LITERATURE REVIEW 2.1. History of International Fast-food Companies

History The origins of fast food are really the origins of street food In the Middle Ages urban expanses like London and Paris were brimming with vendors that sold cooked meats, pies, flans The UK had a big development of local fast foods 

The origins of fast food are really the origins of street food.

2. Impact of Fast-food on People Health Advantage Save Money Save Time Healthy Choices Disadvantage Lower Quality Food More Fattening

3. The First Modern Fast-food Restaurant

4. Strategies of Fast-food Companies Today Widely Advertised Menu Diversity

Analysis and Discussion 1. General Introduction of KFC a. History

Years History of KFC 1930 "Sanders Court & Café"- the first restaurant was opened in a small room in front of a gas station in Corbin, Kentucky 1936 Harland Sanders was awarded the medal "Colonel" in recognition of his contribution to the state's cuisine 1939 The Sanders Court & Café was burned but it was quickly constructed and put into operation again 1949 The first KFC franchise restaurant was awarded to Pete Harman 1955 A state highway was built around Corbin, Kentucky 1957 KFC is officially launched 1964 KFC has more than 600 franchised stores in the United States, Canada, and the first store in another continent, in England

Years History of KFC 1965 Colonel Sanders Horatio Alger Award of the American Schools and Colleges Association 1969 KFC is listed on the New York Stock Exchange 1971 More than 3500 franchised and company-owned restaurant company operating worldwide when Heublein Inc. acquired KFC Company 1979 There are about 6,000 KFC restaurants worldwide with sales of more than $ 2 billion 16/12/1980 Flags hanging in the shop, KFC headquarters in the states has been down for 4 days 1982 KFC became a subsidiary of RJ Reynolds Industries, Inc. (now RJR Nabisco, Inc.). 1986 PepsiCo, Inc., RJR Nabisco acquired KFC, Inc

Years History of KFC 1997 PepsiCo, Inc. announced the three fast-food restaurants – KFC, Taco Bell and Pizza Hurt – into Tricon Global Restaurants, Inc., the largest restaurant chain in the world with more than 30000 KFC, Taco Bell and Pizza Hurt in more than 100 national and regional territory 2002 KFC has been owned by the Group YUM! Restaurants International 2007 KFC is proud to introduce a new formula still kept spice “ finger-lickin”, Sanders tubers old formula but contains Zero Grams of Trans Fat added in cooking oil per new Today KFC is a restaurant chain serving fried chicken largest with more than 10,000 restaurants in 92 countries

Development

Three market strategies The KFC's objectives: Build an organization dedicated to excellence: Consistently deliver superior quality, and value in KFC's products and services. Maintain a commitment to innovation for continuous improvement and growth, striving always to be the leader the market place changes. Generate consistently superior financial returns and benefit KFC's owners and employees. Intensive growth Integrity growth Diversification Growth

Chap 3. Impact of business strategies on KFC’s Success Business strategies of KFC a. Long Run Growth

Business strategy globally b. Stability of Demand for Products c. Stage in Product Life Cycle d. Community and Government Relationship e. Strategic Analysis of KFC Business globally Cost factor Local factor Business strategy globally

2. Advantges Comparative Access To Resources Unique Productivity Advantage Strengths

Age Distribution of KFC’s Customer

3. Disadvantages Problems No defined target market Saturation of the U.S. Market Health conscious consumers Increased start up costs

4. Promoting of Business Strategies of KFC Using Reminder advertisements KFC stimulates repeat purchases of its products Sponsorship is another tool to strengthen an organizations image

Chap 4. Conclusion Summary of Research Limitation of the Result Study Time Sources Finance Recommendations

Thank you