IN INDIA

ETHICAL ISSUES
Presented ByKalyani Singh Neha Singh Shahbaz Khan Shakshi Gupta Surendra Singh Bisht

BACKGROUND OF KFC
KFC is based in Corbin, Kentucky, U.S. and is the worlds most popular chicken restaurant chain. Founded by Colonel Harland Sanders in in the early 1930s by cooking & serving food for hungry travellers. In 1952 Sanders started franchising his chicken business & named it as KENTUCKY FRIED CHICKEN. KFC is part of Yum! Brands, Inc., the world's largest restaurant company in terms of system restaurants, with more than 36,000 locations around the world. KFC operates more than 15,000 units in 109 countries and territories around the world.

CONTINUE..
Every day, more than 12 million customers are served at KFC restaurants. KFC is world famous for its Original Recipe fried chicken -- made with the same secret blend of 11 herbs and spices Customers around the globe also enjoy more than 300 other products -- from KFC The company is ranked #239 on the Fortune 500 List, with revenues in excess of $11 billion in 2008.

KFCs Entry in INDIA

KFC was the first fast food multinational to enter INDIA , after the economic liberalization policy of the Indian Govt. in early 1990s. KFC received permission to open 30 new outlets across the country KFC opened first fast food outlet in Bangalore in June 1995 by targeting upper middle class population. PepsiCo planned to open 60 KFC and Pizza Hut outlets in next 7 yrs in the country.

ISSUES
Govt. was criticized for granting permission to multinational food giant Threat to domestic business Nationalists feared a cultural invasion Nutritionists highlighted the high rates of obesity, hypertension, heart disease and cancers Monosodium Glutamate (MSG) controversy

PROBLEM for KFC

Protests by angry farmers led by the Karnataka Rajya Ryota Sangha (KRRS). Protests by Ecologist Protests by PETA . Support of celebrities in against of KFC Non-Conformity with food products regulations

SWOT ANALYSIS

STRENGTH
Worlds largest restaurant company in terms of system restaurants, operates more than 15,000 units in 109 countries and territories around the world. KFC is world famous for its Original Recipe fried chicken -- made with the same secret blend of 11 herbs and spices Ranks highest among all chicken restaurant chains for its convenience and menu variety. Generate $1B each year

WEAKNESS
LACK OF KNOWLEDGE ABOUT THEIR CUSTOMERS. LACK OF FOCUS ON R&D. MSG FLAVOUR IN CHICKEN

OPPORTUNITY
RETAIL BOOM IN INDIA INDIANS YOUTH ARE ADOPTING WESTERN CULTURE INDIAN ECONOMY METROPOLITAN RAPID DEVELOPMENT

THREATS
INDIAN RECIPIES LIKE TANDOORI CHICKEN PETA AND KRRS LIKE ORGANIZATIONS

POLITICAL PARTIES PROTESTING FOR JUNK FOOD

PROTEST SUPPORT FROM FAMOUS PERSONALITIES LIKE ANIL KUMBLE,ADITI GOVITHRIKAR,JOHN ABRAHAM ETC

PESTEL ANALYSIS
POLITICAL ECONOMIC SOCIAL TECHNOLOGICAL ENVIRONMENTAL LEGAL

MARKETING CONCEPTS
NEEDS a consumer needs food WANTS they want chicken or other non-veg DEMANDS but they demands KFCs fried chicken

TARGET MARKETS
As the outlets of KFC are in posh area and prices are too high (overhead expenses-rent, air-conditioning, employees), KFC targets upper and middle classes, youth Target market depends upon size and growth rate of population,

MARKET SEGMENTATION
Geographic segmentation : In India KFC focuses how geographically its customers demand different products. Demographic Segmentation: In demographic segmentation, the market is divided into groups based on an age, gender, family size, income, occupation, religion, race and nationality. Psychographic segmentation: in this segmentation ,the market is divided into middle class & upper class

PRICING STRATAGY
Their products are priced high and target the middle to upper class people KFC adopt the cost base price strategy. Pricing of the product includes the govt. tax and excise duty The products are bit high priced according the market segment and it is also comparable to the standard of their product. In the cost based method we include the variable and fixed cost.

PROMOTION
Advertising Sales Promotion Public Relations Events and Experiences Coupons, Discounts and Bundled packages

COMPETITION
We can compare the price of their products with mcdonald, dominoes and pizza hut. If the competitor provides the same product at a lower price then the organization usually lowers the price of its product too. In the case of kfc, fried chicken is its main selling point and controls a monopoly over the indian fast food market (only with fried chicken). It prices its burgers, french fries and soft beverages with relation to its competitors.

SOCIAL MARKETING
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RECOMMENDATIONS
the company should be able to use an ethical management strategy that will uplift the image of the company. uses of marketing knowledge, concepts, and techniques as well as with the social consequences of marketing policies, decisions, and actions every business organization should understand the importance the culture, regulatory & ecological issues in different countries.

THANK YOU