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GroupMembersMAWENLINLANTINGTINGLIUGANGLIUZHEN DeskresearchofKFC INTRODUCTION IneverycorneroftheworldandineverycityinChina wewilloftenseethesmilingfaceofanoldman withgraybeardandwhitesuit andwhichwillalwaysbethatdress Thatsmile I mafraid isthemostfamousandexpensiveoneintheworld becausethatkindoldmanisjustthesignandsymbolofthefamousfast foodchain KFC INTRODUCTION Formanyyoungpeople perhapstheyarejusttoofamiliarwiththatoldman ContrastbetweenChineseandwesternfood althoughChinesefoodhasbecomeaculture andprecipitationforthousandsofyears therearesomanypeoplelikeKFC especiallyforyouths What sthedifferencebetweenthem Howdowesternfood KFC appealtoouryouths AGENERALINTRODUCTIONOFKFC KFCCorporation basedinLouisville Kentucky istheworld smostpopularchickenrestaurantchain specializinginOriginalRecipe ExtraCrispy Twister andColonel sCrispyStrips chickenwithhomestylesides Everyday nearlyeightmillioncustomersareservedaroundtheworld KFC smenuincludesOriginalRecipechicken madewiththesamegreattasteColonelHarlandSanderscreatedmorethanahalf centuryago Customersaroundtheglobealsoenjoymorethan300otherproducts fromaChunkyChickenPotPieintheUnitedStatestoasalmonsandwichinJapan KFChasmorethan11 000restaurantsinmorethan80countriesandterritoriesaroundtheworld AndinquiteafewU S cities KFCisteamingupwithsisterrestaurants A W All AmericanFood LongJohnSilver s TacoBellandPizzaHut sellingproductsfromthepopularchainsinoneconvenientlocation KFCispartofYum Brands Inc whichistheworld slargestrestaurantsystemwithover32 500KFC A WAll AmericanFood TacoBell LongJohnSilver sandPizzaHutrestaurantsinmorethan100countriesandterritories THEDATA THEDATA ItincludesthegeneraldatasofKFC Thepotential Fromthefirstgraphs wecanfindKFCisverypopularinChinaandthereisatrendofrisingup Fromthesecondgraphs wecanfindtherearemoreandmoreKFCstores openingintheChina whichreflectsitislikedbymanypeople Thepotential Fromthethirdgraph wecanfindthereisarapidslowdownofKFCinChina butitgoesdownquicklyin2015 Fromthefourthgraph wecanfindthereisacontinusouslytrendsofgoingupsalesvolumes whichshowsitspopularityinChinesepeople THEREASONFORITSPOPULARITY 2eatinghabits 1marketenvironment 3Itoffersdifferentkindsoffoods SWOTAnalysis Strengths1 KFCproductshaverealizedthestandardizationandindustrialization toensurethequalityoftheproduct hasplayedaverygoodbrandeffect 2 Varietyfood innovationandadheringtothe localization ofproductupdates 3 Elegantenvironmentandfirst classserviceItcreatesagoodconsumptionenvironmentandpeoplewillfeelmorecomfortablewhentheyareeatingatstore First classservicehasimpressedonpeople sotheywillcomeagain Although youdonotorderanything youcanstillstayatstoreanduseitsWIFI 4 Goodcrisismanagementteam Weakness 1 FriedfoodKFCfoodcookingmethodsmainlyisfried2 ThehighstaffturnoverrateExcessiveliquiditywillincreasecompany soperatingcosts andefficiencywillbereduced 3 PriceThepriceofKFCishighforordinaryChinesepeople Mostofordinaryresidentscannotafforditandnottomentionforruralpeopletobuyit Orepresentsopportunity In2015 AlliedChain storesoftop100hasbeenreleasedinChinaandKFChasenteredsmoothlyintothelistagain What smore KFChasbeenlistedinthetop100AlliedChain storessince2013 FromtheincreasedsalesvolumedataandincreasedKFCalliedchain stores wecancometoconclusionthatKFChasgreatmarketpotentialandslaesopportunityinChina IncreasedSalevolumesofKCFfrom2013to2015 From2013to2015 ThesalesvolumeofKFCpresentsanupwardtrend In2015 thetotalnumberofKFCstoreshasincreasedto5000inChina KFChassomepotentialsalingopportunitiesinChina ThreemajoropportunitiesofKFCinChinesemarket Onetheonehand WiththedevelopmentofChina ssocialeconomyandtheimprovementofpeople slivingstandard peoplehavetobeaccustomedtothefast pacedlife thedemandforfastfoodhasbecomebigger So themarketpotentialishuge Onetheotherhand Consumergroupsareconstantlyexpanding So anincreasinglynumberofChinesepeoplebegintoaccepttheKFC Undoubtedly themarketpotentialishugeofKFC becausethepopularityofKFCcontinuestoenlarge Thesecondopportunity MostoftheKFCstoresarekeenonbeinglocatedinthefirst tiercities suchasShenzhen Guangzhouandsoon Buttheproblemisthattheinvestorsdoignoretheprospectsofthesecondandthird tiercities So thereisahugebusinessopportunityforKFCinthesecities Accordingtoanalysts KFCisbenefitingfromitslocationsinChina slesser developedcities whererentislowerthanbigcitiesandthereislesscompetition TheThirdopportunity TheChinesepeoplehavealwaysbeeninterestedinForeigncultures Foreignfood Ithasgraduallybecameafashionthatpeoplecaneatauthenticforeignfoodinhomeland Inaddition Inaddition Chinahasalwaysbeenanation wholovetoeat EspeciallyfortheyounginChina whichprovidesthepossibilityfortherapiddevelopmentofKFCinChina THREATS MacDonald Biggun numberone AC DC Enterprisesofnationalk
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