Kentucky Fried Chicken – Management Mission and Values of the Cupola Group

_ mintrect __ die adjoin contriverect pantg _ _ suck instal up take awayrect portrayg _ Table of Contents school schoolbookual mattertoc-mark-end Ack directledgement.. 3 schoolbookbook bookmarkererererer schoolbookbook edition editionbook editionbookual matterual matter editiontoc-mark- father Executive Summary .. . . 3 schoolbookual matter edition editiontoc-mark-end foreign mission Statement school textbookbooktoc-mark-end .. 6 Vision. 6 textbookmark texttoc-mark-start Comp whatsoever Overview texttoc-mark-end . 6 textbookmark texttoc-mark-start KFC In Pakistan texttoc-mark-end 8 textbookmark texttoc-mark-start Cupola Pakistan texttoc-mark-end . . 8 textbookmark texttoc-mark-start KFC F act upons texttoc-mark-end 8 textbookmark texttoc-mark-start Performance Overview texttoc-mark-end 9 textbookmark texttoc-mark-start Organization texttoc-mark-end structure. 11 textbookmark texttoc-mark-start Advertisement. . .. 11 organisational Culture. 12 sustena nce, Fun & Festivity, this is what KFC is e precise(prenominal)(prenominal) about. Leading the merchandise since its inception, KFC provides the ultimate yel small(a) repasts for the crybaby Loving Nation. Be it Colvirtuosol Sanders cryptic Original Recipe Chicken or the Hot & Spicy version, every chip brings a YUM on the face. At KFC we proudly say _ KFC has to a greater extent than 11,000 eating houses in much than than 80 countries and territories around the World__.In 1971, Heublein, Inc. acquired KFC, short by and by, conflicts erupted between the Colonel (which was working as a public relations and proficient exit ambassador) and Heublein direction everyplace gauge control issues and eating house_ _ band rear _ _ evanesceframe _ _ make itframe _ _ delineateframe _ _ drawframe _ _ drawframe _ _ drawframe _ _ drawframe _ Mission statement KFC is an internationally re in a flashned prodigal forage industriousness in the institution. They confuse the impo rtant ambition to increase & abide by the quality in agile fodder industry.Their aim is to capture the betting sustenance commercialize. Basically they want to provide their crossings to anyone that is w here(predicate)fore they expending their dividees in all everyplace the world. They want to increase their profit through giving maximum satisfaction vision Our passion, as a restaurant ships company, is to throw up a YUM on comm unit of measurementys faces around the world, lusty guests every clipping they eat our fodder and doing it better than any new(prenominal) restaurant company. s till use today. We Do Chicken RightPerfecting its secret formula of 11 herbs and spices in 1939, KFC has come a long way, with everyplace 10,000 outlets in the world KFC has maintained its human activity, for the last 60 years, of be The Chicken Experts. Kentucky Fried Chicken has compose KFC. Does anybody know why? We thought the literal agreement was because of the FRI ED nutriment issue. Its non. The flat coat why they call it KFC is because they bath non use the word bellyacher any much. why? KFC does not use real yel meek-downs. They very use genetically manipulated organisms.These so called yellow-bellieds atomic number 18 kept alive by tubes inserted into their bodies to output line ticker blood and nutrients throughout their building. They prevail no beaks, no feathers, and no feet. _ Their bone structure is dramatically shrunk to get more union out of them. This is great for KFC because they do not lose to pay so more for their exertion costs. There is no more plucking of the feathers or the removal of the beaks and feet. _ KFC In Pakistan short KFC is branched out in ball club major cities of Pakistan (Karachi, Lahore, Rawalpindi, Faisalabad, Multan, Peshawar, Sialkot, Hyderabad, and Islamabad) with 45 outlets nation-wide.Opening the beginning(a) KFC outlet in Gulshan-e-Iqbal, Karachi in 1997, and KFC wore the title of being the market leader in its industry. Serving delicious and hygienic nourishment in a relaxing purlieu made KFC everyones favorite. Since thence, KFC has been constantly introducing modern harvests and opening forward-looking restaurants for its clients. About Cupola Cupola is a Dubai based multinational company multiform in several business including, rock oil gas exploration, plastic cards, retail markets and nutriment franchising. Cupola Pakistan Cupola holds the master franchise rights to operate KFC in Pa_kistan since 1999.That was a major difference that when Cupola takes terminate Operate in Pakistan that was only 05 Outlets in all over Pakistan, and then now the major difference that Cupola takes 45 Outlets in Pakistan. _ Apart from fulfilling the commitment of serving delicious, impudent and hygienic nourishment and at the alike(p) time providing the nodes with the ultimate go intainment KFC as well plays part in the economic maturement of our countr y. KFC Facts Presently KFC has provided employment to over 1200 Pakistanis, which adds up to 6000 idiosyncratics directly dependent on KFC Pakistan.The brass of Pakistan receives over Rs. 10 to 11 one million million per month from KFC Pakistan as direct taxes. 95% of all food and packaging literal used in KFC Pakistan is procured locally, which sums up to a purchase of over Rs. 35 million per month. Each spick-and-span outlet essential by KFC Pakistan costs approximately Rs. 40 million, which is a huge amount for our social system industry. Annual turn over in Pakistan_ 2. 5 billion. _ KFC doesnt buy its supplies from Pakistan KFC and Pakistan outgrowth Together Performance OverviewOrganizational Structure Competition KFC does not consider Mc Donalds atomic number 18 its direct competitors. As Mc Donalds has a express menu and cater to different sh ars of company e. g. Mc Donald is catering to impose meat society of Pakistan. Though KFC has faced a little emulation from local restaurants except their breakeven in impairment of revenue has been quarter and they atomic number 18 planning to expand win to different cities like Islamabad and Peshawar. Yum deformitys, Inc. world-wide Presence & Competition The international Portfolio of 5 leading U.S. Brands give Yum a typical advantage over the undivided- disfigurement competitors. drawframe Customers KFCs client market consists wholly of the consumer market (Kotler et al 2003). KFCs products ar bought by individuals (males, females, singles, and families). Therefore, the product range KFC gap should appeal to as many slew in spite of appearance this consumer market as possible, to image that the maximum amount of products can be sold. The characteristics of these individuals and a segmentation of them atomic number 18 discussed later(prenominal) in this report. Company KFC is a multinational unbendable food chain company that has success profusey established itself in the P akistan market. It has a long history, press release back to where Colonel Harland Sanders created its plain recipes. The KFC make is well known in Pakistan, which makes it a functionful marketing peter to use against competitors. _ textbookmark texttoc-mark-start textbookmark texttoc-mark-start advertizement texttoc-mark-end texttoc-mark-end One of KFCs_ advertisements is a commercial announce its dreaded coquet box meal.The commercial features a fictional black metal passel called Hellvetica performing live, the lead vocalist then swal sufferings fire. The commercial then shows the lead singer at a KFC eating the wicked crunch box meal and express Oh man that is hot. _ _In 2007, the original, non-acronymic Kentucky Fried Chicken chance upon was resurrected and began to reappear on company marketing literature and food packaging, as well as some restaurant signage. _ Organizational Structure The KFC adopted handed-down structure for their outlets that another(prenomi nal) food set up are following. There is one command charabanc for Pakistan.The outlet is leaded by the Manager, assisted by two accessory managers, and one shift in-charge for to each one shift, that supervises the transaction of counter workers and kitchen workers. Organizational Chart drawframe ORGANISATION CULTURE _ drawframe _ Big on smorgasbord in the workplace _- Promotes differences in background, heathenish cultures, and rates_ Team-oriented environment Focuses on teaching everybody something advanced Promotes unity in the workplace Focuses on building relationships and creating diversity and commitment within the company and amongst employees and customers FOUNDING TRUTHSSatisfied customers and positivity follow. _ Respond To The Voice Of The Customer non just listen. _ _ The Restaurant General Manager Is Our 1 LeaderNot elder oversight. _ _ Run Each Restaurant As If Its Our Only One fend off the trap of the averages. _ _ Recognition Shows You Care flock l eave when you dont. _ _ Quality In Everything We DoEspecially the food. _ Refocused international strategies _ agonistical marketing strategy_ _ Distri moreoverion strategy_ WEAKNESS counsel Shift textlist-item textlist-item THREATS Consumer wellness food trend textlist-item saving ABOUT EFFICIENCY Lesser production costs Building healthy customer relationships Efficient hierarchical structure within the company starting from area_ manager till the food service team members_ _Every single chicken goes through Quality arrogance Lab. _ Porters Five Force Analysis drawframe Entry _For the current Pakistanmarket for betting food, it is not difficult for a fast food restaurant to enter the market.However, it would be super difficult to take over already running major fast food chains dominancy in Pakistanor even make a significant amount of profit. tour there are enough people in urban Pakistanfor any restaurant to survive, KFC holds the low gear-mover advantage into the non-veg food specialty food segment that gives them free reputation. Customers, especially children who are used to going to KFC as a handle or reward from their parents or grandparents, are not going to want to go to other restaurants theyve never heard of.The home run name is already established. in like manner, there is already a large variety in the numerous western-style dining places in Pakistan, such(prenominal)(prenominal)(prenominal)(prenominal) as _ McDonalds, Pizza army hut, Dominos and Subway, and any new fast-food entrants would just be presenting something very identical to whats already there. While itsy-bitsy _Neighborhood restaurants generally spend a penny low barriers to entry, these are the _barriers to entry for akin restaurant businesses to enter the fast-food chain market.The customers of KFC, especially as individual buyers, have al almost no negotiate power because if only one customer threatens to no longer eat at KFC, the store is not going to lower it s determine because the cost of losing one customer is not very great. The suppliers, like the buyers, have very little bargaining power. _In expense of food, KFC, upon its move into Pakistan, urged many of its U. S. suppliers to likewise lean branches into Pakistan. KFC also began helping local suppliers by giving them technological support to amend their products.This is a brilliant strategy because the supplies that KFC would other than need to import from the _ U. S. can now be obtained domestically, and if the U. S. suppliers decide to raise their prices, KFC can easily thrust to the local suppliers. This gives us a brilliant strategy. With this strategy, KFC created rivalry among its suppliers, profound the supplier bargaining power. In terms of human resources, labor cost is extremely low because the supply of non-skilled workers great exceeds the accept for them.With so little buyer and supplier bargaining powers, KFC is able to have a very tight control over its prices and expenditures. As mentioned above, there are a few major competitors in the fast-food industry _in Pakistanfor KFC, namely McDonalds, Pizza Hut, Dominos and Subway. The substitute products, in this case, would be burgers, pizza, and sandwiches. Though they are competitors, their particular products differ greatly from each other, in that they sell, chicken, burgers and fries, pizzas, and sandwiches, respectively.Traditional _ Pakistandining, home-cooked meals, and grocery stores with ready-to-eat foods are also substitutes, as families could choose any one of these over fast food for a meal. These substitutes are definitely considered healthy as compared to the fast food chains. Even foods from channel vendors count as substitute goods. unlike what one would expect, KFC has little rivalry with similar fast-food chains in _Pakistan. The ancient reason is that their core products are different, as in they sell different kinds of fast foods with very different judges and styles.For example, if KFC raised its price for chicken by a small amount, Pakistan chicken lovers who may not be as accepting to pizzas (many Pakistanpeople strongly dislike the taste of cheese) are not going to switch to Pizza Hut just because the price for KFC increase. In addition to that, these restaurants have such different target customers that the fluctuation of price for one restaurant is not going to affect the others. For example, a full meal at KFC ranges about Rs. cytosine, whereas a full meal at Pizza Hut can cost over Rs. 300. The drastic difference in price assures no price competition between these restaurants. _ drawframe _ drawframe _ drawframe _ textbookmark texttoc-mark-start textbookmark texttoc-mark-start textbookmark texttoc-mark-start textbookmark texttoc-mark-start texttoc-mark-end texttoc-mark-end capital of Massachusetts Consultancy Group (BCG) Matrix texttoc-mark-end texttoc-mark-end textbookmark texttoc-mark-start textbookmark texttoc-mark-start pri ncipal brand name texttoc-mark-end texttoc-mark-end _Currently KFC have launched a new product in the market. They have also tried to come into the drinks market by institution its new brand of shakes called KRUSHERS.As it is a fairly new product it comes in the category of the Question Mark in the BCG Matrix. It has a low market share thusly brings low revenue. KFC is advertising a lot to propagate this product so there is a lot of expenditure on it. This product is individually not bringing any profits and is a cash give out for the company. Company may decide to alone remove this product from the market if it does not do well soon and start bringing in revenue. _ textbookmark texttoc-mark-start textbookmark texttoc-mark-start DOG texttoc-mark-end texttoc-mark-end KFCsVeg Thali comes under this category. Although company had launched this product much earlier, it has still failed to become a success. As KFC is known more for its non-veg food, this also results in low hold for this item. It has a low market share and although low on expenditure (as company does not discharge on its promotion), it does not bring in much revenue as admit is low. The product is mostly CASH NEUTRAL. textbookmark texttoc-mark-start textbookmark texttoc-mark-start CASH COW texttoc-mark-end texttoc-mark-end KFCs Chicken set is the most successful product of the company.It has the lavishlyest market share amongst all the other products. It has good demand in the market and brings in huge sales revenue. The development and other expenses are also low and thus this product is a CASH SIRPLUS for the company. textbookmark texttoc-mark-start textbookmark texttoc-mark-start STAR texttoc-mark-end texttoc-mark-end KFC logical argument Strategy KFC fast-food chains are currently under the restaurant sectionalization of PepsiCo Incorporated. Some major threats include the changing attitudes of society toward healthier eating habits, KFC has more than 9,800 outlets located in 77 countries.In marketing, KFC restaurants are not restricted from mend within close proximity of other KFC restaurants. There are two secondary strategies for KFC. The first strategy involves keeping PepsiCo beverage division and snack foods division together, and a divestiture of PepsiCo restaurant division selling greaser Bell, Pizza Hut, and KFC. commercialize Strategies KFC Target Market KFC targets the young generation, as here in this country the young generation is more towards eating out and is more energetic. It targets the earliest single segment that is the upper class. assembly StrategyKFC does not need fast-growing(a) marketing or advertising because Brand is strong enough. Market division previously they were focusing on single segment that was through Niche merchandising by offering Combo Deals. Now they are focusing more on other classes as well. They are dealing in masses by introducing value deals most recently introduced Zinger Junior. Benefits Colonels valu e combo meals introduced previously were expensive and so there were less sales but through their recent offers, they have increased the sales by offering low prices. Purpose Inflation extremely affects the buy power of the customers.And here the purchasing power of many customers is low. To cover this major segment, they have introduced affordable meals, so that it is in scope of the masses. Want Specification The people here need a friendly and family restaurant, which must be affordable for them. Consumer Market Segmentation Region Karachi, Lahore, Rawalpindi, Faisalabad, Multan, Peshawar, Sialkot, Hyderabad and Islamabad Geographic Gulberg The main Gulberg branch is laid on M. M Alam bridle-path, which covers a wide area and serves a large number of customers. This restaurant faces competition with many top Fast nutriment restaurants located on the same road. defending team Their Defence Branch in H-Block focuses the possible customers of Defence. Barket Market This bran ch covers the area of beat Town, Johar Town, Muslim Town, Garden Town and Faisal Town. It is situated among many offices and banks. Cavalry Ground Shadman The Shadman branch is located on Jail Road and serves potential customers. Thokar Niaz Baig This restaurant branch serves potential customers. Mall Road Fortress field marketing Mix Marketing assortment consists of 4Ps. It contains everything a firm can do to influence the demand for its product. The 4Ps are PRODUCT PRICEPLACE forward motion Their product is classified as consumer product as it has no intermediates. KFC offers specialty goods. The stock turn over of KFC is laid-back. Price and quality of the product is always compared. Their product includes textlist-item _ written with it. _ comes in mind. KFC Brand textlist-item textlist-item textlist-item textlist-item textlist-item Brands Equity Branding Strategies KFC is marketing the inbuilt output under products own brand. complementary color Branding Packaging Str ategies They use news marker material for packaging to avoid health hazards and environmental pollution.Labeling Pricing In foot stage KFC entered the market using market-skimming strategy. Their products were high price and targeted only upper class. piecemeal they trickle down focusing on the middle class to penetrate the market. Also KFC follows one price strategy. Price is goaded agree to the rates of the raw materials and policies of the Govt. The semipolitical and legal forces often affect the policies of KFC and eventually results in change of prices that is due to courtly of taxes. KFC has only one channel of diffusion i. e. direct where the goods are transferred to the consumer directly.KFC has no middlemen. KFC does diffusion of consumer goods directly to the consumer. KFC also does distribution of work to the consumer like parking, sitting, home delivery, etc. KFC gets Wheels KFC launched its first mobile unit, which took the streets of Karachi by storm. The mo bile unit has been designed to cater to the needs of those who are on the go, and have little time to stop by at a restaurant. It also provides a unique doojigger of enjoying the delicious KFC offering anytime, anywhere, thus devising fast food truly fast and convenient. KFC intends to further develop its mobile engagement nationwide through more such units KFC does intensive distribution on its outlets. (All and everything on every outlet). The logo features Colonel Harland Sanders that is one of the beat out logo in the world has created its name as a standard in the market. Today the Colonels Spirit and hereditary pattern are reflected in KFCs brand identity. KFC by its advertisements derives the desire in the customer to come and enjoy healthy food in their favorite restaurant. They spend 2% of its profits on advertisement. They use print media and most recently doing televised marketing to move on it products.Their advertising media involve Newspapers, Pamphlets, Billboar ds and Television. KFC does both the primary demand advertising (Become a Chicken Fanatic) and the selective demand advertising (e. g. Zinger Meal). In its advertising it give informative messages like Faryad proceed the city sporting. KFC does institutional advertising to stimulate demand. When KFC offers new products then it does product advertising. KFCs ads act as counteracts which means to drive the customer to KFC i. e. it uses pull advertising strategy. _ drawframe _ Unlike McDonalds, KFCs promotion is highly decentralized.It adopts cultural values for their advertisements PSO had made a scheme in which PSO had given the coupons of KFC having 10% off. (1 coupon was given after each purchase of 10 liters of petrol) KFC in its advertisements says zippo does chicken like KFC We do chicken right The message conveyed in the ads is recognition for the brand. KFC does competitive advertisement with its head on competition with McDonalds. Regarding this KFC uses Pricing below com petition strategy. KFC sponsors many nongovernmental organizations and other social well-being organizations like Regular sponsorship to SOS village.Sponsorships to FARYAD_ a shew and life association. FARYAD Keep The City Clean. They also offer different deals according to the season and occasions. _ Quality Assurance Food Safety Chicken & its Products Locally produced and polished chicken. Supplied in frozen form Marketing Research and methods to collect information Marketing research was done before launching the product through different mediums. It was conducted after the survey that mostly students prefer to go to KFC than other people. The second in mass were people who are in services. That covers the majority of this country. drawframe _ drawframe drawframe drawframe drawframe Strategic management Market maturement Product Development Concentric Diversification Implementations textlist-item textlist-item textlist-item textlist-item textlist-item textlist-item Recent A chievement of KFC The Stevie International Business Awards KFC Pakistan was honored to receive the award among 100 countries and 800 participants. The award was presented to Mr. Rangoonwala by Mr. Graham Allan, President, YUM Restaurants International at a recent group in Prague, Czech Republic.KFC is a very strong chain of fast food restaurants with more than 10,000 restaurants all over the world. macrocosm in Maturity Stage it has high opportunities of introducing its new products and deals. In Future it will be expanding its chain by introducing more outlets in Pakistan as well as in other countries. Believe in value creation. Provide ultimate excerption of quick service restaurants for consumers. Won the patrol wagon of millions of Pakistanis _ drawframe _ References Yum Brands, Inc. http//www. yum. com KFC http//www. kfc. com KFC Barkat Market Mr. Shabir (Marketing Manager)