Kfc in china

Kfc in china

BERIOT Edouard Monday November 29th Kentucky Fried Chicken Created in 1952, this chain of fast food was born, as its name indicates, in the Kentucky, in the United States. Today the property of Yum! Brand, the company has built its success through its recipes fried chicken. After initially developed in various states of America, the group is now worldwide known. It has a current total of 14,000 restaurants, in over 80 countries all over the world and the brand continues to grow, especially in China.

When the fast food chain opened its first restaurant in China in 1987, success was driven by the passion for discovering the Western lifestyle. Today fast food has lost its status as a curiosity, and has anchored his mark in the local culture. Indeed, there are more than 2,100 restaurants, localized in more than 450 cities across the country and this is just the beginning, a KFC shop is opened every 22 hours. How the group KFC has succeeded in establishing itself as a leader on the fast food market in China? What efforts have the brand does to conquer the Chinese consumer?

What are the threats that could slow the growth of the group in the Chinese

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territory? KFC is the first fast food chain to have settled in China in the late 80’s, while its biggest rival, McDonald’s settled there in 1992. These five years with so little competition has enabled the company to locate in the country peacefully. However, this is far from sufficient to explain the huge success for many years. The reasons are many and diverse to be popular with consumers, the brand trying to adapt to the culture and desires of the Chinese population.

Firstly, KFC is trying to create continuity between past, present and future. The chain tries to give an image blending modernity and tradition. That is why it often refers to the Beijing Opera in communications, especially television. For example, an advertisement featured a player of the Opera, face makeup, eating a KFC burger. Another advertisement shows a father and son who listen to music very different. The father listens to the opera, while his son plays Hip Hop. Despite the fact that they did not have the same taste in music, they find themselves around a KFC meal.

Then, the brand wants to convey an image of solidarity. Even if it’s a fairly standard way of communicating, KFC claims that, a family gathering around a meal is their source of happiness. More than customers, the brand also emphasizes the fact that solidarity exists within the company. In advertising, we see an employee of a fast food be assisted financially by his employer in order to continue his studies. KFC has also introduced some time he has a scholarship to 5000 Yuan per year. This operation was intended to help disadvantaged children and of course emphasize group solidarity towards the poorest.

By doing this, it surely inspired largely on the communication policy of McDonald’s in Europe and the U. S. Then, China, KFC is riding the wave of family and child. Indeed, in order to control the country’s demographics, the Chinese government has set up in the 70s, « the one-child policy.  » In China, the child occupies a prominent place in the family. KFC took this opportunity to connect on two areas important to attract families: – Restaurants seek to highlight the fact that the burgers on offer have characters and nutrients they provide the child with a lot of what he needs to grow. Like McDonald’s restaurants also offer every « box » containing toys. Moreover, it is possible to organize the birthday dinner, for example. Employees are trained to create animations. The most common and one that meets the most successful is a lesson in American dance as well for parents as for children. Tradition is also a point on which, Kentucky Fried Chicken supports communication. In the decoration of its restaurants, the chain is therefore a maximum for the Chinese customer is not completely out of place. Symbolic signs are taken as a decoration.

Thus, it can sometimes be found drawing, as well as the Great Wall of China as shadow. There are also sometimes in some fast food, kites, both China and symbol of popular toys for children. Nationalist sentiment is also very strong in China, Chinese people are proud to belong to a country led him to become the first global power in a short time. Like many foreign brands or not, teaches U. S. encourages the country for each event. It is not uncommon to see KFC sponsors meetings both sporting and cultural. China is a vast country with over 1. 3 billion and many disparities exist within the country, whether cultural or even sports.

Local themes are also central concerns of KFC. Therefore, as stated previously, decorations vary by region, the Great Wall of China, for example, is ubiquitous in restaurants in nearby cities. Similarly, figures Basketball offered in the « box » Children are different from province to province. The stars shown are those closest teams. KFC is very vigilant about the quality image that their products refer. Prices in China are relatively high for people with average income. However, Chinese people consider that a high price is a sign of quality, so it’s not necessarily a barrier to purchase. So the U.

S. company communicates a lot about the quality of its products, and desserts in particular. On the other hand, to show that it cares about its customers, dietary guidelines are posted in the fast food to capture the target of young Chinese, sometimes overweight. The work done by KFC marketing so far has enabled the group to settle in comfortably as the market leader. However, the company will have to provide new efforts if it wishes to retain his leadership. Two recent threats are more or less strongly to take into consideration. The first is obviously the fierce competition in this market.

McDonald’s is obviously the most serious competitor to KFC. The sign at the famous M is the leader in most countries and does not intend to stay in the second most populous country in the world. It is therefore all the stops, especially in communication, and has even opened a Hamburger University in Shanghai. If McDonald’s can be scary, other groups should not be overlooked, because whether it is Burger King, Subway or Pizza Hut, they are all on the lookout. The other major threat to KFC is the beginning of debate on obesity in China. Far from the concern, there are still a few years; the influx of fast food has changed that.

In fact, according to a study by the World Health Organization, nearly one quarter of China’s population is overweight. An estimated 200 million are overweight and 90 million are obese. So it is a respective increase of 39% and 97% over 1992. Like Western countries, KFC can expect to suffer campaigns against fast food more and more numerous and attendance would then suffer. In conclusion, Kentucky Fried Chicken, the first fast food, which has so far successfully implemented its conquest of the Middle Kingdom. With 370 store openings in 2009, the U. S. group is now succeeding his bet.

Yum! estimated in October 2006 that China had a potential of 14,000 restaurants. We can believe, given the magnitude of the market and efforts to adapt the company does. However, it is important to consider the two serious threats of competition and obesity. KFC is currently head of McDonald’s thanks to the efforts made to please the Chinese customers, but the battle promises to be tough in a market that is becoming extremely competitive… Sources: – http://content. onlinejacc. org – http://money. cnn. com – http://www. maghress. com – http://www. gadling. com – http://www. sanqualis. com