View
3.108
Download
16
Category
Tags:
Preview:
DESCRIPTION
Citation preview
McDonald’s versus
KFCBy: Mohammadreza Fallah, Yawei He, Kanat Kairatov, Archie Nelson
History
KFC(Kentucky Fried Chicken):• Founded in 1930• By Colonel Harland Sanders in Kentucky • Franchises restuarant• A brand of Yum! Brands (original PepsiCo)
History
McDonald’s:
• Founded in 1940
• By Dick and Mac
MacDonald in California
• Target market is children
and young people
Worldwide Market Share in the fast food industry
McDonald’s
KFC
Comparison
90
120
How many countries they entered into?
Comparison Restaurant numbers worldwide
11,000
31,000
Comparison
$11.2bn
$40.6bn
Company’s market value
Strengths Weakness
Opportunities Threats
Internal
external
posi
tive
negative
SWOT Analysis
Common Strengths:
• Fast
• Good location
• Good services
• Good environment
• Globalization
• Brand
SWOT Analysis
• Strengths of McDonald’s :
• Higher income and more capital
McDonald’s Yum!
(KFC, Pizza Hut and Taco Bell)
SWOT Analysis
• High-quality raw material (SQI)
• Standard products
• Welcomed by children
SWOT Analysis
Strengths of KFC:• Localization• Various products• Large products portfolio & long product
life cycle• Larger target market 6-65
SWOT Analysis
Weaknesses
KFC McDonald’s
Unhealthy Unhealthy
Poor food quality Changeless on menu worldwide
Lack of focus on R&D
(research & development)
Product failure
Slow speed of growth Taste of food is not good
The taste of hamburgers
SWOT Analysis
Opportunities:
• International markets:
Developing countries
• Small middle size cities
• Order online or by telephone
• New products
• Business alliance
SWOT Analysis
Key Threats : Competition
• Restaurants are increasingly advertising low cost burgers on their menus …If you're not in a hurry, which one would you choose? (for example The Wilmslow Arms opposite my university halls offers a great burger for five pounds)
• Burger King is increasingly competing with both McDonald's and KFC with a market share of 9%.
SWOT Analysis
Key Threats: Change of consumers’ lifestyle:
• Social changes - Government, consumer groups encouraging balanced meals, 5 a day fruit and vegetables
• Health professionals and consumer activists accuse McDonald's of contributing to the country’s health issue of high cholesterol, heart attacks, diabetes, and obesity
• The film “Super-size Me” highlighted the dangers that excessive fast food consumption can have on a persons health
Solutions
For McDonald’s:Improve the taste of foodEnlarge the narrow product portfolioIncrease target market
For KFC:Improve the quality of foodIncrease the restaurant numbers
Reference• KFC (2012) History [Online]< http://www.kfc.co.uk/about-kfc/kfc-history >, [Date accessed
25/04/2012]
• McDonald’s (2012) History[Online] <http://www.mcdonalds.co.uk/ukhome/Aboutus/Development.html >, [Date accessed 25/04/2012]
• Markets.ft (2012) markets data of McDonald’s [Online] < http://markets.ft.com/Research/Markets/Tearsheets/Financials?s=MCD:NYQ >, [Date accessed 27/04/2012]
• Markets.ft (2012) markets data of KFC [Online] < http://markets.ft.com/Research/Markets/Tearsheets/Financials?s=YUM:NYQ >, [Date accessed 27/04/2012]
• Yahoo (2012) Consumers reports of burgers [Online] < http://shopping.yahoo.com/articles/yshoppingarticles/428/best-burgers/ >, [Date accessed 27/04/2012]
• Newscn (2005) KFC dressing contains “”Tonyred 1 [Online] < http://newscn.biz/Export/News6482.pdf >, [Date accessed 25/04/2012]
• MSN (2012) McDonald's meets expectations as profit jumps [Online] < http://www.msnbc.msn.com/id/47114485/ns/business-us_business/ >, [Date accessed 25/04/2012]
Recommended