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KFC Company Report

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Updated: Aug 2nd, 2021


KFC (Kentucky Fried Chicken) is a chain of fast food restaurants. It is based in Kentucky USA (KFC 6). The company specifically sells chicken pieces, salads, wraps and sandwiches. On the other hand, it deals with roasted and grilled chicken products. In addition, it offers desserts and side dishes. As a matter of fact, the company sells pork products in markets outside North America.


Business level strategies

KFC has been opening new restaurants every now and then to widen its presence in the market (Fermino 11). This has seen the company become the world’s largest chicken restaurant chain. On the other hand, it’s the world’s third largest food chain. Most of the company’s growth has been driven by international operations. This growth can be attributed to fast food franchising that the company has embraced.

Evaluation of business level strategy

The company’s strategy is derived from extensive consumer research. This has seen it come up with enticing products that suit various consumer needs (Shanahan 9).

As a matter of fact, the company has various products to ensure that diverse and distinct customers’ interests are taken care of. KFC has also embraced globalization as a growth strategy. This has been done by adopting their products and business practices to the local context (Lewis 21).

As far as the company’s performance is concerned, these business strategies have been successful. This can be explained from, the fact that most of its franchises have continued to post favorable financial results (KFC 27).

Customers are nowadays more informed about products and they will always demand the best. By using consumer research as a market strategy, the company has been able to understand various customer needs. In the process, it has been able to serve them well. Implementation of these strategies has been done effectively to ensure that they meet their expectations (Scot 13).

Competitive Advantage

Success can only be achieved with proper formulation and implementation of business strategies (Lamb 5). The company has been accumulating its business resources and organizational capabilities to build a sustainable and formidable competitive advantage. As far as globalization is concerned, the company has ensured that it builds local leadership to manage its diverse franchised businesses.

Capacity to sustain competitive advantage

The fast food business as a whole is very competitive and needs good strategies for long term sustainability (Ozersky 7). Competition has forced KFC to be more strategic and innovative to ensure that its business is not threatened (KFC 12)). On the other hand, the company has the capacity to sustain any competitive threats. KFC has more than 2500 restaurants with each of them generating more than one million dollars in revenues (KFC 17). This therefore means that it has the necessary resources to sustain any competition.

In addition, it has been involved in extensive marketing to ensure that customers are more informed of its products (Bulleit 23). The company has also used the internet and related technologies to effect its operations. This has seen it carry out its operations in a more cost effective way.

Globalization has also brought about competition as markets are more accessible that before (Hamel 19). KFC has always attracted the best talent to help it revolutionize its business and products.

KFC is also involved in extensive market research to come up with good strategies. This has enabled it to counter any strategic moves aimed at destabilizing its business. On the other hand, the company has a flexible menu that suits different markets. For instance, in Australia it has fillers in different varieties. These fillers are mostly sold over the summer (KFC 15).

Aspects of strategic management

Strategic management theory

Strategic management is supposed to help companies come up with new ideas and replace outdated ones (Malcolm 32). This should be done by proper utilization of resources to enhance the company’s performance in the market. As a matter of fact, companies should come up with a good score card to evaluate their performance as far as business strategies are concerned (Stewart 29).

Internal / external analysis & business level strategy priorities

Companies are expected to evaluate their competitors in the market and come up with good strategies to counter all potential and existing competitors (Malcolm 38). This should be both in the short run and long run. Business strategies are supposed to be reassessed for enhanced sustainability. From our case, KFC has adhered to all aspects of strategic management by coming up with good strategies for growth.

Good strategic management should ensure that there is proper strategy formulation and implementation (Senge 5). KFC has been coming up with good strategies to enhance its market presence. To ensure that they are successful, the company has been availing all the necessary resources and support for proper implementation. For instance, franchising has always been reviewed to ensure that it is more sustainable.

Most of the company’s strategies have been suitable. For instance it has been enhancing its menu to ensure that all distinct customers’ tastes are satisfied. The company has mostly used an industry organizational approach to strategic management (Jarillo 11). It has done this by laying more emphasis on resource allocation, competitive rivalry and economies of scale.


The company has continued to attract customers to its restaurants because of diversity. It is estimated that it serves more than 12 million customers in a single day. The company has operations in more than 109 countries in the world. KFC is famous because of its original recipe that customers have continued to identify with. The company will continue having good growth prospects with effective strategies in place.

Works Cited

Bulleit, Jim. KFC’s Secret Recipe Returns Home. New York: Times, 2010. Print.

Fermino, Jennifer. Fryin’ on a Wing and a Prayer. New York: New York Post, 2009. Print.

Hamel, Gary. Leading the Revolution, Plume. New York: Penguin Books, 2002. Print.

Jarillo, Carlos. Strategic Networks: Creating borderless organizations. UK: Butterworth- Heinemann, 1993. Print.

. Newsroom. 2010. Web.

Lamb, Robert, Boyden Competitive strategic management. Englewood Cliffs, NJ: Prentice-Hall, 1984. Print.

Lewis, Robert. Cases in Hospitality Strategy and Policy. New York: John Wiley & Sons, 1998. Print.

Malcolm, Gladwell. The Tipping Point. New York: Little Brown, 2000. Print.

Ozersky, Josh. KFC’s Colonel Sanders: He Was Real, Not Just an Icon. New York: Times, 2010. Print.

Scot, David. Strategic Management: Concepts. Upper Saddle River, NJ: Prentice Hall, 2005. Print.

Senge, Peter. The Fifth Discipline. New York: Doubleday, 1990. Print.

Shanahan, Andrew. Anatomy of a dish: KFC Family Feast – eight pieces of chicken. London: The Guardian, 2005. Print.

Stewart, Thomas. Intellectual Capital. London: Nicholas Brealey, 1997. Print.

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