Wednesday, December 11, 2019
Management for International Business -myassignmenthelp.com
Question: Discuss about theManagement for International Business and Management. Answer: SWOT Analysis The SWOT analysis includes the factors that help the company to analyze the internal and the external factors that can impact the working of the KFC. The SWOT analysis of the KFC is discussed below and includes the Global as well Middle East regions perspective. The Middle East regions consist of Cyrus, Turkey, Egypt, and various territories and states of Arabia (Hollensen, 2015). Strength Global perspective- The Company is having the global presence as KFC is the worlds 2nd largest restaurant chain. The company is having approximately 18,000 KFC outlets in 120 countries and the territories across the world. KFC brand is well known for the fried chicken across the world, but now along with the Non-veg offering company is proving the Veg Category. The company is leading in the world because of their secret recipe that contains 11 herbs and species. This recipe became the strength of the company and helped the KFC to become the successful food chain across the world (Shuailing, Zhi, 2015). Middle East Regions- Middle East regions are considered as the strong markets of the KFC. The company is earning huge amount of revenue from the franchises and the licensees fees that are established in Middle East regions. This is the reason company is having the strong brand reputation along with the visibility and accessibility in Middle East regions. The accessibility of the KFC outlets is more in the east regions which enhances the goodwill of the company. Weakness Global perspective- The management of the franchises across the world is bringing trouble for the KFC. The KFC found that they closed many outlets because they found the conflicting operational issues among the KFC and its franchisees. The food provided by the KFC includes the unhygienic calories and unhealthy fats, which affects the business of the KFC because nowadays the people are becoming health conscious (Hollensen, 2015). Middle East Regions- KFC Company is least interested to bring any development and innovation in the Middle East regions and this is becoming a weakness for the company. The company also faces problems related to the management of the franchises across the eastern regions. Opportunity Global perspective- The KFC brand stills have the market expansion options that can be used by the company as the lifestyle of the customer is changing. The company has the opportunity to get the specialty in the vegetarian menu; this will leads to the growth and success of the company. Penetration can be adopted by the company which will help the company in enhancing the growth and becoming the leading player in the food chain industry (Zhuang, Jiang, 2016). Middle East Regions- Company has the opportunity to open many more outlets in East regions. Opening new outlets will enhance the growth and profit of KFC. The company has the opportunity to bring more of the vegetarian's dishes as most of the people like to have the vegetarian dishes instead of the non-veg. Threats Global perspective- The company has to compete with different competitors across the world, this is the reason KFC is not a leader in the industry. The change in the eating habits of the customers is leading and become a threat, the habits are changing due to the awareness of the healthy products. The increase in the prices of the raw material is one of the threats. The closure of the franchises might create the impact on the brand image of the company which is again a threat. Middle East Regions- The leading competitor McDonald is giving competition to the KFC in the Middle East regions as well. The threat of the competition is increasing and it is becoming the threat to the company. The prices of the raw material are also increasing which made the KFC think that if they increase the price they will not be able to compete in the market (Mahidin, Othman, Saifudin, 2016). References Hollensen, S. (2015). Marketing management: A relationship approach. Pearson Education. Mahidin, N., Othman, S. N., Saifudin, A. M. (2016). Halal logistics issues among the food industry companies: A preliminary study. Shuailing, L. I., Zhi, Y. U. (2015). KFC development in Chinese marketbased on the social responsibility and ethics. International Business and Management, 10(3), 142-146. Zhuang, K., Jiang, Y. (2016). An analysis of the development of the Chinese fast food industry. Journal of Asian Business Strategy, 6(5), 85.
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