Kfc's Big Game of Chicken

1081 WordsMay 6, 20125 Pages
Executive Brief for To: David Novak, chairman, president and CEO Re: Strategic Growth Plan From: Date: April 18, 2012 Executive Summary As a long-standing leader of fast food industry, KFC has gained a substantial global recognition and developed multinational operation in past decades. Although KFC has successfully entered Asian and African markets, the domestic operation has faced lots of challenges such as declining market share, industry competition and franchisees dissatisfaction and so on. President Novak would like to keep how the company is doing well now, which is to focus more on foreign market. The domestic franchisees are disappointed to KFC management team due to lots of restrictions, and neglect. Therefore, they are…show more content…
 The ideas of the franchisees may at odds with the President. Recommendation #2: Further expansions into African, Asian and other countries that are ripe for explosive growth by merging and acquiring, and other strategies. Benefits  Explosive growth and large customer base in some countries which will bring huge profits.  Differentiation will increase customer perception and customer loyalty.  The labor and production costs will be lower in some countries like China and Ghana Barriers  Political factors: terrorists, policies regarding overseas operations.  Economic: economic condition, currency exchange.  Social: customs, eating habits, and demographics  Environmental: corporate social responsibilities, pollution law Action Steps Action Steps 1. Introduce the restructuring solution through a comprehensive strategic business plan. 2. With management’s approval, refine the strategic plan with financials and complement the usage of resources. 3. Environment scanning for the market we would Who Strategic Planning Team Strategic Planning Team, CFO Strategic When By May 1st By mid-May By June Outcome BA 453: Business Strategy and Planning like to enter. 4. Write comprehensive strategic plan 5. Refine the strategic

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