Read more about the steps we have taken to reduce our environmental footprint and plans for improvement moving forward. Many people like KFC because they are not like the industrial company. No plagiarism, guaranteed! We do so through ongoing efforts to save energy and water, recycle, purchase environmentally preferable products, and help raise awareness of environmental issues. Climate change would also render some products useless. In their annual report, the company claimed that "we try our best to reduce environmental pollution and we will pay more attention on it in the future. It helps the management to have a complete understanding of the external or bigger environment prevalent in the region.It further facilitates the decision-making bodies to plan and devise the most appropriate strategies and goals; all of which shall hit the target in the given market scenario.Such a… These are some of the political factors that include legal issues, government implementations and define both the formal and informal rules under which the organization must be operated. PESTEL ANALYSIS OF KFC Political Analysis: Political factors are basically how the government intervenes in the economy. KFC Corporation, the fast food giant, will stop using palm oil in its deep friers, reports The Independent. On the other hand, the trend towards healthy food can against the development of fast food. The customers of KFC, especially as individual buyers, have almost no bargaining power because if only one customer threatens to no longer eat at KFC, the store is not going to lower its price because the cost of losing one customer is not very great. Increase competition from local and international outlet. With this strategy, KFC created antagonism among its suppliers, lowering the supplier bargaining power. With so little buyer and supplier bargaining powers, KFC is able to have a very tight control over its prices and expenditures. From simple essay plans, through to full dissertations, you can guarantee we have a service perfectly matched to your needs. Market Development (Existing product and new market). KFC is one such fast food chain that does not make that list. Economic environment: The state of the economy can affect food product development. To overcome and analyse these factors organisation can categories it in to PESTLE model which is considered as below. As a profit-driven corporation and part of the private sector, there are many parts of this company that create social, economic, and environmental problems in our society. When speaking about the hygiene it’s a very true example were KFC had to bare the high penalty because of failing in maintaining food hygiene. KFC by considering the environmental factor has proved to be quite friendly towards environment where it uses the paper material for the food and services carrying instead of plastic to help in reducing the global warming though it cost very high for the organisation to adopt paper materials such as paper plates, paper boxes for food parcel, glasses and cups etc.. International beef scare from mad cow and hoof and month disease. When we study Kentucky fried chicken in terms of Business Environment by using three analyses concepts many more interesting concepts relating to the KFC arises. In terms of human resources, labour cost is extremely low because the supply of non-skilled workers great exceeds the demand for them. Frozen food is not good for health and despite what so ever the standard they maintain. KFC ORGANISATIONAL ENVIRONMENT. While other fast foods serve as substitute to KFC, they can also serve as complements for fast foods as a whole. *You can also browse our support articles here >. Chains for its convenience and menu variety. Company Registration No: 4964706. Answered July 16, 2019 - KFC Team Member (Current Employee) - Yuma, AZ. The man who started it faced many hardships in the beginning of his life and had to start earning his living at a very early age. How eco-friendly your employer is when it comes to using energy to heat and cool the building, to bring products into it, and to remove waste from it has a major impact on your community and the planet. Customers, especially children who are used to going to KFC as a treat or reward from their parents or grandparents, are not going to want to go to other restaurants they’ve never heard of .The brand name is already established .Also, there is already a large variety in the numerous western-style dining places in United Kingdom, such as McDonald’s, Pizza Hut, Domino’s and Subway, and any new fast-food entrants would just be presenting something very similar to what’s already there. 2/18/2013 3 Comments Kentucky Fried Chicken is one of the famous chicken restaurants in the world chicken restaurant chain. When KFC is made aware of the problem it is unforgiveable to continue to do business with APP. Kfc Markting ESTEL Frame work: In Macro environment there are many factors that will effect the decision making in any organisation. In terms of food, KFC, upon its move into United Kingdom, urged many of its U.S. suppliers to also extend branches into United Kingdom.KFC also began helping local suppliers by giving them technological support to improve their products. Answered September 12, 2020. Palm oil is high is saturated fat and has been associated with destruction of carbon-dense peatlands and rainforests in Indonesia and Malaysia. As the principle guiding force, macro environment agents play a pivotal role in determining the decisions of an organization. SWOT provides a good frame work for reviewing stratergy, position and direction of a company or business proposition. VAT Registration No: 842417633. It includes the cultural and demographic aspects of the external macro environment. (Corporate Social Responsibility Of Kfc Management Essay), Abraham, M. ( 2004). As mentioned above, there are a few major competitors in the fast-food industry in United Kingdom for KFC, namely McDonald’s, Pizza Hut, Domino’s and Subway. After all they are the ones who interact with customers, keep them happy. Only one country has taken initiative and has stopped buying from this Paper Company but KFC as a whole needs to realize the gravity of the situation and respond immediately to it. Renowned for serving best-in-class fried chicken, all these years, KFC has also added other chicken products, soft drinks, and fries on its menu. The increasing manufacturing standards for food products have also impacted KFC businesses. Based on the information about the KFC using the five forces analyses management can decide how to influence particular characteristics. Ref:, This factor mainly deals with the government policies and procedures which is worked out through legislation and consists of all legal factors such as, Taxation policy on tax rates and incentives. KFC is one of the biggest fast food companies in the world. KFC is committed to improving our sustainable footprint through green building initiatives like energy and water efficiency, packaging, food recovery and waste reduction and recycling. If the general price of fast foods goes up, KFC’s price rises as well, and the same can be said of the quantity sold of these products, which make them complements to each other. Also as this is an FDI in all countries except for U.S. it contributes to the GNP growth of that foreign country. The change in demographic can affect positively to fast food industry especially KFC. Nutritionists have claimed that advertising of fast food should be banned as of cigarettes as more people die of heart diseases every year than of lung cancer.
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