...1. All of YUM! Brands, Inc. restaurant chains are positioned within the Quick Service segment of the restaurant industry. Do they compete with each other? Why? Why not? Yum brands restaurants do not compete with each other. Yum brands offer different products and are inspired by something unique. For example, Taco bell is specifically made with Mexican inspired products and does not offer products KFC, Pizza Hut or A&W. All these restaurants have similarities in the sense that they are all quick service, offer connivance and value. 2. What are the advantages of YUM’s multi branding strategy? Disadvantages? The advantage of yums strategy is that they do not compete with each other. They drive good global growth. Most importantly this strategy does a good job of targeting the majority of the demographic groups. We are continually living at a faster pace as we continue to develop and grow in diverse levels, fast, cheap and easy has become very popular. The disadvantages are; with the use of technology and accessibility to people who are educated, consumers are becoming more concerned for not only fast and cheap but also quality and nutritious. With YUMs strategy they are missing all the different types of behaviors and don’t cater to those who want fine dining. 3. What other growth strategies might you recommend to YUM! Brands, Inc.? I would recommend Yum to further market research not only what drives people in to their restaurants but what drives them out? Yes they are...
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...1. All of YUM! Brands, Inc. restaurant chains are positioned within the Quick Service segment of the restaurant industry. Do they compete with each other? Why? Why not? No, they don’t compete with each other, because each chain has their customers, they try to make a satisfaction and also a good experience for customers. They don’t even try to compete. Also this company is take a tremendous amount of pride in each individual and believe in acknowledging a job well done on every level. We don’t stop until we achieve breakthrough results, so we encourage you to master your skill set, while constantly expanding your expertise. 2. What are the advantages of YUM’s multibranding strategy? Disadvantages? Some of their advantages are that they believe their customers' experience will never exceed that of their team members. For that reason, our Dynasty Model starts with their people. We know that people don't just play a role in our success – they are the reason for their success. Our corporate values – what we call their How We Win Together principles – are built around a "People Capability First" philosophy and lay the groundwork for the way they team together every day. Another advantage could be for example on China and another countries exists a chicken named Chicky, this make the young people (kids) to come to the restaurant (KFC), it makes a party for the kids but this only happen on China not the USA. Also something that catch my attention was the global perspective...
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...ACC 230 Steve Bell 5/1/2013 Introduction and Business History/Description Yum! Brands was found in 1997, originally named Tricon Global Restaurants, Inc. Its headquarters is located in Louisville, Kentucky. Their website address is http://www.yum.com. In 1997 PepsiCo disposed of its restaurant division to Tricon. On May 16, 2002, Tricon changed its name to Yum! Brands, Inc. With its 37,000 units in over 120 countries, Yum is currently the world’s largest quick service restaurant company. Yum has three major restaurants, Kentucky Fried Chicken (KFC), Taco Bell and Pizza Hut. The company franchises and licenses its restaurant worldwide. In February 2012, they acquired controlling interest in Little Sheep Group Limited. They have around 18,000 system restaurants in the United States and in 2011 had revenues of $3.8 billion and operating profits of $589 million. Suppliers Yum purchases its supplies from a number of different suppliers throughout the world. The primary items that Yum purchases are cheese, beef, chicken and pork products, as well as paper and packaging materials. Their China division deals with around 500 different suppliers, primarily based in China. Yum and the representatives of the company’s franchise groups are members of the Unified Co-op. The Unified Co-op provides companies with the opportunity to purchase lower priced products and equipment. Customers The company does not focus or rely on just one group of customers. Quick services...
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...Yum! Brands, Inc. Yum! Brands, Inc., (NYSE: YUM), has managed to gain the large share of the world market of fast food restaurants. I believe this is because they have cornered several types of cuisines. They have the Southern style the Italian, and the Tex-Mex. On a smaller scale they have some of the hamburger market with A&W and the same amount in seafood with Long John Silvers. At the present moment the company unites several very powerful and well-known brands such as KFC, Pizza Hut and Taco Bell. KFC is mainly known for its fried chicken. Also KFC has a long history and is traditionally considered to be one of the most popular fast food restaurants competing with McDonalds one of YUM brands largest competitors. Yum! Brands also owns Pizza Hut which is a restaurant chain and international franchise based in Addison, Texas. They specialize in Americanized pizza along with side dishes including pasta buffalo wings, bread sticks, and garlic bread. At the present moment, Pizza Hut is the world’s largest pizza restaurant chain. Also, Yum! Brands has Taco Bell which is mainly based on Tex-Mex cuisine. Pizza Hut was established in 1958 in Wichita, Kansas. Within a little more than a decade, the company became the largest pizza chain in the world in terms of both sales and number of restaurants. The company had an initial public offering in 1972 on the NYSE. It continued to fuel its growth by purchasing smaller restaurants and supply and distribution companies. Shortly...
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...Yum! Brands Yum! Brands started out as Tricon Global Restaurants in 1997 as the result of a separation from PepsiCo, and became owners of the KFC, Pizza Hut and Taco Bell brand names worldwide. Yum! Brands is now a Fortune 500 company based out of Louisville, Kentucky and the world’s largest restaurant company in the world in terms of system restaurants. With over 37,000 restaurants in over 110 countries, Yum! Brands dominates four sectors of the quick-service food industry: Mexican with the Taco Bell name, chicken with the world famous Kentucky Fried Chicken brand, pizza with the Pizza Hut chain, and seafood with their Long John Silver’s restaurants. Yum! Brands also owns A&W Restaurants, the longest running franchise chain in the United States, and the world's largest delivery wing chain, WingStreet Restaurants. In their traditional form, units feature dine-in, takeout and, and drive-thru or delivery of fast service food items. Non-traditional units include “express” units and kiosks with limited selections on the menu. These venues are located in non-traditional locations for convenience and practicality, such shopping malls, airport terminals, gasoline service stations, sport centers and stadiums, recreational and amusement parks, convenience stores and colleges and universities (Yum! Brand “Our Brands”). Geographic Sectors Yum! Brands operations include three major segments: a) The United States b) China, Thailand and Taiwan and c) International. Although domestic...
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...WATCH THE VIDEO “ YUM” AND RESPOND THE FOLLOWING QUESTIONS IN BLACKBOARD: 1. All of YUM! Brands, Inc. restaurant chains are positioned within the Quick Service segment of the restaurant industry. Do they compete with each other? Why? Why not? En mi punto de opinión personal considero que estas franquicias son de comida rápida mas no son competencia entre ellas, ya que cada quien tiene sus segmento de mercado diferente; cada restaurante ofrece menus diferente para gustos y antojos diferentes. Por ejemplo , los alimentos de Taco Bell se hacen específicamente con los productos que inspiran la cultura mexicana y no ofrece productos de KFC , Pizza Hut o A & W . La característica que los une es ofrecer el servicio de alimentos con métodos que den como resultado la rapidez y eficacia. YUM brands tiene su emporio de comida rápido. 2. What are the advantages of YUM’s multibranding strategy? Disadvantages? La ventaja de la estrategia de Yums Brands es que no compiten entre sí. Conducen un buen crecimiento global. Su estrategia hace un buen trabajo en la segmentación del mercado respecto a la demografía. Estamos viviendo continuamente a un ritmo más rápido a medida que seguimos para desarrollar y crecer en diversos niveles, rápido, barato y fácil esto se ha vuelto muy popular. Las desventajas son: con el uso de la tecnología y la accesibilidad a las personas que se educan , los consumidores están cada vez más preocupados por no sólo es rápido y barato, sino también la calidad...
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...Yum! Brands Financial Analysis 1 (A) Background Information Period Ending Dec 28, 2013 Dec 29, 2012 Dec 31, 2011 Assets Current Assets Cash And Cash Equivalents 669,000 912,000 1,312,000 Short Term Investments - - - Net Receivables 442,000 428,000 398,000 Inventory 294,000 313,000 273,000 Other Current Assets 286,000 272,000 338,000 Total Current Assets 1,691,000 1,925,000 2,321,000 Long Term Investments 53,000 72,000 167,000 Property Plant and Equipment 4,459,000 4,250,000 4,042,000 Goodwill 889,000 1,034,000 681,000 Intangible Assets 638,000 690,000 299,000 Accumulated Amortization - - - Other Assets 566,000 575,000 775,000 Deferred Long Term Asset Charges 399,000 467,000 549,000 Total Assets 8,695,000 9,013,000 8,834,000 Liabilities Current Liabilities Accounts Payable 2,194,000 2,269,000 2,130,000 Short/Current Long Term Debt 71,000 10,000 320,000 Other Current Liabilities - - - Total Current Liabilities 2,265,000 2,279,000 2,450,000 Long Term Debt 2,918,000 2,932,000 2,997,000 Other Liabilities 1,244,000 1,490,000 1,471,000 Deferred Long Term Liability Charges - - - Minority Interest 63,000 99,000 93,000 Negative Goodwill - - - Total Liabilities 6,490,000 6,800,000 7,011,000 Stockholders' Equity Misc Stocks Options Warrants 39,000 59,000 - Redeemable...
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...Yum! Gets Global Image for Pizza Hut Early in 2007, Yum! Restaurants International engaged Jump to work with them to create global alignment and a new design image for their Pizza Hut asset base. As an international brand with thousands of restaurants around the world, managing the brand at the individual restaurant design level is an enormous task that requires understanding, cooperation, and a strict, but flexible set of guidelines that defines the Pizza Hut image moving forward, yet provides latitude for regional variation and influence. Working closely with the corporate teams out of Kentucky and Dallas, and in consultation with regional managers on 5 different continents, Jump worked first to understand and discover challenges and successes within the current asset base. Researching the existing assets uncovered wide regional differences in approach, interpretation, and execution, and allowed us to craft identifiable and reachable objectives for all parties within the new program. Defining current best practices on both the exterior and interior of the design image while flushing out regional concerns arrived at a set of guidelines for the new asset image that accommodated regional variances. After exploring conceptual work on the restaurant exterior, we shifted our focus to exploring design options for the interior of the restaurant, creating multiple tiers with different materials and finishes based on regional demand. We also developed artwork packages for each...
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...media into its business plan Yum! Brands is a global company that operates in 41 different countries and territories with approximately 41,000 restaurants. The company was formed in 1997 as a spin-off of PepsiCo and has become a leader in international retail development, opening an average of five restaurants per day outside the U.S. Yum! Currently owns 3 different concepts: KFC, Taco Bell and Pizza Hut. Colonel Harland Sanders is the founder of Kentucky Fried Chicken and is proven to be a great American success story. He began frying chicken in the early 1930’s at a travelers’ service station in Corbin, KY and after perfecting his 11 herbs and spices and frying technique that is still used today, the Colonel began franchising in 1955. 10 years later there were over 600 restaurants in the U.S. and Canada. The Benefits of using social media and the internet The benefits in using social media and the internet for any business is to increase exposure, gain traffic and connect with people. A business needs to create strategies that link the customer experience with the technologies and systems required to deliver the right content at the right time. (Hisaka, 2012, para. 1) KFC has to stay relevant to its customers and followers because it’s a brand that everyone knows and has been around since the 1950’s. Interacting with customers and asking for their opinion allows them to form a bond with the company and build trust with the brand. Using social media sites like...
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...1.0 Introduction Kentucky Fried Chicken is one of the well-known fast food restaurants in the world. Kentucky Fried Chicken (KFC) Corporation, based in Louisville, Kentucky, is the world's most widespread chicken restaurant chain offering services to more than 12 million customers in 109 countries all around the world. KFC operates more than 5,200 restaurants in the United States and more than 15,000 units around the world. KFC was founded by Harland Sanders (Sanders) in the early 1930s. He started cooking and serving food for hungry travelers who stopped by his service station in Corbin, Kentucky, US. KFC has been a brand and operating segment, of Yum Brands since 1997 when that company was acquired from PepsiCo as Tricon Global Restaurants Inc. Background of the Ethical Issue : Recently KFC faced accusation from non government organizations like PETA and Greenpeace regarding unethical practices from KFC’s supply chain such as Pilgrim’s Pride and Cargill.KFC was accused of ill-treatment towards its chicken by PETA and Greenpeace blamed KFC for its role in the destruction of the Amazon rainforest. This case study discusses these ethical issues in detail and concludes with suggestions and recommendations from the case study team, on how similar issues could be avoided or tackled. Objectives Understand the significance of cultural, economic, regulatory and ecological issues while establishing business in a foreign country. Which are: Appreciate the need for protecting animal...
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...INTRODUCTION This project puts in perspective the multinational company called Yum!Brands, which is an American company in the fast-food industry. We will be discussing about some aspects of this company generally, but we intend to give more details on the company Kentucky Fried Chicken(KFC) which is one of the Strategic Business Units (SBU) of Yum!Brands. We will give the profile of Yum!Brands and KFC, and also analyze the strategy of the company, its internal and external environment, its position vis-à-vis its competitors, its competitive advantage and how far it has come/how well it is doing today. We intend to focus on one local market, so in this project we are taking KFC China as our case study. We decided to choose Yum!Brands and specifically KFC as our project case study because we have noticed the rapid growth of the fast-food industry. Fast-food is a typical American trend which reflects the American eating culture of “grabbing a quick bite” so to speak. Today people are very busy, not only in America but all over the world. People have less time to sit and eat a home cooked meal, especially at lunch time when almost everyone is out of the house and working. The most convenient thing to do is to go for a “fast-food”. We noticed that this trend has even moved from being just a lunch-time substitute for home cooked meals to being a fun time meal between friends, colleagues and family. Some corporate bodies even order fast-food for meetings or corporate get-togethers...
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...in the US. They currently do not have a time line. They say that they want to be involved with something that is already growing. Their currently operation in the US has been very profitable with a growing 9.9 % in 2013. Their long term plan is to have continuous store expansions and acquisitions of several more brands abroad and to be number one in Asia. McDonalds on the other hand plans to continue to expand in China. They plan to increase from 300 to 2000 stores on the mainland this year. With the increase that McDonalds is planning, increasing their employees in the world’s second largest economy by 83 %. Yum! Brands is extremely large and has over 40,000 restaurants and in more than 125 countries and territories. Yums has been around much longer that McDonalds and Jollibee and have several restaurant brands like KFC, Pizza Hut and Taco Bell. 1. Which of these companies seems best positioned in Southeast Asia? Based on what I have read, I believe the Asian based companies are in a better position. Jollibee base their products on what the culture is and has made an impact on slowing other companies. 2. What advantages might a “local” brand like Jollibee have over the global companies? What advantages to the global MNCs have? Local companies are locally owned and cater to the foods that the people eat in that country given them a much larger advantage over the other companies. MNC’s have an advantage as well. International growth has dramatically...
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...known as Kentucky Fried Chicken, is a chain of fast food restaurants based in Louisville, Kentucky, in the United States. KFC has been a brand and operating segment, termed a concept of Yum! Brands since 1997 when that company was spun off from PepsiCo as Tricon Global Restaurants Inc. KFC primarily sells chicken pieces, wraps, salads and sandwiches. While its primary focus is fried chicken, KFC also offers a line of grilled and roasted chicken products, side dishes and desserts. Outside North America, KFC offers beef based products such as hamburgers or kebabs, pork based products such as ribs and other regional fare. The company was founded as Kentucky Fried Chicken by Colonel Harland Sanders in 1952, though the idea of KFC's fried chicken actually goes back to 1930. Although Sanders died in 1980, he remains an important part of the company's branding and advertisements, and "Colonel Sanders" or "The Colonel" is a metonym for the company itself. The company adopted KFC, an abbreviated form of its name, in 1991. Starting in April 2007, the company began using its original name, Kentucky Fried Chicken, for its signage, packaging and advertisements in the U.S. as part of a new corporate re-branding program; newer and remodeled restaurants will have the new logo and name while older stores will continue to use the 1980s signage. Additionally, Yum! continues to use the abbreviated name freely in its advertising. Kentucky Fried Chicken could be considered a global organization...
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...A. Introduction to Legal Section Should the underprivileged have help from the government? Should the underprivileged have rights to use these benefits on fast food? Would it change your opinion if the underprivileged were specifically the “elderly”, “disabled” or “homeless?” Under the law people have these opportunities, even though everyone may not agree with it. The general concern is the “unhealthiness” that fast food brings to America; obesity and diabetes is already a concern and the government using American tax dollars to promote unhealthy eating doesn’t help. B. Statement of Relevant Legal Principles and Rules of Law Food Stamps Act of 1977 Under the Food Stamp Act of 1977 eligible households may be issued coupons with which to purchase from approved food stores. It was enacted to promote the general welfare by permitting low-income households to obtain a nutritious diet through normal channels of trade by increasing food purchasing power for all eligible households who apply for participation. Under this Act, the Secretary of Agriculture is authorized to formulate and administer a food stamp program under which eligible households will be provided with the opportunity to obtain a more nutritious diet through the issuance of coupons. These coupons are to be used solely to purchase food from retail stores which have been approved for the participation on the program. (3 C. J.S. Agriculture § 36) The Secretary of Agriculture will propose allowable amounts...
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...the their first franchise in Topeka. By 1966, Pizza Hut established a large home office in Wichita to help oversee the 145 Pizza Hut franchise restaurants that were established. It didn't take long for Pizza Hut to become the No. 1 pizza restaurant chain in the world. In 1971, only 13 years after the Carney brothers started their first Pizza Hut, Pizza Hut became the world's most successful pizza restaurant in terms of sales as well as in the number of restaurants around the world. Pizza Hut has aggressively sought out franchise owners. It has made itself more attractive to franchise owners is by aligning itself with other restaurants such as Taco Bell, Kentucky Fried Chicken and Long John Silvers (ultimately all becoming a part of the Yum! Franchising group). One of the more unique items of note, Pizza Hut sets itself apart from a lot of its competitors because it allows Franchisee's autonomy in deciding some of the items they will carry on their menus such as being free to use different kinds of toppings from different suppliers. While there are differences in ingredients, the basic elements in each pizza are the same. This allows consumers to get the familiar taste they love, but also allows franchise owners to branch out. Pizza Hut Franchise Submarine Sandwiches and Salads Company Website: www.pizzahut.com 2012 Rank (Entrepreneur.com): 9 2011/2010/2009 Rank (Entrepreneur.com): 13 / 15 / 7 Total Investment: $295,000 - $3,000,000 (variation due to size and location...
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