Write Product Life Circle Of KFC In CHINA And Write Analysis - Explaination Of It – Coursework Example
KFC in China AFFILIATION: Introduction KFC is a subsidiary of Yum brands which is the world’s leading restaurant chain specialising in a range of chicken products. Since its inception in 1952 in United States, it has successfully become a global brand by having presence in more than 112 countries. KFC has about 4,500 units in United States and above 9,500 restaurants worldwide (Yum, 2013). Considering the presence of KFC in China, the brand is in the maturity stage of the product life cycle. It has been stated by Wang (2012) that KFC is undertaking measures from rebranding to reinventing so that it can regain its strong market position.
Product Life Cycle of KFC
In Chinese market, KFC has been facing a range of issues related to the bird flu occurrence and concerns over hygiene of ingredients utilised in the products (Baertlein, 2014; Lin & Patton, 2013). In the year 2013, sales of the KFC same store declined by 15% in the year and in the quarter by 4% (Morrison, 2014). It has been reported that decline in the sales were encountered due to outbreak of break flu and detailed investigation of the former supplier for supplying food contaminated with antibiotics.
In order to revitalize its image, KFC launched an advertising campaign in China related to quality assurance which featured poultry farmers and store’s employees (Morrison, 2014). Moreover, it has added breakfast meals in its menu so that it can cater to the requirements of Chinese working class. Hence, the brand is employing extension strategy so that it can enhance its market share in the fast food industry.
KFC is in the maturity stage of the product life cycle and it is striving hard to rebrand its image in the market so that the customers are looking forward to try out its meals. It has made effective use of the extension strategies and is also designing appropriate advertising campaigns to resume the lost customer confidence.
Baertlein, L., 2014. KFC parent Yum monitoring bird flu in China. [Online] Available at: [Accessed 22 February 2014]
Lin, L. and Patton, L., 2013. KFC loses its touch in China, its biggest overseas market. [Online] Available at: [Accessed 22 February 2014]
Morrison, M., 2014. KFC in China depresses Yum earnings. [Online] Available at: [Accessed 22 February 2014]
Wang, H.H., 2012. Yum! China: From rebranding to reinventing. [Online] Available at: [Accessed 22 February 2014]
Yum, 2013. 2012 Yum! Brands Annual Customer Mania Report. [Online] Available at: [Accessed 22 February 2014]