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MARKETING ENVIRONMENT of KFC: There are certain forces, inside and outside an organization that affect marketing managements

ability to build and maintain successful relationships with target customers. Like all other companies, KFC also has such forces around it; marketing environment is made up of Micro environment and Macro environment.

The Micro environmental Forces This environment includes the factors that are close to the company and are `controllable by the organization. These factors are:-

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Company KFC is the multinational company that has chain of fast food restaurants all over the world. In Pakistan it has 40 outlets out of which, 22 are based in Lahore, 19 are in Karachi and the remaining 8 are located in the other cities of Pakistan. KFC is growing rapidly, by having their strong relationship with their customers and the trust, which they have developed, in the past years, employees are the main assets of the company, and so they are very much concerned. The company has very organized check and balance system, which is used for the evaluation of the employee and the individual outlet as well. Suppliers As KFC cannot compromise on the quality of food they provide, so the reliable suppliers are very much important to them. There are two categories of supplies. The Dry food supply and the Frozen food supply. For the dry food , like a burger buns- they have established their KFC Micro Environment Factors Page 1

own warehouses and dry-stores for the South region. Whereas for the North region, they get dry material from the vendors like Dawn Bread . For the Frozen food chicken they have agreement with the K&N Chicken , for supplying chicken and fish is supplied by Thailand and spices are supplied by Dubai to all over restaurants in Pakistan. Marketing Intermediaries It includes the firms that help the company to promote, sell and distribute its products and services. As in KFC, the goods are manufactured according to needs and wants of the customers and immediately served to customers on their outlets. So no marketing intermediaries are at KFC. Customers It includes five categories. Consumer Markets KFC has large chain of consumers. According to KFC, We are growing only with our customer. KFC has great environment for their consumers and families. They are concerned about the comfort and satisfaction of their customers. That is why 40 million on a single outlet. Midnight deals are there for the consumers with 50 % discount, which is being appreciated by the individuals. Business Market Business markets buy goods and services for further processing or for use in their production process. In case of KFC there is no such business market. Resellers KFC is dealing in fast food, and so they dont have any resellers as such. Government Customers As such no govt. customer exist so far. KFC is not expecting any govt. customer as such. International Customers KFC is multinational company. They have outlets, almost in every country. So they have international customers all over the world. Competitors They are classified into direct and indirect competitors. Direct Competitors It includes Mc Donalds AFC Subway JFC KFC Micro Environment Factors Page 2

Indirect Competitors It includes all other restaurants. Like Salt & Pepper, Kabana, Village, Bundu Khan Etc.

Publics Its main types are Financial Public KFC is an independent company. It has not any long-term bank loan. For shortterm loan, it relies on Standard Chartered Bank. Media Public KFC spends 8 % to 9 % of its revenue on advertisements. To have more advertisement, they are of the view to increase their advertisement. Govt. Public Taxes are always imposed by the govt. public. KFC sales tax on each meal is 1.2 %. Internal Publics The employees are greatly compensated by KFC. Employees get regular bonuses and other benefits which are based on their performances. Employees are assets and we reward them greatly, KFC says. Special badges and pins are assigned to employees. General Public KFC wants to know the attitude of the public about its products. So, it always gets feedback from the customers whenever its going to launch a new product.

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Micro Environment Factors

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