However, apart from promoting the brand and its products and offers, marketing also tries to achieve higher user engagement and retention. In 1987, it was amongst the first western-based organisations that opened new business branches in China. McDonalds is the worlds leading global foodservice retailer with over 37,000 locations in over 100 countries. While these fast-food giants have a A zero tolerance policy that addresses the sourcing of poultry that are fed by soy that is grown in the newly cleared Amazon forest also constitutes another measure that helps in presenting McDonalds as a corporation that is environmentally friendly and supporting the conservation of natural habitat. As time passed James McLamore and David Wendys is an international fast-food restaurant chain that is famous for its hamburgers, french fries, Frosty, chicken nuggets, sandwiches, and even its Twitter account. Furthermore, comparing the sales volume part, McDonalds sales volume is about 22.82 billion USD in 2017 and the sales volume of KFC is just about 4.2 billion USD in 2016 (The Statistics Portal). McDonalds adapted to future trends by allowing touchscreens to be used to select the menu from or introducing a vegetarian option to the menu. Several brands like Starbucks have become famous by focusing exclusively on customer service. In 1973 KFC joint Malaysia. McDonalds, a global real estate company, owns and operates its brand, operations, suppliers, and know-how as part of its global expansion plan. Through continual innovation & technology research and upgrade, McDonalds have transformed itself from a small bar-b-que restaurant to a fast food restaurant chain serving mainly burgers, chicken products, fries, beverages, desserts, salads, wraps and fruits for breakfast, lunch, dinner and even supper 24 hours a day, 7 days a week. KFCs core competency is we can just come up with one. An organisation can also protect shareholders from losing their investments by ensuring that risks that lead to a reduction of competitive advantage are proactively mitigated. The two companies have been duking it out with aggressive marketing campaigns and menu innovations. McDonalds competitors in the United States and the United Kingdom are also direct competitors. Subway has more than 37,000 locations around the world and is one of the largest restaurant chains in the world. Carbon prints form one of the methodologies of determining the extent to which an organisation has embraced sustainable supply chains. McDonalds and its franchisees buy food, packaging, equipment and other goods from several independent suppliers. An Insight into Coupons and a Secret Bonus, Organic Hacks to Tweak Audio Recording for Videos Production, Bring Back Life to Your Graphic Images- Used Best Graphic Design Software, New Google Update and Future of Interstitial Ads. There is no reason for them not to be a major competitor in the market. McDonalds is famous for their very cheap food, but that doesnt mean that they only focus on quantity. So, it bring a lot of difficulty to our group hard to make a comparison between sales volume of Texas Chicken and KFC as well as McDonalds. Consequently, unlike McDonalds, it found no need for talking about it. Cheeseman (2013) says that they spend a total of $6 billion in 1970 on purchasing fast foods. This type of competition is found in many industries, such as the fast food, retail, and automobile industries. On July 30, 2021, the market capitalization of the company was estimated to be $181 billion. McDonalds is popular for its hamburgers. The company has kept their marketing messages simple and consistent. To resolve this stalemate, the deployment of sustainable supply chain strategies is critical. Different positioning strategies of the products development were examined before the goods have been supplied to the market. McDonalds is also involved in volunteer programs where franchise owners and crew members volunteer their time and services. Although one of the green approaches to the creation of sustainable chain supplies that are driven by perspectives of green supply chains is through recycling of paper, a more effective way is the creation and embracement of technological ways of maintaining supplies data through mechanisms such as holding data in soft form. McDonalds offline marketing strategy focuses on opening as many restaurants as possible in relevant locations to drive sales. For a chance to win the KFC Superfan Search 2021, all you have to do is go to KFCs website. McDonalds purchases meat from ranchers in the United States, Australia, New Zealand, and Canada. KFC is well-known for its fried chicken, which is made from their own blend of secret spices, which cannot be easily imitated by any one else. For instance, both organisations are immensely concerned with their environmental impacts. McDonalds have much more branches then KFC around the world. Yum Brands owns Taco Bell, KFC, and Pizza Hut. McDonalds has a large selection of meals for both children and adults at a low cost. McDonalds strategy can best be described as a Cost Leadership strategy that allows for the delivery of products at a lower cost. The advertising wars were unsustainable in their own right they were prohibitively expensive. KFC is not the only restaurant chain in competition with KFC; there are also competitors such as Chick-fil-A, McDonalds, Wendys, and Popeyes Louisiana Kitchen. It also encompasses coordination and integration of flow of materials among organisations. Apply online instantly. McDonalds has over 34,000 locations in more than 120 countries, making it one of the worlds most popular fast food restaurants. KFCs training program for its employees is based on the development of technical, managerial, and communication skills. From this perspective, this paper deploys the concepts of supply chain to discuss various supply chain sustainability issues in the US fast-food industry with reference to KFC (Kentucky Fried Chicken) and McDonalds. McDonald is always successful in sustaining a good image in hearts of its customers. In this way, the company has managed a strong supply chain which helps it manage high food quality and a tasty menu. McDonalds worldwide serves 6.5 million burgers per day or 75 burgers per second. It is also important in the development of resource exploitation, client contentment, and brand appreciation (Maloni, & Brown 2006). Hence, McDonalds is still cheaper than KFC. Maloni, M. & Brown, E. 2006, Corporate Social Responsibility in the Supply Chain: An Application in the Food Industry, Journal of Business Ethics, vol. Need a custom Assessment sample written from scratch by This is correct. Web. We will write a custom Assessment on McDonalds and KFC Corporate Responsibility specifically for you for only $16.05 $11/page. KFC is an organisation that specialises in fried chickens. Would you like to have an original essay? Other strategies include focusing on developing healthy meals. Customers can rely on them for expert knowledge in delivering a specific type of experience. Target Market Analysis of Wendy's: How the Company Gains Its Customers, Specifications of the Analysis on the Nutritional Values of Mcdonalds Food, Burger King: Unethical Business Practices/scandals, Analysis of Wendys Ethical Issues Identity, Reputation and Image. She is very professional, meet all the requirements, fast turn around time, communicates, and an overall 100/10. Human beings tend to have a McDonald's is the worlds largest chain of fast food restaurants that serving over 64 million customers daily in 119 countries worldwide. Although both chains have their own characteristics, they are widely regarded as the two most competitive in the fast food industry. According to a recent Business Insider report, KFC is by far the most popular restaurant chain in China, and it is not the same as the American brand. McDonalds has also maintained heavy focus on customer service which has helped it engage customers and achieve a competitive advantage. KFC operates in the fast-food industry just like McDonalds. (2021, August 2). McDonalds customers have a lot of power if the restaurant wants to keep its customers. McDonalds Corporation (NYSE: MCD) and Just Eat Takeaway.com N.V. (LSE: JET, AMS: TKWY) have agreed to a new, long-term global strategic partnership, evolving their existing local agreements to provide McDonalds customers and franchisees with the convenience and value of McDelivery in markets across the world. As a fast food brand, it is trusted by millions around the world. McDonalds is a favorite fast-food for most Americans. KFCs sources of competitive advantage. McDonalds has a competitive advantage in terms of speed of service. When McDonalds restaurants see donations in boxes, they collect the donations and give away the donations to Ronald McDonald Houses to help children with serious illnesses. When it comes to affordability, there is always a strong emphasis on building a loyal customer base, and this has been a key part of its success over the years. McDonald's and KFC Corporate Responsibility. McDonalds is a famous fast food brand with operations around the world in more than 100 countries. Sure, they brag about their 11 herbs and spices, which is great, but thats not what you are tasting when you bite into some extra tasty crispy, Bayer explained. The Burger King cheeseburger contains more protein and sodium than the McDonalds cheeseburger. Its franchisees achieved net sales of 78.2 Billion dollars and the companys revenue from the company managed restaurants and franchisee fees was 22.8 Billion dollars. 3, pp. Independent franchisees own and operate more than 90% of McDonalds restaurants around the globe. For take-away foods, they must wrap customers food. - Caitlyn Johnson. KFC, second largest restaurant in the world have their outlets around 120 countries with more than 18000 outlets. It has also managed a large supply chain to ensure the availability of good quality raw material. KFC has been trying to win over customers with its cheaper menu items and unique flavor profiles. Bullinger, J., Kuhner, M. & van Hoof, A 2002, Analysing supply chain performance using a balanced measurement method, International Journal of Production Research, vol. McDonalds food and coffee business also competes with Starbucks, Dunkin, and Tim Hortons. Such prints are computed using inventories of greenhouse gas emissions within a company, product and facility, or any other alternative entity. KFC was initiated in 1930. Upon noting the various sustainability problems in the supply of raw material and finished products, McDonalds and KFC have now focused on developing organisational policies for enhancing their corporate citizenship. The following paragraph is original, albeit slightly different. While doing the market segmentation for the products, the target market has been well studied and investigated. Different organisations may choose to pursue different types of competitive advantages. According to these rankings, neither of these chains has achieved gender equality yet, but they are making headway. KFC got the most influence from McDonalds, the best competitor. They have to establish mechanisms of enhancing corporate governance. Breakfast offerings include Egg McMuffin, Sausage McMuffin with Egg, McGriddles, biscuit and bagel sandwiches and hotcakes mainly. 17-19. What are the competitive advantages of KFC? Hence, inclusion of the product is a further indication of the companys flexibility to meet the need of its customers. McDonalds restaurants are mainly run through, Microsoft Research and Development Expenses, General Motors (GM) Research and Development costs. The subject is later compared with approaches that are deployed by KFC and McDonalds to enhance good corporate citizenship with reference to their supply chains. The human mouth craves those flavors and that is what makes you go back for more KFC.. TalkRadioNews is a participant in the Amazon Services LLC Associates Program, an affiliate advertising program designed to provide a means for sites to earn advertising fees by advertising and linking to Amazon.com, Does Mcdonalds Have All Day Breakfast? Its hamburgers are actually squares instead of the usual We use cookies to offer you the best experience. Analyzing other companies who provide the same products or who can meet the same needs in various ways is one way to look at other companies. Your privacy is extremely important to us. With a variety of meals, sides, and drink options to choose from, McDonalds knocks KFC off the top with a calorie average per Happy Meal of 381.71 KCALs. The manner of disposal of these wrappings is an issue of great concern to the organisations, especially because the companies operate in nations that have different policy frameworks to guide in the disposal of products and product-associated wastes. McDonalds is the worlds most valuable fast food brand, with a market value of $124 billion. Besides the national restaurants, there are other western fast-food organisations like Burger King and KFC that pose tough competition to McDonalds by offering similar product lines. Over the years McDonalds has made an effort to maintain consistency by sticking to the same formula and by maintaining a high quality process. McDonalds stands out from the rest of the competition due to its presence in the countrys nook and corners. McDonalds has built a solid foundation in order to grow its business. 2 no.1, pp. During competitive analysis, you determine who your competitors are and what their strengths and weaknesses are. 68 no. McDonalds owns 82 of their locations and can rent them out to franchisees. With more than 17,000 international units, KFC enjoys a strong global presence (Crittenden, Crittenden and Pierpont 2015, 610). One major source of competitive advantage for McD is its extensive global presence. McDonalds has been criticized for its advertising to children. KFC is among the renowned fast food restaurants that have been in the industry for quite a significant duration. It has quality centers around the globe which ensure that the high standards company has set are consistently met. McDonalds serves over 69 million customers each day. Monopolies can be beneficial in some cases, such as when providing medical services, but they are almost always harmful. And in doing so, it reduces a lot of its risk, both in the short and long term. Burger King, the worlds fourth largest fast food chain, has steadily grown throughout the world. 17 no. 1. View this and more full-time & part-time jobs in An analysis of the competitive environment of McDonalds. McDonalds, on the other hand, has been relying on its established brand name and customer base to stay ahead of the competition. Operating in an environment of criticism concerning McDonalds degree of sustainability of supply chains makes it pursue various success strategies. 2 August. A Food Safety Advisory Council, made up of McDonalds technical, safety and supply chain specialists, as well as suppliers and outside academia, provides strategic global leadership for all aspects of food safety. From the perspective of balance meals, KFC did a better work than McDonalds because their meal has more protein, carbohydrates, and vegetables. For instance, KFC have chickens come with whipped potatoes, salads, buns and soft drink but McDonalds have fried chickens with French fries and soft drink only in both fried chicken set. As the world economy recovers, I anticipate increased competition between McDonalds and Burger King as they fight to retain customers. Christopher, M. 2005, Logistics and supply chain management: Creating value-adding networks, Prentice Hall, Horlow. 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