Academic Integrity: tutoring, explanations, and feedback — we don’t complete graded work or submit on a student’s behalf.

Help to paraphrase the whole paragraphs (Similar wordcount) Recommendations a st

ID: 419526 • Letter: H

Question

Help to paraphrase the whole paragraphs (Similar wordcount)

Recommendations a strategic direction for its future growth

1) Product differentiation

            KFC faces a lot of threat from its substitutes, especially with growing health concerns among its customer. Health and obesity issues associated with KFC food have diluted the trust people once had in them. Hence, the reason, substitute pressure is there. KFC has tried launching salads and promoted production using vegetable oil in the past in foreign companies. Its served items cater the demands of this market in countries. KFC choose differentiation strategy by emphasizing the preparation of food with high quality ingredients as well as unique recipes and special seasoning to provide appealing, tasty and attractive food at competitive process. As the diversity of products in order to gain its competitiveness in the fast food industry, it may increase the variety of menu products and give customer more choices. Different packaging of its menu may also increase the variety of menu. So, KFC should try and differentiate its products on other than only chicken to capture other segment in the fast food industry. Product differentiation in the fast food industry exist but is not quite high and generally the products are perceived as commodities so their choice largely depends. This industry’s customers are characterized as highly price sensitive so they can easily switch to a product that is like in quality and service but offered at lower price. Product differentiation does play a role in the growth of a business

2) Better communication channel

            Lack of communication in the operation would lead to many problems. Such as inconsistency of products and services may occur due to misunderstanding of different internal departments. It is therefore recommended that KFC should provide more communication channel for gathering opinion so as to improve the service quality.

Explanation / Answer

1) Product differentiation

Due to the growing health concerns, KFC is confronting with the threat of substitutes. KFC lost its trust and reputation due to the obesity and health issues of consuming KFC products. This is the major cause of the mushrooming of substitute products which threatens KFC. However, KFC tried launching salads and promoted production using vegetable oil in the past in foreign countries to cater to the demand of the market. KFC’s differentiation strategy emphasizes of unique recipes using high quality ingredients. KFC also has special seasoning on products to provide appealing, tasty and delicious food at competitive pricing. In order to gain the competitive advantage, KFC is producing a variety of menu products to give the customers more options. KFC should also consider diversifying its products to non-chicken items to attract customers from other segments. Though product differentiation exists in the fast food industry, the products are perceived as commodities as the choice is largely dependent on customers. The customers in the fast food industry are highly price sensitive. They easily switch to other products that are of same quality but low in price. Thus, product differentiation plays a crucial role in the success of a business.

2) Better communication channel-

Lack of communication in the operations of a business would lead to many problems. It also leads to communication gap within internal departments which results in producing products and services that are not upto the standards. It is strongly recommended that KFC provide an effective communication channel both with the customers and the employees to collect their feedback to improve the quality of service.