Recommendations of Kfc In India: Ethical Issues Case Solution

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Recommendations of Kfc In India: Ethical Issues Case Study Help

RecommendationsOn the basis of above internal and external analysis of the company together with the examination of different alternatives, the business is advised to think about alternative 3. As alternative 3 would enable the company to expand in international markets without any reduction in its regional earnings and any degeneration of its market position. By thinking about Alternative 3, the business might keep its shop experience and brand individuality. However, it might likewise think about alternative 2 that might permit the business to access the marketplaces without any potential financial investment. The company could pursue alternative 1 which would make it possible for the company to focus on possible global markets rather than the regional markets but as the company is extremely dependent on the regional markets with 90% of its shops in the United States, there fore pursuing alternative 1 would result in the significant decrease in business's profits. The company is recommended to consider alternative 3.

Aletrnative-1: Expanding International Brick and Recommendations of Kfc In India: Ethical Issues Case Solution Stores

International SegmentsExpansion towards international markets through opening brand-new shops in other Europe and Asian nations with closing domestic stores is although a great alternative for increasing the worldwide presence of the business. The closing of domestic shops could extremely impact the profits of the company as above 90% of its stores are situated domestically and closing those stores would ultimately reduce the earnings of the company. The company has a long term market position in United States which can not be produced soon in the brand-new markets. The option would help the company to broaden in international markets together with the elimination of concerns raised in its regional markets connected to its variety. The advantages and disadvantages for Option 1 are listed below;

Pros:

• Expedition of new global markets.
• Increase in revenue from international markets.
• Removal of problems associated with variety.
• Profits diversification.
• Action towards being a strong international brand name.

Cons:

• Loss of comprehensive incomes from the local markets.
• Boost in competitors.
• Differences in cultures might resulted in a failure of the brand name especially in Asian nations.
• Low revenues at initial levels.
• Boost in marketing expenses to acquire market share.

Alternative-2: Introduction of Click and Recommendations of Kfc In India: Ethical Issues Case Analysis Stores

Alternative 2 includes the intro of online market places through producing an appropriate business's site. With the increased trends towards online shopping, the online shops like Amazon, Alibaba and so on might position a serious risk to the market share of business. The competitors are moving towards click and Recommendations of Kfc In India: Ethical Issues Case Analysis shops with Space introducing Piperline. This shift towards online markets could lower the profits for company. In this situation the company might consider presenting Click and Recommendations of Kfc In India: Ethical Issues Case Help stores. These stores with a low requirement of funds to settle would allow the business to reach international markets, without ending its domestic stores. The benefits and drawbacks of option 2 are given as follows;

Pros:

• Low financial investment
• Decreasing competition danger
• Access to the world markets
• Enlarging customer base
• Easy to manage
• Big Earnings
• Low Operating Costs
• Easy brand-new market entryway

Cons:

• Danger to the marketplace position
• Removal of brand Uniqueness
• Elimination of the excellent store experience.
• Risk of decrease in elite sales.

Alternative-3: Expansion towards International Markets Without closing Domestic Stores

Another option that the company could consider, is to expand towards the global markets without closing its domestic stores that adds to the major part of earnings of the company. The advantages and disadvantages associated with Alternative 3 are given listed below;

Pros:

• Minimizing competition risk
• Access to the world markets
• Increasing the size of consumer base
• Big Revenues
• Exploration of new international markets.
• Increase in earnings from worldwide markets.
• Profits diversity.
• Step towards being a strong worldwide brand.

Cons:

• Extension of concerns related to diversity.
• Distinctions in cultures could caused a failure of the brand especially in Asian nations.
• Low earnings at preliminary levels.
• Increase in marketing expenditures to gain market share.



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