INTERNSHIP REPORT

KFC COMPANY

Submitted By: Group 1

Intizar Ahmad (F19-BBA-5149) (A)

Ali Mustafa Bhutta (F19-BBA-5029)

Hamid Ali (F19-BBA-5041)

Ali Azaz(F19-BBA-5073)

Sher Abbas (F19-BBA-5133)

Program: BBA (Hons.)

Session: 2019-2023 (Evening)

Supervisor Name: Dr. Umer Iqbal Siddique

DEPARTMENT OF MANAGEMENT SCIENCES

UNIVERSITY OF OKARA
 UNIVERSITY OF OKARA
Department of Management Science (DOMS)

LETTER OF UNDERTAKING

This internship report was submitted by Group 1 (eve-A) for the partial fulfillment
of the requirements of the degree of;

BBA

Session 2019-2023

(Specialization in Marketing)

And is hereby accepted by the evaluation committee.

Internship Supervisor __________________

HOD / Coordinator __________________

External Examiner __________________

 DEDICATiON

I dedicate all my efforts and struggles of the educational life to my dear parents
without them I am meaningless. In addition, I devote the work of this internship
report to respectable and honorable teachers who taught and supported me in
developing my personality as a competent professional.
 ACKNOWLEDGMENT

I am thankful to almighty ALLAH, the king of kings and the lord of lords, who gave me the
strength to complete my internship report on KFC (Kentucky Fried Chicken) Okara. Secondly, I
am grateful to my worthy and devoted teacher Dr. Umer Iqbal Siddique for providing me the
Opportunity of doing internship in KFC as well as for providing me the necessary information
regarding the internship. I would like to express my special gratitude towards my parents for
their cooperation and encouragement in completion of this report. Thanks to KFC marketing
department team for giving me such attention and time. My appreciation also goes to my friends
who helped me in developing my internship report.
Contents
1. Executive Summary............................................................................................................1

2. Objectives of studying organization...................................................................................1

2.1. Insight into Organizational Behavior:.............................................................................2

2.2. Enhancing Organizational Performance:.........................................................................2

2.3. Optimizing Management Practices:................................................................................2

2.4. Understanding Organizational Structure:........................................................................2

2.5. Adapting to Changing Environments:.............................................................................2

3. Overview of Organization..................................................................................................2

3.1. Nature of the Organization..............................................................................................2

3.1.1. Global Brand Recognition........................................................................................2

3.1.2. Heritage and Tradition..............................................................................................3

3.1.3. Consistency and Quality...........................................................................................3

3.1.4. Customer Loyalty.....................................................................................................3

3.2. Business Volume.............................................................................................................3

3.3. Profile of employee.........................................................................................................3

3.4. Product line......................................................................................................................3

4. ORGANIZATIONAL STRUCTURE OF KFC.................................................................4

4.1. Structure of Marketing Department...............................................................................4

4.2. Functions of marketing department.................................................................................4

4.3. Marketing Strategies........................................................................................................5

4.4. Product planning and development.................................................................................5

4.4.1. Idea Generation.........................................................................................................5

4.4.2. Concept Development...............................................................................................5

4.4.3. Feasibility Analysis...................................................................................................5

4.4.4. Product Testing.........................................................................................................5

4.5. Pricing strategies.............................................................................................................6

 4.5.1. Menu Pricing Tiers...................................................................................................6

4.5.2. Competitive Pricing..................................................................................................6

4.5.3. Seasonal Promotions and Limited-Time Offers.......................................................6

4.6. Distribution strategies......................................................................................................6

4.7. Promotional strategies.....................................................................................................7

5. Critical analysis...................................................................................................................7

5.1. Failure of different products............................................................................................7

5.2. Major competition...........................................................................................................8

5.3. Future prospectus.............................................................................................................8

6. Short-fall of marketing........................................................................................................8

6.1. Dependent on the outside Milkmen.................................................................................8

6.2. Packaging dependence.....................................................................................................8

6.3. Complex supply chain.....................................................................................................8

7. Conclusion..........................................................................................................................9

8. Recommendations...............................................................................................................9

9. Reference and sources......................................................................................................10

 1. Executive Summary

The KFC Marketing Department Internship is a comprehensive program designed to offer

aspiring marketing professionals hands-on exposure to the dynamic and competitive fast-food
industry. The program duration typically spans 3 months, during which interns are integrated
into various marketing teams at KFC's regional or national offices.

Objectives: The primary objectives of the KFC Marketing Department Internship are as
follows:

Skill Development: Interns will have the chance to develop essential marketing skills,
including market analysis, customer research, social media management, campaign planning,
and content creation.

Team Collaboration: The program fosters collaboration and teamwork, providing interns with
the opportunity to work alongside experienced marketing professionals and contribute to real
marketing campaigns.

Industry Exposure: Through engagement with KFC's marketing initiatives, interns gain
valuable insights into the fast-food industry's marketing strategies and the challenges faced
by global brands.

Career Prospects: The internship serves as a stepping stone for potential long-term
opportunities within KFC or the broader Yum! Brands family, providing interns with a
platform to showcase their abilities and potentially secure future roles.

Internship Components: The KFC Marketing Department Internship includes the following
key components:

Training and Workshops: KFC conducts training sessions and workshops to enhance interns'
marketing knowledge and soft skills, ensuring a well-rounded learning experience.

Performance Evaluation: Regular performance evaluations enable interns to track their

progress, receive constructive feedback, and identify areas for improvement.

i
 2. Objectives of studying organization

The objective of studying organizations is to gain a comprehensive understanding of their

structure, functioning, and dynamics in order to analyze, improve, and optimize their
performance. This study encompasses various aspects, including management, operations,
culture, strategies, and external influences. The primary objectives of studying organizations
can be summarized as follows:

2.1. Insight into Organizational Behavior:

By studying organizations, we aim to understand how individuals and groups within the
organization interact, behave, and make decisions. This insight helps in creating effective
leadership, fostering a positive work environment, and improving overall productivity.

2.2. Enhancing Organizational Performance:

Through careful analysis, studying organizations helps identify strengths, weaknesses,
opportunities, and threats. This knowledge enables the implementation of strategies and
improvements to enhance efficiency, productivity, and profitability.

2.3. Optimizing Management Practices:

The study of organizations provides valuable insights into different management styles,
techniques, and approaches. By analyzing successful management practices, one can
learn how to lead and motivate teams effectively.

2.4. Understanding Organizational Structure:

Examining organizational structures helps in understanding how authority,
communication, and decision-making flow within the organization. This knowledge aids
in streamlining processes, minimizing bureaucracy, and promoting better coordination.

2.5. Adapting to Changing Environments:

Organizations operate in dynamic environments influenced by various factors, including
technological advancements, market trends, and economic conditions. By studying
organizations, we can learn how they adapt to these changes and ensure their
sustainability.

3. Overview of Organization

History and Origins: KFC was founded by Colonel Harland Sanders, who started selling fried
chicken from a roadside restaurant in Corbin, Kentucky, in the 1930s. His secret blend of 11

ii
herbs and spices became the signature taste of KFC's fried chicken. Over the years, KFC
expanded its operations internationally, and today, it operates in more than 140 countries with
thousands of restaurants worldwide. It has a significant presence in the United States, China,
and various other Asian, Middle Eastern, and European markets. KFC is famous for its fried
chicken, which is available in various flavors and formats, including Original Recipe, Extra
Crispy, and Grilled. The menu also includes a range of side dishes such as mashed potatoes,
coleslaw, biscuits, and gravy, along with sandwiches, wraps, and desserts.

3.1. Nature of the Organization

The nature of the KFC brand can be described as follows:

3.1.1. Global Brand Recognition

KFC is a highly recognized global brand known for its iconic image of Colonel Sanders and
its finger-licking good fried chicken. Its brand awareness is extensive, making it one of the
most well-known fast-food chains in the world.

3.1.2. Heritage and Tradition

The brand's heritage and tradition play a significant role in its identity. Colonel Harland
Sanders, the founder, and his secret blend of 11 herbs and spices are part of KFC's unique
history, adding to its appeal and authenticity.

3.1.3. Consistency and Quality

KFC maintains a strong focus on delivering consistent quality across its restaurants
worldwide. The taste and flavor of its fried chicken are standardized to ensure customers
receive the same experience, regardless of the location.

3.1.4. Customer Loyalty

KFC has a loyal customer base that enjoys its signature products and has developed a strong
affinity for the brand. The combination of good food, brand recognition, and a positive dining
experience contributes to customer loyalty.

3.2. Business Volume

The business volume of KFC, like any large multinational corporation, is subject to change
and can vary over time and across different regions. Business volume typically refers to the
total revenue generated by the company through its various restaurant locations and other
revenue streams.

iii
As of my last knowledge update, KFC was one of the leading fast-food chains globally, with
thousands of restaurants operating in over 140 countries. It was part of Yum! Brands, Inc.,
which is one of the world's largest restaurant companies. Yum! Brands also owns other well-
known brands such as Pizza Hut and Taco Bell.

3.3. Profile of employee

 Team Member / Crew Member
 Shift Supervisor / Team Leader
 Restaurant Manager
 Regional / Area Manager
 Marketing and Advertising Specialist
 Supply Chain and Logistics Specialist
 Human Resources Specialist
 Finance and Accounting Specialist

3.4. Product line

 Fried Chicken
 Chicken Sandwiches and Wraps
 Chicken Tenders
 Bucket Meals
 Sides
 Salads
 Desserts
 Beverages

4. ORGANIZATIONAL STRUCTURE OF KFC

4.1. Structure of Marketing Department

Chief Marketing Officer (CMO): The CMO is the highest-ranking executive in the marketing
department and is responsible for overseeing the overall marketing strategy and execution.
They work closely with other C-suite executives to align marketing efforts with broader
business objectives. Brand managers are responsible for maintaining the brand's identity,
positioning, and equity. They develop and execute brand strategies, monitor brand health, and
ensure consistent messaging across all marketing channels. Digital marketing specialists

iv
focus on online channels such as the official website, social media, email marketing, and
online advertising. They develop digital campaigns to reach and engage with the target
audience in the digital space. Team is responsible for creating and executing KFC's
advertising campaigns, including TV commercials, print advertisements, and other
promotion.

4.2. Functions of marketing department

Market Research and Analysis: Conducting market research to understand consumer
preferences, trends, and behaviors. This helps the marketing department identify target
audiences and uncover insights that inform marketing strategies.

Strategic Planning: Developing marketing strategies and plans that align with the
organization's overall objectives. This involves setting marketing goals, defining target
markets, and outlining the tactics to achieve desired outcomes.

Brand Management: Managing and enhancing the organization's brand identity, including
brand positioning, values, and messaging. Brand managers ensure brand consistency across
all marketing channels.

Advertising and Promotion: Creating and executing advertising campaigns to raise awareness
of the brand and its products or services. This includes TV commercials, print
advertisements, online ads, and other promotional materials.

Digital Marketing: Managing the organization's online presence and digital marketing efforts,
such as website management, social media marketing, email marketing, and search engine
optimization (SEO).

Product Marketing: Developing marketing plans for specific products or product lines. This
involves conducting market analysis, positioning the product, and determining pricing and
distribution strategies.

Public Relations (PR): Managing the organization's public image and reputation through
media relations, press releases, and strategic communications.

Content Creation: Producing relevant and engaging content for marketing purposes, such as
blog posts, social media content, videos, and infographics.

v
Customer Relationship Management (CRM): Managing customer databases and
implementing strategies to build and maintain customer relationships. This may involve
loyalty programs, customer feedback, and personalized marketing.

Event Management: Planning and executing marketing.

4.3. Marketing Strategies

Global Brand Consistency: KFC maintains a consistent global brand image, with its iconic
Colonel Sanders character and "finger-lickin' good" slogan being recognizable worldwide.
This consistent branding helps build brand recognition and trust among consumers.

Local Adaptation: While maintaining global consistency, KFC adapts its menu and marketing
strategies to suit local tastes and cultural preferences in different countries. This approach
allows the brand to resonate with local customers and expand its appeal to diverse markets.

Product Innovation: KFC continuously introduces new menu items and limited-time offers to
keep its offerings fresh and appealing to customers. Innovation helps create excitement and
encourages repeat visits.

Digital Marketing: KFC leverages digital channels, including social media platforms, email
marketing, and its official website, to engage with customers and promote its products and
promotions. Social media campaigns and interactive content help connect with a younger and
tech-savvy audience.

Partnerships and Collaborations: KFC has collaborated with other brands and celebrities to
create unique marketing campaigns. These partnerships can generate buzz and attract new
customers.

4.4. Product planning and development

Market Research: The process begins with comprehensive market research to identify
consumer trends, preferences, and unmet needs. This includes analyzing customer feedback,
conducting surveys, and monitoring industry trends.

4.4.1. Idea Generation

Based on market research insights, cross-functional teams within KFC brainstorm and
generate new product ideas. Ideas may be inspired by customer feedback, competitor
analysis, or emerging food trends.

vi
4.4.2. Concept Development
The selected product ideas are further refined into concrete concepts. These concepts include
details about the product's features, ingredients, packaging, and target market.

4.4.3. Feasibility Analysis

KFC evaluates the feasibility of each product concept. Factors considered include potential
costs, sourcing of ingredients, operational requirements, and compatibility with existing
equipment and processes.

4.4.4. Product Testing

Selected product concepts undergo testing, which may involve creating prototypes or
conducting taste tests with focus groups. This helps assess consumer response, gather
feedback, and make necessary adjustments

4.5. Pricing strategies

Customer Perception of Value: KFC considers how its target customers perceive the value of
its products. This perception is influenced by factors such as product quality, taste, portion
size, and the overall dining experience. KFC aims to offer a balance between price and
perceived value to attract and retain customers.

4.5.1. Menu Pricing Tiers

KFC typically offers a range of menu items at different price points to cater to various
customer segments. This includes value menu items, combo meals, family meal deals, and
premium offerings. The menu is designed to provide options for customers with varying
budgets and preferences.

4.5.2. Competitive Pricing

KFC takes into account the pricing strategies of its competitors in the fast-food industry.
While maintaining its own brand identity, KFC adjusts its prices to remain competitive within
the market.

4.5.3. Seasonal Promotions and Limited-Time Offers

KFC frequently introduces seasonal promotions and limited-time offers to create a sense of
urgency and encourage customer engagement. These time-limited deals may include
discounts, special menu items, or value bundles.

vii
4.6. Distribution strategies

KFC (Kentucky Fried Chicken) employs a well-defined distribution strategy to ensure that its
products reach consumers efficiently and consistently across various markets. The
distribution strategy involves the management of the supply chain, logistics, and restaurant
network. Here are the key aspects of KFC's distribution strategy:

Franchise Model: KFC primarily operates on a franchise business model, where the majority
of its restaurants are owned and operated by independent franchisees. This model allows KFC
to expand rapidly into new markets while benefiting from the local expertise and investment
of franchise partners.

Global Supply Chain Management: KFC maintains a global supply chain to ensure a steady
and reliable flow of ingredients, packaging, and other supplies to its restaurants. This
involves partnerships with suppliers and distributors worldwide to source the necessary
components of its menu items.

Quality Control: KFC places a strong emphasis on quality control throughout its supply
chain. The company works closely with suppliers to ensure that ingredients meet the required
standards and specifications. Regular audits and quality checks are conducted to maintain
consistency in the taste and quality of its products

4.7. Promotional strategies

Advertising Campaigns: KFC invests in advertising campaigns across multiple channels,
including television, radio, print media, and digital platforms. These campaigns feature
catchy slogans, visuals, and jingles that aim to create a lasting impression on consumers.

Social Media Marketing: KFC maintains a strong presence on popular social media platforms
such as Facebook, Twitter, Instagram, and YouTube. Social media allows KFC to engage
with its audience, share promotional content, respond to customer inquiries, and build brand
loyalty.

Limited-Time Offers (LTOs): KFC frequently introduces limited-time offers and promotional
menu items to create a sense of urgency and excitement among customers. LTOs may include
new product launches, special flavors, or discounts for a specific period.

viii
Seasonal Promotions: KFC capitalizes on various holidays and seasons to create themed
promotions and campaigns. For example, KFC often offers special deals and menu items
during Christmas, New Year, or other cultural festivals.

Collaborations and Partnerships: KFC collaborates with other brands, events, or influencers
to create co-branded promotions or marketing initiatives. These partnerships help KFC reach
new audiences and enhance its brand visibility.

5. Critical analysis

The company KFC is recognized as a famous and leading food manufacturing company in
the world over 130 from its establishment. It deals with the business of food and Agriculture
raw material. These two parts are very important and are indispensable part of each
community in the world. At present time the company has been enjoying the privilege of
being world’s largest and diversified company in the sector of food and agriculture Raw
materials and it possesses about 500 factories all over the world in 80 countries.

Nestle has it’s headquarter in Switzerland, Vevey and it was founded in 1866 by Sir Henri
Nestle and at present this has been recognized as the biggest beverages and food company. At
the end of the year 2004 were 87 bn. this had net profit of 6.7 bn. The company has around
247,000 employees.

5.1. Failure of different products

The KFC Double Down was a unique sandwich that replaced the traditional bread with two
fried chicken fillets, sandwiching bacon, cheese, and sauce. While it gained initial attention
for its novelty, it faced criticism for its high-calorie content and nutritional concerns.
Although it generated buzz, it did not become a long-term menu staple.

KFC introduced a healthier option to its menu with grilled chicken, aiming to attract health-
conscious consumers. However, this product faced challenges in consistency, taste, and
preparation time, which led to customer dissatisfaction and a decline in demand.

5.2. Major competition

In some products Nestle is facing fierce competition. For example, in Milkpak Nestle is
facing competition from Chaudhary Dairies Limited who has launched “Dairy Queen” at
lower prices which has decreased market share of Milkpak. CDL has also launched “N’rish”
milk powder at lower prices, it also has capability to decrease the market share of “NIDO”.

ix
So in long run, if Nestle do not respond to such competitors, they may create a lot of
problems in other products also.

5.3. Future prospectus

3.4 billion Are planned for 2021, primarily focused on operational reliability and capacity
increases to meet consumer demand, the company said in its annual financial report. Nestle
Pakistan witnessed a handsome 20 percent growth in profitability in 2020, which stood at Rs.
8.8 billion in the outgoing year.

6. Short-fall of marketing

6.1. Dependent on the outside Milkmen

Raw material is basic input for every organization and milk is core raw material of Nestle for
which it is dependent on the outside Milkmen. Nestle has no single its own dairy form which
provide high quality milk to the firm.

6.2. Packaging dependence

Another weakness of Nestle Milkpak Ltd. is that its total packaging depends upon Packages
(Pvt.) limited.

6.3. Complex supply chain

Having complex supply chain management.

x
 7. Conclusion

The period of my internship with such esteem organization like Nestle Pakistan was a great
delight for me who enhanced my knowledge up to latest trends and bridged the gap between
theoretical knowledge and practical approaches being implemented in the industry. .

The learning environment was superb, just like an ocean where you come, take what you
want but there is no deficiency in that ocean. Moreover, different internal systems that
NESTLE has evolved like NCE (Nestle Continuous Excellence), TPM (Total Performance
Management), NQMS (Nestle Quality Management System), NSMS (Nestle Safety
Management System) and NGMP(Nestle Good Manufacturing Practices) etc. are unique &
assures the safety of worker & best quality food products.

Nestle is international organization, being an multinational is always great because it is

always backed up by the parent company but however Nestle Pakistan is doing best in this
region because of the static demand & less portfolio. Nestle management is key success
factor of the company they are highly committed & they do not compromise on their tasks.
Quality & sustainability is another factor that is giving nestle an edge against its competitors
and NESTLE PAKISTAN is at top because of high demand & promising quality they
provide.

8. Recommendations

Internship at Nestlé was really a wonderful experience for me. It was a short journey full of
commitment, passion, encouragement and hard work. I was very lucky that was I worked in
Milk Collection & Dairy Development (MCDD) department. I came across in the company
of amazing people who taught me many things that would be a great help in professional and
daily life. They took care of each and every intern so well and they helped me with each and
every query I had and helped me to understand the various issues.

In MCDD, everybody makes sure that the internes are doing well, I was given tasks clearly
and sometimes with a deadline to submit an assignment. That thing helped me to do my work
in time. Also, they make sure the punctuality of the employees as well as of the internees.

Working in such a great environment with a lot of people have made me much more
confident. They made me believe in myself. Reading of scenarios and generating various

xi
answers have given me a good edge to think from different perspectives. I always got encouraged
with my work.

xii
 9. Reference and sources
https://www.nestle.pk/aboutus

https://www.nestle.pk/brands

https://www.nestle.pk/investors/financialreports

https://www.gurufocus.com/term/deb2equity/KAR:NESTLE/Debt-to-Equity/Nestle-Pakistan-Ltd

xiii
14