SENTATION ON THE CASE STU

OF

KFC in INDIA -
EthicalBY-
SOUMIK MUKHERJEE(401
ABHAY SINGH(4048)
SANDEEP SINGH(4058)
ANWAR PASA(4068)
IMRAN SIDDIQUE(4033)
SHADAB ALAM(4096)
 KFC’s Entry in INDIA

 KFC was the first fast food multinational to enter

INDIA , after the economic liberalization policy of the
Indian Govt. in early 1990s.

 KFC received permission to open 30 new outlets across

the country & Opened first fast food outlet in
Bangalore in June 1995 by targeting upper middle class
population.

 PepsiCo planned to open 60 KFC and Pizza Hut outlets

in next 7 yrs in the country.
 Issues:

» Understand the significance of cultural, economic,

regulatory and ecological issues while establishing business in
a foreign country
» Appreciate the need for protecting animal rights in developed
and developing countries like India
» Understand the importance of ethics in doing business
» Examine the reasons for protests of PETA(People for Ethical
Treatment of Animals )
» Identify solutions for KFC's problems in India
 Problems for KFC
 Protests by farmers led by the Karnataka Rajya
Ryote Sangha(KRRS) & the farmers leader was
Nanjundaswamy who used the term ‘junk food’
against KFC.
 Protests by cultural & Economic activists.
 Protests by PETA in the late 1990s.
 Support of celebrities in against of KFC
 SWOT ANALYSIS
STRENGTHS
WEAKNESSES
•UNDERSTAND THE CULTURE,
REGULATORY& ECOLOGICAL ISSUES. •NON ETHICAL BUSINESS PRACTICE
•UNDERSTAND THE IMPORTANCE OF •PETA PROTEST
ETHICS IN DOING BUSINESS •KRRS PROTEST
•EXAMINE THE REASONS FOR PROTESTS •MSG FLAVOUR IN CHICKEN
OF PETA
•IDENTIFY SOLUTIONS FOR KFC’S PROBLEMS
IN INDIA
THREATS
OPPORTUNITY •MSG CHICKEN FLAVOUR
•RETAIL BOOM IN INDIA
•PETA LIKE ORGANIZATIONS
•INDIANS YOUTH ARE ADOPTING WESTERN
•POLITICAL PARTIES PROTESTING
CULTURE
FOR JUNK FOOD
•INDIAN ECONOMY
•PROTEST SUPPORT FROM FAMOUS
•COSMOPOLITAN RAPID DEVELOPMENT
PERSONALITIES LIKE ANIL
KUMBLE,ADITI GOVITHRIKAR,JOHN
ABRAHAM ETC
 Questions For Discussion

Question 1 -

Since its entry in India in 1995,KFC has been

facing protests by cultural & Economic activists
and farmers. What are the reasons for these
protests?
 Answer 1
 Need for protecting animal rights
 Chicken they serve is full of chemicals
(mono-sodium glutamate)
 It encourage farmers to shift
production of crops to animal feeding
 Leaves poorer section of society with
no affordable food.
 Question 2 -

Do you think in the light of fierce competition, it

is justified for business organizations not to
give importance to ethical values at the cost of
making profits? Why or Why not?
 Answer 2
No, in the light of cut throat competition, the co. should give
importance to the ethics rather than the making profit.

 Profit comes from customers.

 Customers have ethics.

 Customer is always right.

As someone very rightly said, “customers are always right and if

at any point of time u feel that customer is wrong, and then you
are wrong.”
CONCLUSION
Finally, we can understand from the case that every
business organization should understand the importance
of ethics by understanding the culture, regulatory &
ecological issues in different countries.

KFC should implement a farm level guideline &

audit program - a program which is industry-
leading in the areas of poultry care and handling,
mainly  for their suppliers in the broiler industry.