SWOT

Analysis
KFC Company
Strengths
KFC is the second best global brand in
fast food industry.
It is popular and is a trustworthy brand in
many countries mainly due to its early
franchising and international expansion.
KFC is the market-dominant in the
world among companies featuring
chicken as their primary offered
product.

KFC original 11 herbs and spices is a

secret and a source of comparative
advantage.

There is a powerful corporation behind

the KFC brand, with KFC, Taco Bell,
and Pizza Hut share the same corporate
owner, Yum! Brands.
Weaknesses
An unhealthy food menu
KFC menu consists of high calorie, salt and fat meals
and drinks. And it increases obesity among consumers.

Untrustworthy suppliers.
Over the years, KFC has been contracting suppliers, who
were mistreating chicken, hence resulting in reduced sales
and damaged reputation.

High employee turnover.

Working in KFC is a low paid and low skilled job, which
leads to low performance and high employee turnover, which
increases training and overall costs of KFC.
Opportunities
Cheap menu people love
KFC makes generous offers at low prices knowing that
people feel more comfortable with this brand due to
it’s unique taste.

Home meal delivery

KFC gives people the opportunity to have meals delivered to
their homes, It also take advantage of this opportunity to reach
more customers .

Increasing demand for healthier food

As the demand for healthier food increases KFC may also

include healthier food choices in its menu in the future to turn
this weakness into power and also give costumers the
opportunity to eat healthier whenever they want .
Threats
Competition.
Despite its popularity, KFC isn’t the best choice
for customers.

People are eating more healthily.

Because of the increased risk of obesity, people are
more likely to eat healthier foods rather than fast
foods like KFC.

The material high cost

If KFC wants to remain competitive, it must meet
consumer demand without raising menu prices.

The franchising mistake.

KFC's social media reputation suffers as a result of
franchising. It resulted in a few negative reviews
and comments.
 PESTEL
Analysis of KFC
 Economic Factors
Vegan food
KFC has a menu mostly consisting of fried chicken
which has a high-calorie content and unhealthy fats.
They have recently changed their menu to include more
vegetarian and vegan options. So this is a change to
promote a more healthy representation to fast food,
there is still a lot of work to be done to overcome its
reputation of being unhealthy.
KFC is also known for its budget menu where
people can get high value for their money. And
this is a major economic factor that
causes KFC’s growth.
Technological Factors
KFC has applied many new technologies and changes
to keep up with new trends and preferences of
customers.
Most stores today have a click-and-carry option
where you can order your food before even reaching
the store which helps you save a lot of time.
Additionally, self-order kiosks, voice automated
machines, and online platforms help to increase
profits and sales.
 Legal Factors
Rules and regulations
Being compliant with local laws and regulations is
essential to KFC's continued profitability and operation
because it operates in more than 140 countries. In to
avoid claims and damages, they must follow the laws
and rules regarding food and health quality.
There have been numerous cases of KFC serving
customers low-quality or rotted food around the
world, which has attracted a lot of
negative attention.
Political Factors
One of the major political factors that influenced
and differentiated the fast food franchise is its
connection to unhealthy foods that represent a high-
calorie diet.
Additionally, there has been a gradual rise of
health-conscious individuals and campaigns
against many fast-food chains and
restaurants for promoting obesity and an
unhealthy lifestyle.
Environment Factors
Eco-friendly trends
Customers prefer environmentally conscious brands.
KFC is aware of this trend and provides
environmentally friendly products. Reduce your
carbon waste.
Avoiding plastic waste
KFC made use of biodegradable packaging paper as
well as other recyclable materials. Plastic waste
reduction in the environment
Social Factors
KFC and many other well-known brands face
a social problems such as paying employees
at minimum wage.
KFC also hides the health problems fast food
could cause people.
KFC as well as many brands load the chicken
with hormones that make it gain more fat and
muscles, and farms mistreat animals by
packing them in unhygienic environments.
In conclusion
PESTEL Analysis of KFC

KFC, however remains as one of the best fast

food selling company in the fast food
industry.
The company is focusing on erasing the
negative reputation on health.
It is also working and trying to improve
customer satisfaction.
The company is also trying to adhere to
government laws and might overtake the
fast food industry.
Reference
Farooq, U. (2019) Pestel analysis of KFC - a
leading fast-food restaurant, Marketing Tutor.
Available at: https://www.marketingtutor.net/pestel-
analysis-of-kfc/ (Accessed: November 15, 2022).

Frue, K. (2019) Pestel analysis of KFC, PESTLE

Analysis. Available at:
https://pestleanalysis.com/pestel-analysis-of-kfc/
(Accessed: November 15, 2022).

Ahsan Ali ShawAhsan Ali Shaw is an accomplished

Business Writer (2021) Pestle analysis of KFC,
Business Management & Marketing. Available at:
https://swotandpestleanalysis.com/pestle-analysis-
of-kfc/ (Accessed: November 15, 2022).
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