kfc

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Title: kfc

Essay Details:

Subject: Business

Author: Jesus M

Date: April 2, 2011

Level: University

Grade: A

Length: 3 / 675

Essay text:

The restaurants face competition within their segment and with the other segments in the industry. This, along with the NAFTA agreement, has given opportunity for industry leaders, including KFC, to expand more aggressively in Latin America. Threat of New Entrants This force is weak. KFC has economies of scale holding the largest percentage of market share in the chicken segment of the fast food industry (50.7% in 2002). This allows KFC to spread their costs over the thousands of company-owned and franchised restaurants. Additionally, KFC was bought by PepsiCo, one of the largest consumer products companies in the United States, in which further supports its cost advantage of large production volume and input discounts not accessible to new entrants...

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