Kfc Malaysia Research

Fast Food Operations, Business Structure,http://www.kfcholdings.com.my/kfch_corp/business_fast.htm2.0 Current Market Situation2.1 Microenvironment Analysis2.1.1 SuppliersKFC Malaysia has developed its operations over the years and has in a way becomeits own supplier. As the only integrated food operator in Malaysia, KFC hasundertaken operations in hatchery, breeder farms, feedmill, and processing. Itdoes, however, import hatchers and incubators from Chickmaster, USA to be usedin the hatching processes. KFC also has exclusive rights to Ross Breeders ofScotland to breed the fast­growing broilers.

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2.1.2 The Company's MarketKFC Malaysia uses the differentiated or segmented marketing strategy. Thegeographic, demographic, and psychographic variables are the 3 main segmentsthat KFC Malaysia uses. Psychographically, KFC Malaysia's market is mainlysegmented based on the lifestyle its regular customers, basically those who havework on their hands all the time. This kind of customers would wantquick­serving food, and KFC provides just that. Demographically, KFC Malaysia'smarket segment is based on age. KFC caters to, generally, people who are roughlyin the age group of 4 to 40 years old. Elderly people would not choose to go toany fast food outlets, including KFC, as their health is at stake.Geographically, KFC Malaysia's market segment is largely based on density. Thereare around 340 KFC outlets in Malaysia, and most of them are situated insuburban and city areas. Figure 1 shows the locations of the KFC outlets allaround Malaysia.

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