A) Produce and evaluate a basic marketing plan for an organization.

(17 marks)
Introduction
There is big trend of fast food, which is increasing day by day and multitude of people
spends their amount on this food. Fast food is becoming popular due to quality of
ingredients, and convenience for the people. There are various other giants in the
field, which can be great for this fast food chain, as they are also going to spread their
business across the world and they are introducing new taste and maintain the healthy
and wholesome food among the people.

KFC is the specialist in fried chicken and it has set up over 17,000 restaurants and
outlets in about 105 countries of the world to provide the fast food to its lovers. This
fast food chain earns about $6 billion in a year and it is considered the second best
global fast food brand and it is now tapping in the newly emerging economies of the
world, where the people working in the industrial and corporate sector, welcome its
arrival. This global brand has the diverse and consistently changing work force and it
meet different challenges while operating its business at the international level. The
brand is now looking to expand its services in some other countries and introduces
new taste in fried chicken to the local customers.

Situational analyses
New products and innovate are likely to attract customer's attention, so each company
requires focusing on developing and reinventing their menu... KFC will be pioneering
in the fast food chain that's why its needs to be highly sensitive towards cultural
demands. KFC attempted to liven their menu with HALAL Chicken.

SWOT Analysis
Strengths ,Weaknesses , Opportunities and Threats are called SWOT ANALYSIS".
It also involves monitoring the external and internal marketing environments.
Strengths and weaknesses represent companies internal capabilities, example
operating producers, operating costs, human resources and products producing
strategy. Opportunities and Threats arise from outside the organization, example
competition and poultry supply in our case.

Strengths
HALAL KFC is the BOMB.KFC will be the latest from the UK fast food chain which
will introduce HALAL chicken in its menu The market for HALAL fresh meat is
estimated at 400m, equal to 11% of meat sale, so there is more space for KFC to
play and won .KFC is the 3rd one from UK s fast food chain who signed up for the
list of calorie contends in food .KFC has Secret Recipe of 11 herbs and spices become
strong trademark recipe . KFC ranks highest among all chicken restaurant chains for
its original recipe, convenience and its variety in menu. Because of all this KFC will
be most popular among UK Muslim community. KFC will get permit from HALAL
FOOD AUTHORITY (HFA), so no doubt anymore about the chicken.

Weakness
Lack of relationship building with employees, they are young, unskilled and they are
working at or just above minimum wage .KFC only deals in fried chicken .Most
commonly KFC cooks its chicken in vegetable oil .This is unhealthy method of
cooking and it hits health and educated conscious people .KFC s independent strategy
about franchises may effect on its new market segmentation because their target
market in a particular area. Negative publicity about brand affects their provision of
fried chicken.
Opportunities
Need big stockrooms and freezers and chillers as well .KFC will hope that the
HALAL chicken range will help in attracts a new range of customers .Starts Home
delivery to customers .Online order service provided
(example:www.justeat.co.uk) .Consumers are looking for fast food alternatives to red
meat that is one of the best opportunities for KFC because of its white meat .Service
and cleanliness could be increased .Need more varieties in menu, to embrace healthier
choices .To meet the market demands like having roasted or stream chicken which
have less oil content .Introduce a new brand selling concept like having a buffet style
where customers are able to choose the food from the shelves and make the
orders .Going into burger businesses .
Threats
KFC is not alone for fast food ; moreover it is followed by its wealthy competitors,
including McDonalds, Burger King and Subway .Increase of trends of more
vegetarians .There is always a threat from new competitors trying to take some . The
fast food chain has limited market share
Marketing Objectives
KFC is the leading food chain in the world, which is going to spread its business in
various other countries. This food chain industry wants to provide such facilities to its
clients with the provision of fresh and healthy food, which can meet their
requirements also take less time to serve them.
Marketing Segmentation
KFC was started with the mission to provide healthy food to such people, who are
working in multiple shifts and they have no time to cook their foods. The customers
buy these foods from there and they take their lunch in short and reach to their next
duty. The office workers and the daily labor, who have no time, they can get benefit
from this food chain and they can buy this healthy and nutritious food from there also.

Market segments for KFC

The market segments divide into four groups :
Children
KFC targets children boys and girl below than 12 age that who love to eat fried
chicken .At the same time also targets children who love to get toys with package of
meal .KFC always out new toys package with meal to attract children .
Teen and young adult
KFC also targets teen and young adult with age 12 to age 25 who love fried chicken .
Normally , KFC target boys and girls who like to eat both fried chicken and burger for
an affordable man .KFC fried chicken through multi media attract teen and young
adult who love to eat fried chicken .
Family
KFC targets family which both parents and 2 less or more kids dining together in
KFC restaurants or take away .KFC also have children playground that normally
parents would bring their children to play at there , while they could peacefully eat
their meals .KFC has Mini Bucket Combo and Variety Bucket to cater for bigger
numbers of people to eat with favorable price .
Budget customers
KFC has concerned of budget customers appetite with basically age 12 to 55 .KFC
also has ala carte menu and real savers menu which emphasize in 1 set with lower
price and side orders as well such as potato wedges.
Issues and Problems
Government
The first issue of KFC is government , there is a proposal developed by the
government recently to overcome the claims of fast food being unhealthy food for
consumer .Basically the proposal is about banning all advertisement for fast food
industries ,includes KFC Malaysia .Once the government agreed the proposal ,KFC
Malaysia will have hard time in promoting their products.
Customers complaint
The second issue faced by KFC Malaysia is that customer complaint .From the
situational analysis ,KFC should notice that there were protests from customers saying
that eating meat is dangerous and it contain toxic ,during the avian flu outbreak few
year ago .This eventually will bring poor images for customers which convinced by
them ,thus leading bad images for KFC Malaysia .

Lack of Manpower
Also from the situational analysis ,there is a huge variance between the number of
workers and branches for both KFC Malaysia and McDonald ,where McDonald has
relatively more manpower for each of their branches .In term of human resource cost
KFC would be lower ,but in terms of efficiency McDonald will be better than KFC.
Corporate taxes decreased
There is a 25 percent decrease in the corporate taxes in the budget 2008 is
Malaysia .Although this might help KFC Malaysia ,also portrait threat of new
competitors in fast food industry .Due to lowered taxes ,new competitors can appear
in the market relatively easier as compared to before.
SBU Objectives & Goals
Mission
- To become the leading fast food chain in Malaysia
Objectives
- To target the segment of health conscious and vegetarian customer
- Reduce the cost of production
- Improve customer satisfaction
- To increase growth rate
- To increase market share in rural area
Goals
- Capture the market of health conscious and vegetarian customer by 10 percent
- Reduce cost of production of 20 percent
- Improve customer satisfaction by 50 percent through various methods .
- To increase growth rate from 4 percent currently to 8 percent
- To increase market share in rural area by 10 percent