McDonalds VS KFC- review of the Chinese market drop.doc

 PAGE \* MERGEFORMAT 32 McDonald’s VS KFC: review of the Chinese market drop February 18, 2005, the British Food Standards Agency on food containing the carcinogenic Sudan Red pigment added to warn consumers of food products, China’s General Administration of Quality Supervision, Inspection Emergency wanted carcinogenic dye Sudan I, McDonald’s and KFC are all implicated . 16, China issued a public statement Yum Brands announced on KFC’s products to the consumers to apologize and said he would bear the corresponding legal responsibility and compensation. In contrast, McDonald’s has repeatedly claimed that their products are not available ‘Sudan’, 97% of the raw materials have been localized, and said the recent price-adjusting behavior and Sudan has nothing to do. Two giants in China, very different style of public relations response to the crisis so that people can not help but drop in the Chinese market for its has another interpretation. First, fight for the throne of China’s Commander gap Since the 20th century, 90 years, China’s accelerated economic globalization process. In this population, first in the world’s most popular restaurant market potential of China, ‘This is for the same root’ (the same from the U.S.) is the world’s two fast food giants McDonald’s and KFC in the Chinese market has not been staging ‘fratricidal’ The tragedy, are achieved in the game so ashamed of the world’s other markets, the impressive performance, the Chinese market become a focal point of its global business development of the ‘engine’. From a global perspective, McDonald’s and Kentucky Fried Chicken not yet belong to a heavyweight: McDonald’s is currently the world’s 121 countries and has more than 30,000 stores worldwide turnover of about 40.63 billion U.S. dollars, while the KFC in the world in 80 countries and has a few chain stores just over 11,000. According to the U.S. food industry research institutions, Technomic for the 2003 U.S. fast food and restaurant sales