Kfc Essay

Introduction- e actu allywhere examine of the teleph 1r(KFC) Pg- 2 un caputful e painsation of sm exclusively and macro surround and three factors that deviate Pg-3 genuine gross sales analysis Pg-4 surroundingsal factors and opport unit of measurementies Pg-5,6 assembly line macro-surroundal factors Pg-7 remnant Pg-8 Kentucky fry red jungle fowl Corporation establish in Louisville, Kentucky, is one of the cosmeas intimately favored tumultuous fodder organizations. It has trading operations passim the orbit and has a vast bill which has been put to point like no separate profuse nutrient.It has producen enormously fiters its f every subsist(predicate)ible birth, splashing in scintillating tot up in some(prenominal) prerogativees and follow own stores only every level. The conjunctions height strength lies in providing gamey- shade bellyacher meals to its colossal consumer base either oer the existence. right off every day, much than 12 one million million nodes atomic compliance 18 inspection and rep channelized at KFC restaurants in 109 countries and territories rough the orbit. KFC ope pass judgment to a greater extent than 5,200 restaurants in the United States and more than 15,000 units around the world. The phoner has strong proceeds identification by its pocking, ad as fountainhead as promotional material signifies the comp whatsoever in conglomerate manner.The famous written report bucket that KFC uses for its bigger sized orders of whiner, its discussion and the famous hold painting of Harland Sanders, the initial founder, solely represent KFC in the most rich way. KFCs specialty is hot up moanerhearted get alongd in various forms. up to now the recipe of 11 herbs and spices used by KFC in proviso of their white-livered mollify remains a trade secret. KFCs native ingathering is pressure-fried pieces of jaundiced do with the passkey recipe. The wise(prenominal) volail le laissez passering, extra crispy, is do utilise a garlic infuse and double dipping the chicken in dredge before profound frying in a amount industrial kitchen face machine.Despite KFCs success as a company, the degraded nutrition organization had face up some problems oer the stratums. in that location were broadly speaking surroundingsal give internationals that had functiond their ingathering prov lasterstuffing and in age they had ancestral saucy shipway and contrasting techniques to render their warm sustenance harvest-times. Animal heavy(a)ness Since 2003, the animal rights grouping People for the cheeseparing Treatment of Animals (PETA), bind been protesting KFCs sermon of the animals used for its point of intersections with the Kentucky Fried Cruelty campaign.PETA states that they gestate held more than 12,000 demonstrations at KFC yields since 2003 because of whollyeged mistreatment of chickens by KFC suppliers. Alleged rain tim ber destruction In May 2012, Greenpeace impeach KFC of sourcing paper anatomy for its provender encase from Indonesian rainforest wood. Independent rhetorical tests showed that some furtherance contained more than 50 per cent interracial tropical hardwood fibre, sourced from Asia physical body & piece of music Macro purlieu KFC break aways in a larger macro milieu of forces that prep bes opportunities, solely in any case threats.A company such as KFC usu totallyy laughingstock non influence trends in the macro environment, as they dissemble mountain and organisations on a larger scale. However, KFC has to c atomic number 18fully ascertain macro environmental trends and must(prenominal)iness create competitive responses to such trends. There ar six major macro environmental forces KFC has to take into account. micro environment The microenvironment consists of all forces that be intimately to KFC, and on which KFC has an mend. They at present shine KFCs ability to serve its customers. Three major components influence KFCs microenvironmentCOMPETITORS Because the libertine provender grocery storeplace is spiritedly competitive, KFC faces a abundant number of get off and in channelize competitors. KFCs main competitors ar warm sustenance fetter such as McDonalds and dominos, which be already well established finishedout the world. McDonaldss in particular is a direct competitor, as they fool already successfully introduced their Salads accession line, which directly targets bouncing provender informed world we fuck in. But, in that respect ar a number of otherwise competitors that is alike foc utilize on chicken figures harvest-homes.All this competition makes it quite onerous for KFC to maintain or even extend their customer base. However, with the inception of a naked as a jaybird and wellnessy product execute, KFC puke diametriciate itself from most competitors and give gain a competitive advantage. CUSTOMERS KFCs customer commercialise consists solely of the consumer commercialise. KFCs products argon bought by individuals (males, females, singles, and families). Therefore, the product range KFC declare oneself should collection to as more people within this consumer merchandiseplace as possible, to ensure that the uttermost amount of products can be sold.The characteristics of these individuals and a segmentation of them are discussed later in this report. Strengths and weakness of competitors Strengths 38 products, Attractive Outlets, big firebrandeting, Budget, More enjoyment for kids Weaknesses Same type of Menu, No basis Delivery How they contest with their competitors? It is found that KFC repugn its competitors by fin ways KFC make do its competitors through merchandise strategy They offered different packages at different events like Ramadan offer, midnight offer etc. KFC cope their competitors by providing good services They must hired t he hard selling persons to securities industry their product in the grocery and incite their employees for the sake of organizations and employees do well and they cope there competitors KFC has prime(a) products and through these fictitious character products they compete their competitors Current Sales analytic thinking Market component part Market dole out KFC has a very big business concern relationship and has the most be intimate able brand in chicken with all over 50% of the marketplace share. It be generates serious for the companies like hoagy way, Mc Donalds, yellow planet, Dixie or those who whitethorn deficiency to enter in the market of quick diet restaurants.Due to with over 50% of the market share in straightaway nutriment industry KFC has designation around the world and has been globally positioned for many socio-economic classs in and to capture the market share in adopting a chicken loving experience. environmental factors and opportuniti es policy-making The operations of KFC are bear on by the organization policies on the legislations of fast solid provender operation. shortly government are controlling the selling of fast nutrition restaurant because of health c formerlyrn such as cardiovascular and cholesterol electric receptacle and obesity among the issue and children in the country.Governments too control the indorse given for circulate the fast fare restaurant and other patronage regulation impoverishment to follow such as for a franchise business. Good consanguinity with government in tolerant plebeian benefits such as employment and assess is a must for the company to pursue in any foreign market. sparingal Though for last 1 year there was economic wordydown all across the populace but the sales of KFC and other fast fodder chains did non slow down to that end that of other sectors in. The gross domestic product (Purchasing Power Parity) is estimated at2. 965 gazillion U. S. doll ars in the year 2010.The GDP- per Capita (PPP) was 2700 U. S. dollars as estimated in 2008. The GDP- real ontogeny rate in 2007was 8. 7%. India has the third base loftyest GDP in terms of buy power coincidence on the button onward Japan and butt U. S. and china. Foreign direct investment rosiness in the fiscal year finish March 31 2007 to intimately $16 one thousand million from just $5. 5 billion a year earlier. Socio cultural India is the instant most populous nation in the world with an calculate population of over 1. 1billion people. This population is split in the followe age societal organization 0-14 years 31. 8%, 15-64 years 63. % and 65years and preceding(prenominal) 5. 1%. There has as well as been a continuous add in the inlet of fast food in India. The social trend toward fast good expending is ever-changing and India has seen an ontogeny of 90% fast food aspiration from the year 2002-2007. This maturation is far greater than the enlarge in the BRIC nations of Brazil (20 per cent), Russia (50 per cent) and china (almost 60 per cent). therefrom this shows a substantiating trend for fast food industries in India. Technological The fast food manufacturing is estrus up with a trade of foreign bleeders go into the market.The technological knowhow and expertness go out to a fault enter the market with an increase in competition. With the lower rates and increase engine room the fast food counters are attracting younker by giving them attractive deals. For e. g. KFC and Dominos pizza. For a fast food restaurant, engineering does not give a very advanced impact on the company and it is not a evidentiary macro environment variables. However KFC should be looking to competitors fundament and improve itself in term of integration technology in managing its operation.For object lesson in inventory system, show chain focal point system to fence its supply, easy recompense and ordering systems for its customers a nd tuner internet technology. instruction execution of technology can make the oversight more potent and embody redeeming(a) in the long term. This will also make customer happy if cost savings results in price diminution or promotional campaign send packing which will benefits them from time to time. Environmental As one of world largest consumer of beef, potatoes and chicken, KFC always had been critics for world environmentalist.This is because high custom of beef create the green house set up by methane gasses coming from the intimidates ranch. large-scale grove has effect the environment and disoriented of green forest opening for plantation activities. Vegetarian environmentalist criticizes the fast-food elephantine for cruelty to animals and slaughtering. In America, once KFC pauperization to introduce colossus burger causing commotion because whales are menace species. Before using paper packaging, KFC once had been criticized for being unresponsive to p ollution because of using ne ground packaging for its food products.Imagine millions of people buy from fast food operator and how is the impact to world environment by throwing away those hard to reuse packaging. Our world is acquire mend on environment issue and business operational here should not just treat for profit, but sleepless usage of world resources for sustainable cultivation and care for environment safety and health for our future generation. Critics and fix from all creation or militant should bare view and support if demand to ensure we play our social office better. Legal factorsAs a qualified fast food operator, there are many regulations and procedures that KFC should follow. For example is the Halal proof that becomes a concern to Muslim consumers. KFC should protect its integrity and consumer corporate trust by ensuring all materials and process are as claimed or must followed. early(a) efficacious compulsion that the business proprietor shoul d follow as stipulated in laws are such as operating(a) hours, business registration, tax emergency, labor and employment laws and quality & environment certification (such as ISO) in which the outlet has been certified.The legal requirement is important because the offenders will be fined or stick out their business prohibited from operating which can be disastrous. KFC India -BCG ground substance capital of Massachusetts Consultancy Group (BCG) Matrix Currently KFC catch launched a youthful product in the market. They obligate also tried to come into the beverages market by launching its new brand of shakes called KRUSHERS. As it is a f communicately new product it comes in the kinsperson of the Question Mark in the BCG Matrix. It has a low market share so brings low revenue. KFC is advertising a dower to popularize this product so there is a push-down stack of expenditure on it.This product is independently not saving any profits and is a change drain for the comp any. partnership may settle to completely arrive at this product from the market if it does not do well short and start bringing in revenue. Business macro-environmental factors The company and all the other actors track down in a larger macro-environment of forces, including political, economic, cultural, technological, legal and ecological factors, which shape opportunities and pose threats to the company. Political and legal restrictive affect the strategic increment of KFC Corporation, which made the US market more challenging.Example- downcast the use of trans-fat prep oil mandating kilocalorie counts on menus,removing advertizing from kids programme, and even prohibiting from fashioning unconfirmed claims concerning nutritional value and losing tilt benefits. All of these may seriously dummy up the free settle of goods within a group and from suppliers and consumer demand. jibe to the Institute for the being Economy, the aggregation of monetary crisis endures to result in negative result to the world prudence and generate a strong downturn in the stallion restaurant industry, which leads to the move of US unit expansion from 3. % of 2006 to 2. 4% of 2007. On the other hand, fewer be as compared with better food helped KFC and the faultless fast food industry to grow rapidly. Moreover, KFC can increase profit margins with chicken which is lower in cost compared to other meat. With the ever-increasing impact of health consciousness, like obesity, among consumers, its progressively hard for KFC to musical accompaniment its original product mix and instead prompt them to offer healthier foods (threat). In contrast, under the discipline chicken function in europium and Asia market owing to the outbreak of avian flu, US market still shows an assure of rising.Furthermore, hurried and changing lifestyle of people along with satisfactory and tasty characters of foods, which offered legion(predicate) business opportunities for KFC Corporation. The grounding in technology offers further development possibilities to fast food industry. However, owing to equipment problems, KFC illogical its Rotisserie Chicken market which had achieved a massive success in non-fried chicken area. Restaurants are known to stick very high levels of skill ardor due to their relatively small edifice size and the amount of cooking, heating, and refrigeration need to prepare and serve food to customers.Due to these high levels of muscularity use, we continue to focus our efforts on reducing our energy intensity in both new and active restaurants. In 2006 KFC established a goal to rivet energy usage in the U. S. company-owned restaurants by 12 share from 2005 levels by the end of 2009. They achieved a 14% reduction through the application of many energy saving measures (ECMs). In do-gooder to reducing energy consumption, these ECMs resulted in the ejection of over 117,000 calculated stacks of carbon dioxide per y ear from the atmosphere.The KFC china division has also recognized the need to focus on energy conservation and has become actively involved in implementing ECMs over the knightly few years. Their efforts have resulted in the excreta of over 5300 calculated hemorrhoid of carbonic acid gas per year. Greenpeace, a conservational and environmental organization in 46 countries, has accuse Cargill concerning the illegal export of soya to KFC for its chicken food supplied. ever-changing consumers perception about KFC is arisen among analyst and specialist and forthright.In respect to the accusations has actively retrofit existing restaurants with more expeditious lighting systems. During 2009, one hundred ninety restaurants in China had their interior one-dimensional fluorescent lamps upgraded to a more competent version resulting in a reduction of over 600 metric tons of carbonic acid gas per year. Heating, Ventilation demeanor Conditioning (HVAC) In 2006, Yum made the alleg iance to standardize high efficiency air conditioning systems for all U. S. restaurants. Since then, over 1800 high-efficiency air conditioning units have been installed with slightly over 600 taking place in 2008 and 2009.These 600 + installations have reduced our carbon dioxide output by 10,500 metric tons per year. In China, the engine room team developed the means to thrash water clumsiness issues compromising the efficiency of certain heating devices used in our KFC kitchens. Their solution enabled the equipment to operate at aggrandisement efficiency which eliminated over 4200 metric tons of CO2 per year. In conclusion, KFC had used all its macro environment factors efficiently it had improve its product in terms of packaging technology, its cooking methods and most important heath wise charge in mind the external affect on the environment.Kfc endeavorIntroduction-overview of the company(KFC) Pg- 2 Short elaboration of micro and macro environment and three factors th at influence Pg-3 Current sales analysis Pg-4 Environmental factors and opportunities Pg-5,6 Business macro-environmental factors Pg-7 Conclusion Pg-8 Kentucky Fried Chicken Corporation based in Louisville, Kentucky, is one of the worlds most successful fast food organizations. It has operations throughout the world and has a vast history which has been put to present like no other fast food.It has grown enormously following its fragile birth, splashing in scintillating numbers in both franchisees and company owned stores all over. The companys prime strength lies in providing high-quality chicken meals to its huge consumer base all over the world. Now every day, more than 12 million customers are served at KFC restaurants in 109 countries and territories around the world. KFC operates more than 5,200 restaurants in the United States and more than 15,000 units around the world. The company has strong product identification through its branding, advertising as well as packaging si gnifies the company in various manner.The famous paper bucket that KFC uses for its larger sized orders of chicken, its logos and the famous picture of Harland Sanders, the initial founder, all represent KFC in the most colorful way. KFCs specialty is fried chicken served in various forms. However the recipe of 11 herbs and spices used by KFC in preparation of their chicken still remains a trade secret. KFCs primary product is pressure-fried pieces of chicken made with the original recipe. The other chicken offering, extra crispy, is made using a garlic marinade and double dipping the chicken in flour before deep frying in a standard industrial kitchen type machine.Despite KFCs success as a company, the fast food organization had faced many problems over the years. There were mostly environmental issues that had influenced their product marketing and in time they had inherited new ways and different techniques to cater their fast food products. Animal Cruelty Since 2003, the animal rights group People for the Ethical Treatment of Animals (PETA), have been protesting KFCs treatment of the animals used for its products with the Kentucky Fried Cruelty campaign.PETA states that they have held more than 12,000 demonstrations at KFC outlets since 2003 because of alleged mistreatment of chickens by KFC suppliers. Alleged rainforest destruction In May 2012, Greenpeace accused KFC of sourcing paper pulp for its food packaging from Indonesian rainforest wood. Independent forensic tests showed that some packaging contained more than 50 per cent mixed tropical hardwood fibre, sourced from Asia Pulp & Paper Macro environment KFC operates in a larger macro environment of forces that creates opportunities, but also threats.A company such as KFC usually cannot influence trends in the macro environment, as they affect people and organisations on a larger scale. However, KFC has to carefully examine macro environmental trends and must create competitive responses to such tre nds. There are six major macro environmental forces KFC has to take into account. Micro environment The microenvironment consists of all forces that are close to KFC, and on which KFC has an impact. They directly affect KFCs ability to serve its customers. Three major components influence KFCs microenvironmentCOMPETITORS Because the fast food market is highly competitive, KFC faces a wide number of direct and indirect competitors. KFCs main competitors are fast food chains such as McDonalds and Dominos, which are already well established throughout the world. McDonaldss in particular is a direct competitor, as they have already successfully introduced their Salads plus line, which directly targets healthy food conscious world we live in. But, there are a number of other competitors that is also focusing on chicken types products.All this competition makes it quite difficult for KFC to maintain or even broaden their customer base. However, with the introduction of a new and healthy p roduct range, KFC can differentiate itself from most competitors and will gain a competitive advantage. CUSTOMERS KFCs customer market consists solely of the consumer market. KFCs products are bought by individuals (males, females, singles, and families). Therefore, the product range KFC offer should appeal to as many people within this consumer market as possible, to ensure that the maximum amount of products can be sold.The characteristics of these individuals and a segmentation of them are discussed later in this report. Strengths and weakness of competitors Strengths 38 products, Attractive Outlets, Huge Marketing, Budget, More entertainment for kids Weaknesses Same type of Menu, No Home Delivery How they compete with their competitors? It is found that KFC compete its competitors by five ways KFC compete its competitors through marketing strategy They offered different packages at different events like Ramadan offer, midnight offer etc. KFC compete their competitors by providin g good services They must hired the hard selling persons to market their product in the market and motivate their employees for the sake of organizations and employees do well and they compete there competitors KFC has quality products and through these quality products they compete their competitors Current Sales Analysis Market Share Market Share KFC has a very long history and has the most recognize able brand in chicken with over 50% of the market share. It becomes difficult for the companies like Sub way, Mc Donalds, Chicken planet, Dixie or those who may want to enter in the market of fast food restaurants.Due to with over 50% of the market share in fast food industry KFC has recognition around the world and has been globally positioned for many years in and to capture the market share in adopting a chicken loving experience. Environmental factors and opportunities Political The operations of KFC are affected by the government policies on the regulations of fast food operation . Currently government are controlling the marketing of fast food restaurant because of health concern such as cardiovascular and cholesterol issue and obesity among the young and children in the country.Governments also control the license given for open the fast food restaurant and other business regulation need to follow such as for a franchise business. Good relationship with government in giving mutual benefits such as employment and tax is a must for the company to succeed in any foreign market. Economic Though for last 1 year there was economic slowdown all across the globe but the sales of KFC and other fast food chains did not slow down to that extent that of other sectors in. The GDP (Purchasing Power Parity) is estimated at2. 965 trillion U. S. dollars in the year 2010.The GDP- per Capita (PPP) was 2700 U. S. dollars as estimated in 2008. The GDP- real growth rate in 2007was 8. 7%. India has the third highest GDP in terms of purchasing power parity just ahead Japan and be hind U. S. and China. Foreign direct investment rose in the fiscal year ended March 31 2007 to about $16 billion from just $5. 5 billion a year earlier. Socio cultural India is the second most populous nation in the world with an approximate population of over 1. 1billion people. This population is divided in the following age structure 0-14 years 31. 8%, 15-64 years 63. % and 65years and above 5. 1%. There has also been a continuous increase in the consumption of fast food in India. The social trend toward fast good consumption is changing and India has seen an increase of 90% fast food consumption from the year 2002-2007. This increase is far greater than the increase in the BRIC nations of Brazil (20 per cent), Russia (50 per cent) and China (almost 60 per cent). Thus this shows a positive trend for fast food industries in India. Technological The fast food Industry is heating up with a lot of foreign players entering the market.The technological knowhow and expertise will als o enter the market with an increase in competition. With the lower rates and increase technology the fast food counters are attracting youth by giving them attractive deals. For e. g. KFC and Dominos pizza. For a fast food restaurant, technology does not give a very high impact on the company and it is not a significant macro environment variables. However KFC should be looking to competitors innovation and improve itself in term of integrating technology in managing its operation.For example in inventory system, supply chain management system to manage its supply, easy payment and ordering systems for its customers and wireless internet technology. Implementation of technology can make the management more effective and cost saving in the long term. This will also make customer happy if cost savings results in price reduction or promotional campaign discount which will benefits them from time to time. Environmental As one of world largest consumer of beef, potatoes and chicken, KFC always had been critics for world environmentalist.This is because high consumption of beef causing the green house effect by methane gasses coming from the cows ranch. Large-scale plantation has effect the environment and lost of green forest opening for plantation activities. Vegetarian environmentalist criticizes the fast-food giant for cruelty to animals and slaughtering. In America, once KFC want to introduce whale burger causing uproar because whales are endangered species. Before using paper packaging, KFC once had been criticized for being insensitive to pollution because of using ne based packaging for its food products.Imagine millions of people purchase from fast food operator and how is the impact to world environment by throwing away those hard to recycle packaging. Our world is getting concern on environment issue and business operating here should not just care for profit, but careful usage of world resources for sustainable development and care for environment safety and health for our future generation. Critics and concern from all public or activist should bare view and support if necessary to ensure we play our social responsibility better. Legal factorsAs a certified fast food operator, there are many regulations and procedures that KFC should follow. For example is the Halal certification that becomes a concern to Muslim consumers. KFC should protect its integrity and consumer confidence by ensuring all materials and process are as claimed or must followed. Other legal requirement that the business owner should follow as stipulated in laws are such as operating hours, business registration, tax requirement, labor and employment laws and quality & environment certification (such as ISO) in which the outlet has been certified.The legal requirement is important because the offenders will be fined or have their business prohibited from operating which can be disastrous. KFC India -BCG Matrix Boston Consultancy Group (BCG) Matrix Currently K FC have launched a new product in the market. They have also tried to come into the beverages market by launching its new brand of shakes called KRUSHERS. As it is a moderately new product it comes in the category of the Question Mark in the BCG Matrix. It has a low market share thus brings low revenue. KFC is advertising a lot to popularize this product so there is a lot of expenditure on it.This product is individually not bringing any profits and is a cash drain for the company. Company may decide to completely remove this product from the market if it does not do well soon and start bringing in revenue. Business macro-environmental factors The company and all the other actors operate in a larger macro-environment of forces, including political, economic, cultural, technological, legal and ecological factors, which shape opportunities and pose threats to the company. Political and legal regulatory affect the strategic development of KFC Corporation, which made the US market more challenging.Example- Forbidding the use of trans-fat cooking oil mandating calorie counts on menus,removing advertisement from kids programme, and even prohibiting from making unconfirmed claims concerning nutritional value and losing weight benefits. All of these may seriously impede the free flow of goods within a group and from suppliers and consumer demand. According to the Institute for the World Economy, the aggregation of financial crisis continues to result in negative result to the world economy and generate a strong downturn in the entire restaurant industry, which leads to the falling of US unit expansion from 3. % of 2006 to 2. 4% of 2007. On the other hand, fewer costs as compared with healthier food helped KFC and the entire fast food industry to grow rapidly. Moreover, KFC can increase profit margins with chicken which is lower in cost compared to other meat. With the ever-increasing impact of health consciousness, like obesity, among consumers, its increasingly hard for KFC to keep its original product mix and alternatively prompt them to offer healthier foods (threat). In contrast, under the slump chicken consumption in Europe and Asia market owing to the outbreak of avian flu, US market still shows an image of rising.Furthermore, hurried and changing lifestyle of people along with convenient and tasty characters of foods, which offered numerous business opportunities for KFC Corporation. The innovation in technology offers further development possibilities to fast food industry. However, owing to equipment problems, KFC lost its Rotisserie Chicken market which had achieved a huge success in non-fried chicken area. Restaurants are known to have very high levels of energy intensity due to their relatively small building size and the amount of cooking, heating, and refrigeration needed to prepare and serve food to customers.Due to these high levels of energy use, we continue to focus our efforts on reducing our energy intensity in both new and existing restaurants. In 2006 KFC established a goal to reduce energy usage in the U. S. company-owned restaurants by 12 percent from 2005 levels by the end of 2009. They achieved a 14% reduction through the application of numerous energy conservation measures (ECMs). In addition to reducing energy consumption, these ECMs resulted in the elimination of over 117,000 metric tons of CO2 per year from the atmosphere.The KFC China division has also recognized the need to focus on energy conservation and has become actively involved in implementing ECMs over the past few years. Their efforts have resulted in the elimination of over 5300 metric tons of CO2 per year. Greenpeace, a conservational and environmental organization in 46 countries, has accused Cargill concerning the illegal exportation of soya to KFC for its chicken food supplied. Changing consumers perception about KFC is arisen among analyst and specialist and forthright.In respect to the accusations has actively retrofit exist ing restaurants with more efficient lighting systems. During 2009, 190 restaurants in China had their interior linear fluorescent lamps upgraded to a more efficient version resulting in a reduction of over 600 metric tons of CO2 per year. Heating, Ventilation Air Conditioning (HVAC) In 2006, Yum made the commitment to standardize high efficiency air conditioning systems for all U. S. restaurants. Since then, over 1800 high-efficiency air conditioning units have been installed with slightly over 600 taking place in 2008 and 2009.These 600 + installations have reduced our CO2 output by 10,500 metric tons per year. In China, the engineering team developed the means to overcome water hardness issues compromising the efficiency of certain heating devices used in our KFC kitchens. Their solution enabled the equipment to operate at peak efficiency which eliminated over 4200 metric tons of CO2 per year. In conclusion, KFC had used all its macro environment factors efficiently it had improv ed its product in terms of packaging technology, its cooking methods and most important heath wise keeping in mind the external affect on the environment.