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A. INTRODUCTION
Kentucky Fried Chicken (KFC) also known as KFC Corporation, is a fast food restaurants in Louisville, Kentucky. The KFC’s history was started with an entrepreneur named Colonel Harland Sanders who selling fried chicken at the roadside restaurant in Corbin, Kentucky during the Great Depression founded KFC. Harland Sanders was born in 1890 and raised on a farm outside Henryville, Indiana. However, in 1952 the Colonel signed on his first franchise to Pete Harman, who owned a hamburger restaurant in Salt Lake City, Utah. Throughout the next four years, he convinced other restaurants’ owners to add his Kentucky Fried Chicken to their menus.

Therefore, in 1955 Sanders incorporated and the following year took his chicken recipe to the road, doing demonstrations on-site to sell his method, rather than struggle to live on his savings and Social Security. Clad in a white suit, white shirt, and black string tie, sporting a white mustache and goatee, and carrying a cane, this is how Sanders expressed his energy and enthusiasm by dressing. In 1956 Sanders shifted his business to Shelbyville, Kentucky, 30 miles east of Louisville, to more easily ship his spices, pressure cookers, carryout cartons, and advertising material. And by 1963 Sanders’s recipe was franchised to more than 600 outlets in the United States and Canada. Sanders travelled more than 200,000 miles in one year promoting Kentucky Fried Chicken and had 17 employees. He was clearing $300,000 before taxes, and the business was getting too large for Sanders to handle.

KFC also known as “Kentucky Fried Chicken” was identified by him of the potential of franchising concept KFC. In the year 1952, the first “Kentucky Fried Chicken” franchise opened in Utah. KFC is an American fast food restaurant is specializes in fried chicken. KFC popularized chicken in the fast food industry. It diversified in the market by challenging the established dominance of the hamburger. Harland became a famous figure of American cultural history, and his image remains widely used in KFC advertising by branding himself as “Colonel Sanders”. However, the company’s rapid expansion overwhelmed the aging Sanders and he sold it to a group of investors led by John Y. Brown Jr. and Jack C. Massey in 1964.

Furthermore, KFC opening outlets in Canada, the United Kingdom, Mexico, and Jamaica by the mid-1960s and was considered one of the first American fast food chains to expand internationally. It experienced mixed fortunes domestically, as it went through a series of changes in corporate ownership with little or no experience in the restaurant business throughout the 1970s and 1980s. In 1964, Sanders sold Kentucky Fried Chicken for $2 million and a per-year salary of $40,000 for public appearances; that salary later increased to $200,000. The offer came from an investor group headed by John Y. Brown, Jr. a 29-year-old graduate of the University of Kentucky law school, and Nashville financier John Massey. A notable member of the investor group was Pete Harman, who had been the first to purchase Sanders’s recipe 12 years earlier.

Under the agreement, Brown and Massey owned national and international franchise rights, excluding England, Florida, Utah, and Montana, which Sanders had already apportioned. Sanders would also maintain ownership of the Canadian franchises. The company subsequently acquired the rights to operations in England, Canada, and Florida. As chairman and CEO, Massey trained Brown for the job; meanwhile, Harland Sanders enjoyed his less hectic role as roving ambassador. Within three years, Brown and Massey had transformed the “loosely knit, one-man show into a smoothly run corporation with all the trappings of modern management,” according to Business Week. Retail outlets reached all 50 states, plus Puerto Rico, Mexico, Japan, Jamaica, and the Bahamas. With 1,500 take-out stores and restaurants, Kentucky Fried Chicken ranked sixth in volume among food-service companies; it trailed such giants as Howard Johnson, but was ahead of McDonald’s Corporation and International Dairy Queen.

In 1967, franchising remained the foundation of the business. A franchisee went to “KFC University” to learn all the basics for an initial $3,000 fee, while typical costs for a complete Kentucky Fried Chicken start-up ran close to $65,000, some franchisees had already become millionaires. The company began developing pre-fabricated red-and-white striped buildings to appeal to tourists and residents in the United States tying together a national image. The revolutionary choice Massey and Brown made was to change the Colonel’s concept of a sit-down Kentucky Fried Chicken dinner to a stand-up, take-out store emphasizing fast service and low labor costs. This idea created by 130 millionaires, all from selling the Colonel’s famous pressure-cooked chicken in 1970. But such unprecedented growth came with its cost, as Brown remarked in Business Week: “Despite the number of vocal franchisees, the corporation lacked management depth despite the number of vocal franchisees. Brown tried to use successful franchisees as managers, but their commitment rarely lasted more than a year or two. There was too much money to make as entrepreneurs.

The original product of KFC seasoned with Sander’s recipe of 11 herbs and spices seasoned with Sanders’ recipe of 11 herbs and spices is pressure fried chicken pieces. The constituents of the recipe represent a notable trade secret. In 1957, the larger portions of fried chicken that were first introduced by franchisee Pete Harman are served in a cardboard “bucket”, which has become a well-known feature of the chain. Since the early 1990s, KFC has expanded its menu to offer other chicken products such as chicken fillet burgers and wraps, as well as salads and side dishes, such as French fries and coleslaw, desserts, and soft drinks, the latter often supplied by PepsiCo. Lastly, KFC is known for its slogan as “Finger Lickin’ Good”, “Nobody does chicken like KFC” and “So good”.

KFC were the articulation of the three key KFC values of ‘teamwork, friendliness and pride’. Friendliness is about creating a family-like atmosphere which is being friendly between employer and employee and to the customers. The culture within KFC look now it’s a people-focused, customer-focused culture so KFC aims is to put a smile on the face for their guests and providing a great food, great service and great job to their customers. Teamwork means also working with the customer to continually improve the KFC experience as well as teamwork within the restaurants and throughout the KFC organization.
A teamwork that can improve employee motivation, shares their knowledge daily and experience and can improve their relationship to team together to drive action verses activity. A team members can make specific verbal contracts to get a big things done with urgency and excellence. Employees will perform their own tasks on their own positions and will not interfere with other employees. Managers hope employee have a pride about being proud of the product, the company and the work because this can let employee do well in work and have more motivation.

Organization culture in KFC let employee feel happiness, not stress and have motivate to work because build a positive culture with create an environment where everyone can contribute and live up to their potential. KFC managers allow the employees make their right decisions and let them expand their thinking about the goal because we trust in positives intentions and believe everyone has potential to make a different. Managers coach and support every individual to grow to their full capability. KFC also encouraged staff to share their thoughts on the ‘culture’ on the reception chalkboard. For the example, on 2015, their using the hashtag #whyworkhere as a conversation starter.
The market segments are basically divided by 4 groups which is children, teenagers and young adult, family and budget customer. KFC target children boys and girls with age of 12 below who love to eat fried chicken. At the same time also target children who love to get the free toys with meals. KFC also target teenagers and young adult with age of 12 to age 25 who like to eat both fried chicken and burger. Thus, KFC has meal which emphasizes extra choice and extra variety with lower price. KFC targets family which both parents and 2 less or more kids dining together in KFC restaurant or take away. KFC also have playground that normally parents would let their children to play at there, so they could peacefully eat their meals. Thus, KFC has Mini Bucket Combo and Variety Bucket to cater for big group of people to eat with favorable price. KFC has concerned of budget customers’ appetite with basically age 12 to 55. Thus, KFC has ala carte menu and real savers menu which emphasize in 1 set with lower price and side orders as well such as potatoes wedges.
B. PRODUCT DESCRIPTION
KFC’s primary focus in selling chicken in many forms. Apart from this, KFC also offers many types of food including a stripe of baked chicken foods, side dishes, and dessert. According to Bhasin (2017), the core product is a perception that defines the value that a consumer derives from consuming the product. KFC is providing a chicken that is “Finger Lickin Good”, along with a fun a place for the world family to enjoy a thoroughly satisfying eating experience. KFC promises to provide high-quality food at a high-quality place at a moderately high price. So, KFC is providing a chicken with place an enjoyable place for the family that has children to enjoy a fully satisfying eating experience. Besides that, KFC also prepares a hot great tasting chicken meal is a great value for the customer. KEC always make sure their restaurant clean and comfortable for the customer, services are in a welcoming and polite style, efficiency and quality, and high-quality control. So that they emphasis CHAMPS Program which are cleanliness, hospitality, ambiance, maintenance, pleasure, and service.

Based on an article written by Daniel (2018), a warranty is a promise by a manufacturer that some product is free from flaw and that it will apply optimally as necessary. To KFC, great tasting products and maintain freshness is everything. They open and honourable about their product quality. It is because they think the customer satisfaction is essential to them. So that, they always make sure their product like chicken is always fresh to confirm that the customers are always happy and satisfied with every meal they prepare and will come back next time. In order to ensure the customers’ utility, any meal that makes the customer unhappy will be replaced that the meal will be given back and has not been completely finished or altered in anyway customer received can be returned and exchanged at any time.

Furthermore, KFC uses 11 spices and mix with 2 cups White Fl. to produce the fried chicken. The 11 spices are 2/3 teaspoons salt, ½ teaspoons thyme and basil, 1/3 teaspoons oregano, 1 teaspoons of celery salt, black pepper, and dried mustard, 4 teaspoons paprika, 2 teaspoons garlic salt, 1 teaspoons ground ginger and 3 teaspoons white pepper. The colour of fried chicken is golden-brown.
After sales service is the several methods in which to ensure the customers are fulfilled with the organization’s products and services. Based on a journal written by Szwejczewski, Goffin, and Anagnostopoulos (2015), after-sales service is an important component in the effective marketing of many goods. KFC as a fast food chain restaurant does not provide as many services as retailers such as Best Buy, and Gap really needs longer after-sales services. Like most of the fast food restaurant, KFC offers catering service for events. However, KFC does not provide online review and call center mediators that reply customers’ complaints and responses. In China, KFC provides a wide variety of services. The company definite to do delivery service since 2005 and catering service as well. However, in the U.S. the catering service has not been helpful to KFC’s business.

Based on an article written by Valentin (2015), SWOT analysis is the proof of identity and valuation of strengths, weakness, opportunities, and threats are proposed to produce strategic perceptions. KFC has many strengths compared to its competitor like McDonalds. For example, KFC has announced the HALAL chicken in its menu. Due to this, the brand becomes popular not only for Muslim communities of the various country but also in all Muslim countries across the world. In addition, KFC is a market leader in Non- vegetables food categories in majority country although it is identified for its finger-licking Chickens menu. But lately, they offered Vegetarian category which can help them to increase their business or sales due to attract both vegetarian and non-vegetarian preferred customers. Then KFC has its own recipe which is 11 herbs recipe had made their brand become stronger. Because of this, KFC is measured as the highest fried chicken restaurants.

KFC has perfect factor for their withstanding in the business world. They have brand equity so customers can believe food of KFC. According to the sales, they are the second largest fast food restaurant in the world and their income was about 1 billion in each year which means KFC has strong cash flow. KFC is very strong internationally because they have branches around the world. They are highest rank with in the chicken restaurant because of convenient and menu variety.

In contrast, KFC also has the weakness. The main weakness is the food which produces by it is not healthy because most frequently it cooks its chicken in vegetable oil which is trans-fat. This is an unhealthy method of cooking and the food which contains more unhealthy fats or unhygienic calories will create the problem for the customer healthy due to it hits health and educated the conscious customer. It is because Other than, KFC also faces the high employee turnover and the lack of building the relationship with employees who are still young and unskilled which can affect its business. There is a lack of strong marketing efforts in the brand is one of the critical issues in the success of KFC. Apart from this, KFC also proficient in managing the franchise problem because of the conflict operation between KFC and its franchisees. It may causes the outlets closed since its inception.

Besides that, KFC has met many opportunities like market expansion because of the developing of economics and the customers’ changing lifestyle especially more outings with friends and family. KFC also can design its menu for the health awareness population will be the driving forces in the future due to the changing lifestyle people are more values for their health. Apart from this, KFC can specialize in the vegetarian menu with introducing more varieties to ensure the healthier choice. It can help KFC in its overall global growth because the healthier food will get more demand. Then, KFC should be starting the online service to get order and delivery service can increase its sales effectively. The provision of HALAL chicken, which can increase the number of customer in Muslim. Moreover, KFC needs to increase the standard of cleanliness and service. The brand also can start the burger business along with its traditional business. So, the customer has many choices besides the fried chicken.

Last but not least, KFC is not alone and it has many wealthy competitors like McDonald and Burger King. Besides, in today’s society, people are becoming more alert to their health due to the government and NGO’s health awareness campaign. So it can affect the business of fast food industry because of the unhealthy food. Then increase of trend of more vegetarian also the threats of KFC. In addition, the risk of bird flu and the rise in the rare material may affect the sale and business of this brand. The fast-food industry also has the limited market share due to the other chicken chain has increase sales at a faster rate. Furthermore, KFC also faces the problem with its franchisees that can cause the current franchisees shut down. For example, the growth in strait conflict will cause the closure of the franchisees. It will affect its brand image and result in the negative word of mouth.

In conclusion, KFC is a profitable and successful venture in everywhere. KFC must aim at providing not just the product but an entire experience which will be shared via the social media encouraging the customers to walk in to eat. So it can be obtaining more customers to produce better product quality, home delivery, online booking and so on. Besides that, KFC also should always do research and development for its product and ensure their weakness and treat can be improved.

C. PRICE STRATEGIES
Pricing is an important factor in marketing for KFC because it brings impacts to the firm’s profit. Changes in price will not bring any advantage to KFC because charging the product with lower prices might leads to customers’ perceptions that the food quality will decrease while charging the prices too high might cause the customers to switch their preference to competitors’ fast food companies such as McDonald. In terms of KFCs’ existing products, they are maintaining their product pricing.
KFC should uses skimming pricing strategy when a new product launched. As the products are new, KFC still have to adjust the pricing of their new product to the right price to avoid negative effect on their production cost. Setting the right and suitable price can help KFC to cover the cost of production and maintain profit growth.

KFC has come out with segmented pricing strategy for customers. Membership cards (Chicky Club) for kids has been introduce for a long time. Children can enjoy special discount while purchasing KFC’s products especially kid’s product. Besides, children who are registered as members also have some special surprise presents.

Currently, KFC offer different time pricing. For instance, KFC now has snacks time in the afternoon which KFC offer a cheaper price for certain set of meal. This actually encourage customers to have a tea time culture in Malaysia. KFC also offer 24 open hours in Malaysia but the price is normal as usual. It is recommended that special discounted price can be offer in the midnight from 12am to 8am every day to attract more customers to come to KFC in the middle of night for supper.

In terms of price of food, KFC and McDonald’s are pretty close, at least in terms of set meals. Prices of KFC are high and it targets to middle and upper class people, whereas McDonald’s targets to all class people because of their lower prices. KFC adopt the cost base price strategy. Pricing of the products includes the government tax and excise duty.
D. DISTRIBUTION STRATEGIES
For the past 8 decades, KFC had evolved itself from a small roadside restaurant into a famed fast food restaurant, serving customers from all over the world. Thus, it is essential for the company to have a strong tie-ups and strategic partnership with the supply chain partners so that they can provide quality services to their customers.
KFC uses direct distribution channels to deliver products to their target market. Direct distribution channel (also known as the integrated channel) is a distribution channel that has no intermediary levels, which means the product will reach its final consumers directly without being handled by wholesalers or retailers. Under this distribution method, KFC uses their physical assets (their restaurant) to deliver fast foods directly to their customers.
Besides distributing their goods through the restaurant, KFC also provides direct door-to-door fast food delivery services to their customers. The orders can be made either through online or phone calls. For online orders, customers will have to visit KFC’s website to place their orders. In order to deliver maximum utility and satisfaction to their customers, KFC strives to deliver the orders in the shortest time possible. Customers are also allowed to place their future orders up to 3 days in advance via KFC Delivery Online.

It is impossible to deliver maximum satisfaction to the customers without efficient and effective distribution. In order to organize the channel functions effectively, KFC uses the system called the vertical marketing system (VMS). There are three fundamental type of VMS: administered marketing channel system, corporate marketing channel system, and the contractual marketing channel system which is currently applied by KFC. Contractual marketing channel system is a VMS in which relationships among channel members are formalized with a written contract.

Within the contractual channel system, KFC uses the franchise system. This is a formal contract that ties the franchiser to franchisees. The franchiser holds KFC’s trademark and licenses it to franchises. They pay royalty fees and promise to conform to standards and guidelines laid out in the contractual agreement. This usually covers such issues, as the fees required, rights and responsibilities of both parties, transfer of the franchise, and grounds for termination.

Once a franchise system is established, the next step is to define the distribution strategy. The three types of distribution strategies are: intensive distribution, exclusive distribution and selective distribution. KFC uses selective distribution strategy, where they only distribute their products at few retailed outlets in a specific geographical area. The targeted geographical area are the locations which are considered strategic to market their product to their customers. For instance, most KFC outlets are located at locations which are easily accessible by their targeted customers such as in the shopping complexes, or near a busy roadside so that their customers can get their orders conveniently through Drive-Thru services.

E. PROMOTION STRATEGIES
“Marketing mix” is defining the “four Ps” of marketing, which are price, product, place, and promotion. These promotional strategies are the ways company communicates information about their products and services with the end goal of increasing sales. Based on a journal written by Graeff (1995), promotional strategies are the means by which marketers communicate important information about their products and induce consumers to purchase the products. There are five examples of promotional strategies in marketing including advertisement, sales promotion, personal selling, public relation and direct marketing.

The advertisement is non-personal presentation and promotion of ideas, goods, or services in any paid form by an identified supporter. According to Christ (2017), advertising is a promotional marketing strategy that companies used to create alertness about their products and services. The goal of the advertisement is to create a reaction from the target customer. For KFC, it was using many kinds of advertisement to introduce and inform its product, new product, price or any promotion to the customers. KFC uses many types of media including newspaper, television, internet and so on for their advertisement. For example, KFC advertises mainly for its new meal or promotion during the commercial break by using television. Furthermore, the advertisement also makes in its own website: www.kfc.com.my.

Sales promotion is the process of urging a possible customer to buy the product. It is designed to be used as a short-term tactic to boost sales. For KFC, it always utilizes the sales promotion in order to promote its new meals. KFC provides free voucher cutting from the newspaper or in the biscuit packaging to get the discount for new meals or some promotion. Besides that, KFC also collaborates with Maxis Hotlink to give Maxis prepaid user who holds KFC promotional SMS could get a special meal when dining in KFC. Furthermore, KFC makes the customer promotion including cash refunds or rebates, price packs (cents-off deals) and advertising specialties and give the other business promotion to the customers.
Personal selling is the unusual method of the personal communication. Their aim is to bring its forecasts attention that will satisfy a need and that will stimulate a response in the form of purchase. Personal selling is extremely effective when the target market is narrow and you need to persuade the vision in order to induce him. In the personal communication, KFC lately begins using SMS service where KFC send SMS towards the possible customers about the current superior promotional campaign. Sometimes they also use mail to keep in contact with their customers. Its effective communication because they allow for personal addressing and feedback. Here KFC uses all the media like print media, broadcast media, and display media.
Public relation is a promotional strategy that pursues to build and maintain communication and accepting between your company and the public (Christ, 2017). Based on an article written by Watts, public relations need to mobilize elements from the great body of academic work which already exists and translate that work into methodologies suitable for practitioner use. KFC uses the public relation tools like news, speeches, and internet. Apart from this, KFC can raise their investors, seek to influence more people and also can develop a good relationship with the customers. KFC has on-going of sponsoring television program just for kids such as Chicky Hour on every Saturday morning at TV3 has been going strong for more than 5 years. KFCs’s Chicky Hour showed fantastic cartoon program which enabled KFC to successfully capture the market of children successfully. In addition to that, KFC also practiced numerous corporate social responsibilities such as having a KFC Charity Collection Box in every outlet which could get customers to contribute for charity of orphanages. Moreover, KFC also has 4 restaurants employing staffs which are speech and hearing-impaired to help they build up the confidence and self-esteem in their life.
Besides that, KFC is not just a fast food restaurant, but also a socially aware corporate citizen. It has been equally involved in encouraging and aids some community welfare project through aggregate KFC revenue. KFC has cooperation with The Citizen Foundation (TCF) to add the main objectives with commitment and proficiency by opening school in Pakistan. KFC strongly believes in humanitarian problems and is dedicated to the effect of helping insolvent children. KFC also aided the different NGO’s (Non-Governmental Organization) to fulfil the societal obligation and build a good image in the market. KFC ensures a steady international standard of quality based on the basic component of precision in technology, financial judgment, and skilled management. All this aimed at making its highest degree of customers’ satisfaction.

According to Olga (2016), direct marketing is a marketing method and a form of advertising which involves the delivery of a marketing message to an existing group of customer or identified targeted prospects. Direct marketing takes place when businesses address customers through an assembly of channels, including mail, email, phone, and in person. For implementing this tactic KFC should take customers database from them through record keeping. This thing will give KFC a golden handshake to their customers by getting their information. Moreover, the company also can direct to communicate with the customers about their new promotion and new meals. This will help the company to achieve their goals which they want to earnings from the customer.

In conclusion, KFC uses many promotion strategies to promote its product but the promotional strategies are different based on the culture and demand of the country. These help KFC more flexibility to attach customer to a specific country and to sell more of its products
F. COMPETITORS ANALYSIS
MAIN COMPANY:
COMPANY FOUNDED STRENGTH WEAKNESS PRICE
KFC
(Kentucky Fried Chicken) March 1930 1.Second best global brand in fast food industry in terms of value ($ 6 billion)
2.Original 11 herbs and spices recipe
3.Strong position in emerging China
4.Combination of KFC – Pizza Hut and KFC – Taco Bell
5.KFC is the market leader in the world among companies featuring chicken as their primary product offering
1.Untrustworthy suppliers
2.Negative publicity
3.Unhealthy food menu
4.High employee turnover
5.Lack of strong marketing efforts
1.Chizza Duo Combo- RM28.90
2.Chizza combo-RM12.90
3.2 pcs combo-RM16.20
4.3 pcs combo-RM19.20
5.Zinger burger combo-RM14.20
6.Nuggets combo-RM16.20
7.Cheezy wedges-RM6.50
8.Whipped potato-RM6.90
9.Coleslaw-RM6.90
COMPETITORS COMPANY
COMPANY FOUNDED STRENGTH WEAKNESS PRICES
McDonald’s Corporation May 1940 1.Economy of scale
2.Huge grain from implementing best practise
3.Market power over suppliers and competitors
4.Wide audiences reach 1.Lack of focus on improving food quality
1.McChicken-RM8.99
2.Filet O Fish-RM8.99
3.GCB-RM12.50
4.Double cheeseburger-RM9.50
5.Spicy chicken Mcdeluxe-RM11.50
6.McChicken Deluxe-RM10.99
7.Big Mac-RM10.99
8.6 pcs chicken mcnugget-RM6.99
9.9 pcs chicken nugget-RM11.50
Subway 28 August 1965 1.Great degree of subs customization
2.Largest fast food restaurant chain in the world by the number of outlets
3.Marketing and promotional strategies
4.Choice of healthier meals
5.Partnerships with Britain and American Heart Associations
6.All restaurants are owned by franchisees
7.Low startup costs
1.Interior design of the outlets often looks cheap
2.High employee turnover
3.Services are not consistent from store to store
4.Too much control over franchisees
1.Fresh combo-RM10.90
2.Seafood and Crab-RM6.90
3.Everyday value meal-RM11.90
Starbuck Corporation 31 March 1971 1.Sound financial performance
2.The most valuable coffeehouse brand in the world
3.”Starbucks experience”
4.Largest coffeehouse chain in the world
1.Coffee beans price is the major influence over the firm’s profits
2.Product pricing
3.Over-
dependence on revenue from Americas segment
1.Espresso and Coffee
Small-RM13.00+
Medium-RM14.00+
Large-RM15.00+
2.Frappucino
Small-RM14.00+
Medium-RM15.00+
Large-RM16.00+
G. PROBLEMS AND SOLUTIONS
Although KFC is a famed and well-known restaurant, the company still faces some problems and issues in their business operations
One of the problem faced by KFC is their poor logistics management. Generally, logistics management is a supply chain management process that begins with raw material accumulation to the final stage of delivering goods to the destination to meet customers’ demands. Being a huge company with thousands of franchises all over the world, it is hard for KFC to monitor all their restaurant’s supply chain, which sometimes causes failure and disruption in their supply chain. This can be supported by the fact that there was a massive supply shortage in KFC restaurants (UK) around mid-February 2018 because KFC’s new logistics partner failed to deliver raw ingredients to the restaurants. Due to the lack of exclusive ingredients, about two-third of the KFC restaurants in UK and Ireland were forced to shut down on 18 February 2018, leaving only 266 of the 870 restaurants still operating.
To overcome logistic management issues, KFC should apply the use of Information Management System. They should go for a customized Information Management System in their logistics management because it will improve efficiencies in a range of areas including warehouse management, supply chain management, order tracking, inventory management and accurate delivery of customers’ orders. If KFC can’t afford a custom solution, they can search for a reliable and affordable warehouse or stock management software that could provide more visibility of products and system and enable to quickly process the customers’ orders.

Besides logistics management issues, KFC also had to deal with franchise operations related issues. Disputes and conflicts related to the menu and operational issues have always troubled the franchise owners and remained a reason of disagreement and discontent for both the management and franchise owners. For instance, there might be franchisee who refuse to obey the contract and add personal touches with the objective to improve the brand.
To deal with this issue, KFC (franchisor) should invest time to nurture a solid and positive relationship with their franchisee. As a franchisor, they need to realize that the relationship they build with their franchisees is the key to their long-term success. They should keep in mind that they need to treat franchisees as they would want to be treated and always do the right thing by them, they will reap happy, successful franchisees. Franchisors that are only in it to make money will end up with unsuccessful franchisees.
H. CONCLUSION
It is undeniable that Kentucky Fried Chicken has achieved an astonishing achievement in building up its fortress and spread its influence as one of the biggest fast-food restaurant in the world.
As the KFC’s success spread quickly, issues and problems also start to rise. Even the world famous KFC also faced with difficulties such as poor logistics management and franchise operations related issues. The shortage of chicken supply at KFC branch in UK and Iceland caused the restaurants were forced to shut down. It have caused a serious damage to the KFC’s reputation. Disputes and conflicts related to the menu and operational issues have always troubled the franchise owners. These issues must solved immediately with a suitable solution to maintain a positive reputation.

Nowadays, KFC is still growing rapidly because they have perfect and many strategies planning in competing business world. They introduce different menu so they can attract the customer and launching new fast food product as a part of their strategy planning and also they are using technology for their growth so KFC is looking forward for their business. They are trying to focus on customer satisfaction. So they are more customers friendly and faster so they can attract more customers in their sales. They are giving food which is healthier than others and they are offering some sort of promotion so these sort strategies are using for their growth. With those good marketing strategy planning, therefore KFC Malaysia able to get expended and now it has more than 500 restaurant whole country.

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