The report about new business plan-KFC Essay Example | Topics and Well Written Essays - 2000 words

The report about new business plan-KFC - Essay Example However clinching fact would be the expected enthusiastic response from target population of locals, students and visitors of Aberystwyth town. Typically, an established brand name's franchise business would be less risky than other new ventures because the business idea has been tested and the KFC products enjoy global acceptance and saleability. Studies have reported that franchises are safer than other capital deployments in businesses with a failure rate of less than 5 percent rate compared to 90 percent failure rate for some independently initiated restaurants. Banks are also more liberal in extending finance to a franchising business, given above facts, and can finance up to 70 percent of the initial capital costs. Taking up a small business model franchisee of KFC appears to be a challenging, profitable and safe business opportunity. In the following paragraphs a business plan is taken up to commence this business systematically. We believe we have a good head start in Aberystwyth Market as there are just three competitors in fast foods and we will be specializing in chicken products which enjoy global acceptance and popularity. ... 1.3 Founder of the creation of Kentucky Fried Chicken & History /KFC Brief BackgroundKFC operates in 74 countries and territories throughout the world under the name "Kentucky Fried Chicken" and/or "KFC." It was founded in Corbin, Kentucky by Colonel Harland D. Sanders, an early developer of the quick service food business and a pioneer of the restaurant franchise concept. For the Colonel, perfection was the only acceptable level of performance for a KFC restaurant. This perfection was extended to both "finger lickin' good" food and warm, friendly hospitality. These same standards continue today with our goal of excellence for every eating experience in KFC restaurants. In the beginning of KFC, there was nothing-save a chicken recipe and a promise. "The recipe was, of course, Harland Sanders' special blend of eleven herbs and spices cooked in his own secret way. There was no striped red building, no cardboard bucket with the illustrated icon known as "the Colonel." There was no fiber glass replica of the diminutive and rotund man standing in the corner in a string tie"(Howell,2000). Sanders' signed up his first franchisee in 1952. KFC changed management several times and was under John Y. Brown and Jack Massey, Heublein and R. J. Reynolds. By the time KFC was acquired by PepsiCo in 1986, it had grown to approximately 6,600 units in 55 countries and territories. Now it is under Tricon.It is important to observe that despite frequent management turnover the KFC continued to have very detailed and effective franchisee agreement which allowed substantial leverages to franchisee units to improve the group working by their innovative methods. This unit would like to attempt the same by taking special initiatives in use of technology and dcor as