China Herald: KFC: losing grip on its China market

Shaun Rein

The bird flu and food scandals did not help KFC to continue their success story in China, their largest market. But also in terms of their offerings KFC is losing grip on the market, tells business analyst Shaun Rein in Business Week.

Business Week:

Now KFC is in danger of losing what made it distinctive by loading up its menu with Chinese dishes. Two of three main items on KFC’s dinner menu are rice-based, including spicy prawn rice and beef rice. The third is a mushroom-chicken burger. Patrons craving something sweet can order sugared egg tarts. “You want to localize but also maintain your core brand DNA,” says Shaun Rein, Shanghai-based managing director of China Market Research Group. “The name of the game 10 years ago was localizing, but at this stage consumers are already sophisticated.”

More in Business Week.

Shaun Rein is a speaker at the China Speakers Bureau. Do you need him at your meeting or conference? Do get in touch or fill in our speakers' request form.

+China Weekly Hangout

Bird flu was just one of those nightmare scenario's hurting KFC. The China Weekly Hangout discussed last April the latest flu outbreak in China with flu expert Harm Kiezebrink from Beijing, HKU-lecturer +Paul Fox from Hong Kong and CEIBS adjunct professor +Richard Brubaker from Shanghai. We try to figure out what is happening with N7H9, and what possible scenario's can develop. And we discuss what the Chinese government has learn from SARS, now ten years ago. Coming Thursday June 6, the China Weekly Hangout will discuss the art of negotiating trade negotiations, with our in-house negotiation expert +Andrew Hupert of +China Solved as one of the guests. You can read our announcement here, or register at our event page for action.