The document provides a SWOT analysis of KFC, Pizza Hut, and Yum! Brands (parent company). For KFC, strengths include its dominant position in the chicken segment and strong brand recognition globally. Weaknesses include stagnating sales and franchisee dissatisfaction. Opportunities lie in expanding into new markets and product lines, while threats include increasing competition and shifting customer preferences toward healthier options. Similar SWOT analyses are provided for Pizza Hut and Yum! Brands.

2. SWOT ANALYSIS : KFC 2

3. STRENGHTS : KFC 2

4. WEAKNESSES : KFC 3

5. OPPORTUNITIES : KFC 4

6. THREATS : KFC 5

7. SWOT ANALYSIS : Pizza Hut 6

8. STRENGHTS : Pizza Hut 6

9. WEAKNESSES : Pizza Hut 7

10. OPPORTUNITIES : Pizza Hut 7

11. THREATS : Pizza Hut 8

12. SWOT ANALYSIS : PepsiCo 9

13. STRENGHTS : PepsiCo 9

14. WEAKNESSES : PepsiCo 10

15. OPPORTUNITIES : PepsiCo 11

16. THREATS : PepsiCo 12

18. Positioning among competitors is favorable.

19. Unconventional methods of distribution multi branding.

20. Management Objectives and goals are measurable and achievable Team empowerment Productions/Operations.

22. KFC sales stagnated. There was widespread discontent among the franchisees, some ofwhom felt the new owners did not understand the chicken business and were not providing leadership expected from a franchisor.

23. Company stores floundered and become underperforming the franchised operations,further convincing franchisees that the company did not know its own business.

25. US market maturity- many restaurants expand to international markets as strategy for growing sales.

26. KFC is an American company and 35 largest restaurant chains in the world (2000) were American firms Expansion program for the Mexican market/Latin

27. American markets NAFTA advantage Demographic trends (demand for food eaten outside of the home.

28. McDonald’s accounted for 35 percent of the Sandwich Segment while Burger King ran a distant Second, with a 16 percent market share.

29. In family Segment, Friend’s and Shoney’s were forced to shut down restaurants because of declining profits.

30. Within the Pizza Segment, Pizza Hat and Little Caesars Closed underperforming restaurants.

32. Brand leader in the UK.

33. Innovative range of pizzas under one roof.

34. Famous television advertising.

35. Food attracts people of various ranges from young to old.

36. Sound financial situation and international turnover.

37. 100% owned by yum!

38. Pizza Hut sits on top of global full-service restaurant tree.

39. Through pizza hut being the largest restaurant chain in the world, this obviously

40. means they dominate their market, and can invest in new products, example new pizzas.

41. They have low competition, although they do have competitors such as dominos

42. pizza, yet they have an advantage over these as pizza hut are a restaurant as well as a

43. take away unlike dominos pizza, this means pizza hut may have more sales therefore

44. more income, which may help pizza hut with any improvements or adjustments

45. needed to the business.

46. Pizza hut has a huge market segment, attracting more customers meaning a higher

48. lead to low customer satisfaction and a reduction in customers and credibility in the

49. market, this may lead to customers converting to main competitors such as dominos

50. pizza.

51. While Novak said Pizza Hut’s expansion into China is going exceedingly well, there

52. is battling problems in New Zealand and Australia. This therefore meaning they are

53. losing money in places such as new Zealand and Australia, this could be due to their

54. culture and lifestyle, maybe meaning pizza hut need to introduce a more varied range

55. of products to attract customers of all lifestyles and cultures.

56. There are complex computer systems and internal conflicts from franchisees, this

57. leads to de-motivation of staff. Lowering the quality of products (pizzas), service to

58. customers, and could lead to a lack of new ideas.

60. attract new customers with new tastes and this may increase their sales.

61. Pizza Hut has expanded into the Indian market menu and looks to the old favourite to

62. bolster sales in the US.

63. Pizza Hut has targeted upscale products and a downscale consumer base; this will

65. this will lower the amount of sales consumed by Pizza Hut as these sales are going to

66. smaller companies who are charging less.

67. Rising cheese costs threaten margins, cheese is essential to the business as it is there

68. primary good, there for they are unable to go with out it, this may lead to Pizza Hut

69. eventually buying goods from abroad or buying cheaper brands.

70. Threat from Dominos pizza, also from Mc Donald’s who have tried to introduce a

71. new meal that is a Pizza called: McPizza. So Pizza hut will have to improve or

72. maintain the quality of the pizzas in order to compete with Dominos and McDonalds,

73. to ensure that Pizza hut dominate this market.

75. Number one maker of snacks, such as corn chips and potato chips.

76. PepsiCo sells three products through the same distribution channel.

77. For example, combining the production capabilities of Pepsi, Gatorade and Tropicana is a big opportunity to reduce costs, improve efficiency and smooth out the impact of seasonal fluctuations in demand for particular product.

78. Branding - One of PepsiCo’s top brands is of course Pepsi, one of the most recognized brands of the world, ranked according to Interbrand. As of 2008 it ranked 26th amongst top 100 global brands. Pepsi generates more than $15,000 million of annual sales. Pepsi is joined in broad recognition by such PepsiCo brands as Diet Pepsi, Gatorade Mountain Dew, Thirst Quencher, Lay’s Potato Chips, Lipton Teas (PepsiCo/Unilever Partnership), Tropicana Beverages, Fritos Corn, Tostitos Tortilla Chips, Doritos Tortilla Chips, Aquafina Bottled Water, Cheetos Cheese Flavored Snacks, Quaker Foods and Snacks, Ruffles Potato Chips, Mirinda, Tostitos Tortilla Chips, and Sierra Mist.

80. Distribution - The Company delivers its products directly from manufacturing plants and warehouses to customer warehouses and retail stores. This is part of a three pronged approach which also includes employees making direct store deliveries of snacks and beverages and the use of third party distribution services.

81. WEAKNESSES

82. Not diversified offerings.

83. Pepsi hard to inspire vision and direction for large global company.

84. Not all PepsiCo products bear the company name.

85. PepsiCo is far away from leader Coca-cola in the international market - demand ishighly elastic.

86. Overdependence on Wal-Mart - Sales to Wal-Mart represent approximately 12% of PepsiCo’s total net revenue. Wal-Mart is PepsiCo’s largest customer. As a result PepsiCo’s fortunes are influenced by the business strategy of Wal-Mart specifically its emphasis on private-label sales which produce a higher profit margin than national brands. Wal-Mart’s low price themes put pressure on PepsiCo to hold down prices.

87. Overdependence on US Markets - Despite its international presence, 52% of its revenues originate in the US. This concentration does leave PepsiCo somewhat vulnerable to the impact of changing economic conditions, and labor strikes. Large US customers could exploit PepsiCo’s lack of bargaining power and negatively impact its revenues.

89. Sponsorship, global presence including building facilities in new markets.

90. Noncarbonated drinks are the fastest-growing part of the industry.

91. There are increasing trend toward healthy foods.

92. Focus on most important customer trend - "Convenience".

93. Broadening of Product Base - PepsiCo is seeking to address one of its potential weaknesses; dependency on US markets by acquiring Russia’s leading Juice Company, Lebedyansky, and V water in the United Kingdom. It continues to broaden its product base by introducing True North Nut Snacks and increasing its Lipton Tea venture with Unilever. These recent initiatives will enable PepsiCo to adjust to the changing lifestyles of its consumers.

94. International Expansion - PepsiCo is in the midst of making a $1, 000 million investment in China, and a $500 million investment in India. Both initiatives are part of its expansion into international markets and a lessening of its dependence on US sales. In addition the company plans on major capital initiatives in Brazil and Mexico.

95. Growing Savory Snack and Bottled Water market in US - PepsiCo is positioned well to capitalize on the growing bottle water market which is projected to be worth over $24 million by 2012. Products such as Aquafina, and Propel are well established products and in a position to ride the upward crest. PepsiCo products such as, Doritos tortilla chips, Cheetos cheese flavored snacks, Tostitos tortilla chips, Fritos corn chips, Ruffles potato chips, Sun Chips multigrain snacks, Rold Gold pretzels, Santitas are also benefiting from a growing savory snack market which is projected to grow as much as 27% by 2013, representing an increase of $28 million.

97. Large and small beverage companies, including bottled water firms.

98. F&B industry is mature

99. Pepsi is blamed for pesticide residues in their products in one of their most promisingemerging market example in India

100. Over 50 percent of the company's sales come from Frito-Lay; this is a threat if themarket takes a downturn

101. PepsiCo now competes with Cadbury Schweppes, Coca-Cola, and Kraft foods (because of broader product line) which are well-run and financially sound competitors.

102. Size of company will demand a varied marketing program; Social, cultural, economic,political and governmental constrains.

103. Decline in Carbonated Drink Sales - Soft drink sales are projected to decline by as much as 2.7% by 2012, down $ 63,459 million in value. PepsiCo is in the process of diversification, but is likely to feel the impact of the projected decline.

104. Potential Negative Impact of Government Regulations - It is anticipated that government initiatives related to environmental, health and safety may have the potential to negatively impact PepsiCo. For example, manufacturing, marketing, and distribution of food products may be altered as a result of state, federal or local dictates. Preliminary studies on acryl amide seem to suggest that it may cause cancer in laboratory animals when consumed in significant amounts. If the company has to comply with a related regulation and add warning labels or place warnings in certain locations where its products are sold, a negative impact may result for PepsiCo.

106. http://mba-lectures.com.

107. http://www.kfc.com.

108. http://www.pepsiCo.com.

109. http://www.pizzahut.com.13<br />