Marketing Final Paper

Topics: KFC, Pizza Hut, Fast food Pages: 12 (3768 words) Published: February 14, 2013
Yum Brands
Final Paper
April 30, 2012

Introduction to Marketing
Nicholas Burke

Nicholas Burke
Introduction to marketing
Final Paper

Yum Brands

Executive Summary

Yum! Brands is the world's largest restaurant company with over 38,000 restaurants in over 110 countries and territories and more than 1 million associates. Yum Brands is also a leader within the Quick Service Restaurants (QSR) industry in China, with over 3,500 restaurants in the region (i.e., Taiwan, Mainland China, and Thailand), more than 1,800 of which are located in Mainland China.

Yum Brands operates in the Food Service Industry, which will never be replaced or outdated due to increasing technology or increased competition. Consumers will always need to consume from the Food Service Industry. Growth and consumption is guaranteed with increase of the world population and expansion to additional countries world wide.

In 2010, the company increased its net income by 10% from $824 million in 2009 to $1.16 billion in 2010. Yum Brands continues to show strong sales, profits, and growth.

Yum Brands is the worldwide leader in multi branding, which offers consumers more choice and convenience at one restaurant location from a combination of KFC, Taco Bell, Pizza Hut, A&W or Long John Silver's brands.

Yum Brands also shows great Corporate Social Responsibility in the industry. Yum! Ranked #337 out of 500 on Newsweek's 2010 Green Rankings U.S. list #62 on Corporate Social Responsibility Magazine's 100 Best Corporate Citizens List of 2010, #33 in 2009.

Yum Brands has cemented their products with unique taste differentiation by making their chains the leaders in the industry. A&W is Root Beer and KFC is fried chicken. Yum Brands has demonstrated a strong business plan and corporate goals for competing in the global market.


Yum Brands holds a strong position as the number 2 company in the Food Service Industry. The food Service Industry is a necessary industry that will not see great change due to innovation or a new competitor entering the market. The market is strong and consistent based off consumer needs. The fast food industry is cheap and cost effective, providing excellent services to consumers at the lowest possible prices.

Yum Brands is the world's largest restaurant company with over 38,000 restaurants in more than 110 countries and territories and over 1 million employees. This shows the size of Yum Brands, a global presence that will continue to increase

Yum Brands has also displayed global business and marketing strategies. * Build leading brands across China in every significant category * Drive aggressive international expansion and build strong brands everywhere * Dramatically improve U.S. brand positions, consistency and returns * Drive industry-leading, long-term shareholder and franchisee value

David C Novak has been CEO of Yum Brands (YUM) for 6 years. Mr. Novak has been with the company for20 years. The 53 year old executive ranks 1 within Forbes rankings of highest paid restaurant CEO’s.

While most consumers are unaware of the parent corporation, Yum Brands is silently taking a more controlling share of the global food industry. Its well-known brands include Pizza Hut, KFC, Taco-Bell, Long John Silver's and A&W Restaurants.

Yum Brands continue to show growth that will put it on par with the leader in the Food Service Industry, McDonalds? Despite having more locations than McDonalds, McDonalds annual revenue of $23.1 Billion dwarf Yum Brands at $11.3 Billion

Overview of Yum Brands

Yum! was created on October 7, 1997, as Tricon Global Restaurants, Inc. an independent company, as a result of a spin-outfrom PepsiCo, which owned and franchised the KFC, Pizza Hut, and Taco Bell brands worldwide. Because of the company's previous relationship with Pepsi, Yum! Brands has a lifetime contract with PepsiCo, with notable exceptions being the contract of A&W...
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