In China's mainland market KFC is better. Crowd positioning of the millimeter difference Although the two in the selection of the target population, are urban families, but in the composition of the three major groups of the family (i.e., children, young parents, young men and women), but there is a bias: McDonald's in 2004 before the change of face, has always insisted on the children as the center of the family, and then only to take into account the parents and young men and women; while the KFC is to take into account the center of the young men and women, and then take into account the children and young parents. KFC, on the other hand, centers on young men and women, then children and young parents. Both seem to exist only a hair's breadth, but this hair's breadth determines the center of gravity of the two, affecting the two in the restaurant's decoration and layout, product and site selection and many other aspects of the subtle differences. According to relevant research data, China's consumption of foreign fast food, young people aged 16 to 25 years old, whether in the proportion of the consumer population or the proportion of the amount of consumption, are more than 60%. And accounted for 30 to 40% of the children and parents market, the right to consume is basically decided by the parents of adults. It can be said that foreign fast food consumption decision makers are basically adults, never children, especially in the "fast food health crisis" frequently today. Product positioning of similarities and differences As you know, earlier KFC and McDonald's product positioning there are big differences, McDonald's burgers as the main products, more suitable for Europe and the United States (which is from the U.S. food industry research organizations in 2002 and 2003 the United States fast-food sales and the number of restaurant statistics can be seen for two consecutive years in the top three were McDonald's, Burger King and Wendy's, and they are all fast-food burgers as the main product of the fast-food restaurant to the United States, the United States, the United States and Europe. (Burgers as the main product of the fast food chain group). KFC's chicken-based products, compared with McDonald's, are more suited to the tastes of Asians, especially Chinese, and are therefore more easily accepted by Chinese consumers. In recent years, although McDonald's has also strongly launched similar to KFC's "McSpicy Chicken" and "Chicken Thigh Burger", however, KFC's sixty years of experience in cooking chicken can not be replicated in the short term, and its image as a "chicken expert" can not be replicated. However, KFC's sixty years of experience in cooking chicken cannot be replicated in the short term, and its image of "expert chicken cooker" is impossible to imitate. Than the taste than the feeling of the catering market, the subtle differences in the product to a large extent so that McDonald's is in an unfavorable competitive position. In terms of product localization, KFC has spared no effort to meet the different needs of Chinese consumers. Since the mid-1990s, KFC has been determined to create a brand for the Chinese that suits their needs. What we also found in our study of KFC and McDonald's is the fact that, although each sees the other as its most important and direct competitor, they have both achieved remarkable success in the Chinese market. They did not fall into homogenization and then fight each other in the vicious competition in the price war, but each in its own way to enhance their competitiveness, the results of competition is to achieve a win-win situation. This may be more worthy of Chinese local enterprises to think and learn from. Honestly, from a global perspective, McDonald's and KFC do not belong to the same weight class rivals, whether it is the history of development or the overall scale and strength, and even brand equity, KFC are behind McDonald's. But why can the Chinese market become the largest market for KFC? But why the Chinese market can become KFC overwhelmingly against McDonald's "base camp"? KFC's leap in China should first be attributed to the decision-makers' understanding and attention to the specificity of the Chinese market, especially the integration of cross-cultural management is to understand the true meaning of the choice of the right generals in order to avoid mistakes. Secondly, we should attribute KFC's implementation of three differentiated competitive strategies in the Chinese market ("targeting high-growth markets, pre-emptive action, and accelerated expansion"), strategic chain management, multi-brand integration and synergy, and two flexible chain models ("direct chain" and "franchised chain") to the fact that KFC has been able to achieve the best results in the Chinese market. "The assurance of this system lays the foundation for the acquisition of competitive advantages. For McDonald's, through the analysis of its development curve in the Chinese market, it is not difficult to find that McDonald's development strategy in the Chinese market has the two major characteristics of "lagging and slow" and "traveling and swinging", and long-term adherence to the "direct chain" strategy ("direct chain" and "franchise chain"). Direct chain" strategy (as late as August 2003 before the implementation of the "franchise chain" model in China, while KFC was one step ahead in 1999, and in 2003 has developed more than 40 franchised stores), from the perspective of McDonald's global market positioning, the Chinese market is more into the From the point of view of McDonald's global market positioning, the Chinese market has become a "blood machine" to support its development in other markets, in particular. The remoteness and slowness of the organization's long-term decision-making mechanism, McDonald's tends to be paranoid about the prudent and conservative principle of "the price is right" in making decisions about strategic key locations, which has given KFC a head start in setting up strategic stores in many cities (e.g., Shanghai), and has also affected its expansion in the Chinese market. KFC targets family members as its primary consumers. The promotion focuses on young people who are more receptive to foreign cultures and new things, and all the food, services and environment are purposely designed. This is because young people prefer the lighter atmosphere of western fast food and hope to influence other family members to visit the restaurant. In addition, KFC also spends a lot of energy on children's customers, specially set up a children's dining area in the store, as a children's birthday celebration area, decorated to meet the children's preferences for colorful decorations, and toys as gifts for holidays, on the one hand, we hope to cultivate children's habit of eating fast food from childhood, and on the other hand, we hope that through the children's drive to attract the whole family members to the store to receive warm service. When the child grows up, KFC may become a part of his life. It can be said that it is precisely because of the inconsistency between the two companies' emphasis on the Chinese market and the global market that has led to the divergence of several major factors in strategic decision-making, thus determining the speed of expansion and the number of chain stores developed by the two companies in the Chinese market. KFC has always wanted to create a fun atmosphere for the whole family to dine together, emphasizing the added value. This leaves a deeper impression on people. They have a lot of good memories that happened in KFC. When guests come to a restaurant, the first thing they feel is the taste of the food. If the food doesn't taste good, no matter how cheap it is, it's useless. No matter how good the service is and how beautiful the decoration is, the customers will not be happy. KFC's market advantage is the unique taste of its chicken food, positioned in the "world-famous chicken cooking expert", "cooking chicken as delicious as possible in KFC", which is also the biggest difference between KFC and McDonald's positioning. KFC's sixty years of experience in chicken cooking has produced a series of fried chicken products, such as Original Chicken, Spicy Chicken Wings, Crispy Chicken Thigh Burger, Boneless Chicken Tenderloin, etc., with golden crispy outer layer and juicy tender inner layer, which are widely praised by customers for their unique and fresh flavors. KFC's advertising campaigns also reinforce its selling point of "chicken expert". Chinese people love to eat chicken, chicken is the first among chicken, duck, fish and meat, compared with other foreign fast food, chicken products are more in line with Chinese people's tastes, easier to be accepted by the Chinese people. From McDonald's quietly broke its global market uniform "beef burger" menu, launched in the Chinese market and KFC similar to the "McSpicy Chicken" and "chicken thigh burger", more can be seen. KFC is not satisfied with its current menu of "Beef Burger". KFC is not satisfied with its current success, but continues to spend huge human and financial resources to find out what products are suitable for Chinese people's tastes, what products they like, and why they like KFC, and so on. To adjust the service, adjust the food, and even launch new products. 3. Cost price on the basis of high ups and downs As we all know, as a fast food, stable product prices have been one of the symbols of its continued sound operation. KFC and McDonald's have been basically equal in pricing of similar products for a long time. But then in June 2003, McDonald's began to swing up the price of a sharp weapon, first of all, forced by the global performance and cost control pressures, the implementation of a comprehensive counter-trend price increases; and in the distance from the overall product price increases in more than 8 months (both in March 2004), McDonald's will be nearly ten kinds of staple products all cut to five dollars within the highest rate of reduction of up to 50%, resulting in a number of areas of a moment to snap up off the sale of dilemmas, and all of this is in the All of this is implemented on the basis of reducing the capacity and even quality of the product. KFC has rarely repeated this price, and has always insisted on taking the "right price and qualified products" route. It is reported that McDonald's product cost control has also been high. In the procurement and supply of products, McDonald's tends to its U.S. domestic enterprises to provide sources of goods for China, while KFC is more fond of the development of local suppliers in China. Coupled with its supply chain synergies with Pizza Hut and other brands **** enjoy the effect, KFC in the control of product costs is also slightly better. 4, site selection strategy on the implementation of high and low Realistically speaking, McDonald's and KFC in the site selection strategy, each has its own Bible. Whether it is the rigorous process of site selection and consideration of standards, it is difficult to distinguish between its high and low. The president of McDonald's East China once declared, "The reason why McDonald's chain stores open a red-hot one, the reason is that the first is the location; the second is the location; the third is still the location." But in the actual implementation of the process, its high and low but can be seen: KFC's site selection success rate is almost 100%, while McDonald's is often difficult to say that the closure of the event (December 1, 2002, McDonald's Chengdu Shuangnan store suddenly "disappeared" without a trace. This is the first McDonald's store in mainland China to close. However, according to informed sources, McDonald's Sichuan **** 10 outlets, in addition to the main store has been profitable, the other two stores occasionally profitable, the rest are basically in a loss-making state. (Just when the fallout from the closure of McDonald's Chengdu Shuangnan store had not yet fully subsided, news of another store closure was reported in late May 2003 in the southern country of Guangzhou). What we also found in our study of KFC and McDonald's is that, although each sees the other as its most important and direct competitor, both have achieved remarkable success in the Chinese market. They did not fall into homogenization and then fight each other in the vicious competition in the price war, but each in its own way to enhance their competitiveness, the result of competition is to achieve a win-win situation. This may be more worthy of Chinese local enterprises to think and learn from. Take a closer look at the city, in the end is KFC and McDonald's which restaurant number is more dominant? From the point of view of operating income and annual expansion rate, in the Chinese mainland market, KFC is also far ahead Over the years, KFC and McDonald's war has continued. Last year, McDonald's to take the price war, KFC has been to maintain the previous price, and Sudan red incident also let the image of McDonald's is also greatly reduced, I think this is not only accidental events, but also remember that last year's time McDonald's launched the ten yuan package, but also attracted a lawsuit with the consumers, and the other day's Yang Shing Lin about McDonald's, and how to explain it? When the food industry goes into another country, what matters is the development of a localized food culture, and I would say that KFC has done a really good job too. A lot of good products to name a few, as well as its products cover the needs of a wide range of age groups of people, there are also children's packages, if you pay attention to it, look at your neighborhood KFC every month there are a number of by the children's activities, will also be given to the children who have a birthday in the KFC to give a birthday gift. I think this better satisfy and develop potential customers