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The business I use chosen is definitely KFC as KFC is known as a worldwide business and very well-known inside of the junk food industry at the rear of fast food leaders McDonald’s and burger king and operates in above 110 countries throughout the world since it is a worldwide organization it will be afflicted in different ways in different places. Here are some factors which could include affected them in the downturn: People have less disposable cash flow As of the recession a large number of people have fewer disposable profits to spend about fast food as will be sticking to the essentials and the individual requirements in order for them to live.

Many people were made unnecessary in the economic downturn which will have got of impacted KFC’s business as very little people will probably be buying many.

Also if perhaps people have less money than they may pick the less expensive brand that can impact significantly less on their spending or they are going to just eliminate fast food all together this will impact KFC as it will be sketching less consumers as the week moves on which will pressure the company to buy cheaper and decrease quality goods to sell people which will make all of them lose customers as well as the quality wouldn’t be what it accustomed to be. Lack of employment increases

As the unemployment rate all over the world increases then less persons will not have an adequate amount of money to pay on excessive brand fast food restaurants and will have to eliminate the spending for junk food altogether as it can be very expensive and overpriced. Unemployment will influence KFC as well as they will be reducing people in many ways to decrease all their main costs in the business to make sure that they continue being one of the top high priced fast food restaurants in the take out market becoming one of the top 5 fast food restaurants in the world behind the junk food giant which is McDonald’s and Burger King.

Reduce in profit As APPLEBEES is a famous American junk food restaurant which usually sells around the world they sell hundreds of thousands or goods globally. The loss of profit is likely to make them have to reduce each of the costs inside the business one example is: lower how much employees in the commercial to cut the expense of the wages to lower the risk of a loss in the business and also lower the standard of the produce used in the items as the buying price of the unprocessed trash have gone up.

As the buying price of the raw materials go up then the business will probably be release a decrease quality merchandise which will make them lose consumers if that they continue to promote a product which will does not fulfill the customer’s requirements which will make all of them go down on the market and will help to make customers head to KFC’s primary competitors for example McDonald’s.

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Category: Essay examples,

Topic: Fast food, Food restaurants, Junk food, Make them,

Words: 519

Published: 01.17.20

Views: 92

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