3.1.

1 Company
KFC Malaysia is owned by QSR Brands (M) Holdings Bhd (QSR Brands). QSR Brands
(M) Holdings is headed by Managing Director Datuk Seri Mohamed Azahari bin
Mohamed
Kamil. QSR Brands (M) Holdings Bhd is the operating entity of KFC restaurants in
Malaysia,
Singapore, Brunei and Cambodia and recorded encouraging performance in 2018, steered by
steady performance in its core restaurant market, and assisted by the integrated
poultry
company and other related businesses. After the first KFC outlet in Malaysia was opened in
1973, QSR Brands has greatly expanded its restaurant chain with 713 restaurants in Malaysia.
KFC has established a four-year expansion plan for its restaurant chain in Malaysia, Brunei,
Singapore and Cambodia for its growth strategy. Further attempts will also be made to
improve
consumer access by leveraging on digital marketing generated across a variety of strategic
collaborations. In 2018, the sales for KFC’s core item on the menu, ‘chicken-on-the-bone’,
increased by 74.6%, in Malaysia.
3.1.2 Suppliers
KFC Malaysia always choose local suppliers for their chicken and other raw food
supplies. KFC’s integrated vertical business structure enables the organisation to use high-
quality “Halal ingredients” and allows KFC to have control over its supply chain and
cost
through a safe, reliable and stable source of quality chickens. The chicken supply products of
procurement KFC are supplied from the primary processing activity of its poultry processing
plant which slaughters the chicken according to “Halal requirement” and monitored by The
Department of Islamic Development Malaysia (JAKIM) and processes it according to
the
necessary specifications. To ensure that only the highest freshness and hygiene
chicken
supplies are purchased by KFC, the process from importing feeding grains and
breeding
MICROENVIRONMENT
Company

In a company, there are top management and have different functional areas where they are
operated within an organizations. They form the internal environment of the organization. As
for KFC Malaysia, it is owned by QSR Brands (M) Holdings Bhd (QSR Brands). QSR
Brands (M) Holdings is headed by The Chairman, Tan Sri Jamaludin Ibrahim. QSR Brands
(M) Holdings Bhd is the operating corporation for KFC restaurants in Malaysia, Singapore,
Brunei, and Cambodia. QSR Brands also has greatly expanded its restaurant chain with 713
restaurants in Malaysia. KFC has established a four-year expansion plan for its restaurant
chain in Malaysia, Brunei, Singapore and Cambodia for its growth strategy.

Employees are the company's primary assets, and they are highly concerned. KFC is
developing rapidly because of their good relationship with its consumers and the trust that
they have created over the previous years. The corporation has a well-organized check and
balance system that is used for personnel evaluations as well as individual outlets.

Suppliers

KFC Malaysia always chooses local suppliers for their chicken and other raw food sources.
On the other hand, KFC's vertically integrated business structure allows the company to use
high-quality "Halal ingredients" and maintain control over its supply chain and costs by
sourcing excellent chickens from a safe, trustworthy, and consistent source. Procurement
items for KFC’s chicken supply gets its chicken from it’s primary poultry processing activity,
which slaughters the chicken accordingly to "Halal requirements" as defined by the
Department of Islamic Development Malaysia (JAKIM) and processes it to the required
standards. KFC uses numerous quality control measures to ensure that only the freshest and
cleanest chicken supplies are obtained. This includes everything from importing feeding
grains and breeding activities to hatching processes, supplying day-old chicks to contract
farmers, and poultry processing.
.1.2 Suppliers
KFC Malaysia always choose local suppliers for their chicken and other raw food
supplies. KFC’s integrated vertical business structure enables the organisation to use high-
quality “Halal ingredients” and allows KFC to have control over its supply chain and
cost
through a safe, reliable and stable source of quality chickens. The chicken supply products of
procurement KFC are supplied from the primary processing activity of its poultry processing
plant which slaughters the chicken according to “Halal requirement” and monitored by The
Department of Islamic Development Malaysia (JAKIM) and processes it according to
the
necessary specifications. To ensure that only the highest freshness and hygiene
chicken
supplies are purchased by KFC, the process from importing feeding grains and
breeding

Marketing Intermediaries

KFC (Kentucky Fried Chicken) uses demographic segmentation to cater to the requirements
and desires of its customers. KFC's customers are primarily teenagers and young adults. It
used to serve the same menu all around the world, implying that it had a non-differentiated
targeting technique. Recently, KFC has begun to localise its menu in order to increase market
acceptance. The company also Focus in developing brand image where they advertise the
brand on presses, magazines, internet, and also hiring commercial celebrities to promote the
brand. The physical distribution of the company are also in a good control where they always
maintaining a good care of the website where customers get to order their favourite dish from
the brand online. On the other hand, KFC company also provides free delivery for orders that
was made online. It is very convenient for the customers as they also handling the
transportation mode efficiently.

Customers

KFC’s target customers are of all ages. Every customer enjoys chicken and other menu items.
KFC has a large number of repeat customers. Some customers are familiar with workers. The
same customer returns, and the same customer returns 2-3 times in the same day to eat at
KFC. KFC has an excessive number of food menu options. Offers that attract customers are
very attractive. "Talk to KFC" is a website operated by KFC. It is a customer -satisfying
survey site. Which is most beneficial for getting to know the customer. Family is the most
notable at KFC Malaysia. Because of the variety of bucket chicken menus available at KFC.

Competitors

KFC faces competition with almost all of the fast food industry players. Below are some of
the competitors:

• MC Donald: offers a similar range of KFC products, such as burgers, chicken

• Burger King: sells various kinds of hamburgers.

• Starbucks: offers a range of drinks which is competitive with KFC Breakfast which
is sausage with coffee or tea know as sausage twister (KFC a.m.)

Therefore, KFC has used various marketing strategies in ensuring that KFCs able to compete
with its competitors.

Public

a) Financial Publics.
 Currently KFC don’t have any investment project.

b) Media Publics
Media Public can be correct or incorrect. Their good publicity will have an impact
on advertisements. KFC has been affected by this type of advertising numerous times.
PETA, unprocessed meat, unhealthy foods, and other issues.

c) Government Publics
Islam is the official religion at Malaysia. More than half of the Malaysian population
is Muslims. The Malaysian government has taken steps to monitor every
business premises in providing “Halal” food complies with Islamic Law or Shariah.
Department of Islamic Development Malaysia (JAKIM) is a government agency that
monitors and inspects KFC factories, restaurants, materials and processes before
allowing us to use “Halal” logos.

d) Citizen Actions

Publics Citizens, consumer organizations, environmental groups, minority groups and

e) Internal public

Employee integrity is critical because employees represent the company. As a result,