Case Study 1 - Kfc in India

1171 words 5 pages
Case Study 1 KFC in India – Ethical Issues 1. Since its entry into India in 1995, KFC has been facing protests by cultural and economic activists and farmers. What are the reasons for these protests and do you think these reasons are justified? Explain.
No tolerance for ‘cruel multinationals’ was the main reason for the protests made by cultural and economic activists and farmers. Due to the economic liberalization policy of the Indian government during the early 1900’s, foreign fast food companies were granted permission to enter India. From the cultural and economic activists and farmers perspective there were numerous disadvantages with the opening of these fast food chains, in particular KFC.
The main fear for nationalists and
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According to ‘PETA’s Fact Sheet of KFC’s Cruelty’, there were six main points of suffering the chickens faced. These included; 1. Having less than a normal sized piece of paper to live in, 2. Suffering from crippled and deformed legs since birth and dying early from heart attacks as a result of poor breeding methods, 3. Being killed before reaching six weeks of age, 4. Receiving little to no veterinary care, 5. Mistreatment by callous staff and; 6. The suffering through transportation to killing plants.
KFC’s management in response to PETA’s protest was adding more outlets and the announcement of major developments to the program. They also planned to open more stores in prime locations such as shopping malls in cosmopolitan areas. Vegetarian dishes were also implemented into the menu to cater and attract the mass vegetarian population.
After analysing the case study and PETA’s fact sheet, it is clear that KFC are cruel towards their birds and hence should leave India. Moreover, as KFC is such a powerful multinational company and with support from the director of marketing of Yum! Restaurants International who assured KFC followed the welfare guidelines and valued Indian law, this outcome was highly unlikely. 3. What is the importance of ethics in doing business? Do you think in the face of fierce competition, business organisations are justified not to support ethical values


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