Vrio for Kfc

961 words 4 pages
VRIO Framework of KFC
VRIO framework use to find out the core competencies or sustainable competitive advantages which are helping firm to operate profitably in long term. For KFC, we try to find out its competitive advantage where we used four key components which help to identify in what KFC have competitive advantage compare to its competitors.
Resources Valuable Rare Inimitable Exploited by the Organization
Brand    
Recipe    
Experience  X X 
Location  X X 
Price  X X 
Advertisement  X X X

Through the use of VRIO framework we have found that brand value and the recipe of making food in KFC are its competitive advantages. The reason behind these-
Brand: The brand or the logo of Kentucky Fried Chicken, the
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With centralized distribution of food purchasing and ware provider, this gives KFC a great strength as quality could be ensured. Cost control is achieved as KFC purchases their supplies in bulk directly.
Technology & Systems Development: There is such no product technology or research and developments occurs which can make a real difference in the products KFC offers. But it has a secret recipe which separates its fried chicken and other foods from other fast food providers and attracts more customers. This actually helps it to gain more profit.
Human Resource Management: KFC’s human resource management goes through their usual job of recruitment, selection, training and development. Usually a franchise of KFC such as the one in Bangladesh consists of Area Managers, Restaurant General Managers, Assistant Managers, Trainee Managers, and Customer Service Team Members and Food Service Team Members. The HRM department is one of the service activities that the KFC cannot do without as they have direct interactions with the customers and due to this the HRM department has to recruit strong and competent employees, so that the customers can get the best out of KFC.
Firm Infrastructure: In order to assist the restaurant planning and management practices, KFC starts with a strategic analysis of the opportunity by market development strategic plan. KFC maps demographics to determine where to develop and

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