The marketing budget
The marketing budget for the KFC Corporation in China would be focused mainly on the promotion and adverting of the KFC brand and product and service offerings. This is mainly because for the fact that the company image and brand name is already established and present in the minds of the consumer. They are already aware of the brand. As a result promotional advertising to boost sales in the short term while offering special deals would be suitable.
Aside form this the adverting budget for the company would also considerably increase and forma large part of the marketing budget as recall and retaining oriented adverting for the company and its products could be conducted. The marketing expense for the company will be budgeted as 40% of the company’s sales revenue. The components of the budget are as follows • Mass Media Advertising (TV, Print, Out Door etc) 30% of total budget • BTL Advertising 15 % of total budget • Store Setup and Point of Sale 20 % of total budget
• Image as a corporate and socially responsible entity 35% of total budget I. Controls (balanced scorecard. ) The controls that will be set according to the balanced score card approach are the internal controls on the operations of the Company and its reporting and management techniques. These would form the basic indicators for the management of KFC operations in China. According to the balanced score card the controls will be measured in terms of the profitability rations, the current rations and the earnings per share of the company.
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Aside from this the controls can also be set on the specific performance of the different products and categories of products of the company in China. The satisfaction level of the customer can be ascertained for the number of repeat buyers and the word of mouth marketing taking place. The customer comment card can also be used for this purpose. The controls on the internal business process will be technical and intrinsic in nature. The business process and will be aligned with the objectives of the business sand the main strategy of the business.
The learning and the growth that will be taking place in company will be measured through the efficiency of the operations and the increased cost efficiency of the business activities. Aside from this the performance of the staff with the customers will also stand as indictors of performance. II. Conclusion KFC has been established as a world renowned fast food franchise which is famous for its unique and high quality and taste related product offering. The corporation and barn is regarded as one of the best fast food chin in China. This gives the company a favorable reputation and image for the entry into the Chinese market.
The document has been able to provide basic information about the KFC Corporation and how it is possible to establish a new marketing strategy for the company in the region of China. The strengths, weaknesses, opportunities sand threats for the company have been identified and strategies for marketing for the company are provided after conducting and external environment analysis.
References. (1998), Organizational Savvy: Ta-Tung Wang, MIT Sloan Management Review, Vol. 40 Issue 1, p29-29, 1/2p, retrieved November 18 2007 from https://www.rockersworld.com