Yum! Brands, Inc.: A Corporate Do over Case Solution & Answer

Yum! Brands, Inc.:  A Corporate Do over Case Solution

The CEO of the company decided that if they want to improve the performance of the Yum brands, then they first need to understand the customers’ perspectives and requirements regarding the brands.

he CEO and the management team developed the strategy to turn around the brand and also design strategies, which support the entire systems. The company developed the following strategic initiative: (1) the company closed its 700 US based Pizza Stores and franchised another 700 stores (2) the company focused more on increasing the lunch time sales at KFC and Pizza Hut. (3) The company decided that it would select fewer but fast growing markets for international businesses, which would increase the efficiency of the enterprise. Through these strategies, the company would improve the performance of the brands and that it would provide valuable services to the customers.

The second value proposition tool is multi-branding. The primary objective of this multi-branding strategy was to provide services to the customers under one roof where each and everything would be available to them. For the facility of the customers, the company developed the strategy of multi-branding in which the customers would be able to find their desired products under one roof. The company spent$200000 to $300000 for the alteration of a single brand unit to a multi band unit.
At the initial stage of multi-branding strategy, the company faced many problems such as coordination, lack of integration as synergy across brands. Before the implementation of this policy, everything seemed hard to achieve. During this period, the company faced many questions that how it would manage the restaurants and how the employees would be trained, and who would take the responsibilities of the Human Resource and financial reporting.

However, the company put more efforts on establishing these multi-brand strategies which improved the level of customer service and increased the market share of the enterprise. Value proposition means to deliver best experience to the customers. Moreover, this strategy is based on the differentiated customer value proposition.

he organization also uses a service profit chain approach to provide the valuable services to the customers. However, the group focused on the service value chain model in order to change the perception of the clients and to deliver the excellent experience for the client in quality, speed, and customer/ employee service. . On the other hand, the long-term objective of the company is to capture the opportunities of the market to develop the new strategies which improve the business model……………….

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