Kfc - Peta Case

EXECUTIVE SUMMARY

The Problem

The case here discusses the difficulties companies come across in dealing with the pressure groups especially the strong ones like PETA (People for The Ethical Treatment of Animals). Today major concerns for a company are not just about dealing with strong competition but also these social groups which mount extreme pressure on the company until it relents. The main issues that surfaced in this case are-

1. How to effectively deal with pressure groups.

2. How to effectively communicate your position on social issues.

3. How to cultivate a good corporate reputation in the masses and not just pass off as a profit making entity.

Important Aspects

Here there is no single solution that will solve the problem. Several steps will have to be taken by the company in order to resolve the current situation and regain its good corporate image. The important aspects that company needs to consider are:

1. Effective communication: The company needs to effectively convey its policies not only on issues regarding core business but also on important social issues linked directly or indirectly to its business.

2. Operating in challenging social legal environments: Social legal environment refers to laws, social agencies, pressure groups etc. Company should respond to these external forces and try to pacify their concerns. In today's time the company can no longer afford to ignore them.

3. Good corporate image: Today marketing concept has expanded to include society with customer. The job is not just o satisfy the customer but to also cultivate a good corporate image by embracing social causes that are of prime concern to the masses.

Plan of Action

The company should set up a pressure group department as well as a consumer affair department which should take care of following:

1. Responding to all the social agencies and pressure groups, communicating with them effectively and pacifying their concerns.

2. Helping other departments especially marketing department in formulating their strategies so that all the plans and policies are in sync with the important social issues and later do not result in any sort of trouble.

3. Responding to individual customers queries and resolving the customer complaints especially those complaints that are not about the product or service but any other social issue.

EXECUTIVE SUMMARY

The Problem

The case here discusses the difficulties companies come across in dealing with the pressure groups especially the strong ones like PETA (People for The Ethical Treatment of Animals). Today major concerns for a company are not just about dealing with strong competition but also these social groups which mount extreme pressure on the company until it relents. Here the main issues that surfaced in this case are-

4. How to effectively deal with pressure groups.

5. How to effectively communicate your position on social issues

6. How to cultivate a good corporate reputation in the masses and not just pass off as a profit making entity.

Important Aspects

Here there is no single solution that will solve the problem. Several steps will have to be taken by the company in order to resolve the current situation and regain its good corporate image. The important aspects that company needs to consider are:

4. Effective communication: The company needs to effectively convey its policies not only on issues regarding core business but also on important social issues linked directly or indirectly to its business.

5. Operating in challenging social legal environments: social legal environment refers to laws, social agencies, pressure groups etc. company should respond to these external forces and try to pacify their concerns. In today's time the company can no longer afford to ignore them.

6. Good corporate image: Today marketing concept has expanded to include society also with customer. The job is not just o satisfy the customer but to also cultivate a good corporate image by embracing social causes that are of prime concern to the masses.

Plan of Action

The company should set up a pressure group department as well as a consumer affair department which should take care of following:

4. Responding to all the social agencies and pressure groups, communicating with them effectively and pacifying their concerns.

5. Helping other departments especially marketing department in formulating their strategies so that all the plans and policies are in sync with the important social issues and later do not result in any sort of trouble.

6. Responding to individual customers queries and resolving the customer complaints especially those complaints.

PETA'S "KENTUCKY FRIED CRUELTY, INC." CAMPAIGN

Objective of the Analysis

The case here showcases the restraints that are put on the company by growing number of pressure groups. The case is about how lack of understanding and ineffective communication between pressure groups and company can ruin the reputation of the company. Here a successful company like KFC has to bear strong repercussions after having a fall out with PETA.

The main issue in this case is that company can no longer ignore the society, the social environment it works in. Providing good product or service is not enough. In order to build a strong corporate image in minds of people it is very important for the company to move along with their social demands. It is not the choice between practical and impractical demands but the ethics. Here company not only failed in its communication with PETA but is also refusing to relent which is costing a lot to the company in terms of its business and creating a negative image in the minds of people.

Case