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SWOT analysis paper - Essay Example

It established Kyochon USA Incorporated in 2007 and incorporated it in New York. The restaurants in the eastern side, that is Manhattan and Flushing, and those in the western side, that is Mid-Wilshire, Ceritos, and Culver City, are all under the control of the main office in OsanGyeongi-do. The company’s expansion plan over the next two years is to do a franchise for the public. SWOT Analysis of Kyochon USA Incorporated Strengths Kyochon USA Incorporated deals with chicken products that are prepared in a traditional Korean method. Korean chicken is prepared in such a way that removes all of the fat from the chicken’s skin. The resultant of this is a thin, crackly and almost transparent skin. The manner in which they produce their chicken is a derivative of strength in the market. Due to the alarming increase of cancer cases resulting fat levels in foods, Americans are pursuing healthy foods that are fat free. Therefore, Kyochon USA Inc. has a competitive edge over its competitors because they are offering what the consumers are looking for.Secondly, Kyochon F & B Company Ltd. has centralized its management operations for the US based restaurants. Through this, the company has been able to cut on costs that they would have otherwise incurred if there middle men were included in the whole supply chain. This in turn translates to an increase in the company’s profit margins. ...
As a result, many Korean fried chicken restaurants in the United States usually serve wings and small drumsticks.

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This is a weakness for the company because consumers will opt to be served by other restaurants, not on the basis of quality, but that of quantity. Though the company reaps financial benefits from the centralization of management operations in their headquarters, there are weaknesses that impede from this strategy. This is so because decisions in the headquarters will be made on the basis of what the managers think is best, rather than on the basis of how the company is performing on the ground and the current trends in the market that they are operating in. Opportunities The American market is full of opportunities for any business that is operating in it including the Kyochon USA Incorporated Company Ltd.. As pointed out earlier, the American people are seeking for substitute foods that will be beneficial to them in terms of health and disease avoidance. This consumer need is an opportunity for the company to expand business because their trademark meal, the fat free Korean fried chicken, meets the consumer need in terms of quality. The company plans to seize this opportunity by creating a franchise for the public over the next two years. This way, they will be able to reach to the people more easily and hence serve a wider market. Threats The company’s main threat are the established fried chicken restaurants such as Kentucky Fried Chicken (KFC). With the increasing consumer consciousness about the health facts of what they are eating and the implications that they will reap from them, these other fried chicken restaurants have made some alterations to their menus to fit the health specifications of the consumers, for example, fried


(Insert instructor) Introduction Kyochon USA Incorporated is a franchise company of Kyochon Food and Beverages Company Ltd. Kyochon Food and Beverages Company Ltd. is a South Korean fried chicken restaurant chain that was founded in 1991…
Author : justice85
SWOT analysis paper
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