KFC in India Case Study Assignment (Ethical Issue) Essay

AbstractThe side highlights the ethical issues problematical in Kentucky Fried wimps (KFC) channel operations in India. KFC entered India in 1995 and has been in thick of contr oversies since then. The regulatory authorities found that KFCs yelloweds did non adhere to the Prevention of Food Adulteration Act, 1954. Chickens contained most three times more monosodium glutamate (popularly known as MSG, a flavor enhancing ingredient) as allowed by the Act. Since the slow 1990s, KFC faced severe protests by multitude for ethical Treatment of Animals (PETA), an animal rights protection organization.PETA accused KFC of mercilessness towards complainers and released a video tape showing the vilification of birds in KFCs poultry farms. However, undeterred by the protests by PETA and other animal rights organizations, KFC planned a massive expansion program in India. (see http//www.icmr.icfai.org/casestudies/ enrolment/Business%20Ethics/BECG044.htm) ObjectivesUnderstand the signi ficance of cultural, economic, regulatory and bionomical issues while establishing business organisation in a overseas country.Appreciate the need for protecting animal rights in developed and developing countries like India.Understand the impressiveness of ethics in doing business.Examine the reasons for protests of PETAIdentify solutions for KFCs problems in India. Key Terms KFC, Business Ethics, internationa inclining Business, People for Ethical Treatment of Animals (PETA), Food Adulteration, marketing Junk Food, Cruelty against Animals, Animal Welfare Legislation, KFCs Poultry Welfare Guidelines.Each bird whom KFC puts into a box or a bucket had a miserable life and a frightening death. People would be shocked to see our footage of a KFCproviders employee who walks through a barn, carelessly illuminate lamps and letting flames fall on the terrified birds. The walkover inside these filthy barns reeks of ammonia fumes, make it problematic for the birds to breathe. No on e with a grain of lenience should set foot in KFC.Ingrid Newkirk, Director, PETA.The chickenhearted they deal is full of chemicals, and the birds are given hormones, antibiotics and arsenic chemicals to expound them quickly.Nanjundaswamy.PROTEST AGAINST KFCOn August 20, 2003, a five-foot tall chicken complete with an ensemble of feathers and beak hobbled on a pair of crutches outside Kentucky Fried Chickens (KFC) Indian result in Bangalore. The chicken was brought by PETA (People for Ethical Treatment of Animals) activists, who carried placards reading, forswear India and retard Playing Fowl (a pun on soiled).The chicken was placed at the centre and a peaceful protest was held against the alleged ill handling of birds in KFCs poultry farms. Media persons were called to give the inference a wide coverage.Explaining the rationale behind the protest, Bijal Vachcharajani, modified projects coordinator of PETA, said, Ours is the land of Gandhi. Just as 61 years back our leade rs gave a call for colonizers to put in India, we too are saying we will non tolerate cruel multinationals. On the 61st anniversary of the Quit India movement, PETA India wrote a letter to the Managing Director of Tricon Restaurant International, the elicit company of KFC, asking them to close their sole KFC outlet in India. They got no reply. PETA activists decided to protest against KFC by carrying crippled chicken, which represented the birds suffering in the KFCs farms.PETA claimed that after two years of intensive campaigning to increase animal welfare standards in poultry farms, other foreign fast food restaurants operate in India like McDonalds and Burger King had ameliorate the treatment of animals specially raised and slaughtered for food. Only KFC had not acted. Though PETA had organized other protests earlier, the crippled chicken campaign became the precursor for more intensive protests. PETAs was one of the many shows of protest against KFCs Indian outlet.BACKGRO UND NOTEKFC was founded by Harland Sanders (Sanders) in the proterozoic 1930s, when he started provision and serving food for athirst(p) travellers who stopped by his helping station in Corbin, Kentucky, US. He did not own a restaurant then, but served people on his own dine table in the living quarters of his service station. His chicken delicacies became popular and people started coming unspoilt for food. Kentucky Fried Chicken was born. Soon, Sanders moved across the passage to a motel-cum-restaurant, later patternd Sanders Court & Cafe, that seated more or less 142 people.Over the next nine years, he better his secret blend of 11 herbs and spices and the basic cooking technique of chicken. Sanders fame grew and he was given the title Kentucky Colonel by the ground Governor in 1935 for his contribution to the states cuisine. Sanders restaurant business witnessed an unexpected point in the early 1950s, when a new interstate highway was planned bypassing the town of Cor bin. His restaurant flourished in the first place due to the patronage of highway travellers. The new culture meant the end of this. Sanders sold his restaurant operations. After subsidence all his bills, he was reduced to living on a meager $105 social shelter cheque.But Sanders did not lose hope. Banking on the popularity of his harvest-feast and confident of his unique recipe for fried chicken, Sanders started franchising his chicken business in 1952. He called it Kentucky Fried Chicken. He travelled the length and breadth of the country by car, visiting as many restaurants as possible and cooking batches of chicken. If the restaurant owners liked his chicken, he entered into a handshake agreement that stipulated payment of a nickel for each plate of chicken sold by therestaurant.By 1964, Sanders franchised more than 600 chicken outlets in the US and Canada. The same year, he sold his interest in his company in the US for $2 gazillion to a group of investors. However, he remained the public example for the company. KFC grew rapidly under the new owners and issued shares to the public on March 17, 1966. In July 1971, KFC was acquired by Heublein Inc. for $285 million. By then, KFC had over 3,500 franchised and company-owned restaurants in the world.Sources/Links/ReferencesPeta protest KFC partition 1Peta protest KFC part 2NY quantify Articlehttp//www.ecomall.com/greenshopping/peta.htmhttp//www.japantoday.com/jp/news/245005http//www.foxnews.com/story/0,2933,115108,00.htmlhttp//multinationalmonitor.org/hyper/mm0196.03.htmlAnalysis there are a number of issues relating to this incident that confront the ethical and moral issues surrounding business. KFCs business in India leads to a wide range of devise and indirect employment related to the business as a result of the investment by the company. KFC claims that it does not own chicken the farms. How honest are the claims that KFC is making?How reliable are the claims made by those who cope with KFCs activities? What conflicts arise between the responsibilities that KFC has to the treatment of chickens and the local anesthetic community, and to its shareholders, suppliers and employees, other external stakeholders? Your AssignmentThis is an independent assignment. transfer and complete the KFC case analysis document. Save the document as public figured but by adding your last name then first to the end of the file name (separated by an underscore _ ) where indicated.In this document swear out the above questions.You are to research this case employ the above sources and others that you discover. Provide a work cited list only of those sources that you USE. . For full marks, use terminology and concepts from the descriptor and its text. See the rubric at the end of the KFC case analysis document. Submit your completed simulate of the KFC terrible copy in class and electronic copy to the class email address by deadline watch (see class website for due and deadline dates ). NO EXTENSION go forth BE ALLOWED.