Abstract

The caselet highlights the franchiser-franchisee relationships of popular restaurant chains - KFC, Taco Bell, and Pizza Hut, owned by Yum! Brands. These fast food companies faced strained relationships with their respective franchisees. The caselet elaborates on how a variety of factors caused misunderstandings between the popular fast food companies and their respective franchisees.

Learning Objectives

The case is structured to achieve the following Learning Objectives:

• Is franchising always a better option to expand business operations?
• Franchiser-franchisee relationship - a growing concern in franchising
• The strained franchiser-franchisee relationship between KFC and its franchisees
• and The strained franchiser-franchisee relationship between Pizza Hut and its franchisees.

Keywords

Franchising model, market share, franchisers, Kentucky Fried Chicken Corporation (KFC Corp), Taco Bell, Pizza Hut, restaurant chains, franchised outlets, Pepsi Co., Yum! Brands Inc., franchisees, subsidiaries, kiosks, standard frachise contract, health conscious customers, franchisee outlets, quality control, value-oriented menu, value-oriented strategy, overhead costs, non-traditional sites, scaled-down outlets