Going Global Case Study

The Global and Local Strategies of the International Food Chains in India

OR

Abstract:
With the rising disposable income, living standards and western influence, more and more Indian consumers are shifting towards lifestyle products and one among them is ‘fast food restaurants’. Growing at a rate of 25%–30%, the INR 11 billion Indian organised food and retail sector attracted various global food chains. Besides, liberalisation made their entry more attractive and easier. As a result, many major food chains like McDonald’s, Pizza Hut, Subway and KFC forayed into the country through franchisee route. However, their global business model faced a major challenge as the country traditionally has had a rich and diverse fast food culture as well as eating habits. This forced them to adapt to the local environment and tailor their menu offerings to make a mark in the industry, dominated by local food chains specialising in Indian snacks. However, it remains to see whether these global food giants will be able to make a mark in the country.

Pedagogical Objectives:

• To discuss and analyse the Indian fast food retailing industry
• To understand the business model of global food chains – McDonald’s, Pizza Hut, Subway and KFC
• To discuss and contrast the strategies used by these food chains globally and in India
• To understand the need to adapt to the local business environment to succeed in a culturally sensitive country like India
• To debate on the success of these global retailers in India.

Contents:

• Global Fast Food Chains in India
• PIZZA HUT
• McDonald's
• SUBWAY
• KFC

Keywords :  Food Chains; McDonald’s; Pizza Hut; Subway; KFC; Business Model; Culture; Liberalisation; Supply Chain; Growth Strategies Case Studies; Marketing; Distribution; Franchisee; Market Entry Strategies