Business success requires comprehensive understanding of culture and behavior. Some Western brands trying to share a ‘piece-of-the-pie’ in the Chinese market, seem to have better success by adopting the local culture as best as they can. For example, the fast food chain, Kentucky Fried Chicken (KFC), has done a miraculous job compare to some other Western fast food chains in mainland China. The figures below indicate the profit growth for KFC from ’08-’12 (despite the bird flu incident in 2012 which led to a drop in sales).
Image credit: The Wall Street Journal
KFC wisely didn’t try to take the exact look and feel of its U.S. restaurants and menu to China; instead they serve squid, fish sticks, rice and even congee during breakfast hours. In 2011, 50% of operating profit came from China, compared with 32% from the U.S. (Source: Slow Cooking China’s Still Good for Yum, Tom Orlik, The Wall Street Journal, June 2012). We believe that KFC’s success in China was based on attention to cultural insights.
Squid on a skewer from KFC in Shenzhen. Image credit: M.I.C Gadget
Chinese Congee (basic Chinese breakfast) served in KFC China. Image credit: Wandering China
Design and business are closely connected. Adapting to local preferences is the key to business success; in the case of KFC, their success was the ability to adapt to the local food tastes of their customers. We understand the importance of immersing ourselves in Chinese culture past and present when designing for the China market; combining our global skills with in depth regional knowledge and the nuances of client, culture and consumer.
