Anita Miller
Undergraduate
China Study Retail Tour
9963-9191
China: A Whole New World
There was no turning back. I paid my deposit and left the International Center and
couldn’t believe that I was going to China. If felt surreal, China for three weeks touring
every major city and meeting with government officials, CEOs, and expatriates. As I
informed my family and friends they looked at me with shock, awe, and excitement. I
didn’t know anything about China or how to speak Mandarin. This is going to be an
experience, I thought to myself. What I felt then couldn’t compare to the way I felt the
moment I stepped out of the Airport in Beijing. The pollen was falling like snow, the
smog was as thick as ever, and I was in China.
What I perceived of China was completely different from what China truly is like.
It’s a different world. Our hand gestures and mannerisms were not understood at all.
Constantly photographed and stared at, now I know how tough it is to be a celebrity.
Babies without diapers, toilets are holes in the ground, and smoking indoors is normal. I
definitely felt like I was in a foreign country and I was excited to explore and experience
as much as I could during my time there.
It’s evident that China is undergoing significant changes. Every city is
constructing multiple high rises and roads. Multinational corporations are itching to get
their food in the door because even having a 1% market share is having 19 million loyal
customers. The newspapers are right when they say ‘China is growing and it’s growing
fast.’ The government has put the economy first on its agenda and no one can predict
Anita Miller
Undergraduate
China Study Retail Tour
9963-9191
what China will become in the future. Many think that the China bubble will burst, but
many disagree and are putting their money with no fear of negative returns.
Yet, spectacular growth comes with its pitfalls. There is still a large part of the
population that is in poverty and you can see this at every tourist attraction. People
eagerly selling watches, fruit, and souvenirs, there living is made standing outside all day
peddling their merchandise. These surely are not the people in the ‘growing middle-class’
that purchase Louis Vitton and drive Porsches.
Of all the cities we went to, Yingkou is the most memorable. Yingkou is just
north of Beijing and is sister city to Jacksonville, Florida. Yingkou is planned to become
a huge city in the next five years according their governments plans. Major companies
such as Walmart, Carrefour, and Coca Cola are set open locations within the city. The
government has also built Olympic-sided stadiums and high rise apartments for future
inhabitants.
Walking around the city I saw numerous elderly people dancing and exercising,
since their health is very important to them. Many people didn’t have cars and either
walked or biked to school and work. Yingkou seemed very much like a suburban city in
the States where everyone knows each other and everyone is treated like family. There
was a sense of community that you would only feel in a Tier three city where tourists are
few and far between. The streets emptied when the sunset and taxis nearly begged for
visitors, something that never occurred in Shanghai, Beijing, or Hong Kong. It made me
wonder what Beijing, Shanghai, and other tier first were like before they become such
Anita Miller
Undergraduate
China Study Retail Tour
9963-9191
massive cities. Were the people as curious and welcoming before their city grew to
become the home to millions of people?
Anita Miller
Undergraduate
China Study Retail Tour
9963-9191
Comparison of KFC China and the States
Studying abroad is an exciting experience. Going to another country, learning
about a new culture, and living a different lifestyle are fun when everything is brand new
to you. Yet, with every study abroad experience there is a period of time when
homesickness settles in. You just can’t eat anymore foreign food and need a taste of
home. During my time in China I had this feeling more often than once. In every city we
went, on every street corner, KFC was there. Of course in a foreign country you would
expect to see multinational companies such as McDonalds and Coca Cola, but KFC was
much more prevalent in China then one would think.
When I first entered a KFC in China the first thing I thing I noticed was how
much they seem more like a McDonalds that you would see in the states. They offered
sundaes, ice cream cones, and toys. The store gave off a family-friendly atmosphere with
a playground and colorful pictures of children playing and enjoying their newest menu
items. Given China’s views on the family unit, it seemed appropriate that KFC would
take this direction.
The menu options are similar to that of the States offering corn, mashed potatoes,
and their signature fried chicken. They also offer corn salad; spicy chicken sandwich; and
a mushroom, bacon, and rice chicken dish that is wildly popular. But, many favorites in
the States are not seen on the menu such as biscuits, macaroni and cheese, and baked
beans. Portions are also significantly smaller than that of the United States. In on instance
Anita Miller
Undergraduate
China Study Retail Tour
9963-9191
I ordered mashed potatoes with my meal and was shocked when I say the tiny ice cream
scoop size of mashed potatoes that you given to me. To say the least, I paid for another
order.
KFC also has locations that only offer Chinese cuisine such as Chicken with
Sichuan spicy sauce and rice, egg soup, a "dragon twister", and soybean milk. Both are
wildly successful and have far surpassed competitors such as McDonalds and Burger
King in market share and revenue.
Despite the stiff competition in China, Yum brand has made KFC a huge success
in China. So much so that profits from their Chinese operations has surpassed that of the
States since KFCs in China are nor run by franchise owners who normally take a portion
of the profits. This success is due to the fact that KFC understands the Chinese consumer.
Chinese consumers are very price sensitive and KFC offers coupons and discounts lower
than that of their competitors. The Chinese consumer likes to know that they are getting a
bargain and if a discount is offered for the best item on the menu at a lower price in
comparison to a competitor, consumers will take advantage of the bargain.
KFC has also convinced the Chinese consumer that they are the healthiest fast
food option. Health and wellness are extremely important in China. This can be seen in
every park in China. Throughout the day you can see numerous people using the park
exercise equipment to stay in shape or taking fitness dance classes. KFC China claims
that the food they offer in the West is much more fattening than that of the East. They
Anita Miller
Undergraduate
China Study Retail Tour
9963-9191
also established a food health inquiry committee, encouraged the young to participate in
physical activities, and has been recognized for promoting a healthy food policy.
Another way KFC China differentiates itself from that of the United States is its
delivery option. In China, KFC will deliver your order to nearly any location. Instead of
cars, bikes are used to delivery food to the customer. Food is carried on the back of the
bike in an igloo that will keep your ice cream cold and your meal warm. This option is
also used by competitors, but has shown to be very successful in China.
During my time in China, KFC saved me many times from going without dinner
due to the language barrier. Fortunately they offered picture menus and sometimes
English menus for foreign customers. The staff was very patient with me when I was
ready to order and many eagerly motioned me to come to their line so they could help
me.
Every KFC I entered was a pleasant experience and the food, though not exactly
the same flavor as in the States, was still great whenever I need to eat and go somewhere
familiar to me. KFC China tends to adjust their menu to the tastes of the customers in
each region they are present. For instance, the Szechuan province enjoys spicier food and
KFC in that region offers a spicier selection. Nonetheless, KFC in China has truly
understood the habits and tastes of the Chinese consumer. Not only is it a huge hit for the
Chinese, but also for the foreigners who are craving a taste of home.