The KFC Business Model Essay Example | Topics and Well Written Essays - 1500 words

The KFC Business Model - Essay Example From 1900-1924, Sanders held a variety of jobs. In 1930, in the midst of the depression, Sanders opened his first restaurant in the small front room of a gas station in Corbin, Kentucky. Sanders served as a station operator, chief cook, and cashier. He named the dining area "Sanders Court & Cafà ©." In 1936, Kentucky Governor Ruby Laffoon made Sanders an honorary Kentucky Colonel in recognition of his contributions to the cuisine of the state. The pressure cooker was introduced. Colonel Sanders began using it to fry his chickens to give customers fresh chickens faster. 1940 was the birthdate of the original recipe.The Colonel began franchising his chicken business in 1952 by traveling from town to town and cooking batches of chicken for restaurant owners and employees. The Colonel awarded Pete Harman of Salt Lake City with the first KFC franchise. A handshake agreement stipulated a payment of a nickel to Sanders for each chicken sold. Sanders sold his interest in the U.S. company fo r $2 million to a group of investors headed by John Y. Brown Jr., future governor of Kentucky. The Colonel remained as a public spokesman for the company. In 1966, the KFC went public. KFC was listed on the New York Stock Exchange in 1969. More than 3,500 franchised and company-owned restaurants were in worldwide operation when Heublein Inc. acquired KFC Corporation in 1971. On 16 December 1980, Colonel Harland Sanders, who came to symbolize quality in the food industry, died of leukemia. Flags in all Kentucky state buildings fly at half-staff for four days. PepsiCo, Inc. acquired KFC from RJR Nabisco, Inc. In 1997 PepsiCo, Inc. announced the spin-off of its quick service restaurants - KFC, Taco Bell and Pizza Hut - into Tricon Global Restaurants, Inc. In 2002, Tricon Global Restaurants, Inc., the worlds largest restaurant company, changed its corporate name to YUM! Brands, Inc.