Summary
KFC company is among the organization that faced ethical dilemmas. The reason that made the company be in this dilemma is that it had already gained the reputation of fast food which continuously made food to be unhealthy and so making the lives of the people using their food to be in high risk (Ambrose,2018). For the company to be able to overcome that dilemma it had to make the right choice which will be in favor of their business and their customers as well. The right decision had to be made to solve this dilemma by coming up with the potentials ways to increase the value of shareholders.
Introduction
Ethical dilemma refers to the act where the company has no option other than making a difficult choice between two equally desirable alternatives. The difficulty always arises when making the selection. The main aim of this report is to present the discussion concerning the ethical dilemma that the company of KFC faced as well as giving the moral dilemma that the company encounters. Second, it is to show the reaction of the company towards the ethical dilemma, how the organization deals with the dilemma and also showing the relationship that the company has with its shareholders and how it changed after the difficulty. Finally, the report will explain the consequences of the ethical dilemma in the company of KFC, the recommendation and the conclusion towards the moral dilemma.
Ethical dilemma that the Kentucky fried chicken experienced
KFC company is famously known due to the fast food brands that it provides in the world. Many people prefer taking Its chicken because of how they are packaged and due to its delicious taste. The company also has been providing the government with more revenue since they sell their products more and their business is always big. However, the company was in a dilemma when the research showed that the fast food the company makes has no nutrition and it contains a lot of fat which is not healthy for the consumption of human being. The food was said to have more fat making the lives of the human to be in high risks of getting a disease like cancer. At this point, the company was in a dilemma since it had already gained the reputation of fast food which always provides fatty and unhealthy food. (Ludwick & Hess,2019). Considering that this company feeds millions of people, it had no option other than coming out with the ethical standards specific to provide health food since it was observed that the oil which FFC company uses contains Tran’s fatty acids that increase cholesterol as well as making people have the risks of the heart disease. Another dilemma that KFC company experienced is the cost of their chicken, having known that the kind of the oil the company was using it was not health. The company had to reduce the price of the chicken to be able to enter into the competitive advantages market; this is because its competitors could sell the same products at a low cost and they ensured that the kind of the oil they were using it was right for the consumption of human being. The shareholders of the company had no other alternative other than reducing the price of their products and also use the right ingredients to maintain its good name although they were in dilemma whether their products will still be active as before.
The reaction of Kentucky fried chicken after the dilemma
At this moment, many people had realized the kind of oil that the company was using and the risks that their body could face out of using their chicken. Many people decided not to use their chicken anymore to avoid the dangers of being sick. However, KFC company took a fast reaction they aim to make people continue using their products despite the report that was given concerning their products. Through the media report, KFC apologized for using the oil that contained Tran’s fatty acids and also using Sudan Red as an ingredient of cooking food which was risking the health of human being. In the report, the company made a promise to produce safe products to all its consumers.KFC assured its customers that the inspections would be done by the government agency to ensures that all the products they are producing they are safe and they will not contribute to the diseases such as cancer. To maintain its good name the company promised to reduce the price of its price as well as giving the special discounts voucher to support the many people that were promoting them( (Rahman,2019). Finally, it opened an online website where their customers can comments about the chicken they ate, whether they were satisfied with it after eating or whether there are some changes they would like the company to do concerning their products.
The reactions of KFC towards stakeholders.
The primary stakeholders of the company of KFC include The government, employees, customers .shareholders and the local communities. Although in the media report, the company had apologized concerning the dilemma issues, the company made sure that it could reach out to its stakeholders differently and apologize as well as doing the requirements that could make them feel satisfied or having the trust again with the company. To the government, the company ensures that it has a license that causes them to operate their business. Also, it had to use the agencies of the government to come and inspect the products they are selling to the people whether they are well for the consumption of human beings. To the employees, the company ensured that they were taught how to make chicken in the right way and that they always observed neat when they are serving and preparing those products. To the customers, the company set the website that their customers could live their comment there after eating their chicken as to whether they were satisfied with there is the place they wish to be improved or the change to be done (Richards & Aldgate, 2018). .Also, KFC company ensured that it does not pollute the environment when preparing their products or even disposing of waste products anyhow to which might be polluting the environment. Finally to the shareholders, the company ensured that they could know the ingredients used when cooking to be sure that their customers are being given the products that are not harmful to them.
My opinion towards the response of the company
In my opinion, if I was rating the reaction of the company I could give the 70% this is because, while the company was responding to the dilemma issues it did not say as to whether if any person could have suffered because of using their products they could compensate them. Also, I blame the company of not presenting the problem before the report was given concerning the bad oil they were using as well as finding the solution to that problem. However, I appreciate the effort of the KFC company because of making the right choice to use the best products and never to repeat that problem. Also, the company made the right choice of giving discounts and reducing the price to maintain its good name since it could have made its competitors to overcome them by convincing the public that they are the best.
Other alternatives that KFC could have taken and the consequences
Other than writing the report to apologize for the action that was practiced in the company, there are other better and attractive ways that KFC company could have done which in return could have influenced the public to promote them more. First KFC company could have set aside money for sponsoring the need as a way of giving back to society. As a result when the community sees what the company is doing, they could also develop an interest to know this company, and as a result, the business will increase the number of their customers. Second, by also promoting other company, for instance, buying drinks such as sodas and water from other companies will also make those companies also to support them. Even the company may decide to start the foundations that will be helping to nurture the careers of the youths and the young generation, and when carrying out those projects, they should have the t-shirts written their name to make everyone aware of the company. In their projects of chicken, they should ensure that they have offered job opportunities to the youth who are idols and it will promote the economy of the country and also reduce the crimes that could be practiced by teenagers when they are idols.
Changes that occurred between the stakeholders and the shareholders
At first, the relationship between the stakeholders and the shareholders was not good because the shareholders lost the trust they had towards the company. However after the company agreed on the issues and after apologizing towards these issues to the shareholders, they started again promoting the company although the business of the chicken and their products were no longer the same. The stakeholders were forced to come with all the means possible to solve the issues of ethical dilemma that the company had hence trying to bring back a good relationship that was there before the scandals within the company happened (Wilson & McLennan,2019).
Recommendation
Following that the ethical dilemma that the company had, I suggest that KFC company should come us with the strategy that will bring back the good image of the company. Among the ways that the company should do is introducing a creative measure like new modes of advertising and marketing their products that will help in attracting many customers. Second, it should set aside a specific target of buying that if the customers hit that amount, there are rewards awarded which will make their customers buy more to get rewards. Finally, it should ensure that the chicken and the products they are selling are of high standard and that is good for the consumption of human body.
Conclusion
From the above-given information concerning the KFC with the Ethical dilemma it had, I will conclude by saying that there is a need to ensure that the products sold to the customers are safe to avoid the high risks of the diseases that may arise. Also, the company should make sure that it has the best products ever to maintain their good image of the company. Finally, KFC company should ensure that all its shareholders are satisfied with the service they receive from KFC company to make business keep on growing big every day.
Reference
Ambrose, D. (2018). Insights From an Ethical, Adventurous, Pulitzer Prize-Winning Journalist: An Interview With Sharon LaFraniere. Roeper Review, 40(4), 268-272.
Ludwick, C. M., & Hess, B. T. (2019). Famous Kentucky Flavors: A My Old Kentucky Road Trip. Indiana University Press.
Rahman, M. M. (2019). Cultural Differences, Strengths, Weaknesses, and Challenges of Kentucky Fried Chicken (KFC)–A Comparison between and the United Kingdom (UK) Malaysia. Global Journal of Management And Business Research.
Richards, J., & Aldgate, A. (2018). Staff, Druthers Restaurant, Whitesburg, Kentucky Nellie Kincer, cook, Kentucky Fried. Working Stiffs, Union Maids, Reds, and Riffraff: An Expanded Guide to Films about Labor, 138.
Wilson, M., & McLennan, A. (2019). A comparative ethnography of nutrition interventions: Structural violence and the industrialization of agrifood systems in the Caribbean and the Pacific. Social Science & Medicine.