KFC Has More Than a Bird Problem in China

Yum! Brands (NYSE: YUM  ) has a growing list of challenges in China with its KFC brand. Faced with an antibiotics scare, the bird flu, and increased competition, the company experienced a 29% decline in sales for the month of April. Clearly, Yum! has its work cut out to restore its currently tarnished image. In this video, Fool contributor Steve Heller sits down with Erin Miller to discuss what Yum! has really done wrong in China and how it could restore confidence with consumers and investors.

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Editor's note: In the video, the comment about KFC's decor not reflecting the current "aspiration" in China was misattributed to an analyst. It was instead made by the founder of Shanghai consultancy Bergstrom Group. 

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  • Report this Comment On May 25, 2013, at 12:08 AM, godfedo wrote:

    Very funny how the US media and investors keep focusing on bird flu and the antibiotics scare with their SSS decline. As someone who lives in Shanghai, nobody goes to KFC anymore because the food is twice the price of everywhere else and it's not any good compared to the other options. Those stores are literally empty. Nobody cares about antibiotics, the food is unsafe no matter where you go. The store expansion cannot go forward as planned. Prices need to come down as well. Going to be ugly

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