Finger Hut Strategy Essay - 1410 Words

â€Å"Business ethics is the application of ethical values to business behavior. It applies to any and all aspects of business conduct, from boardroom strategies and how companies treat their employees and suppliers to sales techniques and accounting practices. Ethics goes beyond the legal requirements for a company and is, therefore, about discretionary decisions and behavior guided by values. Business ethics is relevant both to the conduct of individuals and to the conduct of the organization as a whole.† With this statement can we say that Fingerhut’s price strategy is unethical? In order to answer this question we need to digest certain issues of â€Å"Fingerhut’s Price Strategy† case with the point of views of Roger Crisp â€Å"autonomy and creation†¦show more content†¦Roger Crisp would raise the issues that the marketing techniques of Fingerhut cause their customers to act automatonously. Crisp would affirm his idea with the fact that the specialized mail catalog created desires that forced (instead of made them want) its customers to buy their goods. The idea of making their payments easy, low and displaying them instead of the real end price, Crisp would see as deceiving. Crisp would say that by Fingerhut relating the real price of the goods to low payments in a way is like brainwashing their customers to believe that the item is actually cheaper when in reality their goods were up 100% more expensive then their competitors. The fact that their customers were in the bottom of the wealth pyramid, it could be seen that they were not well educated and probably could not really see the price differences in the goods they were buying and the price that they should, in a fair market, be paying. So with Fingerhut marketing techniques and motives, Crisp would affirm that the low-income consumers were being exploited and therefore Fingerhut was conducting its business unethically. Milton Friedman would not agree with Roger Crisp that Fingerhut exploited their low-income customers. Friedman would look at the â€Å"Fingerhut’s Price Strategy† case in different point of view; he would say that Fingerhut was acting ethically because they were conducting business in aShow MoreRelatedMarketing Strategy Of Yum Company Essay1440 Words   |  6 Pagesservice in China and is unparalleled in terms of market share against any fast food business in China. Currently YUM! Brand has over 3,000 KFC stores in 650 cities and nearly 500 pizza huts in 120 cities. This phenomenal rate of expansion in China alone is the result of a mixture of Pricing and Marketing strategies specifically designed for the China market. Starting from 1987, the first KFC store was hugely attractive to Chinese citizens. It mainly targeted consumers who are willing to spend moreRead MoreCompany Background Of Kentucky Fried Chicken1283 Words   |  6 Pagesï  ¶ COMPANY BACKGROUND: Kentucky Fried Chicken is a fast food restaurant chain that specialises in fried chicken. The company is a subsidiary of Yum Brands, which is a restaurant company that also owns the Pizza Hut. It is considered to be world’s second restaurant chain with approximately 19000 outlets in 118 countries. ï  ¶ SEGMENTATION, TARGETING AND POSITIONING: †¢ SEGMENTATION: GEOGRAPHIC City: Metro, tier I and Tier II cities DEMOGRAPHIC Age: 15 to 45 Gender: Male Female Income: Middle andRead MoreKFC1335 Words   |  6 Pagesacquired Heublein in 1982. R.J. took a more laid back approach and allowed business as usual at KFC. Finally, in 1986, KFC was acquired by PepsiCo, which was trying to grow its quick serve restaurant segment. PepsiCo presently runs Taco Bell, Pizza Hut, and KFC. The PepsiCo management style and corporate culture was significantly different from that of KFC. PepsiCo has a consumer product orientation. PepsiCo found that the marketing of fast food was very similar to the marketing of its soft drinksRead MoreMarketing Mix of Kfc1570 Words   |  7 Pagesclass combination of product and quality Price Pricing Strategy ‡ Market skimming: KFC globally enters the market using market skimming. Their products are priced high and target the middle to upper class people. Gradually they trickle down the prices focusing on the middle to lower class people to penetrate both sides of the market. Price Competition ‡ We can compare the price of their products with McDonald, Dominoes and Pizza Hut. If the competitor provides the same product at a lower priceRead MoreMarketing Assignment on Transcom Food Beverages Ltd.2616 Words   |  11 Pagesstarted its journey in 1885 through tea plantations. This diversified business house now has interests in many segments in the industrial and service sectors in Bangladesh. Some of the brands managed by the group include: Pepsi, 7-Up, Mirinda, KFC, Pizza Hut, Phillips N.V, Whirlpool, Maybeline, Garnier, Heinz, Frito-Lay, Lindt, Servier, Novo-Nordisk. Other aspects of the business include: Pharmaceuticals (Eskayef Bangladesh Ltd. www.skfbd.com) Newspapers (Prothom Alo www.prothom-alo.com The Daily StarRead MoreKfc Marketing Mix in India1404 Words   |  6 Pagesquality conscious class combination of product and quality Pricing Strategy Market skimming: KFC globally entersthe market using market skimming. Their products are priced high and target themiddle to upper class people. Graduallythey trickle down the prices focusing onthe middle to lower class people topenetrate both sides of the market Competition We can compare the price of their products with McDonald, Dominoesand Pizza Hut. If the competitor provides the same product at a lower price thenRead MoreKfc Case Study1509 Words   |  7 PagesKFC- Finger-lickin good Kentucky Fried Chicken Kentucky Fried Chicken is one of the well-known fast food restaurants in the world. The industry was founded by Colonel Sanders. The corporation is based in Louisville, Kentucky and now regarded as the most famous chicken restaurant chain. It can be noted that each day, nearly eight million customers avails the products and foods offered by this fast food chain.   KFC has more than 11, 000 branches in more than 80 nations and territories all overRead MoreI Am Lost : The Boat2110 Words   |  9 Pagesdragging my sopping wet feet through the deep sand. I reach the treeline and look around, before heading into the trees. In the trees I see things that aren’t normal, large claw marks on a tree that are longer than my arm and wider than two of my fingers. Shivers race up and down my spine as I turn and head deeper into the forest, ignoring my gut, which is screaming for me to turn around and run back to the boat. â€Å"What good would it do to go back to the boat, you can’t reach the bottom rung of theRead MoreStarbucks s Pizza Enterprises Limited ( Dmp ) : Study Of Strategic Management Practices1655 Words   |  7 Pagescompetition makes businesses to have an edge over other players in its field as well as protect itself from competitive practices of players outside its core business domain. To maintain that edge, organisations have to constantly lookout for different strategies that will position them well in the market they are operating and give them a strong advantage over their competitors. It is also a well-known fact that internet has revolutionised the way businesses operate. The greatest inventions affecting theRead MoreKfc Marketing Strategy in Mauritius2103 Words   |  9 Pagesoutlets around the island, KFC outlets have become today the preferred eating spots of Mauritians, living and amusement spots for families and young people particularly. KFC Mission KFC Vision Read more: http://www.ukessays.com/essays/business/strategies-for-the-mauritius-fast-food-market-business-essay.php#ixzz2QWwSUPMF It is the beginning of a new era that the fast food industry has gradually breakthrough the Mauritius lifestyle. Due to the globalisation process, many fast food franchises are