Question

Yum! Brands, the parent company of KFC, has pursued an aggressive growth strategy in China. There are now more than 3,700 restaurants in 650 Chinese cities, and KFC has a 40 percent market share of the entire fast-food industry there. Yum! Brands China owns and directly manages about 90 percent of its Chinese stores, so it appears that the company prefers ________ in this market.A.licensing
B.local assembly
C.a joint venture
D.a direct investment
E.local manufacturing

Answer 1

Answer:

The correct answer is (C)

Explanation:

KFC established their business in china in 1990 and instantly took over the market. KFC has more than 3700 restaurants all over china and most of them are owned by the YUM brand, this shows that the company prefers a joint venture.  A joint venture is a concept where two companies collaborate to achieve a common objective.