Winning with Consumers: Exploring KFC’s Survival Strategies in the Angolan Market

Abstract

Multinational companies are often impacted by the challenging business environment in Angola. The enactment of the Forex Law in 2013 to de-dollarize the Angolan economy posed an extra burden on companies to expatriate profits and operate successfully under Angolan market conditions. Nonetheless, KFC has sustained its growth in Luanda, occupying a leading position in the fast-food industry. Previous retailers, namely Bobs, Nandos and Whimpy, struggled to maintain operations, and McDonald's even refrained from entering altogether. This study explores the strategies adopted by KFC since establishing itself in Angola in 2012 to survive and grow in the Angolan market. A single-case design study was employed using random unstratified sampling involving managers from four sites alongside sixteen employees who were interviewed through semi-structured group interviews, and customer relations strategies analysed across all sites. The findings revealed that utilising participatory customer-oriented actions, augmented with social media iterative engagement, was critical in resisting the Angolan business environment and sustaining growth. This approach was a key driver in maintaining customer base loyalty and attracting new customers. The implications are that while consideration of macroenvironment factors and good management of internal processes are essential when running a business in challenging environments, strategic responses geared towards customer relationship engagement were recommended to sustain growth and preserve a competitive advantage under the prevailing market conditions in Angola.