Transcript Two-sample T for Mac vs KFC

Comparing the competitive
advantages between McDonald
and KFC, for young
consumers in Hsinchu
area.
Professor: Dr. Trappey
Students: 陳嘉麟 9562503
蔡林龍 9562502
吳晉瑋 952028
Introduction
Literature review
In Taiwan, McDonald grew up fast and successfully with flexible
marketing strategies and QSC&V (Guang-Shiash Hu, 2000), Although
McDonald adopted the marketing strategy of cutting prices, the consumers
will not increase their consuming amount. (Wei-Hua Chen, Chia-Chun
Tsai, 2003) Only the improvement of utility and enjoyment will raise
up consuming amount (Yi-Wen Wang & Ming-Tsung Lee,2005).
Define the problem and market research questions.
Comparing the competitive advantages between McDonald and KFC.
The target population is the young consumers (under 30) in
Hsinchu City.
Methodology
Research Framework:
Hypotheses
Survey
Statistical Analysis
Research Finding
Conclusions
suggestions
We will use the approach of setting up a questionnaire concerning customers’
preference. and collect results from young consumers in Hsinchu area, to compare
the advantages between Macdonald and KFC when customers choose western fast
food chains. The Hypothesis were shown below
Hypothesis1
To compare with KFC，”Environment” is a
competitive advantage of McDonald
Hypothesis2
To compare with KFC，” Food selection” is a
competitive advantage of McDonald
Hypothesis3
To compare with KFC，”Price” is a competitive
advantage of McDonald
Hypothesis4
To compare with KFC，”Brand image” is a
competitive advantage of McDonald
Hypothesis5
To compare with KFC，”Service” is a competitive
advantage of McDonald
Hypothesis6
To compare with KFC，”Taste of Food” is a
competitive advantage of Macdonald
Data Collection Plan:
What: to compare with the advantages of Macdonald and KFC
in young consumers in Hsin-Chu
Where: Macdonald and FKC in kung-Fu Rd.
Who: Young Consumers (under 30 years old)
When: 23 May
How: Adopting questionnaires
How many: 70 valid questionnaires
Results and Finding
Beliefs of Young Consumers:
5.04
0
Environme nt
5.03
Food
S e le c tion
4.99
P ric e
5.27
5.26
4.81
Bra nd
Ima g e
S e rvic e
Ta ste of
Food
When young consumers selected a fast food restaurant,
they care about the service and taste of food most.
Hypothesis 1 : To compare with KFC，”Environment” is a competitiv
advantage of McDonald
Hypothesis: Ha: μM>μKFC
Two-sample T for Mac. vs KFC
Boxplot of Mac., KFC
50
N Mean StDev SE Mean
Mac. 70 33.50 8.05 0.96
KFC 70 33.46 6.20 0.74
45
Data
40
35
Difference = mu (Mac.) - mu (KFC)
T-Test of difference = 0 (vs >): T-Value = 0.04
P-Value = 0.486 DF = 13
30
25
20
Mac.
KFC
P-value>0.05, Do not Reject H0,
Environment is not a competitive advantage of
McDonald
Hypothesis 2 : To compare with KFC，”Food selection” is a
competitive advantage of McDonald
Hypothesis: Ha: μM>μKFC
Two-sample T for Mac vs KFC
Boxplot of Mac, KFC
50
N Mean StDev SE Mean
Mac 70 33.74 7.08
0.85
KFC 70 33.74 5.59
0.67
45
Data
40
35
Difference = mu (Mac) - mu (KFC)
T-Test of difference = 0 (vs >): T-Value = -0.00
P-Value = 0.500 DF = 138
30
25
20
Mac
KFC
P-value>0.05, Do not Reject H0,
Food selection is not a competitive advantage
of McDonald
Hypothesis 3 : To compare with KFC，”Price” is a competitive
advantage of McDonald
Hypothesis: Ha: μM>μKFC
Boxplot of Mac, KFC
Two-sample T for Mac vs KFC
50
N Mean StDev SE Mean
Mac 70 34.0
11.3 1.4
KFC 70 30.87 8.81
1.1
Data
40
30
Difference = mu (Mac) - mu (KFC)
T-Test of difference = 0 (vs >): T-Value = 1.81
P-Value = 0.037 DF = 130
20
10
Mac
KFC
P-value<0.05, Do not Reject H0,
Price is a competitive advantage of McDonald
Hypothesis 4: To compare with KFC，”Brand image” is a \
competitive advantage of McDonald
Hypothesis: Ha: μM>μKFC
Two-sample T for Mac vs KFC
Boxplot of Mac, KFC
N Mean StDev SE Mean
Mac 70 34.40 9.76
1.2
KFC 70 32.16 8.61 1.0
50
Data
40
Difference = mu (Mac) - mu (KFC)
T-Test of difference = 0 (vs >): T-Value = 1.44
P-Value = 0.076 DF = 138
30
20
10
Mac
KFC
P-value>0.05, Do not Reject H0,
Brand image is not a competitive advantage of
McDonald
Hypothesis 5: To compare with KFC，”Service” is a competitive
advantage of McDonald
Hypothesis: Ha: μM>μKFC
Two-sample T for Mac vs KFC
Boxplot of Mac, KFC
50
N Mean StDev
Mac 70 38.21 8.82
KFC 70 35.96 8.51
45
Data
40
35
SE Mean
1.1
1.0
Difference = mu (Mac) - mu (KFC)
T-Test of difference = 0 (vs >): T-Value = 1.54
P-Value = 0.063 DF = 138
30
25
20
Mac
KFC
P-value>0.05, Do not Reject H0,
Service is not a competitive advantage of McDonald
Hypothesis 6: To compare with KFC，”Taste of Food” is a
competitive advantage of Macdonald
Hypothesis: Ha: μM>μKFC
Two-sample T for Mac vs KFC
Boxplot of Mac, KFC
55
N Mean StDev SE Mean
Mac 70 37.66 8.01 0.96
KFC 70 36.70 7.36 0.88
50
Data
45
40
Difference = mu (Mac) - mu (KFC)
T-Test of difference = 0 (vs >): T-Value = 0.74
P-Value = 0.231 DF = 138
35
30
25
20
Mac
KFC
P-value>0.05, Do not Reject H0,
Food is not a competitive advantage of McDonald
Summary Table of Test:
Factors
Blief
Mean
(Belief times Rating)
STDDV
(Belief times
Rating)
McDonald
KFC
McDonald
KFC
Tvalue
Pvalue
Environme
nt
5.04
33.50
33.46
8.05
6.2
0.04
0.486
Food
Selection
5.03
33.74
33.76
7.08
5.59
0
0.5
Price
4.99
34.00
30.87
11.3
8.81
1.81*
0.037*
Brand
Image
4.81
34.40
32.16
9.76
8.91
1.44
0.076
Service
5.26
38.21
35.96
8.82
8.51
1.54
0.063
Taste of
Food
5.27
37.66
36.79
8.01
7.36
0.74
0.231
Conclusions
&
Suggestions
Conclusions:
(1) When young consumers selected a fast food restaurant, they care about the
service and taste of food most. In order to increase the market share of young
consumers, restaurants have to put most effort on the service and taste of food.
(2) Young consumers consider that the McDonald provided a more reasonable
price than KFC. To McDonald, it’s a advantage to KFC and should be maintained.
On the other hand, KFC should make a detail research about the reason why young
consumers have such recognition about the price of two restaurants.
(3) We found that every factor, the all standard deviation of McDonald were greater
than KFC. It possibly means that young consumers give the more diverse rating
on McDonald.
(4) We got the marginal p-value on service and taste of food and that could be
the latent competitive advantages of McDonald.
Suggestions:
This is just an explorative research. Seventy questionnaires maybe not sufficient
to get the precise results. Enlarge the number of the respondents is the first
suggestion in future research. Moreover, most our respondents are senior
high school students, we may lack the opinions of college students and others
who are under 30 years old. Why young consumers think the price of McDonald
are more reasonable, a detail research is needed.
Thanks for your
Attention
Professor: Dr. Trappey
Students: 陳嘉麟 9562503
蔡林龍 9562502
吳晉瑋 952028