Due to the bird flu scare in China, popular fast food brand Yum Brands Inc. said that it was concerned about its sales in its largest overseas market. The brand, which is the owner of fast food giants like KFC and Pizza Hut, said that it will have to face a steep dip in sales due to the bird flu scare.
In a filing to the US Securities and Exchange Commission on April 10, 2013, the world’s largest restaurant company said, “Within the past week, publicity associated with avian flu in China has had a significant, negative impact on KFC sales”. Feng Enyuan, the secretary general of China Cuisine Association said that Yum is facing a tough time, which will affect its overall sales in China. However, Feng assured that the dip in sales will not last for long, as preventive measures have been put into place.
Bian Jiang, the assistant director of the China Cuisine Association, said that based on past experience the negative impact on the catering industry is likely to last for at least six months. The bird flu scare has already hit the country twice. Since opening its doors in China in 1987, Yum has built about 5,000 restaurants in more than 800 cities across the country.
