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Ethical report of KFC and its problems 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. There are many ethical issues that an organisation face and one of the organisations which faces major issue is the Kentucky Fried Chicken. In my report, I would analysis about the issue faced by KFC and the ethical problems that the company encounters. 1.0 ETHICS DILEMMAS FACING BY KFC KFC is among the most popular fast food brands in the world. Started out in the fifties, KFC now boasts of operating, franchising, and serving a worldwide chain of around 11,000 fast food restaurants that prepare, package and sell a menu of ready to eat foods. However, despite of the established brand of KFC Corporation and contrary to its previous achievements; it seems that there is a need for the management to redefine its image. 1.1 Provide Greasy Unhealthy Food The growing and bustling population of today is obviously different from the population of the previous decades in terms of health and nutritional attitudes and behaviours. People today are more concerned with their health and figures than ever before. Obviously, the reason for this increased awareness is because of the fact that information is everywhere and every reports and research about nutrition seem to link fast foods with the growing number of obesity. Being one of the most popular fast food restaurants and with millions of people patronising the products and foods offered by the company, it is important the company adheres to ethical standards specifically in terms of providing healthy foods. However, it has been observed that KFC is using oil which contains Tran's fatty acids and contain in monosodium glutamate, which is MSG. This is noted to increase cholesterol and even increased the risk of having heart disease and obesity. As authorities discovered this, the case was being carried over by the consumer group Centre for Science in the Public Interest and told the company to use healthier cooking products than the one they are using. Gram for gram, they are believed to be twice as damaging as saturated fat. The Nutrition Action Healthletter, published by the Centre for Science in the Public Interest (CSPI), reported in 1997 that in clinical studies Tran's fat raised people's blood cholesterol about as much as saturated

fat did. Because trans-fatty acids are not listed on food labels, they are invisible to consumers. With the negative effect of this to the people, KFC has been faced with problems in terms of following business ethics and finding ways to find solutions to these kinds of issue. 1.2 Protests by PETA KFC is the world's largest chicken fast-food chain in the world with more than 9900 stores at an average annual consumption of nearly 800 million chickens in all over the world. In order to reduce costs, KFC chicken suppliers kept the chickens in overcrowded cages and given drug to urging their growth so that they are usually too heavy and can't even walk. In year 2003, PETA organization (Association of Ethical Treatment of Animals) found a video exposing KFC supplier abuse chickens by cruel trick and this immediately aroused public attention. In the video can see the staff do anything to abuse the chicken, they often cut off their wings, slamming them to the wall, punched them as sandbags, kicked them as football. At slaughter, the chicken' throats are slit and dropped into tanks of scalding-hot water while they are still conscious. They abuse the chickens alive to death and then gave to outlet frying as delicious fried chicken serve all around the world. In this case, the PETA organization has been called upon to KFC must immediately stop this cruel chicken farming, with the requirement.: to improve the living conditions of chickens to expand their activities in space, for example, cages set within the "room" and separators, so that rearing environment closer to the wild, natural environment and so forth, have been reared chickens have the most basic living conditions. But the real solution is consumers should taken actions to support the way to get all the animals from being inhumane and even standing on a healthy position, one can also choose to become a vegetarian to improve health, meanwhile more positive action to reduce the number of animals are subjected to inhumane treatment. 1.3 Advertisement Mislead Nowadays, advertising communication play a importance role in our society. As we all know, fast food is high fat and calorie food, cellulose content is low, long-term consumption will lead to obesity, endangering the liver and other organs healthy. But fast-food ads never mentioned these issues, always promoted eating fast food is a modern lifestyle and fashionable, the food is fresh and tasty, nutrition and health. This is a food culture and lifestyle misleading from advertising, especially to young people and children. In 2003 autumn, KFC played "health card" at TV ad, saying that Kentucky Fried Chicken "has the human body the necessary carbohydrates, is a daily non-integral part of the menu." This ad

exaggerated the Kentucky Fried Chicken features, many people discontent into this broadcast, the U.S. Federal Trade Commission specifically to this investigation. Under pressure from all sides, soon KFC company take off this advertisement. In this year July, ASA (Advertising Standards Authority), found that the U.S. KFC have an ad misleading consumers think that the fresh chicken is on daily basis delivered to every KFC outlets, this suspected of misleading to consumers. Advertising content shows a young chef side of a chicken sprinkled with flour, says: "I want to cook the most delicious food, secret is use the correct materials, like this fresh chicken". Ad adds the narration: "Kentucky Fried Chicken, fresh meat. Every store, Every day." But the ASA found that KFC chicken are delivered to each stores three times per week, it was decided shall not broadcast the ad, unless modified. 2.0 SOLUTION There is no doubt that business ethics plays a more and more important role in modern economy. The right thing to do isn't always clear in business (1990). Thus the company needs some common principles to guide the behaviours. It is much easier for a company with good moral conducts to build its reputation and win respect from all aspects of a society. KFC has already gained the reputation of a fast food that continuously provides greasy unhealthy food, so it needs to do something about and shift its positive image back. 2.1 Provide Healthy Product The traditional ethical stance of the company is to prevent actual problems on health and nutrition. However, there is an obvious lack for long term plans that will also maintain these developments even in years to come. KFC company should realize that their does not only have a responsibility to their current customers but to future generations as well. The scope of responsibility as cited in this discussion should include the provision of respect for others, honest and pure intentions as well as protection from harm. The management of KFC should be responsible in maintaining that healthy and nutritional foods which future generations will need as well so as to survive. Nowadays, people are more concerned with their health and figures than ever before. Obviously, the reason for this increased awareness is because of the fact that information is everywhere and every reports and research about nutrition seem to link fast foods with the growing number of obesity. In this case, KFC should start research on healthier ingredient like offering roaster chicken instead of fried chicken and provide low fat, low calories product to consumer. For example, McDonald's recently have announced that they will use organic milk to product the coffee and chocolate in future. As consumers increasingly concerned about the source of food, McDonald's also had to be improved

for their own ingredient in order to increase the turnover. McDonald's (UK) director Steve Easterbrook said, British consumers increasingly focusing on the quality of food sources and the realm of ethics, which has led to Britain's organic dairy products has been greatly welcomed, so we also decided to provide our customers changes in the quality of milk. At the same time, we also hope that through this change, can increase the level of consumption of organic milk, organic dairy products market, contribute to the development. Well-known dairy company Arla is a McDonald's milk supplier, said the organic milk market development more and more powerful, and we are very pleased to see McDonald's fast food industry to lead the transition to organic dairy products. Other than that, in 2008 McDonald's launches a new "cooked in a canola oil blend' symbol to the packaging of menu items cooked in oil to help inform customers that these products are cooked in a blend of canola and sunflower oil which is virtually trans fat free and less than 10 per cent saturated fat. In March, McDonald's introduced a new range of seared, 100 per cent chicken breast fillet products, providing a skinless, lower-fat alternative to deep fried chicken. Hence, KFC should develop and providing healthy product by using alternative oils which do not contains Tran's fatty acids and reducing the amount of MSG increasing the amount of protein in the process. This will convey a message to the consumers and let them know that KFC's chicken will maintain its taste without use great amount of MSG and oils which can contains Tran's fatty acids and will not harm to the consumer's body. By changing of the menu and the ingredient of cooking, this may rebuild their image and reputation from public because image plays the important roles in company in order to survive in future. In the selflessness theory of the Seven Principles of Public Life issued by the International Federation of Accountants (IFAC) state that the holder of public office should act personally in term of public interest not only gain benefit to themselves. Therefore, KFC should not only promote their new product, they should also put themselves in the shoe of their customers by understanding their requirements and responsible to make sure that the products are not harming the consumer's healthy lifestyle. 2.2 Responsibility to Animal Welfare With economic development and social progress, people towards animal's attitude have a series of changes. As result, some countries come up with animal welfare laws and regulations. In addition, with the improvement of living standards in developed countries on food safety and health have become increasingly stringent requirements, the WTO also requires on this. PETA advocates to promote animal welfare, the main purpose is to have better human beings, in a reasonable and humane use of animals at the same time taking into account the welfare of animals that live to be comfortable and not painful death. Some studies show that in dirty and dense environment, pigs, chickens, ducks and other animals, their immunity will be greatly reduced and it is easy to fall ill,

thus causing animal diseases. If an animals suddenly suffering in terror state, it will secret a large quality of adrenal and it will affecting the quality of the meat and these hormones may have hazardous on human health. After exposing the video of inhumane slaughter of chickens, PETA has been keep open condemnation on the KFC. KFC company should pay enough attention on this case, continuous improvement of the chicken breeding method and it living environment. This is the only way to ensure the chicken welfare, otherwise KFC will facing enormous obstacles from public. Besides that, KFC should made a commitment to require supplier farms to take measures to improve animal breeding environment, not forced feeding, not cruelty to animals and reduce suffer as much as possible when slaughtering process, or they will stop purchasing from them. PETA organization had proposed in change of using poison gas to slaughter chickens, this can reduce the pain of death to zero and reduce the contact between handlers, and would not affect on the quality of meat. Thus, KFC company should consider this propose and do their best to implement it in future. To support the view, deontological theory explains that it is a moral duty for individual to make the right decision determined not by its consequences but by obligation and commitments. 2.3 Improve Public Relationship TV media has an important impact on people to their moral values, self-awareness, and values. Advertising can influence people's attitudes change and affecting people's consumer attitudes and values. Therefore, if the information of ads are no false it will cause a negative impact on the socio cultural. Young people and children are important consumer group for KFC, many parents concerned about KFC food contained in the low nutrition and high-calorie, worried that will cause children's bad eating habits and nutritional imbalance caused by such issues. In fact, the media has a huge influence, if used properly will be able to play a significant positive effect. KFC should development of many more healthy, low calorie meals and other nutrition and health portfolio selection, and should clearly marked on the number of calories, nutrients, energy and nutrient density and the consumption of different age groups. So that, KFC can advocacy the healthy diet and exercise ideas in their ads, indicating the nutritional information, educating parents a correct idea and providing children the correct healthy diet knowledge. KFC company can also partnership with other public relation company holding a long-term, large-scale, cross-media public relations activities to advocacy the concept of the importance of health, encouraging of healthy eating and regular exercise habits, and provide a testing of body fat index (BMI) to public and also pay attention to the needs of disadvantage ethnic communities. Besides, by promote healthier eating habits to the public, it will win back consumers confidence and increasing its publicity with a more favorable corporate image. According to Mike Roberts, McDonald's president and chief operations officer, he said that, "There is nothing more important to McDonald's than building customer trust

and loyalty around the world". Furthermore, the ethical theory of moral relativism which can applies to people who believe that an act is right if approves by the social group in which person belong. 3.0BEST PRSCTICE & VALUE In my opinion, ethical business, safety, environmental responsibility, social and sustainable development is the best practices that KFC Company should have. KFC shall always identify the needs, wants and interest of its consumer and to provide the desired satisfactions more effectively than its competitor in such a manner that preserves or improves the well-being of both the consumers and the society especially in terms of health nutrition. KFC had act responsibility to committed providing their customers with safe, delicious meals and maintaining operating their restaurants under the highest food safety standards. This commitment is at the heart of operations and supply chain management, and is evident in every aspect of business from raw material procurement to restaurant food preparation and delivery. KFC believe treating animals humanely and with care is a key part of their quality assurance efforts. This means animals should be free from mistreatment at all possible times from how they are raised and cared for to how they are transported and processed. Their goal is to only deal with suppliers who can provide an environment that is free from cruelty, abuse and neglect. Between recognize of maintaining high standards of animal welfare is an ongoing process. Training and education has and will continue to play a key role in efforts. KFC will continue to work with experts so that the quality assurance employees and suppliers have the training and knowledge necessary to further the humane treatment of animals. The inclusion of the social responsibility concept to the business sector is not only necessary to broaden the companies' involvement to social matters. The application of social responsibility to organizations is in fact a main contributory factor to their profitability and to ensure that they always follow ethical matters while doing their business. According to the findings of Mohr and Webb showed that social responsibility plays a significant role in consumer appeal. The perceptions of consumers however, tends to vary with regards to this aspect. Nonetheless, this stresses the importance of social responsibility not only on benefiting the stakeholders but also in achieving the goals of the companies towards growth and profitability. At present, the management of KFC have already realized the growing importance of social responsibility and that integrating this concept cannot be sufficiently supported by the optimization of shareholder value. Additionally, KFC has essential managing company in health, safety and community responsibilities this may lead KFC company continuing success.

4.0 SUGGESTION & STRATEGIC OPTIONS One of the responsibilities of an organisation is to make sure that all their actions and business operations adhere to the ethical standards provided by the law. Other than strategies for marketing and management, businesses have considered other elements that play significant roles towards success. One of these important elements is ethics. As business requires social interaction and dealings, the strong recognition of what is morally right or wrong is then essential. In this reflective discussion, various ethical theories will be described. The main purpose of this paper is to identify the role of each theory to business and how these theories can be helpful to modern operations. All in all, it can be said that having a business organisation that considers ethical management are business which can easily gain respect and good reputation from the customers. Contrary to the belief that social responsibility undermines businesses' profitability goal, this actually help in generating profit through customer loyalty and good company image. For Kentucky Fried Chicken, the company must be able to ensure that the products that they offer are healthy and nutritional, so as to ensure also that their gain customer trust, loyalty and respect.

Ethics Management: KFC

Introduction According to (1996), corporate responsibility is supported by the concepts of

multidimensional definitions and social marketing. In the multidimensional definitions concept, the focus is on the major responsibilities expected from companies. These major responsibilities include economic, legal, ethical and philanthropic dimensions (1991). These responsibilities must be performed in order to benefit not only the company operators but also their employees, customers, the community and the general public. (1991) notes that the social marketing concept of corporate responsibility stresses those companies should operate in a way that maintains or enhances the well-being of its customers as well as its society. One of the most important factors to be considered by an organisation is to ensure that they always follow ethical standards by providing quality products or services among customers. Ethics is something that is not only acquired and applied in the family setting. In every aspect of life, be it

on business, community, religion or politics, ethics is important. In a way, a persons ethical background is tested in times of pressure and uncertainty. One way of establishing good ethics is by caring for others. Furthermore, this concept is centred on fairness, honesty and respect ( 1992). In the workplace, where people normally interact with one another, ethics is also an important factor, especially in building good working relations with others. And in the organisation, ethics means that the company should always ensure that the stakeholders are provided with quality products and services that adhere to ethical standards. There are many ethical issues that an organisation face and one of the organisations which faces major issue is the Kentucky Fried Chicken. Primarily, the main objective of this paper is to provide a discussion about the issue faced by KFC and the ethical problems that the company encounters.

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 over the world. An in quite a few US cities, Kentucky Fried Chicken is teaming up with its sister companies which are the A&W and AllAmerican Food. KFC is among the most popular fast food brands in the world. Started out in the fifties, KFC now boasts of operating, franchising, and serving a worldwide chain of around 11,000 fast food restaurants that prepare, package and sell a menu of ready to eat foods. However, despite of the established brand of KFC Corporation and contrary to its previous achievements; it seems that there is a need for the management to redefine its image. The growing and bustling population of today is obviously different from the population of the previous decades in terms of health and nutritional attitudes and behaviors. People today are more concerned with their health and figures than ever before. Obviously, the reason for this increased awareness is because of the fact that information is everywhere and every reports and research about nutrition seem to link fast foods with the growing number of obesity. Furthermore, there is also a number of emerging diet programs that promote and encourage the public to be figure conscious. This is a problem for KFC because it has already gain the reputation of a fast food that continuously provides greasy unhealthy food; whereas competitors have already made measures to

reduce fats in their products. The company needs to do something about and shift its positive image back.

Overview of the Issue Being one of the most popular fast food restaurants and with millions of people patronising the products and foods offered by the company, it is important the company adheres to ethical standards specifically in terms of providing healthy foods. However, it has been observed that Kentucky Fried Chicken is using oil which contains Trans fatty acids. This kind of oil is noted to increase cholesterol and even increased the risk of having heart disease. As authorities discovered this, the case was being carried over by the consumer group Center for Science in the Public Interest and told the company to use healthier cooking products than the one they are using. Trans fatty acids have been the topic of much debate among nutrition scientists. They are by products of hydrogenation of liquid vegetable oils in the manufacture of margarines and hydrogenated fats to formulate commercially prepared baked goods and fried foods (1995) like what have been accused to KFC. Gram for gram, they are believed to be twice as damaging as saturated fat. The Nutrition Action Healthletter, published by the Center for Science in the Public Interest (CSPI), reported in 1997 that in clinical studies Trans fat raised peoples blood cholesterol about as much as saturated fat did. Because trans-fatty acids are not listed on food labels, they are invisible to consumers. The CSPI found that the trans-fat content in most chains French fries equalled or even exceeded the amount of saturated fat. That means a big order of fries has as much bad fat as a signature burger. With the negative effect of this to the people, KFC has been faced with problems in terms of following business ethics and finding ways to find solutions to these kinds of issue.

The Role of Business Ethics in the Issue There is no doubt that business ethics plays a more and more important role in modern economy. The right thing to do isn't always clear in business (1990). Thus the company needs some common principles to guide the behaviours. It is much easier for a company with good moral conducts to build its reputation and win respect from all aspects of a society. (1985) research provides valuable information concerning how contemporary authors and business people define 'business ethics'. A synthesis of definitions reveals a definition emphasizing a majority of opinions about what is ethical for managers. Thus, business ethics is more than just

virtue, integrity, or character. It involves the application of one's understanding of what is morally right and truthful at a time of ethical dilemma (1985). Many studies have been done on business ethic. (1982) divides ethical study into three related phases: normative ethics, descriptive ethics and meta-ethics. While there are many textbooks written on business ethics ( 2000; 1999; 2002), there are very few textbooks on hospitality ethics. When it comes to a specific industry, say here Fast food industry the author think that the business ethic is the moral rule that should be obeyed by all the managerial persons and ordinary staffs in dealing with the internal and external affairs with accordance to its operational principle. For a tertiary industry, the building of business ethics is rather important because the leading position and importance of the role of person is rather obvious in the service industry. For some business ethic issues such as lacking of a sense of responsibility, fanatical money worship, the dilution of profession values and rules, delinquency, abuse of power and employing all the methods including illegal ones to earn profits, the improper ways to deal with them or the ignorance of them will definitely lead to business failure and even crimes. In the contrary, the building of a good responsibility and legal system of a hotel, which is representative of hotel ethic spirits, will effectively solve these problems Benefits that ethical consideration can bring As (1996, 1998) has said, ethics education should be emphasized in order to help managerial persons to think not only beyond self interest in decision-making, but also to consider the interests of society. It has been said that although many of today's leaders have outstanding aptitudes and capabilities, only those with strong values in ethics will ultimately succeed (1997). It is definitely necessary for a fast food chain like KFC to take ethical considerations into account when they are making decisions .So ethical considerations should doubtlessly be an influence on the decision-making processes. This will be well demonstrated and proved by the major functions of ethical systems of a hotel. In other words, if a hotel wants to exert the following functions, it should give some weight to ethical considerations. Generally, the successful realization of an organizational objective mainly depends on the degree to which the staffs recognize and accept this goal. The ethics of a hotel represent the fundamental values of all staffs, which are shared by each other. So the building of the fast food chain ethics and emphasise on it will bring in good guidance which is an important precondition to improve the management of a fast food industry. Because of the unique nature of the industry, there are more opportunities than in any other industry when ethics becomes an issue at stake (1999).

A fast food chain industry with good business ethics can usually arouse a sense of responsibility and belong among its staffs and even the general publics that may be very conducive to the coordination and realization of company goals. There are two ways to motivate staffs--material motivation and spiritual motivations. So the pure material motivations will ultimately increase the expenditure. If a company wants to motivate staff more, it has to pay more. What is worse, if you lower down the incentives, it will result in unsatisfaction and resentment. Take ethical issues in the decision in all walks of a company will be helpful to the working atmosphere. The building and accumulation of a hotel ethics will be embodied in the details and in other words, every decision. Some research results show that negative beliefs lead to negative attitudes and negative behaviours (1995). Ethical Stance The ethical stance that can be adopted by the company is perhaps the one pertaining to the assurance of providing healthy products by using alternative oils which do not contains Trans fatty acids. The companys ethical stance should not be based on short term goals. Kentucky Fried Chicken may have said that they are not using these kinds of oils to adhere to ethical standards of protecting the health of their customers but these efforts do not directly address the problem. The company is still encountering negative issues brought about by its negligent behavior. The traditional ethical stance of the company is to prevent actual problems on health and nutrition. However, there is an obvious lack for long term plans that will also maintain these developments even in years to come. Kentucky Fried Chicken should then realize that the company does not only have a responsibility to their current customers but to future generations as well. The scope of responsibility as cited in this discussion should include the provision of respect for others, honest and pure intentions as well as protection from harm. The management of the company should be responsible in maintaining that healthy and nutritional foods which future generations will need as well so as to survive. According to , the moral community also includes future generations, implying that though this generation is still nonexistent, people today should act for their benefit (1981). According to (1996), corporate governance under a good ethical management can be defined as a system that is used in order to direct and control companies. As a matter of fact, this idea applies to all business sectors all throughout the world such as the banking institutions, financial corporations and other types of businesses such as the retailing industry. In particular, corporate governance refers to the examination of the control of a company as utilized by its directors. In accordance to theory, the directors of public companies are held responsible for their

action by their shareholders (1999). On the other hand, the authority of the shareholders to influence the behavior of the company directors is limited in practice and is rarely exercised. This then provides directors of considerable power to take action as they see fit. However, this is not always the case as it appears to be relatively different form that of the government in which the action of the officials is slightly restrained by certain actions of the people it governs. Good ethical management through a societal marketing approach, as a term, has come to imply good, in the non-moral as well as the moral sense. In its moral sense good ethical management has come to be seen as promoting an ethical climate that is both morally appropriate in itself, and consequentially appropriate in that ethical behavior in business is reflected in desirable commercial outcomes ( 2000). Thus, the links here are with due diligence, directors' duties, and the general tightening of corporate responsibility. The companys management style should set a proper example of good intent, and provide for those lower in corporate hierarchies the clear message that it is do as I do as well as do as I say ( 2000). Middle and lower management find it hard to be ethical when it seems that the top of the corporate hierarchy have no commitment. The message of sincerity will always filter down, and no amount of deception will foster the view that a board is ethical when it plainly is not. Additionally, the commitment to ethical corporate governance by a board will enhance the prospects of an ethical infrastructure within the organization. That ethical infrastructure is a manifestation of the commitment, a means of preventing and resolving ethical problems, and an impressive demonstration of sincerity.

Recommendation for KFC With the issue faced by KFC, it is recommended that the company should be able to use an ethical management strategy that will uplift the image of the company. In this regard, the company may use societal marketing strategy. Societal marketing is that branch of marketing concerned both with the uses of marketing knowledge, concepts, and techniques to enhance social ends as well as with the social consequences of marketing policies, decisions, and actions. The purview of social marketing is, therefore, broader than that of managerial marketing. It refers to the study of markets and marketing activities within a total social system. Societal marketing emerged because of the convolution of several factors and forces in the marketing environment. These include affluence, technology, communications media, better informed citizens, increased educational opportunities, and social value changes. The latter can be considered as one of the most powerful single influences.

The concept of societal marketing adheres to the business ethics which states that the task of an organisation is to identify the needs, wants and interest of its audience and to provide the desired satisfactions more effectively than its rivals in such a manner that preserves or improves the well-being of both the consumers and the society especially in terms of health nutrition. In addition, such marketing approach calls upon marketers to give emphasis to three important aspects of their marketing policies. These include company profits, consumer wants and satisfaction and public interest. The main purpose of societal marketing is to adhere to the needs of the company, its target market and the society where they belong. The societal marketing concept also means having social responsibility which is to be accomplished by the company. In return, the company is being benefited on establishing good reputation not only with their stakeholders but to the entire market place. Hence, it is recommended that each and every company should be able to apply and practice societal marketing concept. In doing so, the company must choose who among the members of the society is in need and how they can sustain their needs. The company must also remember that applying societal marketing also means having social responsibility which should be done for the company and the societys sake. The inclusion of the social responsibility concept to the business sector is not only necessary to broaden the companies involvement to social matters. The application of social responsibility to organizations is in fact a main contributory factor to their profitability and to ensure that they always follow ethical matters while doing their business. A study has been conducted with regards to the significance of social responsibility to profitability ( 2001). Although, further studies are still necessary in order to analyze the correlation of these factors, the findings of Mohr and Webb showed that social responsibility plays a significant role in consumer appeal. The perceptions of consumers however, tends to vary with regards to this aspect. Nonetheless, this stresses the importance of social responsibility not only on benefiting the stakeholders but also in achieving the goals of the companies towards growth and profitability. At present, the management of KFC have already realized the growing importance of social responsibility and that integrating this concept cannot be sufficiently supported by the optimization of shareholder value.

Conclusion One of the responsibilities of an organisation is to make sure that all their actions and business operations adhere to the ethical standards provided by the law. Other than strategies for

marketing and management, businesses have considered other elements that play significant roles towards success. One of these important elements is ethics. As business requires social interaction and dealings, the strong recognition of what is morally right or wrong is then essential. In this reflective discussion, various ethical theories will be described. The main purpose of this paper is to identify the role of each theory to business and how these theories can be helpful to modern operations. All in all, it can be said that having a business organisation that considers ethical management are business which can easily gain respect and good reputation from the customers. Contrary to the belief that social responsibility undermines businesses profitability goal, this actually help in generating profit through customer loyalty and good company image. For Kentucky Fried Chicken, the company must be able to ensure that the products that they offer are healthy and nutritional, so as to ensure also that their gain customer trust, loyalty and respect.