Home > Uncategorized > Possible Legal risks of social media in KFC

Possible Legal risks of social media in KFC

As it is identified that the web 2.0 tools have provided great benefits to organizations and companies in the way of dealing with digital era, as well as there are risks which can be faced by implementing such tools. In the previous post, it has been mentioned the benefits and risks, however this post will define deeply  the main legal risks to such organizations and companies as consequences of participating in Social Media.  Particularly, I will discuss these risks surrounding KFC .

Legal Risks for businesses in the use of social media is defined as an action against the law, or policies, which can be internally or externally of such organizations and such risks are summarized as in the diagram below:

KFC is well known globally as one of famous fast food restaurants and the risks faced or would be of KFC as following:

  1.           Reputation risk:

This risk is considered as a kind of danger which can make no sense of the “trustworthiness” and may cause lose of the business. Social media can be easily damage the reputation and makes that loses, as it is helpful to spread information whether it is correct or not.  There is a clip, which has been shown in YouTube negatively about the process of producing the chickens at the stage of chicken industry within KFC and it has effected its reputation.   

2.         Confidential information risk:

Information can be confidential information when it is not openly obtainable, “that the law protects from misuse or improper disclosure” by an individual who is under the responsibility to remain it private with limit access by authorization. For example, KFC has secret recipes, which makes the successes of its business. These recipes can be easily stolen, if they published in social media by employees in social media.

Categories: Uncategorized
  1. September 9, 2011 at 10:25 am

    That a really good blog, I have heard about this problem but I did not think of it from this side.

    I do agree with you, because I always know KFC with it’s secret recipes, so if it been leaked as this video does it will be a big loss for KFC.

    Feel free to come and check my blogs out an tell me what do you think.

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