In response to difficult economic conditions, KFC Malaysia has temporarily closed outlets in the country. This decision comes after reports in the local media suggested that the closings were linked to boycotts over the fast food chain’s perceived connections to Israel. QSR Brands (M) Holdings Bhd, the company that operates KFC and Pizza Hut franchises in Malaysia, stated that the closure of KFC outlets is a response to the challenging economic environment. They mentioned that this move is part of proactive measures to manage increasing business costs and focus on high engagement trade zones. The company did not comment on media reports regarding boycotts.
Although exact numbers were not disclosed, local media reports indicated that over 100 outlets were temporarily closed. Employees from impacted stores were given the option to move to outlets in areas with higher customer engagement, according to QSR Brands. The aim of this move is to streamline operations and cope with current economic challenges facing the fast-food industry in Malaysia.