KFC became the first Western fast food company in China after its inaugural outlet opened in Qianmen, Beijing, in November 1987.

[5] Existing Chinese distribution infrastructure was poor or non-existent, so KFC created its own to ensure quality standards.

[8] The chain had an early advantage against its Western fast food rivals, as fried chicken has been a staple Chinese dish since antiquity, whereas hamburgers were foreign and relatively unknown.

Wang met with the mayor of Tianjin city, Li Ruihuan, and was asked to teach him how to start a fast food business.

[12] In 1999, two KFC stores in Changsha were wrecked by crowds protesting the United States bombing of the Chinese embassy in Belgrade.

[16] In 2005, Sudan I (organic compound) was found in the spice pickle powder used in some KFC menu items.

[17] Sudan I is an industrial dye used for coloring solvents, oil waxes, as well as shoes and floor polishes.

[25] In July 2014, Chinese authorities closed down the Shanghai operations of the OSI Group, amidst allegations that it had supplied KFC with expired meat.

[26] Yum immediately terminated its contract with the supplier and stated that the revelation had led to a "significant [and] negative" decline in sales.

[27] Following the 2016 result of the South China Sea arbitration, KFC restaurants in Chinese cities became locations for public protests.

[28]: 126  Viewing KFC as symbolic of American presence in China, the protestors called for a boycott of the restaurant chain.

[28]: 126 When KFC first arrived in China, it was not visited very frequently, but now the chain plays a crucial role in urban life.

[29] With the growth of the ad market, brand names became a staple in China, increasing the recognition of large chains such as KFC.

The first KFC restaurants to open in China were considered a novelty, and attracted customers with an inspirational "Western lifestyle".

In turn, KFC competes against domestic rivals by offering an extended menu with localized food options.

KFC and McDonald's were the first American fast food companies to enter China during the 1980s, after foreign investments became more widely accepted under the economic reforms of Deng Xiaoping.

Similarly to KFC, it adopted a joint venture with a state-owned enterprise, the Beijing Corporation of Farming Industry and Commerce.