Product and competitive environment McDonald’s Corporation (MDC) known for its famous golden arches is the number one largest chain of fast food restaurant in the world. With headquarters in the United States and restaurants in 120 countries serving around 86 million customers a day. About 80% of the restaurants are operated by a franchisees or affiliates. McDonald's revenues come from the expenses paid by the franchisees such as fees, royalties, rent, as well as sales in company-operated restaurants. According to Hoovers, McDonald's Corporation in 2013 made and annual revenue of $28,105.7 compared to $27.5 billion made in 2012. Most of the restaurants are freestanding units offering dine-in and drive-through service, but McDonald's also has many restaurants located in airports, retail areas, and other high-traffic locations. The company has nine major markets – Australia, Canada, China, France, Germany, Japan, Russia, the UK, and the US – that account for 75% of sales. Although McDonald is a leading brand, the top companies that give McDonald competition include: Doctor’s Associates Inc., YUM! Brands Inc., Starbucks Corporation, Darden Restaurant Inc., and Burger King Doctors’s Associates, Inc.: A company who owns and operates Subway. It has approximate 40,855 restaurants in 105 countries, in January, 1, 2014. The total annual revenue is of $32.1 million dollars. Yum! Brands, Inc. or Yum! Is the world’s largest fast food restaurant company- they have more than 40,000 restaurants globally and operates in 125 countries. YUM! Licenses Taco Bell, KFC, Pizza Hut and Wing Street. The total annual revenue is of $13,084 million dollars. Starbucks Corporation is the largest coffeehouse company in the world, with 20,891 stores i... ... middle of paper ... ..." Forbes. Forbes Magazine, 13 May 2013. Web. 23 Apr. 2014. Llopis, Glenn. "5 Steps To Capturing The Hispanic Market." Forbes. Forbes Magazine, 03 Sept. 2013. Web. 13 Apr. 2014. "Hispanic Fast Facts." AHAA. N.p., n.d. Web. 14 Apr. 2014. Michael Goodman. "The Power of Hispanic Consumers." MercuryMedia. Research and Analytics, Apr. 2010. Web. 16 Apr. 2014. "Sales & Marketing Slides." Marketing Strategy of McDonalds. N.p., n.d. Web. 21 Apr. 2014. "The Marketing Process A McDonald's Restaurants Case Study." Business Case Studies. N.p., n.d. Web. 21 Apr. 2014. "Maps and Data about the Hispanic Population." Pew Research Centers Social Demographic Trends Project RSS. N.p., n.d. Web. 23 Apr. 2014. "U.S. Hispanic Country of Origin Counts for Nation, Top 30 Metropolitan Areas." Pew Research Centers Hispanic Trends Project RSS. N.p., n.d. Web. 23 Apr. 2014.
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Secondly, another area that is highly influenced by American society is the religion of the Mexican Americans. Ninety percent of Spanish speaking people are Roman Catholic (C...
Kanellos, Nicolás, Felix M- Padilla, and Claudio Esteva Fabregat, eds. Handbook of Hispanic Cultures in the United States: Sociology. Houston: Arte Publico Press, 1994. Print.
Advertisers have done a lot of research looking into these behaviors to ensure their resources are spent in the most profitable areas. In Kim Souza’s “Wal-Mart to focus more on Hispanic Shoppers”, she showcases that Walmart recognizes the importance of the Latino demographic and is creating a shopping atmosphere that Latinos are comfortable with. Within the article, there is data that show several differences in Latino consumer behaviors compared to other consumers. Below is the data:
The Hispanic community represents many nationalities and ethnicities, including Mexicans, Cubans, Puerto Ricans, 15 Central and South American countries, Spain, and the Dominican Republic (Cattan, 1993). Hispanic group are well known in the workforce, politics, education, social economic and religion. The Spanish culture influences a variety of areas such as music, food, language. Most languages are rooted in Latin. It is always good to learn about other cultures if we expect the same consideration when we visit other countries. Differences are what make life interesting. Majority of the United States is built on immigration, which has made this country the most diverse. And the Hispanic group contributes to that diversity.
6 American Community Survey Demographic and Housing Estimates: 2008. U.S. Department of Commerce, U.S. Census Bureau. http:// factfinder.census.gov/servlet/ADPTable?_bm=y&-geo_id=01000US&- qr_name=ACS_2008_1YR_G00_DP5&-ds_name=ACS_2008_1YR_G00_&-_ lang=en&-redoLog=false&-format=
Jarvis S (1993) Viva la Consumer: Pitfalls in Selling in Mexico; Journal article Review of Business, Vol. 15
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"As Growth Stalls, Unauthorized Immigrant Population Becomes More Settled." Pew Research Centers Hispanic Trends Project RSS. N.p., n.d. Web. 05 Oct. 2014.
Currently, Yum! has over 40,000 restaurants in 128 countries and territories, 90% are owned and operated by franchisees or licensees in the United States and 67% internationally (Yum!, 2014). By meaning, Yum! does not own or operate the restaurants. Instead a legal agreement is entered into whereby the franchise owner pays Yum! for the use of their trademark, trade name and adv...
According to Royle (1999) McDonald’s is a very large multinational enterprise (MNE) and the largest food service operation in the world. Currently the company has 1.5 million workers with 23,500 stores in over 110 countries with the United Kingdom and Germany amongst the corporation’s six biggest markets, and over 12,000 restaurants in the United States. In 1974 the United Kingdom corporation was established and in 1971 the Germany corporation was established, currently the combined corporation has over 900 restaurants and close to 50,000 employees in each of these countries (Royle, 1999).
McDonald’s has proven over time that the business practices they utilize work well and have led them to obtaining the title of the largest food retailer in the world. The founder of the company made a tactical decision in franchising the idea of providing fast food at a cheap price. Today, fast food has become a staple of not only American life but a viable food option all over the world. For McDonald’s a critical factor in them reaching the level of growth they currently experience has been franchising. It can be assured that McDonald’s will continue to grow through the usage of the franchising techniques as new food markets continue to develop all over the world.
Mc Donald’s is world’s famous fast food restaurant chain consisting of 34000 local restaurants. It is present in 119 countries serving 47 million customers on daily basis. It is globally recognized by the Golden arches as its logo. In 1954, Mc Donald’s founder Raymond Kroc passed by a hamburger stand in San Bernardino, California and then he came up with an idea of forming a countrywide fast food chain.