McDonald’s SWOT Profile I would be further discussing the McDonald’s SWOT profile to better understand the company’s situation. This would evaluate the company’s overall performance. Strengths McDonald’s has the largest fast food market share in the world. As mentioned, it serves 68 million customers every day in 119 countries, allowing it to be the second largest outlet operator with more than 34,000 outlets. Brand recognition is valued at $40 million.
Largest fast food market share McDonald’s serves more than 70 million people around the world in more than 120 countries. “You will see McDonald’s, everywhere you go”. You can see McDonald’s in airports, malls, cities, highways and parks. b. Strong Global Brand McDonald’s is currently the 6th most important brand in the world.
McDonald's restaurants are found in 120 countries and territories around the world and serve nearly 54 million customers each day. The company also operates other restaurant brands, such as Piles Café and Boston Market, and has a minority stake in Pret a Manger. In addition, McDonald's opens a new restaurant every three hours. Also, McDonald's has twice the market share of its closest U.S. competitor, Burger King, representing 7% of total U.S. eating-out sales. Similarly, McDonald's serves about 1% of the world's population on any given day through its 23,000 restaurants internationally.
Their current claim to fame is the dollar menu which is available for breakfast as well as lunch and dinner. You could easily feed a family of four for under $20.00 if each person purchases food and drink from the dollar menu. Currently the population of Flagler county is close to 100,000 with an unemployment rate of 8.3%. The supply and demand of fast foods restaurants in this county seem to be on the disproportionate side. With Mcdonalds owning four franchises in this county alone, all within a 15 mile radius of the town center of Bunnell and two of the McDonalds locations within 2 miles of each other.
Tesco Case Study Tesco, well known as Britain's leading food retail group with a presence also elsewhere in Europe, Asia and the United States has also been a pioneer online. As this Tesco.com case study shows, retailer Tesco is generally recognized as the worlds largest online grocer and it has an annual turnover of £1 billion online in the UK and has launched in other countries, internationally and is diversifying into non-food categories. Tesco.com 2006/2007 online sales By September 2007 online sales in the first half of the year were £748 million, a 35% year-on-year increase, and profit increased by 62% to £54.7 million. Tesco.com now receives over 300,000 orders each week. More details on online sales and non-food sales details are also provided in the main 2006/2007 annual report On p23 it reports: Today the tesco.com model operates in the UK, the Republic of Ireland and South Korea.
Industry and Competition Two American franchise companies that are successful today are McDonald’s and Starbucks (Forbes). McDonald’s strategic group is the fast food industry and they are known to be a leading, global food service retailer that has over 1.8 million employees, 80% franchised restaurants, and 35,000 local restaurants that serve 70 million people in at least 100 countries daily (McDonald’s). Starbucks is a retailer and the marketer of coffee operations in 60 countries that currently operates 9,405 company stores and 8,661 licensed stores. Starbucks is known to purchase and roast their own coffee in addition to selling a variety of fresh food items and tea products that are trademarked through other channels. Their ground coffee and bottle Frappuccino’s generates about $1 billion in annual sales.
It consists of over 3200 restaurants in over 119 countries. McDonald's start global expansion in 1971 they opened in different parts of Asia and European nations. McDonalds has many competitors like Burger King, Wendy’s, Hardees and many others. It is one of the popular companies of fast food industry over the world. One of fast and quick service restaurant in the world.
McDonald?s manages its system by geographical segments. The largest in terms of both revenue and restaurants is McDonald?s USA. In the United States (U.S.), McDonald?s has over 12,300 traditional restaurants, plus approximately 1320 satellite locations in facilities like hospitals. They serve more than 21.8 million customers a day. Approximately 85.5 percent of the restaurants are operated, under franchise agreements, by local independent business people, Owners/Operators (www.mcdonalds.com, Flakes, B. personal communication).