The McDonald’s Corporation case study take a comprehensive look into the competitive market of the fast food industry. Particularly, McDonald’s and some of it greatest fast food competitors. In this analysis I will be revealing the marketing strategies of McDonald’s and other fast food companies. Identifying the trending tastes of consumers in this market, tactics used by McDonald’s competitors such as Wendy’s and Burger King to one up the marketing strategies of McDonald’s. I’ll also be assessing the strength, weaknesses, opportunities and threats of McDonald’s in this market segment. Evaluating the consumer purchase decision process and purchase type in the food industry. Lastly, I’ll explore which growth strategies I believe would make the …show more content…
McDonald’s strength’s include their market share size, their ability to advertise new products, renovations made to food chains and their community service through the Ronald McDonald’s House. Some of the weaknesses that McDonald’s brand has in the market is the perception of their food being cheap and greasy as well as their inability to produce products that appeal to middle and upper class consumers. One opportunity I think McDonald’s can expand upon is their McCafe brand. I believe the McCafe brand could be a completely separate segment than the McDonald’s brand, they could market it as a fast casual restaurant that serves higher quality food at a higher price. There are a number of threats I see with the McDonald’s Corporation. First and foremost, the food industry is an extremely competitive industry. They are not only competing against other fast food chains but they are also competing against fast casual restaurants and premade food market. Another threat to McDonald’s and the fast food industry is the fact that millennials are more health conscious and are eating less fast food, baby boomers are also choosing healthier
While different aspects can be observed from the editorial cartoon, one thing is clear, McDonald's has no chance. As the metaphorical "McDonald's" fights to regain its former glory, it is ultimately left running in circles with no chance of making it to the finish line. The message is apparent in the cartoon. Ronald McDonald, tired, worn out, and fat will inevitably end up in the same slump he started from. The perspective is conveyed plainly with the use of several visual metaphors and presentation. McDonald's seems to be losing the game it started itself.
McDonald’s competes with brands such as Wendy’s and Burger King, but also compete with small mom and pop shops. The Federal Government intense involvement in regulating the food industry. McDonald’s use of HCFC-22, which is a product that depletes the ozone layer, will eventually lose the consumer base that is environmental friendly. Even though McDonald’s is recession resistant it is not recession proof; in a long recession McDonald’s profit shares will eventually decrease. McDonald’s needs to return to being an industry, currently they mimic what they competition is doing; for example Burger King was the first to introduced salads in their
McDonald’s was the first company to try to export America’s fast food and changes in eating habits to other nations. McDonald’s has over
I believe McDonaldization has invaded every sector of society and as someone who grew up with McDonaldization at every corner of my life I would have to say it’s been productive. It has allowed society to evolve. Every aspect of life has consequences and downfalls; it’s just a matter of dealing with them. I like moving at a fast pace. Why do people have to make friends with every person they encounter? It’s nice to have companionship but not from your server in a restaurant. McDonaldization has served as a directing force, another stage in our history. We adapt to every turn the world makes and change is good. When all of the aspects of McDonaldization are intertwined society runs smoothly. East Side Mario’s was an example of a company that followed all the rules, aimed for a goal and made it. I believe that’s all that it should take in anything you do in life to make it, just follow the rules and reach for your goals. McDonaldization is a positive contribution to society.
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).
OPPORTUNITIES: McDonalds has many opportunities to change its look, menu, and customer service. McDonald’s started building newer building incorporating the arch, along with more modern furnishings. The menu has changed by adding more breakfast items and introducing the McCafe in certain areas.
In 1955, McDonald’s, a fast-food franchise was started. Its mission was to provide warm customer service at a fast pace. McDonald’s is proud of the way they’re creating an experience to remember: reaching customers wherever they are and innovating new tastes and choices, while staying true to customer favorites. Today, McDonald’s still endeavors to maintain the same mission brand as they serve over 60 million customers at 36,000 locations worldwide in 100 countries. Through a strategic marketing plan with a marketing concept that focuses on customer satisfaction, McDonald’s is a fast-food restaurant that retains a competitive advantage. It’s the company 's belief that customers are the reason for their existence and because of this they have manage to maintain
In America, we consider McDonald’s to be a beef serving, sometimes fatty fast food restaurant, but after a 6 year business plan to sway the Indian population, McDonald’s has transformed. If they can continue this growth in India, and all over the world, globalization will start to love McDonald’s even more. They seemed to have hit the right points, from playing it safe, investing their time doing marketing research, to find the best places to put a restaurant and finding out what it is that people in India like to eat. This is what has separated McDonald’s from the rest of the western restaurants which tried to take the easy approach, just jump right into the country blind folded, and hope for the best.
This report will be presenting to you the SWOT Analysis of McDonalds Australia Holding Limited. There will be use of company reports, McDonald’s own website, and articles from the internet. The whole purpose is to show where McDonald’s is doing well and where its doing bad. Towards the end, there will be some recommendations that can help McDonald’s turn their weaknesses to strengths and threats to opportunities.
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.
McDonald’s McCafe, offers new products to the traditional menu of McDonalds. McCafe specializes in a variety of different types of coffee as well as smoothies, which attracts new customers that might not otherwise come to McDonalds for its burgers and fries, and gives McDonalds an edge over the competition by offering products that are different than the competition. McCafe is its own entity as well as it holds its own specific area in most McDonalds restaurants.
Fierce and growing competition – big fast food companies like Burger King and Kentucky Fried Chicken are constantly competing with McDonalds for customers and trying to take the spot as the top fast food chain.
With strength ultimately comes weakness and McDonald's has its fair share, especially in the last few years. Many weaknesses are due to the external environment which includes market saturation, increased price competition, and food and labor costs. These weaknesses affect many firms in the fast food industry so McDonald's is trying to effectively combat these forces using a differentiation strategy. Developing new products such
McDonalds objectives are to reverse the decline of sales, to continue staying ahead of the competition in the fast food industry and to find new strategies that would help the restaurant successfully compete in the a fiercely competitive market.
The McDonald's Corporation is the largest chain of fast food restaurants in the world. It is franchised in over 119 countries and serves an average of 68 million customers daily. The company started in 1940 as a barbecue restaurant operated by Richard and Maurice McDonald in the United States. They reorganized their business as a hamburger stand in 1948. In 1955, Businessman Ray Kroc joined the company as a franchise agent. He purchased the chain from the McDonald brothers and oversaw its global-wide growth (McDonald’s 2014).