EXECUTIVE SUMMARY
McDonald was founded by two brothers named Richard and Maurice McDonald in 1937 in California. This biggest global fast food chained arrived in Malaysia 43 years later in December 1980. McDonald Corp. gave their license to Golden Arches Sdn. Bhd. to open McDonald`s Restaurant in Malaysia. McDonalds have created over 7000 job opportunity ever since they arrive in Malaysia over the years. Today, there are more than 33000 McDonald`s restaurants in 119 countries.
1.0 COMPANY OVERVIEW One of the many outlets of McDonald is McDonald Klebang. McDonald Klebang is newly established on 19th May 2012 by Golden Arches Restaurant Sdn. Bhd. Moreover, McDonald Klebang is located in Persiaran Klebang Putra, Taman Klebang Putra, 31200, Chemor
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There are different methods of promotion such as advertisements, newspaper, magazines, billboards, coupons and many more. McDonalds usually advertise during the festive season. They also advertise their products using billboards. By doing so, McDonalds attract more customers. Other franchise outlet such as Burger King and KFC do not use the billboard method to promote their products. McDonalds offer the best price food as compared to KFC and Burger King. An example of promotion is by refilling the drinks for free. By doing so, McDonalds has a better opportunity in attracting more customers. Giving out gifts when an individual purchases a happy meal set is a type of promotion. More kids are attracted to purchase the happy meal set in order to receive the free happy meal toy. There are also special promotions during the festivals such as the prosperity burger for Chinese New Year. We can conclude that McDonalds spends a lot of money on advertising their products in order to gain and attract more customers.
OPPORTUNITIES
One of the opportunities for McDonalds Klebang to gain more customers is by handing out flyers to the housing areas in order to promote their product. Moreover, they can improvise on their advertisement for a better promotion.
THREATS
There are also many other competitors who advertise their products in order to gain customers. Due to this, the competition between
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McDonalds Malaysia was awarded with the halal certificate as there was no pork served at McDonalds. Through this, every outlet of McDonalds including McDonalds Klebang has managed to capture the hearts of the Muslims and is now one of the many fast food chains in Malaysia.
3.4 NATURAL ENVIRONMENT
McDonalds around the world has always been a company which exercise to protect the natural and community assets. Recycling is practised and implemented at McDonalds Klebang. By doing so, it helps to save the environment
3.5 SOCIAL ENVIRONMENT
It is the influence of culture in interpersonal relationships. There are many different types of culture in Malaysia. McDonalds has to produce products which can accommodate with the Malaysian culture. For example, pork is not allowed to be served in McDonalds outlets including McDonalds Klebang. They have been certified with a halal certificate.
4.0 HOW MANAGEMENT OVERCOME THE PROBLEMS
4.1 MARKETING MIX OVER OPPORTUNITY AND
In this specific commercial McDonald is aiming to sell their product and rise from their
From just one restaurant in San Bernadino, California, run by two brothers, McDonald’s has grown to become the best known and most popular fast food restaurant chain in the world.
Everyone has heard of McDonald’s, but where did this familiar name come from? When people think of American food, it is not uncommon for two golden arches to appear in their minds. This story began with two brothers Dick and Mac McDonald who owned and ran a small restaurant in San Bernardino, California during the 1940s. In 1954 a man named Ray Kroc came across these two brothers while selling multi-mixers and was impressed with the business they were running. The menu was compact, listing options for only a few burgers, fries and beverages, but the restaurant was effective in its operation. Ray Kroc pitched the idea of spreading McDonald’s restaurants across the United States and in 1955 he founded the McDonald’s Corporation. By 1960 he bought the exclusive rights to the name. Kroc was able to expand substantially on this small business so that by 1958 McDonald’s sold its 100 millionth hamburger. (“McDonald’s.com”)
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 Corporation is the largest fast-food operator in the World and was originally formed in 1955 after Ray Kroc pitched the idea of opening up several restaurants based on the original owned by Dick and Mac McDonald. McDonald's went public in 1965 and introduced its flagship product, the Big Mac, in 1968. Today, McDonald's operates more than 30,000 restaurants in over 100 countries and have one of the world's most widely known brand names. McDonald's sales hit $57 billion company-wide and over $25 billion in the United States in 2006 (S&P).
According to The Statistic Portal “McDonald’s has grown into a global giant with increasing restaurant numbers years-on-years – in 2014, McDonald’s had 36,258 restaurants worldwide.” In 2015, number of franchises in the United States are 12,836, Canada are 1,181, and international are 15,527; the company personally owned 6,714 restaurants. The numbers of people who visit McDonald’s has increasing from 108.52 million in 2009 to 113.82 million in 2013 (The Statistic Portal). McDonald’s serves 1% of the population every day. People can easily find a McDonald’s restaurant around them; it is everywhere: in the malls, air ports, and even in hospitals. People have been eating McDonald’s since the company opened in 1948. Nowadays, it is often being
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).
He saw how much potential the restaurant has, so he bought it out and opened one of the first franchises. Within the first year of Ray Kroc buying it, there were one hundred and two locations all around the world. McDonalds currently is one of the largest fast food restaurants in the world and currently has served over sixty four million customers through one of their thirty two thousand sites. It has almost become a way of life for America. Though, McDonalds started off as a small business between two brothers, it grew into one of the largest restaurant franchises in the world and greatly affects our society and how we eat our food.
McDonald's is the world's leading food service retailer with more than 30,000 restaurants in 118 countries serving 46 million customers each day. It is one of the most well-known and valuable brands and holds a leading share in the globally branded quick service restaurant segment of the informal eating-out market in virtually every country in which it does business. Problems Faced By McDonalds And The Public Opinion Of McDonalds For many years, McDonalds enjoyed worldwide success built on a few well-known, highly standard conditions. The company with the Golden Arches served a simple menu- hamburgers, French fries, and milkshakes or soft drinks. The food was priced low, its quality was consistent, and it was served speedily from establishments that all looked alike and were extremely clean. However in recent years, McDonalds has seen its growth rate slow down and its dominant market position slip. There are various reasons for this. The main reason is the several allegations made against them by environmentalist and health experts. These allegations are: Destruction Of Rain Forests McDonalds sells beef. Many beef suppliers get their beef from Central and South American countries. These cattle farms are usually placed on rainforest land that had been cut and cleared. The poor soil of the rainforest can only sustain life (grain for the cattle to fed upon) for up to a decade (although the mean is 2 years). The beef suppliers must move their farms every few years and consequently destroy more rainforest. Rarely does the forest re-grow, even if replanted. 70% of the moisture that makes a rainforest a "rain" forest originates from the transpiration of the leaves on the vegetation. Once that vegetation is removed for a few years and...
McDonald’s is one of the popular fast food chains in Hong Kong and the success of McDonald’s is due to it is able to create a homogeneous “global” culture that suit to the demands of a capitalist world. In Hong Kong, Time is money thus McDonald’s strategy is consistently fit to the fast food industry. The company has both economic strategy targeting at customer globally and locally.
McDonalds provide high quality products, such as burgers, fries, drinks, muffins, etc, which are safe and reliable that it does what it is supposed to do, but not only does the quality of the products matter, the good value for money affects the business. E.g. buy one extra value meal and get one free with a food voucher that represents the offer only. They ensure that a high standard of the product is carried out at all times and they try to compete very competitively with other fast food businesses with their good value for money. Also a customer would know if the product is good value for money by checking in another food outlet like KFC for their services and products.
In today’s market, McDonalds faces numerous challenges such as fierce competition, a more health conscious customer, and the continual need for improved customer satisfaction and menu. McDonalds needs to go through some changes in order to remain ahead in the fast-food industry.
Some of the benefits of the McDonalds brand are pretty obvious. The golden arches and the mascot Ronald McDonald have some the best recognition worldwide. This stems from the benefit of having global operations and the availability of culturally diverse foods that are provided based on the location of the restaurant [3]. McDonalds also utilizes installations in prime locations such as theme parks, airports, superstores and even in hospitals. The business is ranked number one in Fortune Magazine's 2008 list of most admired food service companies [4]. McDonalds is also associated with cheap prices, good tasting food and fast service. McDonalds also maintains a strong community oriented vibe with its Ronald McDonald Houses which provide charitable services to families with sick children requiring extended hospital stays (www.rmhc.org). McDonalds also sponso...
“McDonald 's is the leading global foodservice retailer with more than 35,000 local restaurants serving nearly 70 million people in more than 100 countries each day” (About McDonald’s 2014).
Advertising is mainly targeted at children – children may be a large part of McDonalds’ target market, but the advertisements of the past have solely been targeting children. This is not an effective strategy, as the rest of the target market has not been targeted. Multiple ads that target all groups would solve this