Their low cost menu strategy has been effective in driving customer traffic and benefits customers through its low cost options. McDonald’s is also a pioneer in fast food restaurant chain; it takes the advantages of entering new markets around the world and this has equipped McDonald’s with largest market share. However, McDonald’s has problems providing unhealthy food and high employee turnover rates with workers’ strike (Fox 2012). Many years until now, McDonald’s has been recognized as fast food restaurant providing junk food as burgers, fries; and they were accused of causing obesity disease and many other diseases for people today. McDonald’s has been changing their menu many times by reducing calories, adding healthy food options such as salad, fruit and milk instead of providing fries, sodas in their standards meal.
It reflects the ways our different customers experience McDonald's. Our promotional and brand advertising are designed to complement each other and keep McDonald's at the top of our customers' minds. Public relations Public relations programs keep our customers informed about a wide range of McDonald's-related issues. We achieve this by working with the media to communicate McDonald's position on a range of topics including employment, the environment, nutrition, education and training. We also work with the media to educate people about developments within McDonald's, ranging from new store openings to the addition of a Playland at a local restaurant or an outstanding young crew person receiving an award.
In addition, Martin encouraged participation in deciding work methods and goals and used feedback to coach his employees. • The laissez-faire style of leadership that had been previously used at the Taco Bell restaurants. This means that the leader gave his employees a great deal of freedom to make decisions and to decide on work methods. The limitation of this method was that employees had too much freedom and were not working to their full potential. In addition, this method failed because all of the restaurants were operating differently which hurt the organization as a whole.
For instance, in McDonald’s grilled honey mustard snack warp plus small French fries, 420 calories 24g (6.0g saturated)that could be about six dollars. When fast food chains put labels on their food like McDonalds its consumer can’t blame McDonalds for selling them unhealthy food when they could see how many calories the food contains. Even though the article “Don’t blame the eater” is outdated, fast food chains have made a change for its customer by putting websites about their nutrition and even putting the calories table on the wrappers of the burgers or other food items. Zinczenko had many valid points on what fast food chain should do about the calorie labels. Then in 2011 many fast food chains had started to put the calorie charts on their food, but in 2015 the FDA has passed the labeling requirement for a restaurant which also go’s for retail food establishment and vending machines.
White is a very important color, which many customers do not notice when looking at marketing and advertisement. White is pure, balanced, and calm, McDonalds uses white on the majority of background marketing and on Ronald McDonald. McDonalds has had a lot of bad reputation from the food they were serving, but using white in their marketing, psychologically is trying to give McDonalds a pure image for their customers. White is a color of class, McDonalds now is trying to change their image, cooking better food and rising above their normal stature of bad fast food. McDonalds wants to be notice more as a restaurant, than a fast food chain, offering more than burgers and fries.
The business model works, and with national and international advertising, McDonald’s Corporation manages to serve billion of people every day. But while owning a McDonald's restaurant is a tremendous opportunity, the company is seeking individuals with significant business experience who have successfully owned or managed multiple business units and have significant financial resources. McDonald's Corporation claims they are about making money, growing business, and having fun. McDonald’s is very good example for others fast food company. We can say it very fixable with serving food to the customer on their values and principle.
· Restaurant Excellence: Focus on consist... ... middle of paper ... ...e vulnerable to price wars from their competitors. v Current food scares e.g. BSE and foot and mouth disease could turn their customers away from eating meat, although there are always vegetarian alternatives – McDonalds rely heavily on their meat sales. v Protest groups are always a common threat to McDonalds. The impact of interest rate changes and foreign currency fluctuations affect McDonalds.
As Michael Pollan said in his book, In Defense of Food, “Our food system has long devoted its energies to increasing the yields and selling food as cheaply as possible. It wouldn’t be too much to hope those goals could be achieved without sacrificing at least some of the nutritional quality of our food” (118). Most products contain preservatives and chemicals that are often found in non-edible products such as pesticides, fertilizers and industrial oils. Companies, such as McDonald’s, Burger King, Wendy’s and KFC, are guilty of serving food containing a variety of different ingredients that are, “absolutely terrifying” (Neal). These restaurants are responsible for using sodium nitrate, MSG’s, caramel coloring and dimetylpolisiloxane.
Objectives 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. IV. Areas of Consideration Situation · Eating habits of Americans are changing · Younger consumers are getting tired of fast food and are becoming health conscious · Growing dissatisfaction with the quality aspect of fast food restaurants such as McDonalds · Fast food is losing its sense of appeal to the large group of customers who frequently eat out Environment · another segment of the fast-food industry is comprised of a non-hamburger restaurants, growing trend is moving customers to non-burger sandwiches · increase in the fast-casual segment that includes restaurants that offer deli sandwiches and more upscale meals with more comfortable surroundings but faster Background · McDonalds has added new products on its menu · Advertising message focused on tasty and nutritious food, friendly folks and fun · Invested heavily in advertising and improving its public image · Opened first domestic McCafe Customers · recognize the importance of drive-through customers (try to increase the speed of drive-through delivery) · Importance of heavy users of fast-food restaurants Threats · McDonalds cheap and greasy image Major Competitors in the Hamburger Segment · Burger King Corp. that offers an array of value-priced offerings and makes kitchen and drive through upgrades · Hardee’s that continually introduce new items in the menu and join the price-promotion burger wars · Wendy’s International who has the strongest same-store-sales gains in recent years Major Competitors in the Non-Hamburger Segment · Pizza Hut that dominates the Pizza Segment · KFC that uses programs to attract kids and families to its food offerings · Taco Bell that practice successful high-priced offerings V. Alternative Causes of Action & Analysis 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. Alternative 1 McDonalds should focus greatly on building good customer relationship and uphold customer retention.
The Mexican Grill's exceptional ordering process is much more efficient than Taco Bell's. Taco Bell has been reprimanded for previously using unnatural beef that was not fresh. Chipotle on the other hand, uses fresh ingredients that are healthy and delicious. Finally, the difference between the two restaurant's customer service is tremendous. Taco Bell has terrible reviews that depict images of yelling and rude employees.