...Situation Analysis In order to advise Suzanne in the best way, we have compiled the following SWOT analysis, which outlines positives, and negatives that currently revolve her franchise and the current solution that she is proposing to the issue that she is facing with her store. External Assessment Environmental and Industry Strengths: Suzanne’s restaurant is one of the number one fast food companies by sales, thus she is part of a company that has a very strong brand recognition and reputation, it is said that there are over 30,000 McDonalds restaurant in 119 countries Weaknesses: With the seniors dominating her store she can gain some negative publicity, and this can result in her store being seen as the seniors store and with social media these days this can be spread very quickly and to other stores. Opportunities: Some positive opportunities that derived from this issue are that if she can turn this into an opportunity and implement the bingo games into her store. This could result into growth into her store and in other countries. Threats: Being in the fast food industry Suzanne is can be faced with a lot of government regulations with regards to health issues. Currency exchange and commodity price fluctuations could also be threat to Suzanne’s store. Internal Assessment The Organization Strengths: McDonalds is said to be a community oriented socially responsible co, they successfully and easily adapt their global restaurants to appeal to the cultural...
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...of McDonalds Malaysia briefly. Apart from this, we would also present the SWOT analysis which is Strengths, Weaknesses, Opportunity, and Threats of the McDonalds. Strengths and weaknesses is internal environment, while opportunity and threats is external environment. Lastly, we suggested some recommendations to improve the situation of the McDonalds. 1.0. COMPANY’S BACKGROUND According to McDonalds (2014), McDonald’s is the global leading fast food retailer with more than 35,000 restaurants serving approximately 70 million people each day in more than 100 countries. There are more than 80% of restaurants worldwide are franchised by independent local franchisees. McDonald’s arrived in Malaysia in December 1980 and McDonald Corp. gave their license to Golden Arches Restaurants Sdn Bhd (GARSB) to open McDonald's Restaurant in Malaysia by Tan Sri Vincent Tan. Since then, McDonald’s Malaysia has about 196 franchise outlets nationwide and is currently expanding annually. It has created over 7000 job opportunity since they arrive in Malaysia over the years. (ifranchisemalaysia, 2014) 2.0. SWOT ANALYSIS 2.1 STRENGTHS According to Strategic Management Insight (2014), McDonalds has strong brand name, reputation and considered the first one who entered to fast food industry compare to other companies in Malaysia. According to McDonalds (2014), McDonald’s success is base on a foundation of integrity. There are hundreds of millions of people around the world trust McDonalds. McDonalds...
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...Contact: Prepared by : ACCA Registration no : Word count : Submission Date : 7485 words Table of Contents Part One: Introduction and Overall Framework of the Research ................................................................. 4 Introduction .............................................................................................................................................. 4 Topic Selection and reasons for its selection............................................................................................ 4 Company selection and reasons for its selection ..................................................................................... 5 Aim of the Research Report ...................................................................................................................... 5 Research Objectives .................................................................................................................................. 5 Research Questions .................................................................................................................................. 6 Research Approach ................................................................................................................................... 6 Part Two: Data Sources and Business and Accounting Techniques.............................................................. 8 Sources of information for research work .....................
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...demonstrate how McDonald’s marketing strategy has helped render the company a global success. This is shown through the SWOT analysis. This study has found that the pivotal ingredient in this company is the unique and effective marketing strategy. Also to be credited was that the strategy showed that there were areas which could potentially disrupt the current rate of success (in terms of monetary results) If they are not rectified. A recommendation could be to increase the amount of ‘Healthy foods’ McDonald’s currently offer, to do so McDonalds would need to invest more in their product segment of the marketing mix. Introduction In many cases a company does not become successful overnight. There are a number of key ingredients which need to be focused on, in order to achieve its potential. An important part of this is the ‘marketing strategy’. The majority of successful firms invest large sums of capital and time into tailoring their strategy focusing on the potential changes in customer levels, rivals and the environment (Bradley, 2005). McDonald’s currently trades in over 119 countries worldwide and has the potential to develop furthermore. (McDonald’s Canada, 2007) it is through the application and implementation of McDonald’s marketing strategy and marketing mix which has resulted in McDonalds holding such a competitive position in today’s fast food market. McDonalds has a menu which in some form or another sets to make all segments of...
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...http://talkfinanceonline.com/swot-analysis-of-mcdonalds/ SWOT analysis of Mcdonalds April 18th, 2012 | Author: admin Share Swot analysis on McDonalds. McDonalds is an international food outlet preferred by every age group around the world. It is a multinational food outlet, despite this it has to be analyzed to evaluate its strengths, weaknesses, opportunities and the threats. Let’s analyze the outlet using swot analysis. Weakness * The weakness that hits the list is the employee turnover rate. Every year many of their employees are fired out of the restaurant * McDonalds mostly advertises products and food items that targets children. You will notice that bill boards always display the advertisements of Happy Meal and any other deal that is ordered for the kids mainly * Health conscious people seldom complain that they do not provide us with the organic and healthy food. This becomes their weakness when they get in the complaints * They also face quality issue at times. This affects the business as they are running the outlet worldwide, if one franchise gets affected others also get a bad name Strength * McDonalds holds a very strong brand name worldwide * They have large partnerships with other companies that provides them with their desired products, this increases the goodwill of the company * Socially responsible firms earn a good name in the market due to their projects they do to help people, McDonalds is one the most reputed firms...
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...[Type the company address] Page 1 Content: I. 1. 2. 3. Background: History Mision and Vision Business objectives II. III. IV. V. VI. SWOT Analysis: Advantages and Disadvantages of Mc Donald franchise: Investment decision: Summary: Reference List: I. About the MC Donald: 1. History: ( From : wikipedia.org/wiki/McDonald's) The McDonald's Corporation (NYSE: MCD) is the world's largest chain of hamburger fast food restaurants, serving around 69 million customers daily in 119 countries. Headquartered in the United States. The company began in 1940s. In 1955, Ray Kroc joined the company as a franchise agent. He subsequently purchased the chain from the McDonald brothers and oversaw its worldwide growth. In 2012, McDonald's Corporation had annual revenues of $27.5 billion, and profits of $5.5 billion. McDonald's primarily sells hamburgers, cheeseburgers, chicken, french fries, breakfast items, soft drinks, milkshakes, and desserts. In response to changing consumer tastes, the company has expanded its menu to include salads, fish, wraps, smoothies, and fruit. More than 80% of McDonald’s restaurants worldwide are owned and operated by independent local franchisees. Name Industries served Geographic areas served Headquarters Current CEO Revenue Profit Employees Main Competitors McDonald's Corporation Restaurants, Food Worldwide U.S. Don Thompson $ 27.56 billion (2012) $ 5.46 billion (2012) 1,800,000 (2013) Burger King Worldwide,Inc., Yum! Brand Inc., Subway,...
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...Inhaltsverzeichnis Executive Summary and methodology 3 TASK 1 3 1. PESTLE ANALYSIS 3 1.1.2 LEGA INFLUENCES 4 1.1.3 ECOLOGICAL INFLUENCES 5 1.1.4 POLITICAL INFLUENCES 6 1.1.5 ECONOMICAL AND FINANCIAL INFLUENCES 7 1.1.6 SOCIAL-CULTURAL INFLUENCES 8 1.1.7 TECHNOLOGICAL INFLUENCES 9 TASK 2 10 PORTER’S FIVE FORCES 10 1.1.8 THREAT OF NEW ENTRANTS 11 1.1.9 DEGREE OF RIVALRY 12 1.1.10 THREAT OF SUBSITUTES 12 1.1.11 BARGAINING POWER OF BUYERS 13 1.1.12 BARGAINING POWER OF SUPPLIERS 14 SWOT Analysis 14 RECOMMENDED STRATEGIES 16 Conclusion 16 APPENDIX 17 References 18 Executive Summary and methodology The goal of this report is to give a brief overview of the primary external influences on McDonalds in the fast food industry of Germany by using the PESTEL framework (refer to Appendix 1 for Corporate Profile). In the second part of the report, the reader is instructed about the changing competitive environment based on the theoretical framework of Porter’s five forces modell and the SWOT analysis of McDonald’s Germany. The analysis demonstrates the influences on the company’s policies and the effectiveness of the organization’s response. This is followed by recommendations on how to improve the current situation and give an overview of McDondals alternative strategy approach to increase their market share as well their profitability. TASK 1 1. PESTLE ANALYSIS According to the PESTLE analysis, an understanding of the environment – macro forces – is essential...
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...October 10th,). The Global Business Strategy of McDonald and how it reached All the Corners of The World at Lesser Cost. Retrieved from https://www.academia.edu/6465022/Global_Strategy_of_McDonald_and_How_It_Reached_All_corners_of_World 2. Ashley Lutz. (2014, October 24th). McDonald’s Is Making 4 Changes To Get You To Eat There Again. Retrieved from http://www.businessinsider.com/mcdonalds-us-strategy-for-2015-2014-10 3. Ovidijuis Jurevicius (2013, February 16th). SWOT analysis of McDonalds. Retrieved from http://www.strategicmanagementinsight.com/swot-analyses/mcdonalds-swot-analysis.html 4. Harsh Narula. ( 2014, July 29th). McDonald’s Supply Chain. Retrieved from http://www.slideshare.net/harshnarula/mcdonalds-supply-chain-37455744 5. Dan Moskowitz (2014, March 22rd). The Motley Fool: McDonald's new menu item hints at new strategy Retrieved from http://www.usatoday.com/story/money/business/2014/03/21/mcdonalds-new-menu-item/6705499/ 6. Keith Nunes (2014, October 22nd). McDonald’s to focus on local, customization in 2015. Retrieved from http://www.foodbusinessnews.net/articles/news_home/Business_News 7. Adam Jones (2014, June 18th). Must-know: A company overview of McDonald’s. Retrieved from http://marketrealist.com/2014/07/must-know-company-overview-mcdonalds/ 8. Don’t just talk; register. (n.d). A McDonald’s Restaurants case study. Retrieved from http://businesscasestudies.co.uk/mcdonalds-restaurants/the-marketing-process/introduction.html#axzz3TmfHSNfl ...
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...SWOT ANALYSIS SWOT analysis is an analytical tool used to assess the strategic capabilities of an organization. This tool is bi-focal as it focuses on both the internal and external business environment, though it can be criticized for doing so from the perspective of the organization. In this analysis, we are looking at the core competencies, or the strengths of McDonalds, the areas of weakness or where competitors have an advantage over the organization, opportunities presented by the business environment to McDonalds, and threats or any aspect in the business environment that can hinder their plans. S McDonalds is an iconic brand, which can be seen as one of its strengths. It was founded in 1940, and from then to now, McDonalds has already achieved global dominance, by becoming the world’s leading ‘fast food’ retailer. In achieving global dominance, McDonalds operations are designed to assure consistency and high quality through its restaurants design, layouts and products offered, assuring the customers of its quality. These factors have led to customer loyalty and customer trust. Another Strength is that McDonalds has a large market share. It has the largest “slice” of the pie in relations to it’s competitors, allowing McDonalds to become a market leader. Another major strength is that McDonalds has diversified income streams. Unlike some of it’s rivals, McDonalds doesn’t rely on one key source of income, as revenue flows in from company owned restaurants & franchises...
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...SWOT ANALYSIS S – Strengths or Core Competencies * Strong global presence, considered a market leader in all markets. McDonald’s is a global company that “operates more than 23,500 restaurants in 109 countries.”1 The company’s strong global presence is an significant advantage for them, because it gives them the ability to “play” with economic fluctuations of each country. By being spread out in different regions, the company is able to contest the economic fluctuations which are localized by country. McDonald’s has an advantage as it can operate effectively even in an economic downturn as at such times people seek out comfort food more. * Relies upon economies of scale for cost reduction. Any corporation registered and operating in more than one country at a time, usually with its headquarters in a single country. A firm's advantages in establishing itself multinationally include both vertical and horizontal economies of scale (reductions in cost that result from an expanded level of output). Critics usually regard the multinational corporation as destructive of local economies abroad and as prone to monopolistic practices * Very loyal employees and management monopolistic practices The company has known to have very loyal employees and management. The twenty of its fifty top employees started as low level restaurant employees at McDonald’s. The caring attitude of the company towards its employees is also shown by the fact that around its 67,000...
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...JunHong Chen, Zhexian Xiong Fin310U William Newman EX3 Industry Analysis Industry Analysis: Fast food industry Introduction Fast food industry report provide an analysis of the U.S. market environment of the fast food industry, evaluates the marketing activities and list several key player such as Panda express, McDonald's and Burger king as examples. The 5 force concepts framework is used for analyses the industry rivalry, threat of substitutes, buyer power, supplier’s power and entry barriers. (Porter's Five Forces) Five Force concepts rank Rivalry among firms: High Threat of Substitutes: High Buyer Power: Low Power of Supplier: Low Entry barriers: High Industry rivalry: Competition among fast food companies is really high, because there are a lot of competitors and fast food companies all try to again competitive advantage over the other companies in this industry. There are close to 50,000 fast food chains across the United States, with McDonalds being the largest restaurant chain. In the world, there are more than 500,000 fast food places. People can easily image the competitive because there are so many firms are sharing the fast food market. The increased presence of different fast food companies means a more competitive market. Fast food firm can gain a competitive advantage by some common ways such as product differentiation, channels of distribution and exploiting the relationship...
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...McDonald’s SWOT analysis MGMT303 Professor Dean Scott May 22, 2011 Management 303 SWOT Analysis of McDonald’s Corporation Section I – Corporate History In 1940, Dick and Mac McDonald first opened McDonald's Bar-B-Que Restaurant on Fourteenth and E Street in San Bernardino, California. The type of the restaurant was more of a typical drive-in featuring a large menu and car hop service. Then the restaurant was closed for three months and was re open with only nine menu items, and the most staple item for McDonald was the 15 cents burger. Then in 1958, McDonald's sold its 100 millionth hamburger. By 1959, the 100th restaurant was open in Fond Du Lac, Wisconsin. With the rate of McDonald growing, today McDonald's restaurants are in 117 countries around the world. The McDonald's brand mission is to "be our customers' favorite place and way to eat”. McDonald's today's slogan is "I'm lovin' it". Section II – Strengths and Weaknesses Two major strengths of McDonald’s are its strongest International presence and the training and skill development. Two of the McDonalds weaknesses are its saturation and its food quality. Strength #1 – Strongest International Presence McDonald's is the market leader in both domestic and international markets. On March 14, 2010, McDonald was rank number 14 from the top 50 on Fortune's Most Admired List. It is also the best brand recognition in the world, the golden arches and Ronald McDonald. McDonald's...
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...McDonald's SWOT analysis and recommendations SWOT Analysis: 1. Strengths: - Strong brand name, image and reputation McDonalds has built up huge brand equity. It is the no 1 fast food company by sales, with more than 31,000 restaurants serving burgers and fries in almost 120 countries. The image of McDonalds is recognized everywhere. This brand is in top ten of the most powerful brand names in the world with Coca-Cola, Nokia or GM. - Large market share McDonalds is considered as the largest player in size and global reach. When Wendy’s or Burgers King are losing market share in 2006, McDonalds still increases its market share. Market share of McDonalds in the recent time is about 19% while Yum!Brands is 9% and both Wendy’s and Burger King is 2%. - Specialized training for managers McDonalds is very serious on training managers. This company has its own program to train managers the most professionally, which is called Hamburger University. As a result, McDonalds has many good managers who can help company development well. - McDonalds Plan to Win McDonalds customer – focused Plan to Win provide a common framework for its global business yet allows for local adaptation. Through the execution of initiatives surrounding the five elements of its Plan to Win – People, Products, Place, Price and Promotion – McDonalds has enhanced the restaurant experience for customers worldwide and grown comparable sales and customer visits in each of the last eight years. This Plan, combined...
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...STRENGTHS * McDonalds has built up huge brand equity. It is the No. 1 fast-food companyby sales, with more than 31,000 restaurants serving burgers and fries inalmost 120 countries. Sales, 2007 (11,4009 million), 5.6% sales growth. * Globalization: 31,000 restaurants serving 120 countries. Of the 31,000restaurants at least14,000 restaurants in the US * Good innovation and product development. It continually innovates to retaincustomers in the business * Large amounts of investment have gone into supporting its franchise network,75% of stores are franchises * http://www.scribd.com/doc/43910055/SWOT-Analysis-on-McDonald * . The brand name and its packaging has been already recognized and accepted by many children ages 3 to 5 in all parts of the world * McDonald’s is a community oriented company, as well as it is socially responsible business. (Ronald McDonald House Facilities provides free extensive financial, education, dental and medical assistance to billions of children all from all parts of the globe). * The company operates more than 23,500 restaurants in 109 countries in worldwide. * Around 85 percent of McDonald’s restaurant businesses world-wide are franchised. The food-brand has been known as leading fast food and restaurant since 1997. Its global locations such as airports, cities, highways, theme parks and malls attract many busy people such as students, professionals and employees. * McDonald’s has efficient line assembly...
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...McDonalds SWOT Analysis Case Study Report McDonald’s BACKGROUND: Brothers Richard and Maurice McDonald founders of McDonald’s Corporation grew from a single drive-in restaurant in San Bernardino, California in 1948 to the largest food service organization in the world. In 1955 Ray Kroc opened firs McDonald’s in Des Plaines, Illinois and became exclusive franchising agent for the company. By 1991 McDonald’s owned $13 billion of fast-food industry, operating 12,400 restaurants in 59 countries (Ezine). The company recorded revenues of $21,586 million during the fiscal year ended December 2006 and increase of 8.8% over 2005 (Yahoo Finance, 2007). SWOT ANALYSIS: Strengths: The greatest strengths of McDonald was introducing people to the fast food and creating an image in people minds of fast food culture. McDonalds has over 30,000 branches in 120 countries and 80% of its revenues is derives from eight countries like Canada, Brazil, Germany, France, Japan, UK, Australia and US (Ezine). The biggest strength that the case study focused on was strategy – market leadership and buyer supplier relations. Shamsie stated that “the bigger success came in the form of McGriddles breakfast sandwich which was lunched nationwide in June 2003” (Dess, Lumpkin & Eisner, 2007, p. 692).New breakfast addition gave the firm comparative advantage in the market place and brought about 1 million new customers each day. Weaknesses: The same factors which are consider strengths are also weakness...
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