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Mcdonald's Case Study Analysis

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McDonalds Case
Overview:
McDonalds have dominated the fast food world for years since their humble beginnings. Over the years they have proved the test of time and been the number one fast food restaurant in sales. Through dynamic market expansion, new products, and special promotional strategies they have been able to take over the world of fast food. McDonald’s is a completely global company that has been effective in catering to each need of a country they enter. In 1993 they opened a McCafe which is a coffee house inspired McDonalds in Australia and has grown to more than 300 units in 17 countries. They have brought the idea to America in hopes that I will change any negative image that consumers already have against them. McDonald’s estimates that the new concept of the McCafe will boost total sales by 15 percent. Here in the United States of America you can find a store in every city and almost every other block. Since 2001 there are over 30,000 McDonalds locations worldwide. The company also encourages entrepreneurship by having corporately owned and franchised McDonalds. Those who want to franchise have to attend McDonald’s Hamburger University and learn how to run a McDonalds effectively. This has allowed the widespread of McDonalds around the world. Some of their major competitors are Burger King, Wendy’s, and Hardees. All of these companies also specialize in hamburger fast food restaurants. Both Burger King and Wendy’s have had small gains in market share while Hardees lost share. McDonalds have been able to remain number one by always pushing new ideas to the industry, like the drive through window. Drive through sales makes up 65% of sales for McDonalds and are expected to grow three times as fast as on-premise sales will. Loyal customers seem to be the core of the success for McDonalds; heavy fast-food users comprise 20 percent of customers and

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