Case Analysis Of Mcdonalds

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MANAGING MARKET 1. INTRODUCTION McDonald’s was founded in 1940 by brothers, Richard and Maurice McDonald in the state of California (RF). Presently there are 36,900 locations globally, operating in 100 countries within 7 areas of the world which includes: The United States, United Kingdom, Africa, Canada, The Middle East, Latin America and Asian Pacific countries. On average, McDonalds serves 69 million consumers daily (RF). McDonalds is currently the number 1 burger chain in the world and one of the most recognizable and iconic brands (RF). As of 2016, 82 percent of all McDonald’s locations are owned by franchises but operate under both direct and indirect observation of McDonald’s, however, franchised restaurants are the primary source…show more content…
In addition, McDonald’s Corporation mission is to provide opportunities for it’s employees as well as operating in a profitable manner while remaining environmentally responsible and sustainable (RF). 2. MACRO ENVIRONMENT A company’s strategies and performance can often times be affected by external forces which are known as elements of the Macro Environment. These external factors can be represented across the following areas: Technological, Natural, Economical, Regional, Political, Social, Religious and Natural Forces (RF). When analyzing external factors the PESTEL analysis method is the most common and appropriate (RF). I will use the PESTEL analysis method to address the following factors: Economical Factors: Interest rate, tax rate, economic growth, exchange rate, those are the factors related to economic environment. (Hollensen, 2007). As the McDonalds primary target market is upper and middle upper class that are less sensitive to price while the target market may respond to the price (Scribd, 2009). Reduction is the sales volume of McDonalds can be a good example of depression in the European…show more content…
For instance, the most recent roll out has been the 2004 Chicken Selects premium Breast Strips (Coffee, 2007). Many other promotions with food, toys, collectibles, videos, and other prizes have been used by McDonald's restaurants over the past 50-plus years. These promotions, some better than others, have helped to keep McDonald's growing and gaining in the fast food world. Recently McDonalds is planning to remodel its stores using bold colours. The periodical described the new packaging of the company as crisp imagery and sharp marketing copy. It adds that the full-colour photographs of ingredients remind customers that it offers real food (Amy, 2009) While promotion the image of McDonalds, the company mainly use newspapers and magazine. For example, in United Kingdom, they commonly use newspaper and magazine like London Lite, London Paper, Metro, The Sun, The City A M., etc (Coffee, 2007). In Asia, McDonald is trying to promote their product mainly on children in order to get optimum result from their advertising. 4. SWOT

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