ipl-logo

Mcdonald's Economic Environment Analysis

1739 Words7 Pages

Economic environment refers to the enterprise survival, the development of social economy and national economic policy, which factors that affect consumers spend money on purchasing goods. On the other hand, economic environment includes globalization, economic growth, interest and exchange rate. Those four factors are important in business, because they can affect the activities of company.
At first, economic growth has an effect on economic environment. Economic growth is refers national output per person (or per capita income) level continues to increase in a long time span. Economic growth can help to increase the wealth of a country and decrease unemployment rate. Therefore, economic growth can add to more money to company and company …show more content…

Especially the globalization of company that a target to develop the company. Globalization can help company get more money from different country and help company to be strong. For example, McDonald’s is a globalization company that has many branches around the world. “think global, act local” (Vignali, 2015). In a fact, if McDonald wants to set a branch company in a foreign country, McDonald should cooperate with local government and people. Because McDonald needs more information about local culture and eating habits that can help McDonald has a good service to customers and makes more profit on customers. This is an important strategic target to the company of globalization. “The characteristic of the company globalization success is innovation” (Bel, 2015). For example, Apple Company is the one of popular company in China, because Chinese customers like their creative design. Apple has always stressed concise, can simply not complex. Therefore, Customer can be easy to control the product. On the other hand, there is much App is suitable for Apple. So customer can be happy to use the Apple’s product. Therefore, the global plan of Apple in China is successful, because their innovation is suitable for Chinese …show more content…

So the company should work with BC government and enjoy some policies that can help company to keep run well. On the one hand, BC has rich resources to support company to develop product, so company should add to more equipment to make use of the resources and company should spend more money on developing High-tech equipment that can help company reduce some of run cost. At last, BC has a good electricity market that company can set some discount on customers. By this way, company has a good reputation on customers and develops in intense market competition.
Section 3
BC changes in liquor market regulation that breaks the BC government monopoly of liquor. The new market regulation has a lot of effects on sellers and customers.
Firstly, for customers, new market regulation brings a lot of benefits to them. They are more convenient to buy the liquor than before. For example, British Columbians in rural customers buy the liquor that have to go the rural agency (Yap, 2015). But now, they can buy the liquor on the supermarket near home. At the same time, they also save the time to buy the liquor. On the other hand, the new policy shows that “liquor service in bars and restaurants” (Minstry, 2015). That means more customer can drink the wine in the bars and restaurants that not only can make customer to enjoy the wine, but also the bars and restaurants can make more profits

Show More
Related

  • Pros And Cons Of Privatization Of The Liquor Control Board Of Ontario

    1485 Words  | 6 Pages

    Although there are both pros and cons when it comes to considering the privatization of the Liquor Control board of Ontario, this report shows why and how transferring the government owned organization to the private sector would be beneficial for both the public and government. There are many benefits for the public and the government when considering privatizing the Liquor Control Board of Ontario. The major reasons as to why the sale and distribution of liquor in Ontario would be better off privatized is because it would allow the federal and provincial government to generate greater revenue through taxes while not participating in the liquor sales itself. The privatization would also enhance consumer choice and service by decreasing alcohol prices and increasing product choices. Privatized liquor sales will also benefit the government by creating many business opportunities which will lead to many job opportunities as well.

    Read More

  • The Ritual Of Fast Food Analysis

    634 Words  | 3 Pages

    Travelers who go places to visit family, or any other reason, gets hungry and would like to see a familar fast food restaurant they can go to everytime they travel. As Visser said “When a huge modern business conglomerate offers fast food to travelers on the highway, it knows that its customers are likely to desire No Surprises. They are hungry, tired, and not in a celebratory mood; they are happy to pay—provided that the price looks easily manageable—for the safely predictable, the convenient, the fast and ordinary”(129). The restaurant that is known for travelers to stop at when tired and hungry is McDonalds. You can find a McDonalds about anywhere you go in the world and its always fast service most of the time.

    Read More

  • The Impact Of Globalization On Apple

    1025 Words  | 5 Pages

    Globalization is a process of interaction and integration among the people, companies, and governments of different nations, a process driven by international trade and investment and aided by information technology. This process has effects on the environment, on culture, on political systems, on economic development and prosperity, and on human physical well-being in societies around the world. The most common example of globalization might be Ebay or Amazon. Nowadays flows of goods and services are not only cheap and fast, but reliable and secure.

    Read More

  • Starbucks Globalization Case Study

    1527 Words  | 7 Pages

    It is true that the United States is the world largest economy based on GDP. It is famous for numerous huge brands in the World. For instance, in the field of technology and social networking, American Brands such as Apple, Microsoft, Google, Facebook, etc. always take the lead in this market. In terms of food, we can not deny the succeed of McDonald or Duckin’ Donuts. And in the coffee markets, there is a firm which changed the way Americans and people around the world view and consume coffee - Starbucks.

    Read More

  • Political Factors Affecting Adidas

    1394 Words  | 6 Pages

    Part A Macro environment is important factor affecting the development of enterprises. A macro environment is the condition that exists in the economy as a whole, rather than in a specific sector or region.(Macro Environment n.d.) Cultures, politics, technology, nature, economy and demographic are the six major forces in the company 's macro-environment.(Kotler & Armstrong 2014, p96） Political factors Political factors include government regulations and legal issues and define both formal and informal rules.(PEST Analysis n.d.) All the companies have to follow these rules.

    Read More

  • Postmodernism In The Workplace

    724 Words  | 3 Pages

    The process of globalization has a major effect in the changing world. Globalization have two main drivers which is economic institution and information technology. There is a rapid change in technology as well as knowledge therefore for organizations to be competitive in the global market they need to be familiar with new

    Read More

  • Factors Affecting Unilever

    811 Words  | 4 Pages

    Political environment includes laws, government agencies, and pressure group that influence and limit various organizations and individuals in a given society. Economic environment consists of economic factors that affect consumer purchasing power and spending patterns. Social factors include the demographic and cultural aspects of the external macro environment. In which demography is the study of human population in terms of size, density, location, age, gender, race, occupation, and other statistics; cutural environment consist of institution of other forces that affect society’s basic values, perceptions, preferences, and behaviors. Therefore, these factors have an impact on customer’s needs and size of potential markets.

    Read More

  • Demographic Analysis Of Apple

    1564 Words  | 7 Pages

    Apple marketers must always be aware of the present and future economic developments. This is to ensure that the marketing plan can be done. Economic environment factors that affect consumer buying and spending and affect the wealth of an area include income distribution inflation, recession and spending patterns. The amount of individual or household income is refers by consumer income.

    Read More

  • Disadvantages Of Economic Growth

    1571 Words  | 7 Pages

    INTRODUCTION Economic growth is defined as the increased capacity of an economy to be able to produce goods and services in comparison from one period of time to another. This is figured by the genuine Gross Domestic Product (GDP) and development, and is measured by utilizing genuine terms such as “Balanced Inflation”. These terms help to remove any distorted views on the perceived outcome of inflation on the cost of merchandises produced. Likewise, Economic growth is related to the high expectations in a person’s standard of living. If the standards are high, it wouldn’t be beneficial for the economy as the working class individuals will face a lot of trouble.

    Read More

  • Strategic Management Case Study: Mcdonald's Corporation

    3370 Words  | 14 Pages

    The diagram above shown the CPM of McDonald’s and its competitor, KFC and Burger King; indicates McDonald’s is in a strong strategic position than its competitor. Some of the reasons McDonald’s is successful and has high market is due to it strong brand name recognition, a strong customer loyalty, and its global expansion. Furthermore, McDonald’s is also invested a large sum of money in advertising and very well known toward it charity program through Ronald McDonald’s House. Nevertheless, there are areas in which the organization can improve.

    Read More

  • Mcdonald's Market Segmentation

    1402 Words  | 6 Pages

    The age factor used by the target market of McDonalds is a family with dual income that does not have the time to prepare their food for their children, the workers who are having lunch and teens. Besides that, according to Schroder and McEachern (2005), global target market fast-food industry account for 79 percent is at age 17-25. The income factor used by McDonald target customers are upper-middle and lower income consumers. The Mac value offered by McDonalds will attract lower class customers to upper-middle customers. McDonald 's lunch meal RM5.95 has improved the product as it is attractive to upper-middle and even lower customers.

    Read More

  • Mcdonald's Risk And Risk Analysis Of Mcdonalds

    817 Words  | 4 Pages

    When you think internationally it can only be larger. McDonald’s has to be aware of what those competitors are doing at all times to make sure they are up to

    Read More

  • Mcdonald's Revenue Cycle Case Study

    1073 Words  | 5 Pages

    Section 4 Findings and recommendations (a) Evaluate the effectiveness of the revenue cycle McDonald’s is apparently one of the biggest giants in the fast food industry, and this role simply proves that they did really well in their internal management. Therefore, we are going to evaluate the effectiveness of McDonald’s in term of revenue cycle. Initially, there is a lists of complaints available online about McDonald’s, as the accuracy of ordering process should be improve due to employees often process incorrect orders or even misplace the customer orders.

    Read More

  • Reflection On Globalization

    731 Words  | 3 Pages

    The aim of this assessment is to reflect on what I have learned this semester regarding the module of Business in Global Context; from the lectures with the professor, the case studies done in class and the three previous patchworks that we worked on. We have learned that there are different internal and external components that affect the business environment, from corporate social responsibility to cultural and institutional framework; organizations must take into consideration all the factors related to the different parts of its environment. For the topic discussion, I will be discussing globalization and how it has affected the global business environment along with the key aspects and the different point of views regarding it.

    Read More

  • Roles Of Money In Macroeconomics Essay

    1772 Words  | 8 Pages

    ROLE OF MONEY IN MACROECONOMICS 1. Introduction Money can be seen as the medium of exchange which is acceptable while transaction is being undertaken between two parties. Some of the common forms of money are: - Commodity money: This is when the value of the good represents its value in terms of money like gold or silver. - Fiat money: This is when the value of the good is less than the value it represents - Bank money: It is the accounting credits that can be used by the depositor Money serves a variety of crucial functions in the economy and this is why it has gained an unparalleled influence in the matters of economy at micro as well as macro levels. Some of the features of money that make it so important for any economy are as follows:

    Read More

More about Mcdonald's Economic Environment Analysis

Open Document