Mcdonald's External Factors

As the modern world is becoming a big cluster of various businesses, it is necessary to understand basic principles on which such businesses are based. For better understanding, it is important to know that there are external as well as internal factors affecting each business, its structure and success. Some of the external factors are a structure of competition in the particular market, trade restrictions, consumers’ interest, and a company’s market strategy. On the other hand, basic internal rules that affect each business are internal hierarchy and recruitment strategy. In order to understand what each factor presents and how it affects a business, it is best to look at real life examples. Firstly, an external factor that businesses are driven by is a market competition. The structures of market competition include monopoly, oligopoly, monopolistic competition and perfect competition, which is defined as the market with

Although food preference varies among countries and cultures worldwide, McDonald’s remains on top as one of the most powerful restaurant chains in the world. How is that possible? When introducing its food to different areas of the world, McDonald’s adjusts its menus and even prices to the consumers’ preferences (Haim, 2013). For instance, instead of a fast food, McDonald’s started a chain of fancy restaurants in France because the French do not consume fast food as they like to take their time eating (Haim, 2013). What is more, they even opened a vegetarian restaurant in India because most of the population there is vegetarian (Haim, 2013). Even though it seems like a lot of adjusting for a restaurant chain to go through, that is how McDonald’s remains successful in the market and makes about $36 billion a year (Hamer, 2018). Therefore, taking the consumers’ interest into account seems to favor not only consumers, but also