Mcdonald's External Environment Essay

Question 1

Using a recognized framework, critically analyze the impact of external environmental factors on Mc Donald’s New Zealand. The framework you could use includes but is not limited to: Porter’s five Forces, Pestal Analysis, Efas Analysis.

Mc Donald’s has been a fast growing franchise not only in New Zealand but all over the world. Environmental factors play a major role in deciding the outcome of its products. External environment factors way heavy on businesses similar to this. Analyzing these factors takes priority but may not be limited to only certain analysis systems. The Porters Analysis system or the five forces of porters generally assumes that there are five forces that determine competitive power in a business situation.

From the type of products it tries to produce to the materials and ingredients it buys. In relation to the above analysis of the Porters Analysis, there are other alternatives which can be used in a strategic form to gain advantage over their competition. In case of suppliers, Mc Donald’s NZ could look at other cheap suppliers locally or other markets with same quality such as beef and other ingredients. Introduction of new products, which have been successful in Mc Donald’s franchises in other regions, such as introduction of the Mc Aloo of Mc Donald’s India, into New Zealand’s Mc Donald could also help bring about more favorable outcomes when looking at it strategically. Another strategy that Mc Donald’s can employ is that they can expand into other countries before their competition expands into these regions. Countries in the pacific and around other zones would welcome a fast food chain such as this. Looking at their competition, another strategy that could be employed is the opening of much smaller branches such as stalls and stores which could be easily accessible to their

In regards to Mc Donald’s New Zealand’s case study, it can be stated that through the treaty of Waitangi principles Mc Donald’s can apply the key principles strategically into their own business in ways such as that all New Zealanders are treated equally whether in the law or in any business. With grievances, the government can intervene to set up a reconciliation method which both the business and its customers can benefit from.

Question 6

Critically analyze the New Zealand Mc Donald’s case study in terms of the context of globalization and sustainable development.

Globalization can be thought of as a process in which business decisions, production processes and market gradually show more international characteristics then national ones. Globalization contributes to economic growth, but it is only one of the contributors when taking into account population change, natural resources and traditional values. Mc Donald’s New Zealand tries to change its menu to meet with local tastes as well as expanding it to introduce new things and products. Bringing sustainable development, by buying local and sustainable resources locally provides for growth in New Zealand as a whole. Money stays in the country, helping the country to