Introduction:
McDonalds and Dominos have implemented different strategies in their supply chain management with the former having a transparent structure and not owning any factories and the latter being vertically integrated and owns franchised stores. The purpose of this comparative study is to compare and contrast these two supply chains by analyzing why and how they are different, whilst discussing challenges imposed to their overall strategies and brands are affected. A series of questions will be researched to aid this discussion (see Appendix 1 ). Managing their supply chains correctly and effectively is a significant part of operations as it affects the firm as well as customer satisfaction and therefore future business.
Methodology:
In this essay study the following theories are applicable: the bullwhip effect, purchasing – sourcing and customer relationship management. The data collected will be mostly secondary and qualitative with reference to quantitative figures. Company websites were consulted to assess the scope of the information provided to their consumers. It was evident that McDonald’s had significantly more information than Dominos. 3rd party reports were also taken into account to see whether there was contradictory or extra information.
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It has 16 supply chain operating centers in the U.S. and more abroad (Dominos report). Give more control and lower costs but decrease flexibility (occupy theory, 2014). McDonald’s on the other hand doesn’t own any factories/distribution centers, the supply chain is outsourced (revision lecture) therefore communication and good relationships with suppliers is vital (university alliance, 2015). McDonalds sources most of its ingredients from the U.S. and uses other countries to meet demand. For example McDonald’s suppliers obtain beef from farmers in the U.S. New Zealand, Canada and Australia
Question 1 answer: Customer relationship management is mainly about building relationships with a company’s targeted profitable customers and maintaining that relationship through delivering customer value, as in how a consumer perceives a certain product and values it enough to buy it rather than buying the competitor’s product, and delivering customer satisfaction where the product meets the exact expectations the consumer had actually expected from the product or more, but not less. Companies can build customer relationships at many levels, depending on the nature of the target market (Kotler and Armstrong, 1988). Companies with many low-margin customers can develop basic relationships by which a company doesn’t get to know it’s consumers
5.2. Price in the marketing mix of Domino’s pizza (Bhasin, Marketing mix of Domino’s, 2017) Domino’s motto is “Best of Quality with Reasonable Pricing”. The lower middle class and middle-class income groups are their main targets. As Domino’s has come up with a uniform and consistent pricing policy, it helps them to keep the base price in check and helps to attract customers.
McDonald’s is the world’s largest restaurant chain, serving a total of 69 million people a day at 34,000 restaurants worldwide. While facing a tough competition, McDonald’s has chosen to launch a new product to sustain competitive advantage as well as to attract customers in the ’18 to 32 years old’ range, which they have struggled with up to today. They launched the McWrap on April 1, invented by the 47 years old vice president and executive chef Dan Coudreaut. The McWrap is meant to be a healthier choice than the products McDonald’s are in general known for, as well as to compete with competitors such as Five Guys, Subway and Chipotle. However, people assimilate McDonald’s to junk food unlike the ”Subway buster”.
They get the food ingredients from one supplier and the drinks are from another supplier. McDonald’s has nothing to sell selling if they didn’t have a supplier. The company must make sure the suppliers are cooperation and trustable.
The Value Chain 4 4. Operations Strategy Implications (Store level) 5 5. Inventory Management and Demand Forecasting 9 6. Supply Chain Management 9 7. Quality Management 11 8.
McDonalds has restaurants at 33,000 locations in 118 countries and 32,500 restaurants in 118 countries. But how are they able to open as many stores as this? The reason is because of its advertising methods social media and they started using social media since 2006, McDonalds uses social media as an advertising tool for marketing their products in order to communicate with the consumers for their product and by using social media tactics McDonalds ranks as 1st in social media as well as it is one of the top 10 global fast food chain industry. Thereby they have opened so many stores and each earns a large profit from many people visiting by seeing their products and their reviews online. Social media has helped McDonalds expand their business.
Introduction In this marketing assignment, we choose Apple as the company to analyze the marketing environment that affect the Apple Company’s ability to serve its consumer market and the major factors that influence consumer buyer behaviour. Apple became a computer company started in 1976. In the last decade, Apple had broaden into a complicated and intricate company.
Starbucks was founded in 1971. They have 18.850 stores in more than 40 countries which makes them the first coffee specialty retailer in the world. They operate most of their stores having only 50 franchises (as of 2017) as to keep strict control over quality. The success of Starbucks is based on their unique value proposition. They offer customer the finest coffee produced by themselves, with strong commitment on creating a global social impact, served in stores that promote a welcoming and warmth sphere where everyone can feel “like home”.
Supply chain challenges arose around identifying local suppliers that can meet BURGER KING® Worldwide’s exacting and stringent criteria, and that have the capacity and willingness to develop and deliver products consistently. All their local suppliers have met the standards set and have committed to the development and investment required to meet their growing national demand. EXCELLENT MEAT PARTNERSHIP BURGER KING®‘s joint venture with Excellent Meat – an established, family-run meat manufacturer and distributor – to develop a standalone dedicated beef patty plant is critical to the vertical integration of the business. The partnership ensures that the constant demand for quality patties in South Africa is, and will continue being, met as the scalability of the plant allows for rapid expansion. Once the plant is fully operational, GPI expects a production capacity of three million patties a
They serve as marketing mediators ensuring that the right distributor has been chosen, availability of the product in the market etc. e) Customers – Customers are the end users of the products supplied by the distributor. The below diagram represents a customary supply chain process; Supply chain in Pizza Hut is very dynamic and plays a vital role in achieving organizational goals and maintaining brand image. The organizational objective of Pizza Hut is to be the unbeatable market leader by providing relentless innovation, commitment to quality, dedication to customer service and value across the globe.
Introduction The company selected for this research is McDonald’s Australia Holdings, a patented public company in Australia. The company specializes in food and beverage products such as burgers, coffee, sandwiches, McCafe beverages, and soft drinks, among others. The primary activity of the company, which generates most of its revenues from food and beverage services, entails establishing and operating a chain of family restaurants that offer quick services throughout Australia. While the company owns and runs a smaller number of the McDonald’s Australia Holdings’ restaurants, a larger number of the restaurants is owned and ran by franchisees, who shell out the company’s service fees and rent (Buchan, 2012). The 2013 annual revenue of the
The organization view themselves primarily as a franchisor and believe franchising is important to delivering great customer experiences and driving profitability. At year-end 2014, more than 80% of McDonald’s restaurants were franchised. From
According to TrackMaven, market segmentation is the process of dividing the market of potential customers into groups, or segments, based on different features. The created segment consists of consumers who will respond to the same marketing strategy and who share the nature of the same interests, needs, or locations. McDonald uses demographic segmentation as their main types of market segmentation. According to Sakshi Natani (2016), McDonald in Malaysia used mainly demographic segmentation, which divided in age, income, family-life cycle and social class.
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
The used of Unilever’s portfolio of categories, channels and geographies is to discover the growth and profitability throughout the period of time. Hence, Unilever Plc should make best investment decisions. Customer Relationships Successful customer relationships are vital to their business and continued growth. Maintaining strong relationships with customers is necessary for Unilever brands to be well presented to their consumers and available for purchase at all times. The strength of their customer relationships also affects their ability to obtain pricing and secure favourable trade terms.