STRATEGIC MANAGEMENT CASE STUDY: MCDONALD’S CORPORATION 1. INTRODUCTION McDonald’s Corporation is the world’s leading fast food restaurant chain with more than 34,000 local restaurants serving approximately 69 million people in 119 countries each day. More than 80% of McDonald’s restaurants worldwide are owned and operated by independent local franchisees. Its revenues come from the rent, royalties, and fees paid by the franchisees, as well as sales in company-operated restaurants (McDonald’s, n.d.). The organization view themselves primarily as a franchisor and believe franchising is important to delivering great customer experiences and driving profitability.
Eric Schlosser begins by giving us an introduction on how fast food came to be, the first one obviously being McDonalds’s. He discussed how fast food has taken over American culture and revolutionized many more aspects than just food. He discusses how fast food can now be found everywhere in the world, schools, hospitals, and “every corner of the country.” The book is very fact- heavy. He uses these facts to validate his points. For example, he tells us that in 1970, Americans spent $6 billion on fast food, in 2001, $110 billion.
SWOT research furthermore is effective inside brainstorming get together. Wendy’s old Fashioned Hamburgers have a number of strengths; possibly one of the most important is the company as a whole generated $ 2.73 billion in revenues in 2002, up 14.2 percent from the previous year. With headquarters in Dublin, Ohio, the corporation operated over 9,000 restaurants in 33 countries worldwide. one very important innovation contributed by Wendy’s was a special value menu that consisted of about 10 items that could be purchased for 99 cents and In 1976 had its first public offering of 1 million shares at dollar 28 per share. By 1981 the company had been listed on the New York stock exchange and had built its 2,000th restaurant.
In 1959, the business started expanding their restaurant inside the US. In 1969, the growing fast food restaurant chain started going out the region such as Canada, Australia, Europe, etc. In the 1970’s, it was the most prominent year the company has experienced. It was the golden age of fast food specially burgers and fries, which are their main courses, the restaurants business revolved around this type of food that they served. In early 1980’s, the restaurant started to lose customers because of the medical issues with fast food diets which clearly began causing obesity and heart attacks.
QUESTION NO: 1 Contrast Coke and McDonald’s global branding strategies. How are they similar and how are they different? Why are they so well-respected? ANSWER: INTRODUCTION Mc Donald’s is the largest hamburger fast food restaurant chain in the whole world. Mc Donald’s has more than 35000 outlets and serves around 68 million people daily.
Burger King (BK) is an American global chain of hamburger fast food restaurants. Headquartered in the unincorporated area of Miami-Dade County, Florida, the company was founded in 1953. Burger King 's menu has expanded from a basic offering of burgers, French fries, sodas, and milkshakes to a larger and more diverse set of products. In 1957, the "Whopper" became the first major addition to the menu, and it has become Burger King 's signature product since. As of September 30, 2016, Burger King reported it had 15,243 outlets in 100 countries.
This is a huge market since the U.S. and the world revolved around convenience. Although McDonald’s is very popular right now you never know if one day it will become a shadow to another company. Next, since there are so many competitors each company is trying to be unique and bring new things to the market. Whether it is McDonald’s McPick 2 or Wendy’s 4 for 4 competitors are trying to out shine each other, making it hard to compete and keep prices down sometimes. With a quick google search I found that there are over 50,000 different fast food chains in the United States alone.
INTRODUCTION McDonald’s is a American fast food organization that was started in 1940 by Richard and Maurice McDonald in San Bernardino, California. This corporation is one of the world’s biggest chain of Hamburger fast food eateries that is serving in excess of 58 million clients day by day. The very first McDonald’s eatery was open in Des Plaines on 15th of April, 1955.One day, Ray Kroc went there in 1954 and he was so inspired by their proficiency of their activity that he pitched his vision of making McDonald’s eateries all over the America as a franchise agent. 100 m of the hamburgers sold by McDonald by 1958.The first day deal of Mcdonald’s was $366.12. There would be more than 700 McD’s all through the United States by 1965.
McDonald’s is the largest fast food restaurant chain in the United States and represent the largest restaurant company in the world, both in terms of customer served and revenue generated. In 2014 IBISWorld market research estimated MCD held an 18.6 % of market share of the entire global fast food industry; Burger King in at just 4.6%. Under franchising visionary Ray Kroc, McDonald 's became the world 's premier food brand by selling the rights to operate a McDonald 's store. With this model, MCD keeps overhead costs down and lets local owners deal with individual units, while food costs remain low and service remains fast for a culture increasingly on the go. As a low-cost provider, McDonald’s offers products that are relatively cheaper
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”.