The speedy service is one of the main qualities of McDonald’s, and is one of their biggest competitive advantages. In addition the McWrap costs four times the price of a McChicken, which changes the customer’s perception of the low cost chain. The customers are always quite sensitive to increased prices, especially when it comes to new products bearing in mind that McDonald’s customer base includes the low wage income group. It can therefore cause loss of both potential customers as well as current
B. General Statement: Fast food industry has grown dramatically and become so popular. According to the research, people spend more money on fast food than the education. McDonald, Burger King and Subway are the most popular fast food company. C. Thesis statement: Popularity of the fast food are getting an increase due to easy and quick service, inexpensive meanwhile there are also consist of negative effects if the fast food is becoming more common in society.
Fast food companies have demolished competition throughout the last 30 years in the restaurant industry. The practices used to eliminate competition such as using unhealthy food to make a profit have been reported unethical by Americans, but it tends to be desired by the American society. According to the American Franchise Corporation, certified by TrustArc, fast food companies generate $570 billion annually in the United States ("Fast Food Industry Analysis"). These statistics continue to rise as more and more fast food companies become ubiquitous. As a result, fast food companies get richer, while people contract life-altering health effects.
What are Trader Joe’s core competencies? Well I can give you three points why Trader Joe’s is one of the leading competitors in the retail industry. One of the core competency is that they offer value in their products with reasonable prices. Not to mention that most of their products are innovative and unique compared to the other retail stores, they also sell organic vegetables and meats for consumers who concerned about their health. If price doesn’t concern you, then how about the creative ways of selling different kind of food both import and export products.
Social and Natural Trends: Considering the undesirable health implications of fast food, people are beginning to demand for healthier food. Restaurants lagging behind on this trend should expect to lose their loyal customers. Information regarding fat and sodium content in the menu should be communicated directly to customers. The large number of immigrants coming into the country should be seen as an opportunity to develop menu that will cater for ethnic groups. Famoso should target ethnic groups that are economically viable, taking into consideration the population, areas of concentration and purchasing
In fact, drive thru service is slowly becoming a weakness to McDonald’s. In fast food, people usually think that it is quickly served. Drive thru service has brought convenience to everyone because they do not have to line up at the counter and it saves their time. However, if the drive thru service is as slow as lining up at the counter, there would be no point of having this service because people will choose to line up instead of waiting in the car and wasting the petrol. So, it is recommended that if McDonald’s wants to improve drive thru speed, it should add more lanes to allow more customers to drive
There is no need to anything about it (GREGORY, 2015) Reason behind threat of substitutes or substitution being a strong threat • High substitute availability (strong force) There are many substitutes to McDonald’s products, such as products from artisanal food producers and local bakeries. Consumers can also cook their food at home. • Low switching costs (strong force) It is also easy to shift from McDonald’s to these substitutes (low switching costs). • High performance-to-cost ratio (strong force) These substitutes are competitive in terms of quality and consumer satisfaction. In order to face this threat McDonalds should do product quality improvement.
KFC sets their price slightly lower as compared to their competitors in order to entice customers away from their competitors. With this strategy, it gives customer the awareness and urge to buy in view of their low pricing as compared to other competitors. For example, KFC Zinger Double Down set priced at RM 9.95 with includes two pieces of meat while McDonald Spicy Mc Deluxe Burger set at RM 9.45 with includes only one piece
Today, the obesity rates in the United States have increased tremendously, but whom to blame the fast food industry to the consumers? Obesity in the United States has affected the lives of many individuals, but it is not a consumer’s fault. The fast-food companies are manipulating its consumers by not giving them access to nutritional information content included in their meals. With this intention, giving people access to nutrition facts can help turn their lives around. When deciding what you want to eat for breakfast, lunch, or dinner, knowing the nutritional values of each meal can be an important component of your decision.
Looking at the competitors, Domino’s has been evenly prized with Pizza hut. But the prices are high as compared to KFC and McDonalds. Affordability is the key to the success of Domino’s. To maintain the price level many new and innovative schemes are launched regularly. It gives its customers value for one’s money always.