Mcdonalds Swot Analysis

2.1 SWOT analysis SWOT analysis is to help develop a strong business strategy by making sure the organization considered all of their business’s strengths and weaknesses, as well as the opportunities and threats it faces in their marketplace.As the company might have guessed from that last sentence, S.W.O.T. is an acronym that stands for Strengths, Weaknesses, Opportunities, and Threats. A SWOT analysis is an organized list of the organization 's business greatest strengths, weaknesses, opportunities, and threats.

Strengths

1.Largest fast food market share in the world.

McDonald’s is the largest fast food restaurant chain in terms of total world sales (8%). It is the second largest outlet operator with more than 34.000, serving 69million

The majority of restaurants are owned by independent franchisees. Ability to adapt to local tastes is one of McDonald’s strengths. Their raw materials like potatoes, meat, and bread are direct link with different producers.

4. Partnership with best brands.

McDonald’s offers only most popular brands in its restaurants, such as: Coca-Cola, Dannon Yogurt, Heinz ketchup and others.

5. Children Targeting.

The business successfully targets very young children through offering playgrounds, toys with its meals and advertisements.

Weaknesses

1. Negative publicity.

McDonald’s is heavily criticized for offering unhealthy food to its customer, stimulating obesity and strong marketing focus on very young children.

2. Unhealthy food menu

Although McDonald’s tries to introduce healthier choices in its menu, the menu is largely formed of unhealthy meals and drinks. Such menu offering prompts protests by organization that fight obesity and hence, decrease McDonald’s poularity.

3. Mac Job and high employee turnover

Mac Job is a low paid and a low skilled job, which is often seen negatively by its employees. This is result in lower performance and high employees turnover, which increase training costs and add to overall costs of McDonald’s.

4. Low

Saturated fast food markets in the developed economies.

The fast food market in the developed countrues is already overcrowded by so many fast food restaurant chains and this already proves to be a threat to McDonald’s as it barely grew through 2012.

2. Trend towards healthy eating.

Due to government and various organization attempts to fight obesity, people are becoming more conscious of eating healthy food rather than what McDonald’s has to offer in its menu.

3. Local fast food restaurant chains.

Rising number of local fast food chains and their lower meal prices are the threat to McDonald’s although the company does a great job in changing its menu to their local tastes.

4. Currency fluctuations

Currency inconstancy is one of the threats to McDonald’s in 2012. Profits of the company that are sent back to US have to be converted into dollars and may be affected by the exchange rates because part of it income are from foreign operations.

5. Lawsuits against McDonald’s

Lawsuits are expensive because they require lots of time and money and McDonald’s had already lost quite a few lawsuits and been sued. There is high possibility for