Strategic Management Case Study: Mcdonald's Corporation

Everyday about sixty eight million people eat at McDonald’s. The World’s largest chain of fast food restaurants serves daily in 119 countries across the World and sells more than 75 hamburgers every second. These are just some of the mind-blowing facts about the 90-th largest economy in the World with its $24 billion revenue.

One difference is the size of McDonald compared to Chipotle. According to Lutz, McDonald is far much larger compared to Chipotle and this is evident in their revenues that were $844 million for Chipotle and a staggering $28.1 billion for the McDonald chain. Brown adds that while Chipotle had 1500 stores by end of 2014, McDonalds had 14,000 stores. This shows that McDonald is almost ten times the size of Chipotle in terms of the number of stores.

The documentary, Food Inc., takes a deeper look at the food industry and how it has changed over the years. The McDonald brothers played a huge part in changing the food industry forever. The brothers began to run their restaurant in a factory style. Each worker only had one specific job to do. Because the workers were assigned simple tasks, they were all paid a low wage and were easily replaced. The factory style restaurants had positive and negative sides. The positives were fast, good-tasting food. However, the negatives were much more prevalent. McDonalds became a chain restaurant that appeared all over the United States. The owners wanted their food to taste the same at all locations. This was achieved by purchasing all their meat and

Corporate America has taken a stranglehold on American nutrition and eating habits. McDonald’s food has dominance over the market with its cost effectiveness and availability. In contrast, Wendy’s has superior products with higher prices. While these fast-food giants have a massive place in America, they have their similarities and differences. Wendy’s and McDonald’s demonstrate these traits in cost, diversity, and quality.

Subway is an American fast food restaurant franchise that primarily sells sandwiches andsalads. It is owned and operated by Doctor 's Associates Inc. Subway is one of the fastest growing franchises in the world, with 44,280 restaurants in 110 countries and territories as of September 18, 2015.] It is the largest single-brand restaurant chain and the largest restaurant operator in the world. The reason for choosing this outlet is they are committed to customer satisfaction through offering high quality food with exceptional service and good value. They take great pride in serving each other, their customers and their communities. They seek continuous improvement in all that they do. They value a sense of urgency and emphasize an innovative, entrepreneurial approach to business. They expect fairness and mutual respect in all our activities. They know their success depends upon the initiative they take

Their strengths are good food, reasonable price, high customer traffic, clean atmosphere, family run and operated. However, their weaknesses were; lack of management expertise, lack of accountability, inefficient human resources management skills, lack of innovation and therefore missed growth opportunity, and a hostile working

Missions- The missions for McDonald’s are to be our customers' favorite place and way to eat – with inspired people who delight each customer with unmatched quality, service, cleanliness and value every time. Our customers are the reason for our existence.

Stakeholder are entity that will affect the organization actions, objectives and policies. There are two types of stakeholder which is internal stakeholder and external stakeholder. The McDonald’s stakeholders are customers, suppliers, employees, managers, government, local communities and pressure groups.

In the beginning, McDonalds was run by two brothers named Richard and Maurice McDonald who not only owned but ran a hamburger restaurant in San Bernardino ,California in the 1950’s. Ray Kroc saw the potential in McDonalds and had ideas to expand it globally so he founded the McDonalds Corporation in 1955. Today, there are more than 33,000 McDonald’s restaurants globally in 119 countries (REFERENCE/web).

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.

When it comes to risk every business and person has to deal with it, so as you may guess McDonald’s is not excluded from that list. When you are in the food industry and especially the fast food industry you take on many risks. These would include things like competition, changes in customer preferences, pricing, staying technologically advances, and not losing out on investments. As a huge company like McDonald’s you may think that their risks are minimal, they bring in millions every year, and McDonald’s are always successful and busy, but they too have a long list of risks on their 10-K.

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

McDonald's has become an icon of American fast food. It is now internationally known, with thousands of restaurants in various countries around the world. In 1940, Dick and Mac McDonald opened McDonalds’s Bar-B-Q restaurant on Fourteenth and E streets in San Bernardino, California. It was a typical drive-in featuring a large menu and car hop service. After several years in business, Dick and Mac McDonald shut down their restaurant for three months for alteration. In December 1948, it reopened as a self-service drive-in restaurant. McDonald’s Restaurant offers a uniformed menu, including hamburgers and cheeseburgers, Big Mac, Filet-O-Fish, Chicken McNuggets, wraps, French Fries, salads, shakes, McFlurry desserts, sundaes,

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.

Human Resource Management: Starbucks is known for its exceptionally learning base workers. They are the primary resources of the organization and they are given incredible advantages like investment opportunity, retirement records and a sound society. This successful human capital administration interprets into extraordinary client administrations. It was evaluated 91st in the 100 best work environment for by Fortune