Regarding economies of scales, due to its high volume of production and with more than 36,000 outlets operating globally, McDonald’s can gain economies of scales easily. Thus, McDonald’s can charge its products at low prices. Whereby, new entrants with small business will have difficulty to achieve economies of scales because of low volume of production. McDonald’s have obtained big base of loyal customers and highly recognizable brand recognition whereas new entrants have to take many years and large amount of capital investment to build customer base and brand
Delivery is a common practice, even for fancy restaurants, in most of the Asian and Middle Eastern countries, so McDonald's is just meeting the cultural norms of its surroundings. Another strategy that the McDonald‟s use‟s is it makes their restaurants more attractive to customers by improving their physical locations to make them more appealing to customers, and it seems to be working. In China, it's trying out a "Less is more" concept design, which goes with softer colors and cushioned seats. Also, over 95% of McDonald's locations have extended their hours now, and it has several thousand restaurants that are open 24/7. Free Wi-Fi is available in each McDonald's restaurant across the world, and lately it has made a big push to install flat screen TVs in all the restaurants.
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.
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 very important to delivering good customer experiences and driving profitability.
In many markets, McDonald's additionally offers mixed salads and vegetarian food, squashing and other special local items. Soup items are served just in some chosen nations like Portugal and so on. What's more, for this unique deviation from its standard menu helps McDonald's to be in mainstream in various nations other than its homeland. Now and again this distinction is utilized either for local food taboos and religious restriction like the one in India as no beef is served there. In India, non-vegetarian menu contain s chicken and fish things only.
0. Executive summary McDonald's is the world's largest chain of fast food restaurants, serving around 68 million customers daily in 119 countries across more than 36,000 outlets. Founded in the United States in 1940, A McDonald's restaurant is operated by a franchisee, an affiliate, or the corporation itself. It is the world's second largest private employer with 1.9 million employees, 1.5 million of whom work for franchises, recently the company expanded its menu to include salads, fish, wraps, smoothies, fruit, and seasoned fries. McDonald’s delivered strong performance and returns to shareholders in 2007.
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
McDonalds’ is a fast food restaurant that offers a service of buying food or drinks and having to wait a short period of time. McDonald’s sells many different food and beverage items ranging from their McNuggets to their McFlurrys. McDonalds is an American franchise that entered the franchising industry in 1955. Since then they have opened over 35 000 stores in 119 countries worldwide. There are over 200 McDonald’s restaurants in South Africa, placing it among the most popular in our country.
The business of McDonald is widely spread all over US, Europe, Asia / pacific, Middle East and Africa. The company believes that franchising is essential in supplying countless customer familiarity and it leads the company to profitability. The franchise continuous of over 57% of conventional franchisees, with approximate 24% foreign affiliates and over 18% are directly owned by the company. According to (Bodnick, 2009), McDonald’s most popular products all over the world includes; French Fries, Big Mac, Double Cheeseburger, McGriddles Breakfast Sandwich and Egg McMuffin etc. Basically this project aims to discuss the overview of McDonald’s human resource management system which includes unlike functions of HR, different employee safety rights, the job analysis, the hiring process of new employees, recruitment and employee testing, selection of the employee, performance appraisal and so on.
INTRODUCTION McDonald’s Corporation began their business in 1940 as a barbeque outlet. It was founded by Richard and Maurice McDonald. Now, McDonald has 35,000 outlets and serving around 68 million customers daily across the world. The head quarter of McDonald is located in United States of America. McDonald has become the world’s largest chain of hamburger fast food restaurants after Ray Kroc, an American businessman decided to join McDonald’s company as a franchise agent.