Cera Santos
Phoebe Capulong
Case 4-1: McDonald’s Great Britain-The Turnaround I. Summary of the Problem
McDonald’s Great Britain experienced a lot of hardships and changes. McDonald’s US sales have steadily increased but Great Britain has not shown any significant increase. The reason for the sluggish sales is because of new chains such as Yo! sushi and Nando’s Chicken Restaurants which tickled the Great Britain’s taste. An issue in the fast food industry is the mad cow scare.
There are some comments about McDonald’s Great Britain like a guy just go to McDonald’s for a last resort, the texture, the taste and the feel of the burger was different than before. Also, people are becoming more health conscious. There was also a
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ACA2: Expand their umbrella of products to a more health driven menu and at the same time their house originals are adjusted to the taste of the consumers with the reduced fat. The salads selection with a McDonald’s twist and fruit shakes with lots of health benefits. Their original burgers will have a healthy counterpart. For example, the double cheeseburger will have a 100% pure beef but the consumers have a choice of a double veggie cheeseburger where the patty is made up of vegetables.
ACA3: Retain everything that they have with minor alterations.
VII. Analysis
ACA1: Develop new corporate, business-oriented and functional strategies or evaluate their current strategies Advantage: * It will help them define who they are in the market and what they really want to do * It will guide them to a more integrated and a more customer friendly fast food chain * These strategies can be applied not only in McDonald’s Great Britain but also in other McDonald’s. * Long term goals will be achieved and cost might be reduced with above average returns * Overall “value for your money” experience and feel when they eat at McDonald’s. * Evaluating current strategies will help them see where they are and what they are doing; from there they can already pull out some operations that will help them cut cost. * Marketing campaigns/ strategies can be implemented with a clear view and hassle free process.
For McDonalds to achieve their mission statement they will have to create some internal strategies to help push for perfection. Strong training is one strategy that McDonald’s uses for overall success. McDonald’s has one of the Worlds best training with hands on skills development, teaching employees time management, teamwork, and customer service/ communication skills. McDonald’s ability to offer opportunity is another internal strategy they produce. McDonalds allows for many opportunities within the company for advancement. A large percentage of managers and franchisees within McDonalds all started at one point or another as McDonald’s Crewmembers. “67% of managers and 50% of franchisees” (McDonald’s Canada, 2015) started in entry-level jobs and worked their way up; this shows McDonald’s can offer plenty of opportunity. The last strategy is McDonald’s likes
McDonalds is a corporation that has great success because of good strategy and planning. In the next five years, McDonalds needs to keep up with the changes of the consumer and social
From a study completed by Chicago-based Research International USA completed a study called “Fast Food Nation 2008. The panel consisted of 1,000 respondents of ages 16-65 who provided their inputs with an online survey which was conducted between March 13 through 2008. Which was based on results on fast food restaurants like McDonald’s, Burger King, and Wendy’s are gaining popularity even through the economic hardship and recession. Marketing strategy has become more of influence on kids and young American’s. As population grows and the demand increases of fast food restaurants are expanding their stores to capturing more consumers. Fast food chains are also willing to change their menus to continue to gain and retain repeating customers.
•In the recent times McDonalds has been blamed for the high fat content in its products and many consumers perceive that the food served at their outlets is not healthy. Also, the consumers are becoming increasingly health conscious these days. McDonalds
In Marion Nestle’s blog post, she discusses how McDonald’s is rejuvenating their menu to meet consumer demand. This is to exclude the use of artificial preservatives from some products, high fructose corn syrup in patties, and include antibiotic-free chickens. McDonald’s is also going to be switching to burgers that are 100% beef, eggs that are cage free and freshly cracked, and espresso beans that are Rainforest Alliance Certified. She’s impressed with the strides they are making
Due to globalization and increased competition in the fast food industry, a very complex environment is created for McDonald’s. There are various internal and external environmental factors affecting the functions of McDonald’s corporation and demands for new innovations. The factors are as follows:
Since the 1950s, food production has been transformed, that transformation has affected most of our lives. McDonalds is a perfect example of
The fast food, or quick service restaurant industry (QSR), represents approximately 200,000 restaurants and $155 billion in sales in the U.S. alone, they are one of the largest segments of the food industry (Hoovers, 2011). This segment of the restaurant industry is “highly competitive and fragmented… number, size and strength of competitors vary by region, market and even restaurant. All of these restaurants compete based on a number of factors, including taste, quality, speed of service, price and value, name recognition, restaurant location, customer service and the ambience and condition of each restaurant” (Chipotle, 2010).
McDonalds changed menu with items such as porridge, smoothies and chicken wraps is on reason for the growing business
Here are some changes that McDonald’s implemented as a response to critique its unhealthy foods to give consumers more choices and healthier alternatives. Such initiatives include:
to penetrate into the dinner market without risking its existing business model for fast food while benefiting
Not having to answer to a corporate boss is the dream of many and the flexibility that owning a business franchise creates provides this option. Success is not reached by simply creating a business, however. The level of success is measured by the size and efficiency of the business. Business growth is the driving force of the economy. The additional jobs and revenues created when a business expands allow the economy to grow at exponential rates. One of the fastest and most popular ways to increase the size of a business is to turn it into a franchise, which can then be purchased by individuals. Franchising provides opportunities that are beneficial to both the parent company and the purchaser. The company that owns the business can expand
Obesity is probably the most significant issue facing the McDonald’s Company today. The corporation has been severally blamed for the menace due to its wide range of junk foods. As the world’s largest fast food company, it has become a target of most health related films such as Super Size Me. This is because the public blames the company for failing to give nutritional information concerning the items on its menu (Baron, 2010).
There are many external factors that McDonald’s need to take into consideration when developing market strategies to help solve these symptoms and problems. They need to take it into
While, McDonalds is the world largest fast food chain that does not come without problems, the more knowledge that people have the more power they have, McDonalds has in recent years made many adjustments to preparation of certain food items, adjustments to the size food items as well as increased nutritional value to certain food items. Many