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Case Study: McDonald's India

Good Essays

1. What are some of the contextual issues for McDonald’s in India (Describe the Indian context using Hofstede/Trompenaars/GLOBE). What are some of the more prominent social instritutions at work that will impact on this case (Religion, Government, Social institutions, Education, Politics, etc.)
Trompenaars:
Particularism:
After many years of studying the Indian food market, build relationships and get to know people to better understand Indian’s needs. McDonald’s was ready to get into India’s market. Indian particularism has to do with the adaptation of decision and behavior to given circumstances. Accepting McDonald’s as part of the India’s economic liberalization and further globalization integration (BRIC), people would change their …show more content…

Synchronous Time:
Time for Indians is seen as a cyclical and repetitive feature. Indians often do more than one activity at a time so when McDonald’s cooperated with Indians it was important for the company to “adapt” itself or at least to be aware of this way of managing time that is completely different to the monochromic American timing. In the synchronic Indian culture, people tend to “give time” to whom they have a relation. The time issue is connected to status as well. And as we know in India castes and social status are important they may give or accept tardiness from high-class people. If McDonald’s does not adjust and know what to expect it will be impossible to do business with Indians.
Outer direction:
Indians see nature as something to live in harmony and in balance with. For example most of Indians are vegetarians they venerate cows (Hindus), pork (Muslims), etc. Indians believe that they must control their own destinies and this is linked with the big green sensitivity. McDonald’s interacts with the environment to attain the company’s goal that is to get into the market and expand their business; McDonald’s has fund- supported green movements in Delhi to promote environmental consciousness and a healthy lifestyle. In this way they will help Indians promoting a good new product that globally is considered as ‘Junk food’ and change that stigma into Indians

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