Fast Food

1915 Words Apr 28th, 2014 8 Pages
1. Executive Summary
This report provides an analysis of the international marketing environment of fast- food industry in US and evaluates the international marketing activities of McDonald’s, which is considered a key player.
Firstly, the PEST framework is used to analyse external environmental factors influencing the industry. The Porter’s Five Forces framework is utilised to analyse the competitive rivalry within the industry, and its attractiveness for potential new entrants. Key players and their positioning was identified using a strategic-groups model, mapping brand value against global presence.
Based on the industry analysis, McDonald’s was identified as the market leader and an examination of their market entry modes was
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For example, McDonald’s is the 9th most ‘liked’ brand on Facebook (CNBC, 2012) (Appendix 1). Additionally, digital displays allow outlets to change their menus efficiently, to suit the time of day (NRA, 2012) and self-service ordering points have increased service speed and reduced labour costs. Environmental
Environmental lobbyists and governments are pressuring the fast-food firms to become more ‘green’ (Greenpeace, 2012). Rainforests are being destroyed to increase the area of land for beef production to meet the demand for beef-burgers (Kline, 2007). Recycling is a prominent global issue and in response, McDonald 's adopted recyclable packaging. Increased environmental awareness among consumers provides firms with a significant opportunity to position themselves as ‘green’ to garner customer loyalty (National Pollution Prevention Centre for Higher Education, 1995).
Legal
Global operators must comply with country-specific regulations and legislation. This includes opening hours, taxation and employment regulations such as the National Minimum Wage Regulations (1999) in the UK. Firms are often required to meet national food standards such as the requirements set out by the US Food and Drug Administration (FDA). Furthermore, authorities are becoming increasingly worried about childhood obesity associated with the industry (WHO, 2012) and have tightened

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