McDonald's, Starbucks, and Quaker Oats: Market Analysis

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Marketing manager: Interview Firm 1: McDonald's McDonald's is seeking to diversify its product offerings and establish a 'classier' image as a company. It is also seeking to satisfy the needs of a more diverse customer base. To do so, it can expand its southwestern chicken offerings. It already features a sandwich with a southwestern flair and chipotle snack wraps. Offering a new chicken burger with salsa and Monterey Jack cheese and 'special edition' fries with southwestern seasoning and salsa dipping sauce would appeal to Latino consumers who are already loyal patrons of the chain, and to the larger American public, which is newly-infatuated with 'Tex-Mex' cuisine (Helm 2010). This type of sale could be considered 'low-hanging fruit.' McDonald's already has a substantial customer base amongst Latino customers. Fast food customers in general are enthusiastic consumers of Americanized Mexican food, as manifested in the popularity of Taco Bell. And McDonald's southwestern products are already popular sellers. The only risk is the additional expense that might be incurred manufacturing the limited edition fries. The overall sandwich, however, while caloric, is not likely to be much heavier than McDonald's other offerings. However, there might be media concerns about pandering to Latino consumers and encouraging Latinos to eat unhealthy food when the obesity rate amongst Latinos is higher than amongst whites (Helm 2010). Firm 2: Starbucks Starbucks currently is at a

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