Mcdonald's Case Study Analysis

About everyone at some age, at some point or another, and in some country has gotten a sample of American's symbol for fast food through the golden arches of McDonald's. This report will attempt to analyze the external and internal sectors that affect the company's success. The external analysis will provide opportunities and threats while the internal analysis will show indicators of strength and weakness. It will then follow up with critical issues, strategic alternatives, recommendations and implementation. The case studied is found in Appendix 2 of Mary Coulter's "Strategic Management in Action" book.

In February 22, 1992 a man by the name of Chris pulls his 1989 Ford Probe into the drive-thru of an Albuquerque, New Mexico McDonalds. Chris ordered a coffee for his grandmother, 79-year-old Stella Liebeck. Upon receiving the coffee Chris pulls into a parking space so Stella can introduce cream and sugar to her coffee. A 1989 Ford Probe lacks cupholders and features a slanted dashboard. Thus, Stella placed the coffee near her lap and opened the Styrofoam lid. At that moment, 180-degree liquid saturated Stella’s thighs, perineum, genital area, and inner thigh. The sweatpants worn by Stella acted as a sponge that held the scorching liquid close to her skin. Stella sustained third-degree burns over six percent of her body requiring

•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

Much like a smile, the “Golden Arches” can be understood in any language. The McDonalds brand is the most well-known, internationally embraced fast food empire. McDonalds operates over 31,000 franchises throughout the world, with the United States leading the way with a whopping 13,381outlets as of May 2009 [1]. McDonalds has the fast food market cornered, offering an increasing variety of food of beverages, marketed to people of all ages to eat at any time of the day. However, being a corporate giant has its issues. McDonalds has faced a lot of criticism for its high-fat, high-sugar, potentially addictive menu. While the corporation is not likely to outright admit responsible for its actions, McDonalds has seen some changes to address

McDonald's is the world's largest chain food service retailer with over 30,000 locations in over 121 countries, serving wider than 58 million customers daily. In 1940, brothers Richard and Maurice McDonald start opened the business in San Bernardino, California. They introduced a system called "Speedee Service System" in 1948 to establish the principles of modern fast food restaurant. McDonald is one of the large companies in the world. It has more than one and a half million employees to serve their customers. They serve more than ninety-six percent of the world’s population at least once a year. McDonald's core products are hamburgers and French fries. Besides, it also sells chicken, salads, fish products and et cetera.

In 1954 Ray Kroc became the first franchisee appointed by Mac and Dick McDonald in San

Before: At a Corporate level from the reading of the Case, McDonald’s strategy focused on a growth strategy. This can be seen by the rapid expansion McDonald’s had over a 20 year period, where it went from 11,803 stores in 1990 to 32,478 stores in 2009. This expansion accelerated during the 1990’s, and one can correlate the start of McDonald’s quality, service and cleanness problems to this period of expansion.

McDonald’s has grown to become the largest restaurant chain in the world (Dess, et al., 2009). It all started with a vision by a milkshake machine salesman from Oak Park, Illinois (Dess, et al., 2009). He envisioned a

Techniques are essential for all organizations, irregardless of the items or administrations that they offer. Through vital administration and operations, organizations have the capacity to incorporate new and powerful method for maintaining their separate organizations. These systems results to expanded benefit or deals, stable business position and more noteworthy levels of client unwariness. In the fast food industry, certain business methodologies are likewise being created and connected in order to accomplish comparable impacts. In this report, the effect of some business methodologies in genuine organizations will be broke down.

McDonald has been a well-known and valuable brand for over half a century. The company’s mission and vision is striving to be the world’s best quick service restaurant and formalizing their beliefs into “People, Vision, and People Promise”. “Quality, Service, Cleanliness and Value” also became the company’s motto. The company’s first McDonald store was built “in 1940 by the original McDonald brothers, Dick and Mac. Later in 1954, Ray Kroc became the first official franchisee appointed by Dick and Mac McDonald in San Bernardino, California” (Chandiramani, Ravi). Soon after, Mr. Kroc opened his first restaurant in Des Plaines, Illinois, and the McDonald’s corporation was created. The new franchise began to grow rapidly as a result of its

McDonald’s Corporation has continued to evolve in the fast-food industry, and introduced a more contemporary look and new menu items, while altering traditional favorites. The changes we see before us today, are all a part of the company’s strategic plan. However, five things still remain a priority in McDonald’s strategy; people, products, place, price, and promotion. The company depends on each of these core drivers to create opportunities for McDonald’s Corporation. During my research I have taken a look at how some of McDonald’s competitors measure up to the company. However, in this paper I will be discussing Burger King’s position compared to McDonald’s by using some of the recent articles I read about the fast-food restaurant business. Additionally, I will be summarizing McDonald’s strategies and performance in 2010, and the effectiveness of the company’s strategies. Lastly, I will discuss some recommendations that I would offer McDonald’s chief executive officer.

As a company, McDonald’s was first introduced in Des Plaines, Illinois in 1955. This was the very first McDonald’s restaurant, which all started in San Bernardino, California in 1954 when Ray Kroc approached the McDonald brothers with a business proposition to start a new company. In 1965 McDonald’s went public and was later, in 1985 added to the Dow Jones Industrial Average. (www.mcdonalds.com) The company has gone through quite a few changes with its changing CEO’s over the years, but the company seems to be on track with CEO Jim Skinner, named in 2004. Skinner was named the new CEO just

McDonald’s is the largest chain of hamburger restaurants in the world. The company was founded in the United States but it has other branches in various parts of the word like in the UK, Australia, and New Zealand among others. Apart from hamburgers, McDonald’s also sells breakfast items, French fries, chicken, pizza, soft drinks, cheeseburgers, milkshakes, and desserts. Recently, due to changing customer tastes, the Company has expanded its menu to include things such as salads, seasoned fries, fruits, fish, wraps, and smoothies. McDonald’s competes widely within the food industry in fast foods like hamburgers, French fries, soft drinks, and other fast foods. Being a fast food company,

Since McDonald’s is the most well know fast food chain in the world with a market cap of 69.35 billion, brand recognition is their biggest strength. The secret of McDonald’s success is its willingness to innovate and maintain consistency in the operation of its many outlets. In recent years McDonald’s has introduced Premium Salads, Snack Wraps, fresh Apple Dippers in the United States, and Corn Cups in China. Also, McDonald 's products are priced so low that economic conditions are almost insignificant.

The main problem from McDonald's case, McDonald's Polishing the Golden Arches, is how to classify McDonald's strategy through Plan to Win into one of the five generic competitive strategies. Before we solve this main problem, we should determine the chief economic and business characteristics, the five forces analysis, and also the driving forces of the fast-food industry. After that we identify the strengths, weaknesses, opportunities, and threats by using SWOT analysis. Finally, we classify McDonald's strategy into one of the five generic competitive strategies.