Mcdonalds Case Study

First, Schlosser and Wilson describe the history of fast food. Everything started with a fifteen-year-old boy named Charlie Nagreen at a county fair squishing a meatball between two slices of bread, creating the hamburger. The authors then go on to talk about how McDonald’s was the first restaurant to introduce a quick system for customers to get their food. After seeing the success of the McDonald brothers, a businessman named Ray Kroc made a deal with them to travel the country, spreading the chain. Later, Ray Kroc would buy McDonald’s from the McDonald brothers. When other restaurants, such as Wendy’s and Burger King, saw the success of McDonald’s, they began to do the same thing, having a chain of identical restaurants across the United States. Not only did restaurants adopt this idea of complete sameness, but so did other companies such as

McDonald’s has been in business since 1955. Through many years of great strategic and financial planning, it has become one of the most successful food chains in the world. In order to continue its great success, McDonald’s must continue to adapt to change. In this paper we will discuss the strategic and financial planning that would be necessary to keep McDonald’s on top of the food chain.

McDonald’s has been a staple in the restaurant business for as long as most of us can remember. It has achieve around the globe, but not without overcoming a fair amount of challenges in its pursuit of the title “King of Fast Food”.

REFERENCES•www.mcdonalds.com, accessed on 18 July, 2008•www.mcdonldsindia.net, accessed on 18 July, 2008•en.wikipedia.org/wiki/McDonald's, accessed on 19 July, 2008•http://www.associatedcontent.com/article/263943/mcdonalds_strategic_marketing_mix.html?cat=4, accessed on 19 July, 2008•www.kfc.com, accessed on 25 August, 2008

Ray kroc named mcdonald's from his friends Dick and Mac Mcdonald. Ray opened the first mcdonald's in 1955 in Des Plaines, Illinois. In 1959 the 100th mcdonald’s opened in chicago. In 1963 there was one billion hamburgers sold. Also opened its 500th location.

McDonald is a fast food franchise based in the United States and has various food outlets in other countries like India, United Kingdom, China, Japan, Canada and Australia. McDonald has been termed as the ‘World`s Local Restaurant’ because of its affordable take-out and sit down meals. The economic recession in the US in 2010 greatly affected businesses especially fast food restaurants whereby most small restaurants had to temporarily close their businesses. However, McDonalds remained afloat amidst tough economic times in the American market because of specific strategies which will be discussed.

Description: A class of financial metrics that is used to determine a company's ability to pay off its short-terms debts obligations. Liquidity ratios are useful in obtaining an indication of a firm's ability to meet its current liabilities. It measures the liquidity of a firm.

During the start of the McDonald’s company, the McDonald’s Brothers had revolutionized the restaurant business through the idea of self-service. “Imagine — No Carhops — No Waitresses — No Dishwashers — No Bus Boys…,” they’d say (Schlosser 20). As a result of the new Speedee Service System, McDonald’s had never been in better shape. Ray Kroc, amazed by this, expanded the model all across the United States, increasing McDonald’s popularity. Apart from that, the creation of institutions like Hamburger University also solidify the service standards each restaurant should maintain. Hamburger University trained thousands of workers yearly, passing along “a common McDonald’s language” and “a common McDonald’s culture (Schlosser 31).” Through this, Ray Kroc created a single standard in which their service should be executed. This could make up for the lack of employee involvement in the new self-service model. McDonald’s was slowly becoming a beloved family name. The service prompted many families to stop by frequently, which boosted the idea of selling the brand to kids, perfecting McDonald’s marketing tool, and raising overall sales. Ray Kroc was closer to achieving his perfect business

In 1940, McDonald’s opened as a simple walk up barbecue and progressed into a hamburger joint. By 1955, McDonald’s opened several restaurants under the new leadership of Ray Kroc. The well- known assembly line first designed for the production of the Ford Model-T, came to the ‘Golden Arches’. Over the next few decades, small chains and franchises grew into giant corporations. “Fast food franchises had become popular dining stops from coast to coast, thanks to their standardized menus, easily recognized signage, and unified advertising strategies” (Accupos para. 5).

I, Tayneata M. Starr, decided to discuss McDonald’s for this strategy report. McDonald’s began in the 1940’s as a “mom & pop” bar-b-que diner in San Bernardino, California by Dick and Mac McDonald (“McDonald’s History,” n.d.). In December of 1948, McDonald’s was rebranded as a self-serve drive-in restaurant (“McDonald’s History,” n.d.). The original menu was comprised of nine items, with the staple product being the “15-cent hamburger” (“McDonald’s History,” n.d.). Today, McDonald’s is a publicly traded organization that operates in the United States, Europe, Asia, Africa, Canada, and Latin America (“MCD Profile,” n.d.). As of December 2015, McDonald’s has 36, 525 restaurants in operation, offering products such as soft drinks, hamburgers,

Fast food restaurants are one of the most stable industries in the world today. Eateries of this order offer a cheap and convenient alternative to traditional dining. There are many very popular fast food franchises. Perhaps the two most popular of these are McDonald's and Burger King. These titans of the industry have targeted the same demographic over the course of several decades, sparking heated debate among friends as to which of the two is superior. In many ways they are the same, but there are also differences.

In the 1950s and 60s, fast food chains epitomized by McDonald 's revolutionized the farming and food distribution businesses (Fast Food, 2007). Rivalry against new fast food restaurants ignited competition. This led to franchisers expanding hundreds of fast food restaurants looking for big bucks. Additionally, as these chain became more accessible to

This ratio is mainly used to measure an entity’s liquidity & short-term debt paying ability. A high current ratio means that the company is more capable of paying its debts. It is calculated by dividing Current Assets by Current

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

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.