Mcdonald's Marketing Mix

McDonald’s make a poor business decision when they had the consumer purchase the fries as well as the drink in order to receive the promotional price. In this particular economy, if McDonald’s was smart, they would have created a new promotion and merged into it before the competitors had realized what was going on. This would have given McDonald’s a clear advantage. With this particular move, several problems were present in utilizing game theory to predict their profits. With the onslaught of fast-food corporations, McDonald’s has endless rivals in the burger world. This being the case, just reducing prices of a product will not do anything for

As we all know that customers draw their own mental picture of what a product is worth, therefore, it is important for McDonald’s to know the customer’s perception of value. (Brassington and Pettitt, 2006) McDonald’s will change their product price time to time based on the result of the marketing research, and offer the most reasonable price for the customers.

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

There are changing societal trends in the areas where McDonald’s operate. There are changes in consumer preferences and also in some communities they culture different as compared to other areas in the market. To remain relevant in the market, they have to deal with these issues by conducting market research that will help them be knowledgeable of the needs of the market. They also need to adjust their menu to suit the needs of the consumers.

It is the message to the customer about the quality of the product and of fundamental importance to sales and profit margin of the company (Marcouse et al, 2008). McDonald still has things that are interesting about price regulation, even a monopoly, are independent pricing decisions and production of goods. The pricing strategy is the company's plan to fix prices in the medium to long term (Marcouse et al., Award 2008). McDonald used as a basis for more accurate product. In general, prices for most customers be set.

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,

McDonald’s is the leading global food service retailer with 1.8 million employees who serve 69 million people in 118 countries each day; from more than 34,000 local restaurants, 80% of which are franchised. ("Getting to know," 2013)

First, let's take a look at the McDonalds value menu. McDonalds not only has a value menu, but also a dollar menu that has breakfast items and lunch items. McDonalds' dollar menu is actually a dollar (excluding tax). Now, the extra value menu has items that range from $1.19 to $4.99. Did you know that some of the entrees sandwiches cost twice as much as the Dollar Menu sandwiches. For instance, a McChicken costs $1, while the Angus Bacon & Cheese costs about $3.69. A person could buy three McChickens for the price of one Angus Bacon & Cheeseburger. Another type of value are the promotions McDonalds runs. For instance, some of the current promotions includes: the two Bacon Egg and Cheese Biscuits for the $3 and the any size soft drink for $1. Knowing this information, a person can create a " value menu"

McDonalds has many competitive strengths, not only because it is such a large and well known brand but it also adapts its services and image to fit in with current social trends, for instance adding more fruit and salads into its menus to help promote a healthier image.

Strategies within the QSR It is no accident that McDonald’s has been around since 1954. Everything decision that is made is deliberate and thoughtful. With that being said, not all decisions have turned out the way McDonalds’s had hoped. That is why it is important for them to have a competitive strategy to guide their decision-making process. Not all businesses use the same competitive strategies, however, the goal is all the same: to gain a competitive advantage and increase profits. When McDonald brothers revamped their first restaurant in 1948, they initiated their use of the competitive strategy of “best-cost provider”. The interesting part about McDonald’s is that even though they have made a countless number of changes to its menu, slogan, and appearance to their buildings; they continue to lead the QSR industry using the same strategy. Their strategy is a combination of an overall low-cost provider as well as broad differentiation (Bethel University, 2017). McDonald’s uses the buying power of ordering supplies for their massive network of nearly 37,000 locations to keep supply chain management low. Furthermore, by hiring minimum wage workers and implementing new technologies as they arise, McDonald’s is able to lower distribution and operations costs as well. The second strategy of broad differentiation is accomplished by offering multiple options at its restaurants. Instead of settling for a limited consumer base of people that want a fast hamburger, with a nine

Founded in the year 1940 in California as a small hamburger restaurant in San Bernardino, California McDonalds Company is a fast food restaurant operating in the USA as well as globally (Vignali, 97). Boasting of more than 32, 000 outlets worldwide, the company is a franchise which has independent owners running different outlets (Vignali, 97). The franchise’s organizational structure is divided into three namely; the global hierarchy where the CEO gives all the directives, the performance-based divisions which measures different regions performances and the function-based groups which entails the human resource, legal group and the supply chain group (Thompson).

Therefore, due to McDonalds Corporation’s success in the marketplace, it is essential to conduct both its strategic and positioning analysis with a close consideration of the changes in market mix, efforts, and pricing strategy among

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.