Mcdonald's The Fast Food Industry Is The Value Of Money Of Their Products

997 Words Apr 19th, 2016 4 Pages
The reason McDonald’s has been succeeded in the fast food industry is the value of money of their products, and the fast clean and friendly environment. Customers are getting attracted to this chain over competitors due to the quality of service and they could get burgers and fries at one price, not like other places who sells the same products, food package can be bought for a same price. The other quality is the consistency, with this qualities, Korc noticed that they have a potential of opening new stores and expand the business into mass scale successfully, which they do currently.
In 1965 USA market, McDonald’s held an IPO in new York stock exchange, with the analysis, it is been figured out that the US market has reached to saturation and that every opening of a new McDonald’s restaurant intruded upon the revenues of other restaurants already in operation. Based on considering all these facts, McDonald’s decided to pursue a diversification strategy, in pre-selected countries, General Management would develop core competencies, the purpose of which was to build more profit and revenue-winning restaurants, and to develop these core competencies for use as a model throughout the corporation.
This “competency center” in each country would share its acquired knowledge with other restaurants so that new products or services could be implemented to generate new growth.

McDonald’s Switzerland got the green light from the Chicago executive board to pursue a hotel venture.…

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