Swot Analysis of Mcdonald's vs. Burger King

Since Richard and Maurice McDonald founded in 1948, McDonald's has grown from a small restaurant in California into one of the most recognized brands in the world with a chain of outlets that spans the globe. For over 50 years, McDonald's defined the fast food industry while indelibly etching its golden arches logo on the face of both American and global culture through such icons as character Ronald McDonald and the Big Mac sandwich. Millions of people started their very first jobs at McDonalds while even more began to have their eating habits redefined by the chain. Concepts like the drive-thru window were introduced along with the Happy Meal for children in order to provide a fast, affordable, and enjoyable dining. Ray Kroc, saleman

Kroc gave McDonald’s to people willing to allot great amount of time and effort in the McDonald’s name. His idea turned out to be affluent as many ideas were created because of this caring franchisees. The Filet-O-Fish (originally intended for Catholics during lent), Big Mac (in celebration to its fifth billion burger sold), Egg McMuffin (wanted to cater to breakfast lovers) ,Quarter Pounder, and McFlurry were all introduced by franchisees and all reaped prosperous benefits. In 1956 Kroc hired Harry Sonneborn, a former vice president of finances at ‘Tastee Freeze”. Harry quickly rose among the ranks at McDonald’s Corp. and even became the very first president and chief executive. A couple months later Sonneborn pitch the idea that McDonald’s hould own the buildings of the franchise and make franchisees pay rent. They even could evict franchisees if necessary for the first time. This revolutionized McDonald’s turning them into a semi-real estate institution forever changing urban land

They are enhancing the customer’s experience. “Across their markets, they are making is easier for customers to enjoy a great McDonald’s experience. They are introducing drive-thru to the increasingly mobile populations in China and Russia, while in the U.S. and Canada, greater drive-thru efficiency and double drive-thru lanes enable them to serve even more customers quickly” (McDonald's, 2008, 13). In Germany, McDonald’s has a reimaging program that includes adding about 100 McCafes. They are also installing new kitchen operating systems so that they can continue to deliver high food quality. McDonald’s has already renovated about 10,000 restaurants worldwide. They want their restaurants to be an expression of their brand. The company is also delivering greater value to the customer with new menu selections. “By serving a locally relevant balance of new products, premium salads and sandwiches, classic menu favorites and everyday affordable offerings around the world, they create value for customers and satisfy their demand for choice and variety” (McDonald's, 15).

Kroc noticed how unique and efficient this new restaurant operated. Their format allowed Richard and Maurice to produce huge quantities of food, quickly, and allowing them to charge only fifteen cents a burger! Competing restaurants charged double this amount! There was no need for waiters and waitresses, with their new self-service counter. Plus, all hamburgers were cooked ahead of time, pre-wrapped, and kept warm under heat lamps, ready for hungry customers working against the clock. Seeing great promise in their restaurant, Kroc began a franchise program for the McDonald brothers, opened their first franchise on April 15, 1955, in Des Plaines, Illinois, launched their corporation in the same year, and eventually, Ray Kroc bought out the company in 1961. As the new burger chain became more and more popular, Kroc decided the company needed a new public face. In 1963, Ronald McDonald was born. He was extremely popular, so the corporation continued to develop symbols to represent McDonald’s, such as the Big Mac (1968), the Egg McMuffin (1973), Happy Meals (1979), and Chicken McNuggets (1983). Even more characters were introduced, such as Hamburglar, Mayor McCheese, Officer Big Mac, and Grimace, to name a few. According to Britannica School, “McDonald’s effectively became the most popular family restaurant in the world, emphasizing affordable food, fun, and flavors that appeal to children and adults alike.” (Britannica School, par. 5) Soon, McDonald’s extended into Canada in 1968, and by 1988, they had reached a total of 10,000 restaurants. But all of this was just the

Products and Services: McDonald has to continuously evolve its menu to meet the emerging customers need and to attract new customers. Currently, nutritional value has become very important for customers.

In the article “The Franchisees Are Not Lovin’ It,” the authors, Gruley and Patton, discuss the difficulties of the McDonalds franchise, the struggles of the franchisees, and the inability to solve these problems. The article goes on to talk about how McDonalds needs to get back to basics, just as they say themselves. Yet, they continue to make the menu more complex by the constant introduction of new foods. They are getting away from their identity as a burger joint. As a result they are closing restaurants and are continuing to experience declining revenue. McDonalds isn’t what they used to be and something needs to be done to improve the well-being of the company, the franchisees, the employees, and most importantly the customers.

McDonalds changed menu with items such as porridge, smoothies and chicken wraps is on reason for the growing business

Big Mac in 1967 and first served it at the McDonalds in Uniontown, PA. McDonalds

McDonalds originally opened up as a barbecue restaurant in California with a large menu and drive-in service. By 1948 McDonalds made a few changes to the restaurant and cut the

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,

From Ray developing the strategy of his unique business model, to controlling it through organizational design of franchising to developing unique global strategies for competing on a global scale. This is a wonderful example of having a carefully thought out plan and executing such a plan that has enabled McDonald’s to gain and sustain competitive advantage for the past decades. All the aforementioned strategies have contributed to their rapid growth and high profits placing them at number one for the most successful fast food restaurant and franchisees in the world ahead of its top three competitors: Doctor’s Associates Inc., Yum Brand, Inc. and Burger King Worldwide, Inc. (Hoovers & Business Insider). McDonald’s has been able to differentiate itself as the burger giant serving its signature Big Mac hamburger and as an affordable fast food restaurant despite the emergence of several hamburger restaurants. For these aforementioned strategic decisions, McDonald’s continues to reap the reward of the retail industry and separates itself from its competitors including those who try to substitute its products. What this company has done is truly remarkable. Ray saw a unique business opportunity that had never been previously attempted. Not only did Ray Kroc had a genius idea, but a carefully

While McDonald’s and Burger King have fought over a percentage of the same market share, each company has a unique strategy with which they’ve approached the market. McDonald’s aims to deliver an inexpensive, standard, quality meal with high level of uniformity both in burger structure and in delivery times. Burger King also strives for an inexpensive, quality meal, but focuses on allowing the customer a degree of flexibility in the menu – a goal reflected in their long-time slogan, “Have it your way.” This difference results in distinct objectives for each restaurant that resonate

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.

This organization began in 1940, by the brothers Richard and Maurice McDonald, in San Bernardino California. McDonald Corporation today dates its founding to the opening of a franchise restaurant by Ray Kroc, in Des Plaines Illinois, in 1955. The system of “speedy service System” in 1948 established the principals of modern fast – food restaurant.

The first McDonald's restaurant was opened by brothers Dick and Mac McDonald in 1940 on Route 66 in San Bernadino, California. The menu had about 25 offerings, and carhops brought the food out to patrons waiting in their cars.