CASE STUDY

ON
MCDONALDS-SERVING FAST FOOD AROUND
THE WORLD

PRESENTED BY :-
PRESENTED TOM :-
NARAYAN THAKKAR
PROF. SHARMISTHA
TINA SINGH
DESHMUKH
AKRITI SINHA
SUVARNA
 SWOT ANLALYSIS

Strenghts: Opportunities:
1) Largest fast food market share
1) Increasing demand for fast food
2) QSC&V
3) Locally adapted food menus 2) Home meal delivery
4) Children targeting

SWOT
Weaknesses:
1) New innovations
2) Unhealthy fast food
3) Negative publicity
Threats:
1)Trend towards healthy eating
2) Local fast food restaurant chains
3) Currency fluctuations
4) Lawsuits against McDonalds

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 INTRODUCTION OF McDONALDS
The first McDonald's was built in 1940 by the McDonald brothers (Dick and Mac) .

Started off as a hot dog stand in CA [1937]

The McDonald brothers realized that hamburgers were their most profitable menu item, and changed their business to serve a limited menu.
McDonalds is a large corporation in the fast food industry.
They have been around since 1955 when Ray Kroc started the chain of McDonalds. They have been growing ever since.
The majority of the restaurants are owned through franchises.
They employ 447,000 people.
They have over 3,200 restaurants in over 119 countries.
The majority of the McDonalds franchises are owned by individual franchises.
Their primary competitors are other fast food chains such as Burger King and Wendys. The competition can get pretty intense to build customer
loyalty to their food.
The McDonalds Brand is one of the most well known Brands in the world.
They employ 447,000 people.
They have over 3,200 restaurants in over 119 countries.
The majority of the McDonalds franchises are owned by individual franchises.
Their primary competitors are other fast food chains such as Burger King and Wendys. The competition can get pretty intense to build customer
loyalty to their food.
The first McDonalds Drive-Thru opened in Sierra Vista, Arizona in 1975
Happy Meals were added to McDonalds menu in 1979

McDonalds launched the new worldwide Balanced Active Lifestyles public awareness campaign in 2005

McDonalds celebrated its 50th Anniversary on April 15, 2005

1971 McDonalds really starts going global

Asian: Tokyo Ginza District, Japan
European: Netherlands, Munich, Germany

1967 - Canada & Puerto Rico (first restaurants outside the U.S.)
 Summery
SUMMARY
 1. What opportunities and threats did McDonalds face? How
did it handle them? What alternatives could it have chosen?

McDonald faced equally the opportunities and threats in promoting its brand and
business over the world. McDonald started its business as a fast-food marketer due to
which it helps to promote in Europe, America and Asian countries very rapidly.
In 1995, it faced little difficulty in Islamic countries to serve dairy foods as per the
Islamic rule and regulations. Later it changed the style and pattern of food and item in
Islamic countries. McDonald faced lot of rumours from their customer in Germany
hamburgers are from Hamburg; In Japan McDonald used to serve potato and starch
rich products instead of French fries or other fast food items. It faced competition
against sushi restaurants, Burger King, Wendys, Kentucky Fried Chicken and Pizza Hut.
Facing these threats McDonald handle them very tactically by appointing near about
300 employees with 50% more perk in Moscow and by opening 1860 outlets in Japan
as compared to 43 outlets of Burger King to just dominate others by reaching the
marketplace and peoples choice and interest.
McDonald is doing well as per its strategic implementation in various countries due to
its QSC&V (quality, service, cleanliness, and value) nature and behaviour. Apart from
these, McDonald opened many Quality Assurance Centers US, Europe, and Asia. In
addition, it also supports training and coaching in 22 languages to reach 100%
customer satisfaction.
2. Before McDonalds entered the European market, only few
people believed that fast food could be successful in Europe.
Why McDonalds succeeded? What strategies it followed?
How did it differ strategies in Asia?

McDonalds stay in close contact with its customers, who

want good taste, fast & friendly services clean surroundings,
and quality. It is interesting that McDonalds was one of the
first restaurants in Europe to welcome families with children.
they are also entertained with crayons and paper, a play land.
Whereas in Asia, the trend is different. The people in Asia
want food as per their taste, which McDonalds served them.
They prepared their menus, which included regional taste of
people.

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 3. What is McDonalds basic philosophy? How does it enforce
this philosophy and adapt to different environments?

McDonalds basic philosophy is to serve fast food around the

world. For which, McDonald applied different methods and
strategies in different region, from Europe to Asia and
Switzerland to Philippines. Somewhere, it changed the taste
with a little cost; somewhere with millions in advertising.
Whatever it may be, it succeeds to won the hearts of many
throughout the world in different environments.
 4. Should McDonalds expand its menu? If no, than why not?
If yes, what kinds of products should it add?

As per my opinion McDonalds do not need to expand its

menu. It has been famous and liked for its traditional menu,
people loves to have it everyday life.
for expanding the menu requires more resources and more
skilled persons. It can add some items according to regional
taste.

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 5. Why is McDonalds Successful in many countries around
the world?

following points are showing McDonalds success story

around the world.
Quality, Service, Cleanliness & Value.
Innovative way of presenting itself among people.
Welcoming all categorys people.
Regional taste and menu.
Various kinds of ventures in market.
Increasing demand of fast food over the world.

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 Conclusion
McDonalds effectiveness and profitability is obviously well
supported by their strong competitive position and market share in
their primary product market.
Its international success is achieved by the companys strategy and
tactics, which complement each other and work in
harmony, providing the optimum return bounded by efficiency.
The company is thriving as it is both effective (doing things right)
and efficient (doing the right thing).
McDonalds portfolio of products is well managed and ensures the
best fit between the companys strengths and weaknesses and for
offsetting the threats found in its competitive environment. In
considering the strong competitive position of the firm in a highly
attractive market.
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