Submitted by: GROUP No. 3
Pradeep Kumar Agrawal
Shikhar Katuva
Ipseeta
Deepjita
Shikhar
Abstract
McDonaldis one of the leading fast food chain operating in more than 120 countries (Exhibit - 4) with more than 30000 restaurants. McDonald opened its first restaurant in 1955 in Illinois and started to grow rapidly serving around 47 million customers daily with more than 1.5 million employees. As far as Indian markets is concerned it was a distant dream for any western fast food chains to enter India and serve Indian customers, the reason being distinct dietary habits and food preferences of Indian consumers. After 1990 when government of India came up with economic reforms that liberalized policies of foreign investments, established western fast food chains like KFC and PIZZA HUT rushed to the Indian market but McDonald spent about six years analysing the market before entering India.
During the analysis phase McDonald first categorized its various Opportunities, threats, strengths & weaknesses in Indian market. The analysis came up with the results like: increase in the purchasing power of individuals, their dietary habits like opposition to pork and beef and more inclination towards vegetarian foods, increase in urbanization and socio cultural habits. Depending on the results from the analysis McDonald came up with effective market mix (4Ps) that helped them to utilise the opportunities and thus eliminating the threats. The major highlight of the strategies adopted by McDonald was: Indianizing the menu and thus eliminating beef and pork completely, wide variety of products with different prices, confining itself to urban cities and building strong brand equity through various CSR events.
This case analysis basically gives the overview of different strategies adopted by McDonald to establish themselves in Indian market.
STRUCTURE OF THE CASE ANALYSIS