Mcdonald's Case Study
Brief Summary of Key Issues
McDonald’s Corporation emerged as the world’s largest chain of hamburger fast food restaurants, serving 119 countries; it has become an icon in the fast food industry. Competitors (such as: Burger King Corporation, Subway, Starbucks, Wendy’s/Arby’s Group, and YUM Foods), struggle due to McDonald’s heavy caliber presence, in fact, due to its presence, McDonald’s does not have any real competitors. Therefore, McDonald’s presence reflects the following issues: food quality, unbalanced meals, service, and employee turnover.
SWOT Analysis
STRENGTHS
* Very strong brand name * Large partnerships * Socially responsible * Affordable products * Quick service * Clean environment
WEAKNESSES
* Employee turnover * Food quality * Non-healthy foods for health conscious customers * Service – although quick, may encounter customer service problems * Not filling – food does not fill customers for a long time * American customers may dislike McDonald’s in other countries
OPPORTUNITY
* Groupon discounts & discounts in general * Delivery services in the U.S – For example, Malaysia and Singapore * Online services – pick up or delivery * Food stamps – EBT – WIC – Women, Infants and Children * More breakfast items * Healthier meals – hamburgers, drinks, vegan * Environmentally friendly packaging * Gain more customers through events – Mc Donald’s has the advantage due to its broad presence – freebies, food samples and concepts for future meals
THREATS
* Unhealthy brand image * Competition drive customers away – due to food quality, taste, unhealthier image than competitors * Unbalance meals – not enough vegetables nor fruit * High employee turnover – many employees get fired or quit due to low salary and enslaving work pressure * Dissatisfied franchises – many franchises need to pay higher fees as McDonald’s expands in order to use notorious
McDonald’s Corporation emerged as the world’s largest chain of hamburger fast food restaurants, serving 119 countries; it has become an icon in the fast food industry. Competitors (such as: Burger King Corporation, Subway, Starbucks, Wendy’s/Arby’s Group, and YUM Foods), struggle due to McDonald’s heavy caliber presence, in fact, due to its presence, McDonald’s does not have any real competitors. Therefore, McDonald’s presence reflects the following issues: food quality, unbalanced meals, service, and employee turnover.
SWOT Analysis
STRENGTHS
* Very strong brand name * Large partnerships * Socially responsible * Affordable products * Quick service * Clean environment
WEAKNESSES
* Employee turnover * Food quality * Non-healthy foods for health conscious customers * Service – although quick, may encounter customer service problems * Not filling – food does not fill customers for a long time * American customers may dislike McDonald’s in other countries
OPPORTUNITY
* Groupon discounts & discounts in general * Delivery services in the U.S – For example, Malaysia and Singapore * Online services – pick up or delivery * Food stamps – EBT – WIC – Women, Infants and Children * More breakfast items * Healthier meals – hamburgers, drinks, vegan * Environmentally friendly packaging * Gain more customers through events – Mc Donald’s has the advantage due to its broad presence – freebies, food samples and concepts for future meals
THREATS
* Unhealthy brand image * Competition drive customers away – due to food quality, taste, unhealthier image than competitors * Unbalance meals – not enough vegetables nor fruit * High employee turnover – many employees get fired or quit due to low salary and enslaving work pressure * Dissatisfied franchises – many franchises need to pay higher fees as McDonald’s expands in order to use notorious
Cited: Web. 19 Feb. 2013. "McDonald 's SWOT Analysis and Recommendations." HubPages. Hub, 29 Nov. 2012. Web. 19 Feb. 2013. Forbes Magazine, 20 Apr. 2012. Web. 19 Feb. 2013.