Mcdonald’s
McDonald’s, based in California, USA, has become the most famous and successful fast-food restaurants all over the world. Since the first McDonald’s opened in 1955, till now, McDonald’s has established more than 32,000 chain stores over 100 countries, serving more than 60 million people each day, and gaining around 15 billions incomes per year. In addition, McDonald’s keeps enhancing its brand imagine through different social activities and the sponsorship of special events and sports. (www.McDonalds.com.au) Why McDonald’s is so successful? How can it achieve this? The reason why McDonald’s is so successful is it well implements several business strategies. This essay is going to analyze the recipe of success of McDonal’s and argues that how business strategy influence the staffing strategy.
The business strategy of McDonald’s is to deliver outstanding service to its customers, that is to provide its customers quality, cleanliness, quick service and value. Poter’s specialization strategy can help better understand McDonal’s business strategy. Poter (as cited in Phillips and Gully,2011, pp. 31) stated that firms using specialization strategy can be either cost leaders or differentiators. Such a strategy “focus on a narrow market segment or niche-a single product, a particular end use, or buyers with special needs”. Companies pursue specialization strategy can focus on a particular buyer group, either through a low price or differentiated products or services that other competitors cannot imitate. The nature of McDonald's product is food which everybody needs this makes the idea of a narrow focus strategy a little less likely for McDonald's. The specialization strategy is a combine of cost-leadership strategy or differentiation strategy. Businesses adopt such a strategy often try to develop a competitive advantage through customer intimacy and try to gain and increase customers’ loyalty through meeting their customers’ needs by delivering unique
The business strategy of McDonald’s is to deliver outstanding service to its customers, that is to provide its customers quality, cleanliness, quick service and value. Poter’s specialization strategy can help better understand McDonal’s business strategy. Poter (as cited in Phillips and Gully,2011, pp. 31) stated that firms using specialization strategy can be either cost leaders or differentiators. Such a strategy “focus on a narrow market segment or niche-a single product, a particular end use, or buyers with special needs”. Companies pursue specialization strategy can focus on a particular buyer group, either through a low price or differentiated products or services that other competitors cannot imitate. The nature of McDonald's product is food which everybody needs this makes the idea of a narrow focus strategy a little less likely for McDonald's. The specialization strategy is a combine of cost-leadership strategy or differentiation strategy. Businesses adopt such a strategy often try to develop a competitive advantage through customer intimacy and try to gain and increase customers’ loyalty through meeting their customers’ needs by delivering unique