Strategic Management Analysis
strategic management skills for MacDonals '
SM 0374 Assignment
Tutor: Tony Purdie
Date: 09/05/2012
Word count: 3233 words
Contents 1.0 Part A: Question 1 2 1.1 The Successful of McDonald’s Corporation 2 1.2 Reasons Underpinning Success 4 1.2.1 High Research and Development Group 4 1.2.2 Hamburger Universities 5 1.2.3 Talent Management System 5 1.2.4 to Satisfy Different Area of Customers’ Demand 5 1.2.5 Strong Brand Name 6 1.2.6 Franchising 6 1.2.7 High Performance and Low Price Products 6 1.2.8 A Clear Competitive Strategy 7 1.2.9 Success of Suppliers 7 1.3 Analysis the Key Successful Reasons through VRIN and Value Chain 7 1.3.1 VRIN 7 1.3.2 Value Chain 9 1.4 Recommendation for Future Success 11 1.4.1 Threats 11 1.4.2 Recommendation 12 2.0 Part B: Question 2 13 2.1 Theory about Strategic Drift and Leadership 13 2.2 Case Analysis about the Relation of Failure Leadership and Strategic Drift 14 2.2.1 RIM 15 2.2.2 Marks & Spencer 16 2.3 Recommendation for Avoid Strategic Drift 17 References: 19 Bibliography: 21 Appendix: 22
1.0 Part A: Question 1
1.1 The Successful of McDonald’s Corporation
McDonald 's is the leading global foodservice retailer, which has more than 33,000 local restaurants in 119 countries (McDonald, 2012). In addition, the aim of McDonald 's is not to be the biggest fast foodservice restaurant chain. However, they committed to being the best fast foodservice retail chain (GEP, 2012). It made them to be the world’s most successful chain of fast foodservice restaurants. In the best global brands ranking, McDonald’s is the sixth most valuable brand in the world (Interbrand, 2011).
Figure 1: Comparable Sales Growth of McDonald’s
Source: McDonald’s Annual Report (2007-2011).
Comparable sales are one of the significant performance indicators in the retail industry. It was used to confirm how many new sales comes from actual sales growth or just comes from new store
SM 0374 Assignment
Tutor: Tony Purdie
Date: 09/05/2012
Word count: 3233 words
Contents 1.0 Part A: Question 1 2 1.1 The Successful of McDonald’s Corporation 2 1.2 Reasons Underpinning Success 4 1.2.1 High Research and Development Group 4 1.2.2 Hamburger Universities 5 1.2.3 Talent Management System 5 1.2.4 to Satisfy Different Area of Customers’ Demand 5 1.2.5 Strong Brand Name 6 1.2.6 Franchising 6 1.2.7 High Performance and Low Price Products 6 1.2.8 A Clear Competitive Strategy 7 1.2.9 Success of Suppliers 7 1.3 Analysis the Key Successful Reasons through VRIN and Value Chain 7 1.3.1 VRIN 7 1.3.2 Value Chain 9 1.4 Recommendation for Future Success 11 1.4.1 Threats 11 1.4.2 Recommendation 12 2.0 Part B: Question 2 13 2.1 Theory about Strategic Drift and Leadership 13 2.2 Case Analysis about the Relation of Failure Leadership and Strategic Drift 14 2.2.1 RIM 15 2.2.2 Marks & Spencer 16 2.3 Recommendation for Avoid Strategic Drift 17 References: 19 Bibliography: 21 Appendix: 22
1.0 Part A: Question 1
1.1 The Successful of McDonald’s Corporation
McDonald 's is the leading global foodservice retailer, which has more than 33,000 local restaurants in 119 countries (McDonald, 2012). In addition, the aim of McDonald 's is not to be the biggest fast foodservice restaurant chain. However, they committed to being the best fast foodservice retail chain (GEP, 2012). It made them to be the world’s most successful chain of fast foodservice restaurants. In the best global brands ranking, McDonald’s is the sixth most valuable brand in the world (Interbrand, 2011).
Figure 1: Comparable Sales Growth of McDonald’s
Source: McDonald’s Annual Report (2007-2011).
Comparable sales are one of the significant performance indicators in the retail industry. It was used to confirm how many new sales comes from actual sales growth or just comes from new store
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