Mcdonald's and Starbucks Compairson : Establishing Their Brands to Fit Local Markets Essay Example
How do you think McDonalds and Starbucks are able to establish their brands to fit local markets through architectural design of the stores, their e–commerce strategies and service to accommodate the local markets and culture? Explain their approaches individually and see if there are any differences or similarities. Do you think Starbucks benefitted from the missteps by McDonalds that you will read about in your research?
Both these companies follow the business dictum “think globally but act locally” (Montgomery Research, 2008). Both make effort to establish their brands by experience differentiation. Both corporations focus their local and global marketing on identification of the emotional experience as part of the consumer connection with their products. Both use various marketing strategies to become synonymous in the consumers mind with a product category. For example: if a consumer wants fast food they think of products like a Big Mac (hamburger), a McRib (pork) or some McNuggets (chicken) so they think McDonald's and if a consumer wants a quality cup of coffee they think Starbucks (Montgomery Research, 2008). It's a trade brand category identifier but one company has a wider range than the other.
Both company’s use similar techniques of blending standardized corporate and unique local design structures together for their stores. They also make specific accommodations in service strategies to make their companies benefit. Both of these types of actions show respect for the local areas and their native cultures. Linking these customer environments with their brand offers a psychological identification for the consumer.
McDonald's has added new local specialty food items to fit the local market environment (Mininni, 2009). For example in France most burgers contain the much loved additional bacon, facilities are air-conditioned, have free Wi-Fi, and are open late. And in India, McDonald's removed beef to accommodate Hindus and in Morocco on certain
Both these companies follow the business dictum “think globally but act locally” (Montgomery Research, 2008). Both make effort to establish their brands by experience differentiation. Both corporations focus their local and global marketing on identification of the emotional experience as part of the consumer connection with their products. Both use various marketing strategies to become synonymous in the consumers mind with a product category. For example: if a consumer wants fast food they think of products like a Big Mac (hamburger), a McRib (pork) or some McNuggets (chicken) so they think McDonald's and if a consumer wants a quality cup of coffee they think Starbucks (Montgomery Research, 2008). It's a trade brand category identifier but one company has a wider range than the other.
Both company’s use similar techniques of blending standardized corporate and unique local design structures together for their stores. They also make specific accommodations in service strategies to make their companies benefit. Both of these types of actions show respect for the local areas and their native cultures. Linking these customer environments with their brand offers a psychological identification for the consumer.
McDonald's has added new local specialty food items to fit the local market environment (Mininni, 2009). For example in France most burgers contain the much loved additional bacon, facilities are air-conditioned, have free Wi-Fi, and are open late. And in India, McDonald's removed beef to accommodate Hindus and in Morocco on certain