Strategic Business Analysis of Macdonald's Corporation
University of Liverpool Management School
MSc in Operations and Supply Chain Management
Strategic Management and Business Analysis
‘Strategic Business Analysis and Evaluation of McDonald’s Corporation’
January ’2012
Prepared by:
Mohammad Marai , Georgia Kabantega , Anthony Amoonu , Meng Foo , Oluwadamisi Tayo-Ladega
Word Count: 3,306 excluding Cover page , table of content ,references and appendices.
Table of Contents
Project Summary 3
MacDonald’s Organization Overview 3 MacDonald’s Mission 3 MacDonald’s Products 4 MacDonald’s Current Business Strategy 4 Financial Situation 6 MacDonald’s Organization Structure 6 MacDonald’s Key Business Issues 7 SWOT Analysis 8 Porters Five Forces Analysis 10 Financial Ratio Analysis 12 BCG Analysis 16 Discussion 20 Strategic Options Analysis 20 Recommendation at SBU Level 21 Conclusion 22 Appendix 22 References 25 Figures & Appendices :
Numbers of Figures : 14 Number of Appendices : 2
* Project Summary
In this project , we performed a strategic analysis for MacDonald’s corporation using a different technique to discover the current strategic position vs. the available opportunity for the organization. The results are used to suggest a strategic options to attain a higher growth in market share and profits. The suggested strategies are analyzed and narrowed down to agree on the best strategy to be implemented. The ability of applying these strategies are supported by further analysis tools like Financial Ratio and Porters Five Forces. The analysis will support our argument that MacDonald’s needs to implement a Penetration strategy and maintain a competitive advantage through strong innovations that satisfy customer needs and enhance customer experience. * MacDonald’s Organization Overview
MacDonald’s is an international company in the fast food industry that conducts a business in more than 119 countries and
MSc in Operations and Supply Chain Management
Strategic Management and Business Analysis
‘Strategic Business Analysis and Evaluation of McDonald’s Corporation’
January ’2012
Prepared by:
Mohammad Marai , Georgia Kabantega , Anthony Amoonu , Meng Foo , Oluwadamisi Tayo-Ladega
Word Count: 3,306 excluding Cover page , table of content ,references and appendices.
Table of Contents
Project Summary 3
MacDonald’s Organization Overview 3 MacDonald’s Mission 3 MacDonald’s Products 4 MacDonald’s Current Business Strategy 4 Financial Situation 6 MacDonald’s Organization Structure 6 MacDonald’s Key Business Issues 7 SWOT Analysis 8 Porters Five Forces Analysis 10 Financial Ratio Analysis 12 BCG Analysis 16 Discussion 20 Strategic Options Analysis 20 Recommendation at SBU Level 21 Conclusion 22 Appendix 22 References 25 Figures & Appendices :
Numbers of Figures : 14 Number of Appendices : 2
* Project Summary
In this project , we performed a strategic analysis for MacDonald’s corporation using a different technique to discover the current strategic position vs. the available opportunity for the organization. The results are used to suggest a strategic options to attain a higher growth in market share and profits. The suggested strategies are analyzed and narrowed down to agree on the best strategy to be implemented. The ability of applying these strategies are supported by further analysis tools like Financial Ratio and Porters Five Forces. The analysis will support our argument that MacDonald’s needs to implement a Penetration strategy and maintain a competitive advantage through strong innovations that satisfy customer needs and enhance customer experience. * MacDonald’s Organization Overview
MacDonald’s is an international company in the fast food industry that conducts a business in more than 119 countries and
References: * Investopedia, (2012) ‘Porter’s 5 Forces’ [Online] ValueClick Inc. Available at: http://www.investopedia.com/terms/p/porter.asp#axzz2BlbWVbiq [Accessed on: 9 November 2012] * Han J, (2008) ‘ The Business Strategy of McDonalds’, International Journal of Business and Management, Vol 3, No 11, pp72-74 http://www.ccsenet.org/journal .html (Accessed 7 Dec 2012) * Jessemhelbaldoria,(2010) ‘MacDonald’s’ [Online]. Available From: http://jessemhelbaldoria.wordpress.com/ ( Accessed : 20 Dec 2012) * Kazmi A.,(2008)’ Strategic Management and Business Policy’. 3rd ed. India Delhi: the McGraw-Hill Companies. * MacDonald’s (2011) ‘ MacDonald’s Annual Report’ [Online]. Available From: www.aboutmcdonalds.com/mcd/investors/annual_reports.html ( Accessed : 12 Dec 2012) * MacDonald’s Website , (2012) ‘MacDonald’s’ [Online]. Available From: http://www.aboutmcdonalds.com/mcd/our_company.html ( Accessed : 20 Dec 2012) * Market line (2012) Global fast food (online available from: http://www.globalbusinessinsights.com/content/ohec4856m.pdf (Accessed 31 December 2012). * Mellor, W (2011) ‘McDonald’s No Match for KFC in China as Colonel Rules Fast Food’ Bloomberg.com http://www.bloomberg.com/news/2011-01-26/mcdonald-s-no-match-for-kfc-in-china-where-colonel-sanders-rules-fast-food.html (Accessed 7 Dec 2012) * Mind Tools (2012) Porter’s Five Forces: Assessing the Balance of Power in a Business Situation [Online] Mind Tools Limited. Available at: http://www.mindtools.com/pages/article/newTMC_08.htm [Accessed on: 12 December 2012] * Naydenov, D (2012) Wendy 's Continues To Execute Well (online available from:http://seekingalpha.com/article/1081832-wendy-s-continues-to-execute-well (Accessed 1 January 2013). * Whatmakesagoodleader (2009) ‘Porters Five Forces - Competitive Analysis’ [Online] whatmakesagoodleader.com Available at: http://www.whatmakesagoodleader.com/Porters-fiveforces.html [Accessed on: 22 December 2012] * whatmakesagoodleader.com Available at: http://www.whatmakesagoodleader.com/Porters-fiveforces.html (Accessed on: 22 December 2012) * Williamson, D., Jenkins, W., Cooke, P