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mcdolnads_business.pptx
McDonalds business
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Strategic positioning
According to McDonalds’ outlook of strategic positioning, he describes it as doing activities differently from their competitors, i.e. carrying out similar activities in a different manner.
In this way, ones company develops into a superior performer in the industry. Their strategy and positioning is aimed at satisfying a certain market sector.
For instance, it can be directed towards satisfying a group of individuals such as the young, adults, low income earners, the middle class, the rich etc.
They also choose their customer base and how to serve them. It can be either a narrow or a broad scope. The company selects either of the two so as to achieve good results MacDonald’s businesses also ensures a pocket friendly low costs of its products, thus a low cost strategy.
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Social responsibility
McDonald has based his success on a social responsibility strategy that will ensure smooth relation with his clients.
His Win strategy that is composed of 5 P’s has a strong foundation of ensuring the success of the business. His strategies will not only making the business bigger but ensures that the business becomes better as compared to other similar businesses.
This strategic plan is based on undertaking the initiatives based on the 5 P’s with the aim of delivering exceptional customer experience. The 5P’s refer to the people, products, price, place and promotion.
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Business ethics and Customer experience
Customer experience
McDonalds core values are based on customers. They believe that the main reason for the business existence is their customers and hence they have to consider every requirement of the customer in order to satisfy them.
The business appreciated their clients by offering them superior services, high quality and clean and a welcoming environment.
Business ethics
McDonalds business is conducted on the basis of high standards of fairness, integrity, honesty and transparency. This helps to ensure equality hence serving each of the customer in an ethical manner.
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Charity work and Continuous Improvement.
Continuous Improvement.
McDonalds business I on a foundation of a never ending improvement. This strategy helps to respond to the ever changing customers preferences. The strategy also helps in forecasting of the future demands and responding with the appropriate innovation and evolution in technology.
Charity work
The business is geared and has a responsibility of giving back to the community. The business helps in creation and development of better communities by making the world a better place through continued support to Ronald McDonald House Charities.
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Employees’ empowerment
McDonald business offers support to the employees by empowering them.
The company natures their talents and appreciates them by rewards on the job well done (McDonald, 1996).
The business is composed of well trained employees with relevant experiences and backgrounds.
The business offers a conducive working environment that ensures high levels of engagement that is relevant to keep the business running.
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McDonald’s three major strengths:
Globalization efforts. In accordance with the 2011 annual statement, products sold in Europe sold up to about 40% of the total income and franchises controlled in the Middle East, Asia and Africa doubled their earnings. They could possess 104 successive months of global related increase in sales (Love, 1999).
Readiness to include new set of items in order to make available fresh as well as interesting choices. The addition of exclusive beverages and local selections facilitates McDonald’s stay a step ahead of what the clients needs.
Willpower to modernization. New technologies are employed to enhance ordering, payment processes and drive through.
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Macdonald’s three major weaknesses.
Record increases are lowering down .The proposals of the stock purchases are showing a leveling trend with barely five recommendations, encouraging a strong purchase and others signifying to hold finance.
Incapability of expanding much more within the U.S. restaurants.
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MacDonald’s strategic prospects
MacDonald’s strategic prospects based upon the analysis of the external assessment and considerations of the opportunities to grow are;
3cs analysis. It comprises of the company, competitors and the customers. The marketing approach focuses on the methods which a firm is able to differentiate itself successfully from its competitors, taking advantage of on its distinctive strengths to the delivery of better value to its clients.
Three value disciplines; product leadership, operational excellence, and customer intimacy. Their goal is to lower prices as well as increase efficiency.
Porter five forces; these are: threats of entrance, threats of substitutes, buyer power, competitive rivalry and supplier power. Collectively, these factors influence market attractiveness.
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MacDonald’s strategic prospects
The SWOT analysis, i.e. the strengths, weaknesses, opportunities and threats. It recognizes the main components of marketing information as of the large sums of data produced by marketing audit. It also agrees to the firm stressing the external opportunities and threats as well as weighing them alongside its present internal strengths and weaknesses.
Opportunity evaluation matrix; it’s used as a means of finding markets that an organization can serve profitably.
Threat matrix; they are challenges created by an unfavorable development or trend that would lead to profit or sales deterioration in the absence of a self-protective marketing action.
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References
Love, J. F. (1999). McDonald's: Behind the arches.
McDonald, J. (1996). Strategy in poker, business & war. New York: W.W. Norton.
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