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1、McDonalds Corporation Company Huang, Yida 2/28/2012International BusinessBADM 455Table of ContentsExecutive Summary .1Introduction .2History.3Current & future profile.3 SWOT Analysis .4Global Market Expansion .7Industry Analysis .9Competitor Analysis .10Recommendation .11Conclusion .12Exhibits . mis

2、singExecutive SummaryMcDonalds restaurant is a large chain fast food group and it has approximately thirty thousand shops in the world, the main selling is hamburgers, French fries, Fried chicken, soda, ice product, salad, fruit. McDonalds restaurants spread all over the world six continents in over

3、 countries. In many countries McDonalds represents of a kind of American way of ernational expansion The most famous McDonalds brand of McDonalds has more than 32000 home fast-food restaurants, and it distribution in 121 countries. According to the taste of the local people to adjusted the M

4、cDonalds meal. In addition, McDonalds company still control some the other restaurant brand, such as the Aroma of coffee (Aroma Cafe), Boston Market, Chipotle Mexican big cornbread fast food restaurant, Donates Pizza and Pert a Manger.IndustryAfter the financial crisis, most companies are experienci

5、ng a situation of fund shortage, how to get more profit has become the problem which the fast food industry must be facing with. Of course, the advantage of efficiency and convenience will be the important Opportunity to help the fast food industry to solve the problem.CompetitorAlthough McDonalds i

6、s the most profitable in the industry, It also faced many challenges from thier competitors, The competitors like SUBWAY, KFC and Starbucks also have the Great strength and A potential threat to McDonalds.RecommendationNow, McDonalds management is very good, but It still need to improve in some plac

7、es. Like advertising promotion, public relations activity and Diet-health. And McDonalds also need carry out More activities to attract peopleHistory1954, Ray Kroc as the Agents of the franchise of McDonald, and he deal with the problem of transfer about franchise rights. And very soon Kroc already

8、enable the McDonald to be a very excellent company. So the people already regarded him as one of the founders of McDonald.In 1961, McDonald brother make over the all company to Kroc with the price of 2.7 million dollars. In 1966 the McDonald company turn over a billion dollars. Then Kroc enable Turn

9、er to manage the company and Turner decided: expand the chain! In the first two tears Turner turn over control the company he massively increase the human being resource of real estate and construction department. Purchasing amass real estate. At the same time, he makes a surprising goal; set up sto

10、res from 100 every year increase to 500 every year.Current & future profile McDonald fast food restaurant with its warm atmosphere and the franchise system, and it is recognized as one of the most famous fast-food restaurants in the world. The mainly income of McDonalds company comes from Real estat

11、e operating revenue, from Franchisee collection to get service charge and Regular Chain surplus. Because of the most of members usually do not have enough money to pay 30,000 dollars for the land and pay 40,000 for the construction, also they often powerless to fight for loans. McDonalds company is

12、responsible for helping the alliance business to look for the address of the right stores, and then McDonald Company will hire them to the alliance business. This is the main source of income of McDonald Company. Not only this can resolve the financial difficulties of admission of open store, but im

13、prove the McDonalds income, and at the same time, through the control real estate, it is more advantageous to the McDonalds to strengthen the management of the franchisee. McDonalds once only sell fast food, but when it is summarized a set of scientific and reasonable manufacturing fast food program

14、s and the secret to select the store location, it already transform to real estate enterprise gradually. In the future, McDonalds headquarters main attention should be which area is the most popular local people. After the studying, McDonald company will bought the subway and build fast food restaur

15、ant look, then looking for the Franchise partners, and hire them for their business, charging them Franchise fees and the rent of the land.SWOT AnalysisStrengths1good enterprise imageMcDonalds is a good fast food brand that we are very familiar with it, the unified red background and a large yellow

16、M; this is the main sign of McDonalds2 the unique idea of management Briefly, McDonalds business concept can stand for four letters, Q, S, C, n. The Q is for quality, S mean service, C is for clean, V mean value. And this idea is come by McDonalds founder ray, and on these years, McDonalds always de

17、dicated to carrying out the idea to persuade so many consumers to taste McDonalds hamburger.3 the complete training systemMcDonalds pay attention to employee training so much, McDonalds training system combines on-the-job training and off-job training. Weakness1) Ignore the childrens healthThe most

18、of fast food include a hamburger, Fried food, ice cream and carbonated beverages. In these nearly 9 years the world health organization announced, the ten Fried food includes ice cream kind of food, soda and cola.2) Global unity of publicity, ignored regional difference between the kingdomAs the wor

19、ld has wide influence within the scope of the multinational company, McDonalds for granted to take does brand publicity strategy, this is can get large scale advantage, but due to the cultural psychology aesthetic custom differences often leads to effect is not satisfying. Stubborn global unified st

20、rategy is its in some countries in the root cause of the boycott.3) The similar propertys threat McDonalds also has threaten comes from the similar property, like KFC, Pizza hut. Many Chinese indigenous fast food properties like Wallace, Disco grab McDonalds portion at a certain extent. OpportunityW

21、ith the improvement of peoples living quality, people have also raised more and more requirement of food; people not only want to eat the food but also eat healthy. However, such a social environment for the fast food industry is a challenge, but also an opportunity, numerous examples of long-term c

22、onsumption of fast food would have very negative health effects, in order to change this situation , If people want to change this kind of situation, and we needs to change the understanding of the fast food, to my opinion the unhealthy food should be replaced by the heath food, And in the meantime

23、we must ensure the fast food is delicious, and it will be the future of the mainstream of the fast food development way, such as we should advocate edible vegetables, grains, and must reduce the Fried food, high sugar and high quantity of heat food and so forth, so innovation develop this kind of pr

24、oduct as soon as possible it will greatly increase the brand on the market influence, to improve the competitiveness of the products, and get the supports of the consumers, receive the good result.ThreatIt has been exposure that employee in McDonalds was gotten low wages. The quality of service may

25、be under the influence. The most important is that a lot of the McDonalds fast food with a high fat and high energy. If people eat too much McDonalds, they will be unhealthy.Low entry requirements in the Fast food industry and a smaller corporate image gap between the same industry is also the poten

26、tial threat of McDonaldsGlobal market expansion & associated challenges 1970 McDonalds started to overseas market. And it makes the sum total of McDonalds chain stores more than 3000. In 1975, there are about 485 chain stores to join the global chain McDonalds system. In the later 30 years, because

27、of the suitable method of Kroc, McDonalds company became the fastest growing worldwide enterprise.The financial crisis has brought great losses to many international companies,But the McDonalds did well in the crisis. Its secret was to meet the tastes of foreign consumers and couple with the crazy m

28、arketing.In the current financial crisis, McDonalds benefited from its global expansion. It began to enter the global market decades ago. It made some remarkable score in its global expansion, though some of them are funny. In Mexico, McDonalds gave Collettes, it was English muffin with beans, chees

29、e and salsa sauce. It gave Marabou in Arab; it was chicken patties with garlic mayonnaise, vegetables, and Arab-style bread. In Australia it delivered Vegemite, In Singapore it delivered chicken Sing Porridge. In India it delivered McAlootikki and Maharaja Mac flavored in lamb or chicken.Though thes

30、e products begin with “Mc”, it doesnt mean they are the same. McDonalds has taken the strategy of local conditions to cater to overseas consumers, such as supporting local farmers and suppliers, well-planned guerrilla marketing campaign.Even if that is selling a traditional American food, McDonalds

31、also uses a lot of novel and often bold tactics to attract the target audience. Japan is a good example, McDonalds never sold Beef Fort in Japan. In November, two stores in Tokyo covered the traditional logo and set up the wall with “Top Secret” in one night, which causes some passers curiosity.Afte

32、r 3 weeks in the wall, people saw the new face of the two store that was painted red and black and became hamburger store. The store sold Beef Fort. A spokesman of McDonalds Tokyo Junich Kawaminami called this a suspense type marketing. She said this marketing is a blind test of Japanese consumers.

33、In particular, we hope to attract those who do not eat McDonalds. After modifying two stores in Tokyo, McDonalds opened in Osaka, Nagoya and Shibuya three large Hamburg branch. These three branches have broken sales records of the McDonalds store in Japan.ChallengesHowever, in some places, McDonalds

34、 have to do is not only the introduction of new products, but also to establish a new image. In France people scoff at McDonalds. In 1999 a protest led by Jose Bove took place, he said McDonalds is a symbol of global capitalism.Markt Jaywal said that the demonstrators smashed a McDonalds restaurant

35、in Milo, France, resulting in the death of a restaurant staff, forcing McDonalds had to take action. In 2001, McDonalds held an event that is open to the public, people can see the McDonalds employees, visit the food cooking process, check the quality of the food, using local products, etc.McDonalds

36、 has made huge gains in the global expansion, but is also facing the challenges. Only adhere to the principles of product localization and play their own characteristics, The McDonalds will go further in the international market.industry analysis Economic crisis has led some investors to have the wa

37、it and see attitude, they also have a cautious mentality, and many investors do not want to spend too much money on the investment. It is obvious that the investments confidence has also been affected. Reduction of investment result in the reduction of funds and It is easily lead to market frictions

38、. At the same time, the fast-food business is also faced with opportunities. The low price is their main advantage. After the Economic crisis, people do not want to spend too much money in the diet, so more and more people choose the fast food rather than the exclusive restaurant. Besides, the fast

39、food can help people save time when they have lunch or dinner. So the fast food is very popular now.CompetitorSUBWAYSUBWAY was born in 1965 in the state of Connecticut. In january 1st last year, there were 3,3749 global branch store of the SUBWAY, get ahead of the McDonalds, Become the worlds larges

40、t brand of fast food franchise chain. You can see the uniform decoration design and menu, feel the uniform service theory and taste the global harmonization of pure style SUBWAY in the all SUNWAY restaurant all of theworld. The key to success of the SUBWAY is sinple“the characteristics of my life”.

41、KFCThe KFC business philosophy is to constantly introduce new products or repackaging of previous saled of products and caught the psyhology of people who is curious about new things to gain profit. The success of the KFC is from the concerted efforts of the 1.9 million employees worldwide. At locat

42、ions around the world, KFC always put the needs of the costomers in the most important position. So that when the Customers enjoy a variety of delicious food, they also can feel the most cordial and first class service and dining environment.StarbucksStarbucks is a chain coffee company, established

43、in 1971 with its headquarters located in Seattle, Washington, DC.Starbucks worldwide. It has nearly 12,000 stores throughout North America, South America, Europe, Middle East and the Pacific. It is the worlds largest coffee chain store.Starbucks is very popular in the United States and Canada betwee

44、n students and white-collar. In addition to coffee, Starbucks also has tea, stuffing leather, bread and cakes. Some Starbucks stores even seek cooperation with supermarkets and bookstores, it opened in the cooperation stores.RecommendationShort-Term Recommendation1. Continuously strengthen the marke

45、ting activities for children to Enhance the cohesion of the childern. For example, Increase the types of childrens package and give chilern more gift for free. Meanwhile make more room for children to play games and Increase the recreational facilities.2. Classify the adults as their habits and taste to carry out more promotional activities. And then, Make the appropriat

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