...aggressive sales force but rather than on a customer’s decision to purchase a product; it is synonymous with the marketing concept.” • Unlike sales orientation, a firm would focus outward on the customers wants and needs. • The goal of a firm is to satisfy customers wants and needs and delivering superior value. • The target is specific groups of people. • Where sales orientation profits by sales volume, marketing orientation firms profit with good feedback from customers or customer satisfaction. • It’s more about marketing and less about selling (less persuasion). • Firms identify what customers want and have businesses give them what they want efficiently. 3. In what ways does McDonald's embody both a marketing and a societal marketing orientation? Do some internet research if necessary. McDonald’s embodies a marketing orientation...
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...Pollution Prevention in Corporate Strategy NATIONAL POLLUTION PREVENTION CENTER FOR HIGHER EDUCATION Case A: McDonald’s Environmental Strategy Susan Svoboda, manager of the University of Michigan Corporate Environmental Management Program (CEMP), prepared this case under the guidance of Stuart Hart, director of CEMP and assistant professor of Corporate Strategy and Organizational Behavior at the U-M School of Business Administration, as the basis for class discussion rather than to illustrate either effective or ineffective handling of an adminstrative situation. This document may be used by either students or faculty for background information. Introduction Rooted in Ray Kroc’s founding principles of Quality, Service, Cleanliness & Value (Q.S.C.&V.), McDonald’s management has always believed in being a leader in issues that affect their customers. This philosophy is evident in McDonald’s involvement in various community projects regarding education, health care, medical research, and rehabilitation facilities. These activities help the corporation to extend their image beyond fun and entertainment into social responsibility. However, in the late 1980s, McDonald’s began to face criticism for its environmental policies, especially those surrounding polystyrene clamshell containers. In 1987, McDonald’s replaced CFCs, the blowing agent used in clamshell production, with weaker HCFC-22’s after facing public criticism that CFC usage was contributing to ozone depletion. But...
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...Individual Innovation Paper McDonald’s Arch Deluxe EXECUTIVE SUMMARY Individual Innovation Paper: McDonald’s Arch Deluxe Analysis - Why It Failed INTRODUCTION McDonald’s has been in the hamburger business since the 1950’s and grown into a world-wide fast-food giant known for “Quality, Service, Cleanliness and Value”. As the McDonald’s empire grew so did their menu, it adapted to the tastes of their customers. In 1996 McDonald’s launched the Arch Deluxe; their answer to what adults want to eat. The public did not agree with McDonalds and the product was not successful. CAUSE OF PRODUCT FAILURE McDonalds advertising tried to show that the new Arch Deluxe was fancier than their other menu items and overemphasized the how adult it was. In the end the public did not agree and it ultimately failed. The Arch Deluxe did not make a rebound although over time they did add menu items with similar ingredients on the menu today. WHY DID IT NOT REBOUND? I believe the reason McDonald’s would not bring the Arch Deluxe back is because it is such a well-known financial failure for such a successful multi-national business. CONCLUSION The creation of the Arch Deluxe was not a big mistake in of itself, they wanted to create something adults would like to order and during research and design the testing groups liked the Arch Deluxe. The problem was with the way McDonald’s advertised and promoted the Arch Deluxe; they thought their idea was innovative and the advertising did not...
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...The Influence of Personality, Brand Personality, Values and Cultural Differences on Consumer Behavior and Service Management Example: McDonald’s Author: David Burtscher Date: 23th of June, 2014 I Abstract This paper presents the constructs of personality and brand personality as well as the construct of values from consumer behavioral view. Furthermore the paper gives a short insight into value related cultural differences. The paper can be arranged into three parts: personality, values and culture. At first the single constructs are described theoretically, then the relationships and differences between the constructs are discussed shortly. As a last step we tried to integrate and apply the theoretical knowledge at a practical example. For this we chose McDonald's. We think McDonald’s is a good choice because it is present all around the world in many different cultures and it also appeals many different customer types. II Table of Contents Abstract..................................................................................................................................................... I Table of Contents ................................................................................................................................... II 1 2 INTRODUCTION ....................................................................................................................1 PERSONALITY AND BRAND PERSONALITY ........................................
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...– Contemporary Business xxxx xxxx Strayer University Fast Food Promotional and Advertising Strategies The purpose of this paper is to compare and contrast the promotional strategies of two quick service restaurants (QSR), McDonald’s and Domino’s Pizza, which both sell fast food. The paper will also recommend two ways in which a company within the fast food industry could use marketing information to differentiate itself in the marketplace to gain an advantage over its competitors. Two uses for consumer-oriented promotions that could assist a fast food company in both the short and long term are proposed in this paper. The leading fast food company, McDonald’s, has made pricing decisions to meet their competitors’ prices so that price is a nonissue and focus rather on adding value to attract customers. When their prices are equal, fast food companies can take alternate actions in order to differentiate themselves and gain competitive advantage. Lastly, the most effective advertising medium for a company in the fast food industry, which is television advertising, is examined in this paper. Promotional Strategies: McDonald’s vs Domino’s Pizza McDonald’s is the largest global fast foodservice retailer with more than 35,000 restaurants in over 100 countries offering a substantially uniform menu with some geographic variations. McDonald’s restaurants serve about 70 million people each day (Fast Food Industry Profile: Global, 2012). Domino’s Pizza is an international...
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...Conducting Business Research The Business research process involves reviewing different features of a company, its policies, procedures, employees, customers, and the market. Business research also collects and uses important information to make thorough business decisions. One of the very first steps that a company needs to do is clearly define the problem. Managers could waste time and money by analyzing information that would not benefit the managers’ resolution for the initial dilemma (Cooper & Schindler, 2011, p. 116). Management has taken notice of recent discussions and debates concerning the quality of McDonald’s menu. The focus of these discussions was on the freshness of the ingredients and how the food is prepared. This paper will give an overview of McDonald’s business research that evaluates its strengths and weaknesses while placing particular importance on how their customers view McDonald’s food choices. The problem that the McDonald’s corporation is facing is the overall appearance that the nutritional value of their menu is lacking when compared to other organizations. Currently the impression that is perceived by many customers is that flash-frozen food is not fresh and is associated with an unhealthy diet. This image is what the company is working to overcome. By providing customers with supporting information the McDonald’s corporation will be able to show the value that the company provides in its meals. The significance if this research is vital to the success...
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...Defining Marketing Paper Marketing is very essential for a company to succeed; this is how people learn about a product or service. When thinking of marketing the best way to define it is to think of it as a bridge that stretches from the producer to the consumer. Throughout this paper the author will define marketing from two different sources, explain the importance of marketing in organizational success, based on these definitions, and provide at least three examples from the business world to support her explanation. Marketing Definitions Marketing is the management process through which goods and services move from one concept to the consumer (Business Dictionary.com, 2012). As a practice it consists of four different elements, such as the 4P’s. The first P is identification, selection, and development of a product. Secondly is the determination of the price. The third P is the selection of a distribution channel to reach the customers place. Last is development and implementation of a promotional strategy (Business Dictionary.com, 2012). According to the American Marketing Association (2011), “Marketing research is the function that links the consumer, customer, and public to the marketer through information--information used to identify and define marketing opportunities and problems; generate, refine, and evaluate marketing actions; monitor marketing performance; and improve understanding of marketing as a process. Marketing research specifies the information required...
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... Term Paper Background info: McDonald’s is one of the world’s largest hamburger fast food restaurants, serving about 68 million customers daily across 35,000 outlets worldwide. The company began in 1940 by brothers Richard and Maurice McDonald. Within a few years of beginning their soon to be worldly renowned fast food chain, the brothers were joined by Ray Kroc as a franchise agent in 1955 and oversaw its worldwide growth. Now McDonalds is well known throughout the world with their famous “M” logo, or “Golden Arches”. In 2012, McDonald's Corporation had annual revenues of $27.5 billion, and profits of $5.5 billion. In 2013, the corporation had annual revenues of $28.1 billion and more profits compared to the year before. As we can see, their revenue and profits increase by the year and they become more known around the world. McDonald’s competitors consist of Burger King, In-N-Out Burger, and 5 Guys. Although McDonald’s is very well known worldwide, makes billions of dollars, and makes it hard for their competitors, their customer satisfaction isn’t complementary to their success. Secondary Data: Customer satisfaction is very important in order for businesses to succeed. In the past year, McDonald’s has lacked the ability to provide efficient and successful service. According to vice president of business research for McDonald’s USA, Steve Levigne, “…service is broken.” (Jargon). Mr. Levigne is trying to imply that if McDonald’s is trying to maximize...
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...[pic] McDonald's and the Environmental Defense Fund: a case study of a green alliance Sharon Livesey Originally published in…The Journal of Business Communication • January 1999 In 1987, the United Nations World Commission on Environment and Development, which had convened to address the global ecological crisis, produced Our Common Future (the Brundtland Report). This watershed event established the conceptual underpinnings for environmental politics and debate in the 1990s by reframing the problem of the natural environment as one of sustainable development. In the wake of this reframing, a new practice in environmental management emerged - that of green alliances or partnerships between business and ecology groups (Westley & Vredenburg, 1991, pp. 71-72). These alliances, considered one of the ten most significant trends in environmental management and the greening of industry (Gladwin, 1993, p. 46), appeared to signal a sea change in the way business, as well as environmentalists, could respond to the ecological impacts of firms' economic activities. Indeed, environmental partnerships offered both business and ecology groups the potential for a new rhetorical stance. Business communication scholarship has identified a variety of rhetorical strategies adopted by corporations in the face of environmental controversy: defensiveness and apologia (e.g., Ice, 1991; Tyler, 1992), competing information campaigns (e.g., Lange, 1993; Moore, 1993), or retreat (e.g., Seiter...
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...Marketing Mix Paper Piña MKT/421 June 6, 2011 Carlyn Carmichael Marketing Mix Paper To achieve the marketing objectives the strategy must include different elements – that is the different parts of the marketing mix. In this reading, the elements of the marketing mix which is product, place, price, and promotion will be defined and explained. McDonald’s will be used in this reading to describe how each one of the four elements of the marketing mix affects the development, marketing strategy and tactics. Marketing is having a great product, being sold at the right price at the right place while utilizing the appropriate promotion. Sounds simple but a lot of hard work goes into these simple steps. A company has to go to great lengths to find what the customer likes, where they shop, and what they consider a good value. This is where the marketing mix comes in. The marketing mix was intended to recommend that you have a well-adjusted mix of marketing activities within your marketing plan. Reviewing these steps can help through the plans and avoid faults. The marketing mix as identified by McCarthy consists of the 4 Ps; product, price, promotion and place; and is a good way in outlining the marketing mix. Product – this element defines the characteristics of your product or service that will meet your customers’ needs. Price – this portion refers to the price of the product or service, including the strategy that is used. It is important to test numerous pricing...
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...Level Strategy In the pursuit of operationalising the concept of business-level strategy in research, Donald C. Hambrick explains that strategy is generally viewed as a pattern of important decisions that guides the organization in its relationships with its environment, affects the internal structure and processes of the organization, and centrally affects the organization's performance. Numerous variables (e.g., nature of the industry, product life cycle,other environmental attributes) can be introduced to enrich the array of possible strategy-performance theories to be tested. Miles and snow [1978] have systematically examined the linkage between business-level strategy and structure. The range of organizational processes and managerial activities that could be tested for their associations with business level strategies appears to be substantial. Research on business-level strategy has implicated basically four different approaches to operationalising the construct. First, some researchers have seen strategy as a situational art that can best be studied through in-depth case studies. When cases are used in an attempt to build theory, they likewise involve qualitative descriptions of business-level strategies. An attraction of textual characterizations of strategy is that they may be used when strategy is treated as a predictor, mediator, or criterion variable in a research design. Second is by hypothesizing. Examples are studies that have put market share as the dominant...
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...HRM/310 McDonald’s Plans to Change U.S. Structure, by Bob Cramer Article Summary McDonald’s Corporation has been going through a series of underperformances over the past three years, mostly marred by unwarranted restaurant outlays and menu changes. This has resulted in a slump in its market share as customers walk away from the fast food giant, often mentioning dissatisfaction in their experiences at their outlets. The company’s management credits this to poor service delivery and the institution of menus that are irrelevant to their target market’s needs. With this observation, the company has taken it upon itself to institute a number of changes to the organization structure it has in the US. This will be done by altering its management layers, which should resultantly place it at a better position to respond to its customer tastes and trends. In order to achieve this, the McDonald’s is dividing its 22 regions across the state into four zones: Central, Northeast, South and West, from its previous three: Central, East and West. This is in a bid to have each region systemized around its local preferences. In another move to target a similar notion, the company has granted its executive across the 22 regions autonomy in their decision-making and menu structures to suit their individual consumer tastes in their respective managerial areas. This decision was followed by an explanation mail from its US president Mike Andres to the corporate staff and franchises stating, “The reality...
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...succeeded in landing a man on the moon and safely returning him to the Earth, and winning a costly Cold War. During this turbulent period in U.S. history, life has become faster-paced and more women have joined the workforce, all of which have been to the detriment of “traditional” American family meals, but all of which has been to the enormous advantage to the fast food industry. People around the world today may criticize America’s politics, but the fact remains virtually everyone loves American fast food and the industry has become firmly established around the world. This paper provides an overview of the fast food industry from the 1950s to the present, an analysis of what social effects were caused by and reflected in the industry, what marketing and advertising changes have taken place in the industry during this time, followed by a discussion of current and future trends. A summary of the research is provided in the conclusion. Review and Discussion Background and Overview. It would seem that the explosive growth of the fast food industry in the United States was an inevitable event. The powerful combination of automobiles, open roads and an increasingly fast-paced modern society all contributed to the phenomenon, but almost no one could have foreseen just how pervasive and influential the fast food industry would eventually...
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...View of PESTEL Analysis for McDonald’s Chummar Pudussery (011869) Copy 2 Word Count: 2126 TABLE OF CONTENT EXECUTIVE SUMMARY .........………………………………………………………3 1.0 INTRODUCTION 1.1 The History of McDonalds ………………………...…………….……4 1.2 Industry Overview ………………………………………………….....4 1.3 The challenges…………………………………………………...….…5-6 2.0 PESTEL Analysis 2.1 Political ………………………………………………....………...…. 7 2.2 Economical ……………………………………………………….…...7 2.3 Social………………………………………………………….....…….8 2.4 Technological……………………………………………….……..…..8 2.5 Environmental……………………………………………..…….….…9 2.6 Law………………………………………………………..…….…..…9 3.0 Recommendations………………………………………………….…….…..10-11 4.0 Conclusion ……………………………………………………………...……12 5.0 Bibliography ……………………………………………………………..…..13-14 Executive Summary McDonald’s considered one of the pioneers in the fast food industry, is clearly got many aspects to discuss about which is related to functioning of their business. In this study, PESTEL Analysis was conducted to understand various factors surrounding the environment. The factors are namely Political, Economic, Social, Technology, Environmental and Law. This paper is organized as follows: In the first section, will give an introduction to the History of McDonald’s, Industry Overview and The challenges faced by the industry. In the second section, PESTEL Analysis is used to study some of the various factors that have been happening around McDonald’s. Here we get to see factors...
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...Statistical Tools for Financial Research Anna Hemmer University of Phoenix Statistical Tools for Financial Research The financial condition of an organization is identified through data provided in formal records called financial statements. Financial statements provide an accurate account of a company’s financial position and cash flow of the business. Stakeholders used the data to make decisions regarding future purchases, investments, and profitability of the organization. Analyzing financial statements consists of using various methods (statistical tools) including comparative statements, schedule of changes in working capital, common size percentages (analysis), fund analysis, trend analysis, and ratio analysis. The purpose of this paper is to review the financial statements of one domestic, and one global organization from the Financial Times 500. The two companies for review are the McDonald’s and Samsung organizations. The data provided in the financial statements will convert into a ratio analysis. Common size analysis, and accounting analysis limitations are tools for review. The pros and cons of each of these statistical tools will also be discussed. To understand the importance of statistical tools, a review of ratio analysis, common size analysis, and accounting analysis limitation will be the starting point for this paper. Ratio Analysis Ratio analysis is the most powerful tool of financial analysis (Accounting for Management, 2012, para. 1) used...
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