...SWOT ANALYSIS SWOT analysis is an analytical tool used to assess the strategic capabilities of an organization. This tool is bi-focal as it focuses on both the internal and external business environment, though it can be criticized for doing so from the perspective of the organization. In this analysis, we are looking at the core competencies, or the strengths of McDonalds, the areas of weakness or where competitors have an advantage over the organization, opportunities presented by the business environment to McDonalds, and threats or any aspect in the business environment that can hinder their plans. S McDonalds is an iconic brand, which can be seen as one of its strengths. It was founded in 1940, and from then to now, McDonalds has already achieved global dominance, by becoming the world’s leading ‘fast food’ retailer. In achieving global dominance, McDonalds operations are designed to assure consistency and high quality through its restaurants design, layouts and products offered, assuring the customers of its quality. These factors have led to customer loyalty and customer trust. Another Strength is that McDonalds has a large market share. It has the largest “slice” of the pie in relations to it’s competitors, allowing McDonalds to become a market leader. Another major strength is that McDonalds has diversified income streams. Unlike some of it’s rivals, McDonalds doesn’t rely on one key source of income, as revenue flows in from company owned restaurants & franchises...
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...Principles of Management FALA11 Sec D Christopher Megwa SWOT Analysis of the McDonald’s Corporation The McDonald’s restaurant was a brainchild of Richard and Maurice McDonald, brothers who operated and opened the first store in 1948 in San Bernardino, California. Though they are considered to be the founders of McDonald’s, the corporation was really started by Ray Kroc, a businessman who had sold milkshake machines. The McDonald’s Corporation was incorporated in 1955 by Ray Kroc and it wasn’t until 1961 when Kroc buys out the McDonald bothers for 2.7 million dollars and few more years later, McDonald’s goes public in 1965 at $22.50 per share. Currently, the mission statement for the McDonald’s Corporation reads as follows: “McDonald’s vision is to be the world’s best quick service restaurant experience. Being the best means providing outstanding quality, service, cleanliness, and value, so that we make every customer in every restaurant smile.” One strength McDonald’s has is its locations around the globe. This is considered to be strength because this gives them the ability to handle the ups and downs of the economy which are localized by country. This is also a distinctive competence because they continuously operate effectively when there isn’t enough money people can still afford food items on their menu and comfort themselves knowing they’ve saved money. Another strength McDonalds’s has is its ability of efficient assembly line style of food preparation. This is...
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...SWOT ANALYSIS – MCDONALDS Strengths Strong brand name-McDonalds is a huge multinational company that has built up huge brand name that is recognised throughout the world. McDonalds is the worlds No.1 fast food chain with sales with over 31,000 branches across over 120 different countries. McDonalds is in the top 10 most powerful companies in the world with Apple being the most powerful, McDonalds is the seventh most powerful Employee Training- McDonalds has an extensive training programmes for their staff utilising their skills in order to take the company further Employees – McDonalds in the Sunday times best 100 company’s to work for came 10th place in 2012 and 6 in 2013 showing that they treat the employees well and they are improving each year. - Large market share McDonalds is considered the largest fast food chain compared to Burger Kings’ or Wendy’s have been loosing their market share since 2006 however McDonalds market shares is increasing. McDonalds have a huge market share of approx. 20% when its competitors such as Burger King have just 2%. Weakness - Unhealthy image McDonald's has been under great criticism by negative press due to the increase in awareness of health and many believe the documentary "Supersize Me" by Morgan Spurlock which highlighted the health implications that McDonald's has really kick-started this. Further more now the nutrition facts have to be shown on food stuffs it is easy for people to see how bad their food is for example...
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...Management 303 SWOT Analysis MANDATORY OUTLINE I. Organization History, including a Mission Statement if possible (10 points) According to the website About McDonald's, McDonald's is been in business since 1940. Dick and Mac McDonald open the first McDonald's as a BBQ restaurant in San Bernardino, California. "It was a typical drive-in with a large menu and car hop service." McDonald's mission statement states: "McDonald's brand mission is to be our customers' favorite place and way to eat. Our worldwide operations are aligned around a global strategy called the Plan to Win, which center on an exceptional customer experience – People, Products, Place, Price and Promotion. We are committed to continuously improving our operations and enhancing our customers' experience." (http://www.aboutmcdonalds.com/mcd/our_company/mission_and_values.html) II. Organizational Strengths and Weaknesses (40 points) A. First Organizational Strength 1. According to the website Ezine Articles, McDonald's has a strong global presence and is considered as a market leader in both the domestic as well as the international markets. 2. "It is a global brand that owns 31,000 restaurants serving in 120 countries. Of these 31,000 restaurants at least14,000 restaurants are situated in the US." (http://ezinearticles.com/?McDonalds-Business-Analysis&id=687438) B. Second Organizational Strength 1. According to the website Wordpress, McDonald's uses economies of scale for reducing the...
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...speculation of this undertaking is in view of the publicizing methods taken after by McDonald's. The report is begun with general data of McDonald's Presentation, publicizing crusade and report structure. In the wake of having presented the organization foundation, we outlined methodology hypothesis as report hypothetical premise. Next, by contrasting McDonald's notice systems, we dissected the primary distinction and a few likenesses completely of McDonald's and other fast food joints in India. In examination discovering part, we took subjective discovering, it is the primary exploration system we have utilized. The report is finished all in all, after principle discovering, proposal will be given to enhance the present methods received by the McDonald and proposals will be given for further research. INTRODUCTION An advertisement campaign is a progression of notice message that share a solitary thought and topic which make up an integrated marketing communication (IMC). Publicizing battle shows up in distinctive media over a particular time period. The basic piece of making a promoting battle is deciding a crusade topic as it sets the tone for the individual ad and other type of advertising correspondence. McDonald's keeps up a broad publicizing crusade. In extra to regular media including TV, radio and daily paper promotions, the organization makes noteworthy utilization of bulletins and signage, patrons donning occasions like FIFA World mugs and Olympic Diversions The...
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...SWOT Analysis of McDonalds Restaurants Organization History McDonalds started out as a small restaurant business by two bothers Dick and Mac McDonald in San Bernardino, California in 1948. But if faith did not occur in 1954 with Ray Kroc who is a traveling milk shake mixer salesman the franchise of McDonalds restaurants would possibly never had happen. Kroc noticed how the effectiveness of the two brothers operation worked with a limited menu, concentrating on a few items of just hamburgers, French fries, and beverages which allowed them to focus on quality at every step. This gave Kroc an idea, and so with his keen sense of what American consumers were looking for in eating out, Kroc suggested that the brothers expand their presence and offered his services as their agent. The first restaurant opened in 1955 in Illinois as the organization became the McDonald's Corporation. Six years later Ray bought out the founding brothers (mcdonald, 2012). That is how the little white and red restaurants with the bright yellow arches began. Since then McDonald’s restaurants has been a worldwide fast food franchise preferred by every age group. The McDonalds mission statement is "McDonald's brand mission is to be our customers' favorite place and way to eat"(Farfan, 2012). This is defined by the McDonald's Values, which reflects the experience that customers can expect when walking into a McDonald's fast food restaurant no matter where...
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...2008, that fear drastically evolved into a trauma; Once I watched the movie called, ‘IT’, by Stephen King. From that day forward I found myself screaming and crying at the top of my lungs every time I seen a clown. Imagining that they were evil killers just like the intimidating clown of the movie. The trauma was so intense that when there was a fund raiser event held at my elementary school , Browning Pearce , the clown Ronald McDonald was there to meet and greet every child , including me, and once it was my turn to actually see him I fainted and collapsed onto the floor . As I came to my senses, my mother, Brenda forced me to watch the movie, ‘IT', including a bunch of other clown cartoons. I had to watch them for a whole week nonstop, even before I did my homework or went to church. Watching almost 168 hours of clowns on television; I finally realized that my horror of clowns had vanished into thin air. The next day I told my mother that the anxiety was gone, so she told me to get in the car and she drove us to a local McDonalds where Ronald McDonald was at. She had me meet him again, but, this time I didn't faint; I actually thought he was a funny cool clown. In conclusion, I became indomitable of clowns and with the help of my mother disciplining me to face my trepidation of them; the word FEAR had ceased to exist anymore within me. | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | ...
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.... How should McDonald's respond when ads promoting healthy lifestyles featuring Ronald McDonald are equated with Joe camel and cigarette ads? Should McDonalds's eliminate Ronald McDonald in its ads? Eliminating Ronald McDonald, who is the brand mascot, is not the solution. Rather many people connect with Ronald McDonald emotionally. According to a survey, Ronald is among top 25 mascots of all times. (Top survey, 2007) Ronald McDonalds can visit to schools for educating students about the importance of health and a healthy lifestyle. This will have the positive image of the mascot and further, Ronald McDonald could involve in charities where the mascot can be seen in giving charities to the unfortunate children. All the above would help in gaining the image of Ronald McDonalds back. McDonald should react to this issue in a calm and positive way as still many kids and parents are in love with the Ronald and would like to see their favorite whenever they visit to the outlet. By making people know that it is the perception which people will need to change. By imbibing healthier lifestyle is the solution, not protesting the mascot. 2. Discuss the merits of the law proposed by France that would require fast-food companies either to add a health message to commercials or to pay 1.5 % tax on their ad budget. Propose a strategy for McDonald's to pay the tax or add health message and defend your recommendation. The law would make the advertisers to add a health message in their...
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...February 19, 2012 The McDonald Observatory The McDonald Observatory is located on Mount Locke in the Davis Mountains of West Texas. This observatory was constructed in the 1930s. The initial funding for construction came from Texan banker, William Johnson McDonald, who left provisions in his will that $800,000 be donated to the University of Texas at Austin in order to construct an astronomical observatory. This structure which is open to the public sees more than 60,000 visitors each year. Likewise, the observatory has been the center of attraction for many astronomers, and its numerous resources have also contributed to the discovery and continuous research of many astronomic phenomena. The McDonald Observatory is presently the property of the University of Texas at Austin and currently receives most of its funding from them. It operates four research telescopes. One of the most pronounced features attached to the observatory is Otto Struve Telescope. When this telescope was dedicated in 1939 it was then the second biggest telescope in the world. Two other telescope note mentioning are the Harlan J. Smith Telescope (named after once director of the observatory, Harlan J. Smith), and the Hobby-Eberly Telescope (known to be the fifth largest telescope in the world). The Hobby-Eberly is arguably the observatory’s most prized possession. This powerful telescope specializes in spectroscopy which enables astronomers to get a glimpse at stars, planets, and galaxies located...
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...marketing continued to improve sales. McDonalds is one of the top U.S fast-food joints. It has been around since 1937. Patrick McDonald opened “The airdrome” restaurant on route 66 near the airport in California. In 1940 his two sons, Maurice and Richard (“Mac” and “Dick”), Moved the entire building and later renamed it McDonalds. They had sold hamburgers for ten cents and then all you can drink orange juice for five cents. The McDonalds Corporation made many new stops to build. In the early 1960s McDonalds really began to take off. The growth in U.S automobile use that came with suburbanization contributed heavily to their success. Later Kroc bought the McDonalds brothers, aiming to make it the number one fast-food chain in the country. McDonald’s role was to feed the hungry people that came in. They a lot of people in the 60’s because the demand for it became greater. Around 1968 McDonald restaurants reached all 50 states. It was said that a new McDonalds opened every five hours somewhere in the world. The public face of McDonalds was created in 1963 with the introduction of a clown we all know as Ronald McDonald. The “M” symbol we all see at every McDonald is the most enduring logo, lasting longer than the tall arches that had once dominated the rooftops of earlier restaurants. Other symbols that we remember are the Big Mac, the egg McMuffin, Happy Meals, and the Chicken McNuggets. It is normal for us to walk in any McDonalds and say automatically what we want. By emphasizing...
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...2008, that fear drastically evolved into a trauma; Once I watched the movie called, ‘IT’, by Stephen King. From that day forward I found myself screaming and crying at the top of my lungs every time I seen a clown. Imagining that they were evil killers just like the intimidating clown of the movie. The trauma was so intense that when there was a fund raiser event held at my elementary school , Browning Pearce , the clown Ronald McDonald was there to meet and greet every child , including me, and once it was my turn to actually see him I fainted and collapsed onto the floor . As I came to my senses, my mother, Brenda forced me to watch the movie, ‘IT', including a bunch of other clown cartoons. I had to watch them for a whole week nonstop, even before I did my homework or went to church. Watching almost 168 hours of clowns on television; I finally realized that my horror of clowns had vanished into thin air. The next day I told my mother that the anxiety was gone, so she told me to get in the car and she drove us to a local McDonalds where Ronald McDonald was at. She had me meet him again, but, this time I didn't faint; I actually thought he was a funny cool clown. In conclusion, I became indomitable of clowns and with the help of my mother disciplining me to face my trepidation of them; the word FEAR had ceased to exist anymore within me. | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | ...
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...(Jurevicius, 2013) References Dalavagas, I. (2015, May 11). McDonald's Corporation : A Short SWOT Analysis. Retrieved from Value Line: http://www.valueline.com/Stocks/Highlights/McDonalds_Corp___A_Short_SWOT_Analysis.aspx#.VZawLfmqqko Jurevicius, O. (2013, February 16). SWOT analysis of McDonalds. Retrieved from Strategic Management Insight: http://www.strategicmanagementinsight.com/swot-analyses/mcdonalds-swot-analysis References Dalavagas, I. (2015, May 11). McDonald's Corporation : A Short SWOT Analysis. Retrieved from Value Line: http://www.valueline.com/Stocks/Highlights/McDonalds_Corp___A_Short_SWOT_Analysis.aspx#.VZawLfmqqko (McDonalds SWOT Analysis, n.d.) References Dalavagas, I. (2015, May 11). McDonald's Corporation : A Short SWOT Analysis. Retrieved from Value Line: http://www.valueline.com/Stocks/Highlights/McDonalds_Corp___A_Short_SWOT_Analysis.aspx#.VZawLfmqqko Jurevicius, O. (2013, February 16). SWOT analysis of McDonalds. Retrieved from Strategic Management Insight: http://www.strategicmanagementinsight.com/swot-analyses/mcdonalds-swot-analysis McDonalds SWOT Analysis. (n.d.). Retrieved from Assignment Point: http://www.assignmentpoint.com/business/mcdonalds-swot-analysis.html (History, n.d.) References Dalavagas, I. (2015, May 11). McDonald's Corporation : A Short SWOT Analysis. Retrieved from Value Line: http://www.valueline.com/Stocks/Highlights/McDonalds_Corp___A_Short_SWOT_Analysis.aspx#.VZawLfmqqko History. (n.d.). Retrieved from I'm lovin'...
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...Contact: Prepared by : ACCA Registration no : Word count : Submission Date : 7485 words Table of Contents Part One: Introduction and Overall Framework of the Research ................................................................. 4 Introduction .............................................................................................................................................. 4 Topic Selection and reasons for its selection............................................................................................ 4 Company selection and reasons for its selection ..................................................................................... 5 Aim of the Research Report ...................................................................................................................... 5 Research Objectives .................................................................................................................................. 5 Research Questions .................................................................................................................................. 6 Research Approach ................................................................................................................................... 6 Part Two: Data Sources and Business and Accounting Techniques.............................................................. 8 Sources of information for research work .....................
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...Starbucks Strategic Report (Industry Analysis) Porters Five Forces Porter’s five forces focus on factors outside of the industry which can have an effect on the competition within the company. The force within the company (microenvironment), which in turn effects how the company deals with its competitive market place. The five forces that (Porter-1980) identifies as having an impact on a company’s behaviour in a competitive market are as followed: * The threat of new entrants to the market * Bargaining power of suppliers * Bargaining power of buyers (customers) * Threat of substitute products * Competitive rivalry Starbucks have the real threat of competitive rivalry by competing with some major competitors like McDonalds, Dunkin Donuts, Costa and other small coffee shops and cafes. With competitor’s low prices and the opportunity to break into the speciality coffee market pose a real risk to Starbuck’s. Substitute products such as tea, juices, water and energy drinks pose a real threat to Starbucks as with pubs and bars because of the threat of being a substitute place for customers to meet outside of the home and work environments. Customers buying power also poses a threat to Starbucks due to the wide abundance of offers that are available for them. Suppliers to Starbucks have high bargaining power as the demand for coffee beans are high on a global level. Also as...
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...SWOT ANALYSIS S – Strengths or Core Competencies * Strong global presence, considered a market leader in all markets. McDonald’s is a global company that “operates more than 23,500 restaurants in 109 countries.”1 The company’s strong global presence is an significant advantage for them, because it gives them the ability to “play” with economic fluctuations of each country. By being spread out in different regions, the company is able to contest the economic fluctuations which are localized by country. McDonald’s has an advantage as it can operate effectively even in an economic downturn as at such times people seek out comfort food more. * Relies upon economies of scale for cost reduction. Any corporation registered and operating in more than one country at a time, usually with its headquarters in a single country. A firm's advantages in establishing itself multinationally include both vertical and horizontal economies of scale (reductions in cost that result from an expanded level of output). Critics usually regard the multinational corporation as destructive of local economies abroad and as prone to monopolistic practices * Very loyal employees and management monopolistic practices The company has known to have very loyal employees and management. The twenty of its fifty top employees started as low level restaurant employees at McDonald’s. The caring attitude of the company towards its employees is also shown by the fact that around its 67,000...
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