...1. Why are BP’s core values important in building a global brand? Answer) British Petroleum which was the top petroleum in Britain. In 1998 BP has to start to increase its business to an international level. Its step in the process was acquisition of foreign companies. BP started with the acquisition of Amoco and later Arco, Castro, and six more companies. But just acquisitions don’t make this company a global leader in the present market. The BP core values are:- Performance: First and a very important value for any company for its growth, is keep on performing with operations in safe and reliable way with their partners, customers and stake holders. Innovation: Developing new technologies for a better tomorrow. BP also helps the car manufactures in innovating new engine designs. Progressive: In the present global which has different values in different countries, every value has to be taken care. In this diversified world, every employee, every customer is important and safety, responsible of them is very important. Green: Environment is the important factor for any organization, and for petroleum organization it is still more crucial. And they should encourage Green movement and have to take steps to save the nature. 2. How do you think the company’s involvement in the Gulf Coast oil crisis in 2010 affected its global brand and its core values? Answer) 20th April 2010 on this day due to an explosion in Gulf of Mexico has caused the British Petroleum company a...
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...INTRODUCTION First of all, we would like to introduce the background of McDonalds Malaysia briefly. Apart from this, we would also present the SWOT analysis which is Strengths, Weaknesses, Opportunity, and Threats of the McDonalds. Strengths and weaknesses is internal environment, while opportunity and threats is external environment. Lastly, we suggested some recommendations to improve the situation of the McDonalds. 1.0. COMPANY’S BACKGROUND According to McDonalds (2014), McDonald’s is the global leading fast food retailer with more than 35,000 restaurants serving approximately 70 million people each day in more than 100 countries. There are more than 80% of restaurants worldwide are franchised by independent local franchisees. McDonald’s arrived in Malaysia in December 1980 and McDonald Corp. gave their license to Golden Arches Restaurants Sdn Bhd (GARSB) to open McDonald's Restaurant in Malaysia by Tan Sri Vincent Tan. Since then, McDonald’s Malaysia has about 196 franchise outlets nationwide and is currently expanding annually. It has created over 7000 job opportunity since they arrive in Malaysia over the years. (ifranchisemalaysia, 2014) 2.0. SWOT ANALYSIS 2.1 STRENGTHS According to Strategic Management Insight (2014), McDonalds has strong brand name, reputation and considered the first one who entered to fast food industry compare to other companies in Malaysia. According to McDonalds (2014), McDonald’s success is base on a foundation of integrity. There are...
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...PESTLE Mcdonald's PESTLE Analysis POLITICAL The operations of McDonalds are affected by the government policies on the regulations of fast food operation. Currently government are controlling the marketing of fast food restaurant because of health concern such as cardiovascular and cholesterol issue and obesity among the young and children in the country. Governments also control the license given for open the fast food restaurant and other business regulation need to follow such as for a franchise business. Good relationship with government in giving mutual benefits such as employment and tax is a must for the company to succeed in any foreign market. McDonalds should also protect its workers by ensuring all the hiring, compensation, training or repatriation is according to Malaysian Labor Law as stipulated. ECONOMICS As a business entity, McDonalds need to face a lot of economic variables outside its company or its macro environment. Dealing with international sourcing for its material McDonalds should be aware on the global supply and currencies exchange. Remember, McDonalds import most of its raw material such as beef and potatoes due to local market cannot supply in abundant to meet the demand of its product. Any upside of currencies especially dollar will be impacting its cost of purchase. Working on the local country, McDonalds must face government regulations on tax of profit where it gains from the operation and other tax such as entertainment and restaurant...
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...Alexander Hernández Martínez 801-08-2694 ADMI 4007-005 Prof. R. Martínez Mini-Case Study: McDonald’s Corporation: Firing on all cylinders while preparing for the future McDonald’s Corporation is the largest fast food restaurant chain in the world, operating more than 32,000 restaurants in 118 countries. In 2008, McDonalds and Wal-Mart were the only stocks in the Dow Jones to end the year with a gain. From 2007 to 2008 they raised revenues in billion dollars earning above average returns. Its ability to create value for its stakeholders is impressive, but this trend hasn’t always been the same. This mini case study takes place in the year 2003 when for the first time they had a quarterly loss and its stock price devalued almost $35. This case study talks about the factors that took McDonald’s to this downgrade and what strategic decisions they made to regain their position as the largest and most successful fast food chain in the world. The case study mentions several facts about McDonald’s situation in 2003 which can lead us to make a brief SWOT analysis for a better understanding of the characteristics of McDonald’s at that exact moment. Some of the facts mentioned can be rearranged as the following SWOT analysis: Strengths: dominates the quick service restaurant industry, possess the largest number of restaurants + 32,000, most recognized brand in its industry, largest expansion on its industry, largest variety of products. Weakness: low quality service, poorly...
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...Comparative Study of McDonald's and Kentucky Fried Chicken (KFC) Development in China Wei Hu & Yuanyuan Xie Bachelor’s Thesis 28. 04. 2013 International Business Administration Bachelor’s degree (UAS) SAVONIA UNIVERSITY OF APPLIED SCIENCES THESIS Abstract Field of Study Social Sciences, Business and Administration Degree Programme Degree Programme in International Business Author(s) Wei Hu & Yuanyuan Xie Title of Thesis Comparative Study of McDonald's and Kentucky Fried Chicken (KFC) development in China Date 28.04.2013 Pages/Appendices 53+2 Supervisor(s) Jari Niemelä &Heikki Likitalo Client Organization/Partners McDonald's Corporation & Kentucky Fried Chicken Corporation Abstract McDonald's and KFC are two international fast food restaurants. They both expended their businesses in global scale. It is obvious that McDonald surpassed KFC in terms of sales and fame in international level. However, in China, KFC performs better than McDonald's. The aim of this study is to find out how these two companies developed differently in Chinese market. By making a comparative study of McDonald's and KFC, different operation and competitive strategy theory will be integrated with their development situation. Research is made based on strategy theory, Internet sources and interviews. The thesis is started with general information, Chinese fast food industrial situation introduction and thesis structure. After having introduced the two companies background, we illustrated strategy...
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...Company McDonald's Corporati Prepared by CHEN Where traded NYSE Industry Restaurants Reference 0.0 1,021.9 12,500.4 % to Tot Cap Date 4/16/2012 Data taken from BI Stock Data Capitalization --- Outstanding Amounts Preferred ($M) Common (M Shares) % Insiders % Institution 0.1 46.5 % Pot Dil 66.2 1.3 Stock Selection Guide Debt ($M) Symbol: MCD 1 VISUAL ANALYSIS of Sales, Earnings, and Price FY2011 QuarterEnding (12/11) Latest Quarter Year Ago Quarter Percentage Change Sales ($M) 6,822.7 6,214.1 9.79% Earnings Per Share 1.33 1.16 14.66% (1) Historical Sales Growth (2) Estimated Future Sales Growth 5.5% 0.00% (3) Historical Earnings Per Share Growth (4) Estimated Future Earnings Per Share Growth 21.9% 0.00% 2 EVALUATING Management 2002 2003 13.69% 12.50% 2004 16.80% 15.85% 2005 18.09% 16.95% 2006 19.12% 18.40% 2007 23.01% 14.55% 2008 26.20% 31.31% 2009 28.25% 31.53% 2010 McDonald's Corporati 2011 29.67% 37.47% Last 5 Year Avg. 27.27% 29.57% Pre-tax Profit on Sales (Net Before Taxes/Sales) % Earned on Equity (E/S / Book Value) 10.79% 9.51% 29.20% 32.97% 3 PRICE-EARNINGS HISTORY as an indicator of the future This shows how stock prices have fluctuated with earnings and dividends. It is building block for translating earnings into future stock prices. PRESENT PRICE 96.6 HIGH THIS YEAR 102.22 LOW THIS YEAR 76.40 A Year High Price Low 42.31 45.79 50.44 61.06 72.14 271.7 54.3 63.69 67.00 64.75 80.94 101.00 B C Earnings Per...
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...Question 1: Discuss any FIVE (5) management actions that have contributed to the success of McDonalds. Every organization has their different objectives, missions and visions to achieve in order to ensure company’s growth. However, the skills of management in the company are relatively important in order to motivate and provide guidance to employees so that everyone is in the right path to the common target. According to Pearson Educations (2012), management carries a definition of a skill that involves coordinating and overseeing the work activities of other employees so that the activities are completed efficiently and effectively. Managers, are those people who have the responsibility to ensure that the management of company is running smoothly and flawless. In an organization, there are different management actions that the company should be concerned. In the case study of McDonalds, our team has found out five significant management actions that have contributed to McDonalds’ success. There are strategic management, democratic leadership skills, human resources management, ethics management and 1.1 Strategic Management One of the management actions that have contributed to the success of McDonalds will be their strategic plan which called ‘plan to win’. The idea of this plan not only for them to be the biggest fast food restaurant chain but to be the best fast food restaurant chain. McDonald implement this plan by analyzing the 4 P’s which are product, price, promotion...
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...Macdonald's --> Global Food Industry --> Fast Foot Industry --> Shakeout phase (Intensifying our efforts to drive sales and customer visits despite challenging economies and a contracting Informal Eating Out segment) Value Chain Value Chain of McDonald’s (Michael Porter) Raw Food Suppliers --> Processing --> Cooks --> Stores and Franchises --> Consumers Primary Activities 1. Inbound Logistics 1) “McDonald’s purchases raw vegetables and other raw materials from its fixed, pre- defined suppliers only, therefore by increasing capital and labor, their production will increase proportionately.” Source and further information: “McDonald’s has practiced a backward vertical integration, by replacing most of its suppliers. It has done so for two reasons, 1) To reduce costs, and 2) To ensure that its products are of top quality. These supplies include beef and milk to be used in its products, which it gets from its farms. Other suppliers include local grocery stores that supply McDonald’s with fresh vegetables. Soft drinks are supplied exclusively by Coca-Cola, which is also its ally. McDonald’s supplies also include raw material such as flour, sugar, yeast, etc.” 2) McDonald’s own information: “We import some beef raw materials from Australia and New Zealand. And those plants have to meet all our same requirements that we hold our U.S. plants to; which includes animal welfare and food safety, testing — everything.” 2. Operations : McDonald’s Backgrouds...
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...July 22 1. The subject tenant has agreed to renovate the premises for the new tenancy term (5 years) and has signed back the renewal offer letters but requested amendment of the S & R clause so that the termination notice cannot be served by the Landlord within the 1st 36 months of the TCD & that the notice period shall be 6 months instead of 3 months. 2. After several rounds of negotiations, the tenant finally proposed the following terms: a) Renew for 2 years term at $78,000.00 / mth (exclusive) i.e. 7.23% > previous effective rent. b) No amendment for the S & R clause. c) No renovation work for the renewal term. 3. In order to retain this reputable chain store and to maintain the occupancy and rental income for the mall, we recommend RAC to accept the above offer. 4. Central A/C time shall be NIL since there is no A/C provided by the Landlord to the premises. We would like to seek RAC's approval for the following items : 1. A renewal term of 2 years at $78,000.00 / month (exclusive) or 10% GST whichever is the higher; 2. Total cash deposit shall be $308,496.00 ; 3. Central A/C time shall be NIL from Monday to Sunday for the notification form 30 Oct Offer letter is signed back. We seek your approval for converting into normal tenancy. 2. According to the previous T.A, the deposit should be HKD$218,212.50 Bank Guarantee + HKD$90,283.50 in cash,instead of all deposit in cash, we seek your approval for the above issue and converting into normal...
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...STOCK INVESTMENT REPORT Prepared by: A. Smith Date: 07/04/2011 Industry Overview McDonalds Corporation (NYSE : MCD) is an American industry that is undoubtedly the world's leading fast-food service organization. Since its incorporation in 1955, McDonald's Corporation has spanned its services over 119 countries in 6 continents. About 80% of the restaurants are run by franchisees or through joint ventures with local business-people. The popular chain is well known for its Big Macs, Quarter Pounders, and Chicken McNuggets as well as more recent additions in response to changing customer palates - salads, wraps and smoothies. Helped by these new menu offers and the Mc Café line-up, the company, as of March 31, 2011, posted revenues that were 2% higher than the last quarter. According to Thomson Reuters, McDonald's reported sales rose to $6.21 billion from $5.97 billion in 2010. That’s an increase of (6.21/5.97) – 1 = 76% in revenue – that’s how fast the company’s expanding! Analyzing Industry Strengths and Weaknesses As investors (current or future), this will help us identify trends in order to gauge revenue growth over time. Other tools that help develop information about the past so that it can be used to get a handle on the future are financial ratios. Financial ratios are a valuable and easy way to interpret the numbers found in statements. It can help to answer critical questions such as whether the business is carrying excess debt or inventory, whether...
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...no. 1-0049 Food Fight: The Day McDonald’s Blinked Jack Greenberg, CEO and Chairman of McDonald’s smiled as he walked to the podium to summarize the first quarter results for 2000. The market had already reacted that morning to McDonald’s 12% increase in earnings, sending the stock up 8 percent. After almost no stock increase in 1999 and a 15% drop since the beginning of the year, Jack was happy to have some good news. More importantly, the $180M investment in the Made for You cooking program was finally in place with significant improvements both in food quality and service speed. After decades of spectacular growth, McDonald’s had become an American icon and the world’s most ubiquitous restaurant. Starting as a hot dog stand, the McDonald brothers’ first restaurant had no play area, no happy meals, and didn’t even serve hamburgers. Ray Kroc transformed that concept into a fast food machine, starting first with hamburgers and fries and then always changing with American tastes and culture. By 2000, more than 43 million people visited one of McDonald’s 26,000 restaurants in 120 countries every single day. That translated to more than 15 billion customers a year with system-wide sales of over $40 billion. Yet the previous ten years had been traumatic for McDonald’s. In search of growth, the company had rushed from pizza and veggie burgers to popcorn and pasta. Massive campaigns to increase dinnertime sales with adult-targeted sandwiches like the Arch Deluxe were utter flops...
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...Professor Gordon Course 1101 17 June 2009 Contrast Essay For many years’ fast food restaurants has been the number one stop for a quick bite to eat for individuals in America. With the convenience of pulling into a drive-thru and ordering a meal without having to waste time getting out of the car, is great for people; they love to stop at a fast food restaurant. Also a lot of fast food chains are open late, people get to grab a meal even after a night out and the restaurants gets the business of those individuals who are looking for food at midnight. Moreover there is a lot of same kind of fast food places that serve hamburgers and fries; therefore, there is a large amount competition within them. Two of the most known fast food chains are McDonald’s and Burger King even though they both serve the same type of foods yet there are differences between them both which people are not aware of. There menu, mascots, and community involvement vary in these two chains. Introducing McDonald’s Big Mac and Burger King’s Whopper. Both are signature products at each restaurant. The two have an extremely different taste for being just an ordinary hamburger. One may prefer a Whopper over a Big Mac when looking for something less greasy. A Whopper consist of a grilled quarter-pound beef patty in a sesame seed hamburger bun with the common condiments of ketchup, mayonnaise, lettuce, tomatoes, pickles, and onions. On the other hand a Big Mac hamburger consist of two beef patties, lettuce...
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...5. Based on your response to Question 4 above, recommend both a short-range and long-range plan for McDonald’s to implement. The short range plan should be implemented by McDonald’s is to reduce the price of its new products to the diversity of the products by implementing new line in the menu. McDonald’s should price them relatively to its sandwiches’ price. Because it may result that consumers would not have to hesitant between cheap burger meal and expensive healthy meal. Customers will rather go for healthy meal if the prices differences are approximately small. Although the launching of the new products of the company is not doing well, McDonald’s still wants to maintain selling the healthy products such as fruits, salads, and vegetables as well as fruit juice especially for kids. Because McDonald’s knows that child is one the major consumers in their business strategy, and therefore, they come out with healthy food which can attract their parents’ minds, as the children would consume whatever if their parents would allow them to. If parents found that there are fruits and vegetables in the Happy Meal box, without any consideration, they would go for it. Besides McDonald’s supports sport, the company is sponsoring a lot of sport event such as football and tennis. As nowadays, children are influenced by athletes like David Beckham and Michael Jordon. Therefore, McDonald’s now is implementing the Happy Meals with some sport related gadgets, which is aim to attract children’...
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...International Journal of Techno-Management Research, Vol. 01, Issue 01, June 2013 ISSN: 2321-3744 Customer Satisfaction of Online Banking in SBI and ICICI-A Comparative Study in Pune City Dr. Priya Anand Irabatti Professor, Bharati Vidyapeeth Deemed University, Pune Abstract Online banking (or Internet banking) allows customers to conduct financial transactions on a secure website operated by their retail or virtual bank, credit union or building society. In today's demanding world, everybody needs instant banking solutions for a better lifestyle. In the current scenario, almost every bank in India has the internet banking facility. Online banking or internet banking made things much easier for the people and saves lot of time. Researches show that impact of Internet banking on cost savings, revenue growth and increased customer satisfaction on Industry is tremendous and can be a potential tool for building a sound strategy. However, it has raised many public policy issues before the banking regulators and government agencies. Interestingly, reliable and systematic information on the scope of Internet banking in Indian context is still not sufficient, particularly what it means to the consumers and the bankers. This study aims at evaluating services quality of online banking in Pune city, one of the fast growing cities of Western India. This paper mainly compares, online banking services of SBI Bank one the leading public sector bank and ICICI bank, a leading private sector...
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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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