PORTER FORCES TASK

INTRODUCTION

1. COMPANY ANALYSIS

1.1 Description of the firm (history, managers,

mission, vision, values, main products and markets)

1.1.1. History

1.1.2. Managers

1.1.3. Mission. Vision. Values

1.1.4. Main Products and the markets

1.2 Financial analysis of McDonald’s

1.3 Current strategy of McDonald’s

1.4 Identification of strengths & weaknesses

1.5 Issues facing McDonald’s

2. EXTERNAL ENVIRONMENT ANALYSIS

2.1 Analysis of McDonald’s macro-environment

2.2 Analysis of industry (five forces framework)

2.3 Key strategic factors in the industry (strategic

groups, market segments, critical success factors)

2.3.1 Strategic groups

2. 3.2. Market segments

2.4. Future scenarios

2.3.3 Critical success factors

2.5 Identification of opportunities and threats

3. DEVELOPMENT and RECOMMENDATIONS FOR IMPLEMENTATION OF

STRATEGIC OPTIONS

CONCLUSIONS

INTRODUCTION

The goal of this paper work is to analyze McDonald’s

Incorporated company. is McDonald’s Incorporated

recognized as a premier franchising business around the

world, leading global food service retailer having over

32,000 local restaurants which serve its favourite

foods – World famous Fries, Big Mac, Quarter Pounder,

Chicken McNuggets and Egg McMuffin to more than 64

million people in 117 countries each day.

However, only accomplishing the practical tasks we can

better understand the matter of discipline analyzing

strategic audit of a concrete operating company. So,

the broader tasks to reach the aim are:

to describe the chosen company and the market it is

operating in;

to analyze principles of a selected company and

existing strategies in it.

COMPANY ANALYSIS

It all started when Patrick McDonald opened “The

Airdrome” in 1937. The restaurant was located at the

Monrovia Airport in Monrovia, California. After 3years,

in 1940 his sons Mac and Dick (Maurice and Richard),

relocated the whole building and opened the restaurant

with new name “McDonald’s Bar-B-Que Restaurant” in San

Bernardino, California. It was a typical drive-in

featuring a large menu and car hop service.

In 1948 McDonald brothers closed their restaurant

temporarily and re-opened after 3 months with a self-

service drive-in. The menu was minimized and it

consisted only of nine items (hamburger, cheeseburger,

soft drinks, milk, coffee, potato chips and a slice of

pie). In 1954, a multi-mixer salesman Ray Kroc enters

into a McDonald’s developing stage.

The biggest event at that time in 1960 was the

statement that McDonald’s has sold 100 Million of

hamburgers in more than 100 restaurants in America. A

year later Hamburger University was opened and

university students got a Bachelor degree in

Hamburgerology. 1

At the 10th Anniversary (1965) of McDonald’s it issued

the first public stock selling for $22.50 per share. In

1967 McDonald’s started business internationally.

Firstly, it goes to close neighbours, in Canada and

Puerto Rico first restaurants are opened. Therefore,

nowadays we can see McDonald’s restaurants in 119

countries around the world.

Another big change in McDonald’s history was the first

Drive-thru it opened in Sierra Vista, Arizona. It

became one of most successful implementation in

services field. Later on McDonald’s started to expand

its business really quickly. At the end of 1983,

McDonald’s has 7,778 restaurants located in 32

http://dc445.4shared.com/doc/nAYYRGF9/preview.html#sdfootnote1sym

countries all around the world. At the year of 1996 the

Internet site McDonald’s is created. In 2009 the break

event was that McCafe goes National and later on

internationally.

Nowadays McDonald’s is considered to be the leading

global food service retailer, owns more than 32,000

local restaurants in 119 countries. The principle of

this expansion is quite simple: to serve high quality

and standardized products to all customers. The

restaurants are operating independent and they run by

local businessman or businesswoman. In 1965, McDonald’s

went public and offered shares on Wall Street. Since

then it has been important for McDonalds to continually

monitor its performance, to make sure it is competitive

and profitable while also being aware of its immediate

community responsibilities. This can be achieved by

using the Porters Five Forces model so it is able to

determine where its business needs to change or improve

so as to stay competitive in the fast food industry.

Mission. Vision. Values

McDonald's brand mission statement is to "be our

customers' favorite place and way to eat." Worldwide

operations have been aligned around a global strategy

called the “Plan to win” focusing on the five basics of

exceptional customer experience - People, Products,

Place, Price and Promotion.

This mission is to become the best employer for people

in each local community independently. To provide

excellent service to all customers and of course

achieving growth with a profit through strengths such

as its system innovation and technology.

The vision of McDonald’s is to be the best quick

service restaurant in the whole world. It refers to

outstanding quality, cleanliness, high quality service

and high value food in order to make every customer

smile.

McDonald’s company states that their values in practice

are the corporate responsibility of the company. They

show values in everyday activities and most importantly

open lines of communication between customer and other

stakeholders. They work together with suppliers and

independent franchise to achieve a sustainable future

for both the company communities in which they operate.

Their strong values helped them to become who they are,

what they do and how they operate.

Ethics in the business is also one of the values. They

try to conduct their business with fairness, honesty

and integrity. They state: “We are individually

accountable and collectively responsible

Main Products and the markets

The products produces by McDonald’s can be divided in

several groups: Hamburgers, Chicken, fish and pork

products, French fries, Soft drinks, healthy items such

as salads and Desserts.

Markets

The recovery of McDonald’s after the global crisis was

to be surprisingly fast and the sales growth rate

continues to increase. The high rate of unemployment

does not influence the convincing people to spend money

and eat at McDonald’s. McDonald’s surprised everyone

when it reported growth of 6.0%worldwide while the same

store sales growth was approximately 3.8%. The company

is forecasting the further growth of 5-6% worldwide.

The chart below shows the slowdown experience in 2008.

Current strategy of McDonald’s

In McDonald’s there is a strategy named “Plan to Win”

since 2003. It is still in existence and it forced

McDonald’s to have 32 months of global comparative

positive sales which is the longest strip for the last

25 years. To say more, the company has had a growth

which in general lies above the industry average

growth.7

To get better understanding about the current strategy

of the company, let take a look what is the “Plan to

Win” is? It includes: People, Place, Product, Price,

and Promotion.

Promotion- “I’m loving it” worldwide campaign: Billboards, internet, TV, all advertising in

generalProductsBroaden the selections. McDonald’s Food Studios.

Superior supplier practices

High product standards. McCafe. Examples: Rice burger,

fruit and walnut saladPeopleDeveloped training and hospitality programs to teach our

people the skills they need to deliver great service.

Computer based training. Restaurant Operations


Improvement Process (ROIP)

1.5 Issues facing McDonald’s

ADVERTISING

McDonald's spend over two billion dollars each year on

advertisingUsing collectable toys, television adverts,

promotional schemes in schools and figures such as

Ronald McDonald, the company bombards their main target

group: children. Many parents object strongly to the

influence this has over their own children and argue it

amounts to cynical exploitation of children - some

consumer organizations are calling for a ban on

advertising to children.

ANIMALS

Vegetarians and animal welfares are not too keen on

McDonald's - for obvious reasons. As the world's

largest user of beef they are responsible for the

slaughter of hundreds of thousands of cows per year. In

Europe alone they use half a million chickens every

week, all from windowless factory farms.

EMPLOYMENT

The Corporation has pioneered a global, highly

standardized and fast production-line system, geared to

maximum turnover of products and profits. McDonald's

employ more than a million and mostly young people

around the world: some say people who might otherwise

be out of work, others consider that they are in fact a

net destroyer of jobs by using low wages and the huge

size of their business to undercut local food outlets,

thereby forcing them out of business. Complains from

employees’ ranges from discrimination and lack of

rights, understaffing, illegal hours, poor safety

conditions and kitchens flooded with sewage, sale of

food that has been dropped on floors. This type of low-

paid work has been termed 'McJobs'.

ENVIRONMENT

Conservationists have often focused on McDonald's as

industry leader in promoting business practices

detrimental to the environment. Yet the company spends

a lot promoting itself as environmentally friendly.

A well-known questions about McDonald's is if they are

responsible for destruction of tropical forests for

cattle ranching. McDonald's say no. Many people

disagree.

NUTRITION

Nutritionists argue that the type of high fat, low

fibre diet promoted by McDonald's is linked to diseases

such as cancer, heart disease, obesity and diabetes.

McDonald's responds that the scientific evidence is not

conclusive and that their food can be a valuable part

of the balanced diet.

EXTERNAL ENVIRONMENT ANALYSIS

2.1 Analysis of McDonald’s macro-environment

Political factors

The international operations of McDonald’s are extreme

under the influence of a policy of separate state put

into practice by each government. For example, there

are certain groups in Europe and the United States

which demand the acts of governmental power concerning

medical values of meal of fast food. They have

specified that harmful elements as cholesterol and

negative influences as fatness are concerning

consumption of products of fast food.

On the other hand, the company operates the separate

policy and instructions of operations. The certain

markets concentrate on various areas of anxiety, such

as various area of health, protection of the worker,

and environment.

Economic factors

Organizations in fast food industry are not excused

from disputes and problems. Definitely, they have

separate problems involving business factors. Branches

and privileges of networks of the enterprises of fast

food service as McDonald’s has the tendency to

experience difficulty in cases where the economy of the

corresponding states is high in exchange rates. The

company’s international supply as well as the existing

exchange rates is just a part of the overall components

needed for success of the foreign operations of

McDonald’s.

Socio-Cultural factors

Articles about the international strategy of

McDonald’s, apparently, function on several areas to

guarantee profitable returns for the organization.

McDonald’s indulges in a variety of consumers with

certain types of persons. Also the company has given

the markets, like the United Kingdom, a choice

concerning their lunch requirements. In addition, the

elderly below a bracket of thirty five are the most

frequent consumers of McDonald’s privileges.

Many-sided character of business is reflected now in

sharp value of the information about the existing

market. This procedure is essentially identified in

area as market research. Information concerning the

reference and potential areas of the market would

double as a barrier to success of the company if this

area of operations neglected. In case of McDonald’s

they establish good system in determining of

requirements of the market. The company uses concept of

consumer individuality of a product of behaviour and

decisions on purchase to its advantage. It is said, to

have the main influence on understanding of prospective

result of the organization in the particular market.20

Technological factors

McDonald’s makes a demand for their own products. The

key tool of the company for marketing is by means of TV

advertisings. There are some requirements that

McDonald’s is inclined to interest the younger

population more. Existence of game stains also toys in


the meal offered by the company shows this validity.

Other demonstration of such marketing strategy is

obvious in advertising they use. They use recovered

descriptions of the characters as Grimace and

Hamburglar. Other advertising operations employ popular

celebrities to promote their products. Similar became

endorsees for McDonald’s all over the world “loving’

it” campaign. Besides, operations of McDonald’s have

considerably been infused with new technology. Elements

as the system of stock and management of the value

chain of company’s creation consider easy payments for

the suppliers and other sellers with which the person

supplies in the corresponding agreement on the markets.

Technology integration into operations of McDonald’s

tends to increase cost of their products. Basically it

is shown in improvements on its chain of creation of

value. Improvement of stock system just as its systems

of deliveries allows the company to work in the

international context.21

Legal factors

There was a current roar against the fast food

industry. It has forced McDonald’s to apply more close


examination on their corporate social responsibility.

As a whole it has addressed to requirement of the

company to generate its corporate reputation to more

positive and the more socially responsible company. The

reputation of McDonald’s is obviously a huge question.

Noticed on company’s web site, seems, that they have

got steps to take in hand the key social condemnation

that they abused them in the last decades. The company

gave to their clients the corresponding data in which

they need the relation of food essence of their

products. This is to attend to the arguments of obesity

charged against the products of the company. In the

same way consumers have provided freedom in a choice,

whether they want to buy the meal.

It is connected with socio-cultural market signs which

they influence. For example, operations in

predominantly Muslim countries demand, that their meat

corresponded to Halal requirements of the law. In the

same regard, those that operate in countries in the

European Union should correspond to the existing laws

forbidding usage of genetically modified meat products

in their meal. Other legal concepts as tax obligations,

employment standards, and requirements to a degree of

quality are only a few of important elements on which

the company should consider. Otherwise, smooth

operations should be difficult to reach.22

Environmental factor

Social responsibility of McDonald’s on the state

influences to company operations. They involve charges

of harm to environment. Among the reasons why they are

accused of such requirements, is that the work of

substances is not decomposed by microorganisms for

their drinks glasses and treasury of expanded

polystyrene for meal. Some civil groups in Hong Kong

have made actions to make McDonald’s privileges in Hong

Kong aware of the rather copious use of containers of

expanded polystyrene and resulting abusing by

environment. Further, has specified that in 1995,

McDonald’s Hong Kong ran through the expanded

polystyrene used by both Australia and the incorporated

United States.23

PORTER FIVE FORCES

Rivalry among Firms:

In the fast food industry, there is a large competition

for growth in the market. The rise in growth of the



market is basically due to consumers who do not have

much time to cook. There are lots of opportunities for

these food industries to also grow rapidly in other

global markets. Though there are a lot of competitors,

McDonald’s is currently the leader in the industry with

market capitalization of $39.31 billion.

Threat of New Entrants:

The constant threat of new entrants in the fast food

industry is in rise because there are no legal

hindrances which would keep them away from entering the

market. The economies of scale and the access of the

distribution are the two major hindrances faced by a

firm in the market. The firm should spend a large

amount of funds on advertising and marketing to achieve

success in the industry. There is a constant

competition in the industry because firms are always

trying to take customers from each other. Accessibility

is a very integral part in the restaurant industry

because if the customer can’t get easy access to you

easily it’s possible that they won’t go out of their

way to eat there. Now a day’s even Franchise options

also make it easier to enter the market, Subway is such

an example who has built their strategic plan around

franchise options. Hence, primarily the starting

capital is the only cost for entering the market and

opening a restaurant, which can be followed by various

other costs, such as millions of dollars for all the

equipment, licensing, and the possessions. This cost

barrier is the most common reason for the people not to

enter this industry. There are no exit barriers for

food-service industry, which allow firms to leave the

market if they’re not successful, at almost only for

the cost incurred.

Threat of Substitute Products:

Competitors of the market from food industry try to

compete with similar products of the company; which

results to price wars. McDonald’s created a Dollar

Value Menu is created by McDonald’s, in reply to

competitors such as Wendy’s 99 cent menu. The

consumers are mostly drawn to the classics for which

the establishment is known for, though the market has

tried various product differentiation in order to

gather greater market share. In order to achieve a

better and healthier society McDonald’s, as well as

other competitors, has to make extensive menu changes,

to match up to the expectations of a more concerned

society. McDonald’s is innovative a lot of ways to

compete with health oriented restaurants like Subway.

Nutritionist and other leading experts have been hired

to join the McDonald’s has hired a of team Nutritionist

and other leading experts in order to make sure that

the edible items are added to the menu, still

maintaining and improving the classics for which they

are famous . For example, the chicken nuggets that we

all eat are now 100% white meat. The best part about

McDonald’s is they are flexible in their menu to

conform to the changing tastes of society, but they

always serve with a smile!

Bargaining Power of Customers:

McDonald’s, have adopted the slogan, “the customer is

always right” because McDonald’s and the industry, has

tried to expand market capitalization, by maintaining

customer satisfaction, due to the fact there are

comparatively no switching costs. For a well maintained

and Progressive society the industry should make an

effort to maintain a grasp on the market by meeting the

requirements of the society as well as maintaining high

quality. One of the industry’s latest concerns is to

create a healthier society and prevent obesity.

McDonald’s corporation has faced previous law suits on

being held responsible for obesity, similarly following

the litigation process of cigarettes and tobacco

companies. However the courts ruled against this issue

in McDonald’s favour, increasing the risks in nearby

future. Inspite of these kind of litigations they are

still achieving a significant rate of earnings though

McDonald’s had to paid legal fees in order to defend

itself in this type of litigation. In addition,

McDonald’s, is making efforts in becoming a more

socially responsible company by supporting a healthier

society. They have included “light” and healthy food

items in their menu to provide the customers with more

eating options. They are expanding the range of its

customer base while still they are maintaining their

existing customer base with healthier menu options.

Buyers, in the fast food industry, “are those who is

ordering fast food at the local restaurant, over the

telephone, or internet or just paying or consuming the

products”24.

Bargaining Power of Suppliers:


McDonald’s almost spent 4.852 billion dollars in food

and paper in 2004 as a result of which they got a large

bargaining power in the market. From this fact it can

be derived that the companies that McDonald’s buys from

are dependent on McDonald’s business to a great extent.

In the past few years although the industry has had a

small issue with beef, because of the outburst relating

to the mad cow disease. Subsequently this issue issue

increased the price of beef in Europe immensely; the

price also rose around the world because of the beef

shortage in Europe. By looking at this fact it can be

stated that the suppliers of beef have a strong voice

as well. Suppliers selling different materials also do

possess some strong voice on the company. The reason

for this is the switching cost for McDonald’s which can

be humongous due to their wide ranging operations.

Hence McDonalds would not like to change the suppliers

and they will look for working out the problems or

disputes with their suppliers.

On the other hand, with the increasing competition in

the market along with the number of buyers losing a

large company like McDonalds can destroy any supplier.

Still there are other prospects as well who can buy the

product like Wendy’s, Jack in the Box, Burger King and

a few others who can recover their losses. As far as

the paper goods are concerned which McDonald’s buy from

the manufacturers, if they can change manufacturers the

supplier will easily change their manufacturing to note

book paper by just re-adjusting the machines but it

incurred a great cost.

Summary - Porter Five ForcesFactor Current Future

Rating

KeyRational

eRating

KeyRational

eThreat of New Entrants

Competitive Rivalry

Threat of SubstituteProducts

Supplier - Relative Buying Power

Buyer - Relative Buying Power

FactorCharacterisation

FutureTrend

(current)

Threat of New Entrants HRate of Industry Growth M L/M

Excess Capacity Y - LY - L/M

Competitive Rivalry HSignificant Economies of Scale Y - M Y – LEntrants Access to Raw Materials N Y – L

Threat of Substitute Products L/MAvailability of Close Substitutes Y – M HPrice Elasticity of Industry Demand Y – L Y – L

Supplier - Relative Buying Power LFew Substitutes for Suppliers Input's Y – L Y – MIs Supplier Industry more Concentrated than Industry itself N Y – L

Buyer - Relative Buying Power LDo buyers pose a credible threat to Y – L Y – M

backward integrationDoes product represent a significant fraction of cost in buyer's business Y – L Y – L

DEVELOPMENT and RECOMMENDATIONS FOR IMPLEMENTATION OF

STRATEGIC OPTIONS

Strategic options:

Reduction of employee training spending (lowering

employee turnover);

Taking advantage of organic food industry

popularity (develop new products for new segments);

Advantage of human health problems (improvement of

products).

1.Reduction of employee training spending (lowering

employee turnover).

In order to reduce of employee training spending and to

lower turnover, we would like to suggest:

To give the job just for highly motivated people.

It means, that they are going to be loyal and not

to leave job so fast;

To train new employees using ’’Big Brother’’

principle. New employees would be trained by

employees, who are working longer. In this way,

company reduces training spending, new employees

are trained by the people, who are working inside

the company and do the same things every day.

To motivate employees and always take care about

their expectations. It can be money premiums for

good working in the end of the month (or year),

some employees parties, ’’Employee of the week

(month)’’ competition and etc.; also employer

should take a look of what employee is expected

from employer and try to solve that, ex. Maybe

employee is not expected to get premium every

month, but for good and loyal working he would like

that the company would pay his child studies fee

after 5 years.

2.Taking advantage of organic food industry

popularity (develop new products for new segments);

McDonald’s is not that company, who suggest the

most organic food, so they can try:

To make a line of organic food in their menu and

take a look what is more popular and healthy for

their customers. If it is going more popular than

usual menu food, it is more worth to make all food

in organic way, even it is more expensive. First of

all, people like what is natural, and then they are

interested in the price.

To be in a partnership with scientists and doctors

in order to take care of their customers heath.

Everybody knows that organic food makes people feel

better and healthier; also it affects nature in a

good way. McDonald’s declares that ’’everything is

for customer’’, so it must take an advantage of

organic food popularity and ’’make’’ their

customers to live healthier and in more natural

way.

To make big advertisement companies declaring

organic food pluses and make it more popular in

such way. Many people loves McDonald’s food, so it

has an authority and can show good example of

necessity of organic food in people life and

compare how organic and usual McDonald’s food

effect customers’ health and all the nature about

them.

3.Advantage of human health problems (improvement of

products)

McDonald’s is big food supplying company, and all of us

know, how food affects our health. It is one of the

main factors, what built our body and strength our

brains. Knowing that, McDonald’s should:

Suggest just high quality, improved products, which

is full of vitamins and minerals. So, it means that

the company must improve their products, all the

food must be certificated and fit for all healthy

food standards.

Be in a contact with suppliers, who supply products

for McDonald’s food and always check if the

products is natural, high standard and healthy for

all of age customers.

Contact with doctors, scientist and improve their

products to fit for all of age customers, even they

have some problems with their stomach. It means to

make measures and find what is the best for all

possible customers.

CONCLUSIONS

Our team project is based on the literature of

International Marketing and Management subject and the

additional information which we have found as a

reference to the proposed theme for this paper work.

So, what we had to do was to refer to the whole plan of

this paper work and to cope with the tasks which were

concluded.

The whole paper work consists of three main parts which

are: company analysis, external environment analysis

and development and recommendations for implementation

of at least three strategic options.

In the first part, concerning company’s analysis, there

was McDonald’s as our chosen company described (its

history, managers, mission, values, main products and

markets), as well McDonald’s resources and

capabilities, financial analysis, its current strategy

and identification of strengths and weaknesses, issues

facing McDonald’s were proposed.

So, describing the company it is very important that

nowadays McDonald’s, producing Hamburgers, Chicken,

fish and pork products, French fries, Soft drinks,

healthy items e.g. salads and Desserts, is considered

to be the leading global food service retailer owning

more than 32,000 local restaurants in 119 countries

worldwide and more than 75% of McDonald’s is set by

franchising. The principle of this expansion is to

serve high quality, standardized products to all

customers. The restaurants are operating independent

and they run by local businessman or businesswoman.

There are round 1.7 million employees in corporate and

restaurant positions. McDonald's brand mission

statement is to "be our customers' favorite place and

way to eat." The vision of McDonald’s is to be the best

quick service restaurant in the whole world. It refers

to outstanding quality, cleanliness, high quality

service and high value food in order to make every

customer smile.

The financial analysis of McDonald’s says that the

recovery of McDonald’s after the global crises seems to

be surprisingly fast and the sales growth rate

continues to increase. It tries to improve customer

metrics by which it can follow and decide what are the

changes in the customers’ needs and wants, how they can

satisfy these issues. The most important thing is to

think globally but act locally.

The later stage of the second part proposes company’s

current strategy. McDonald’s has a specific “Plan to

win” current strategy since 2003. These are 5P’s that

are behind the Plan to Win, and it includes: People,

Place, Product, Price, and Promotion. As changing

requirements and instructions from clients and the

government, McDonald’s should study their basic

products in the future.

Furthermore, strengths and weaknesses as internal

factors of a company are crucial not only in strategic

decisions making but also in strategy’s implementation.

Some weaknesses should be eliminated and strengths

should be revealed and consolidated in order to follow

organization’s strategy in most efficient way.

There are a lot of issues, which McDonald’s is facing,

as well. The most important of them are: advertising,

animals, capitalism, employment, environment,

expansion, free speech and nutrition.

So, in the second part we have reviewed the information

associated with external environment analysis where the

analysis of macro-environment were done which says that

McDonald’s is under influence of the policy of the

separate state by each government i.e. it has a

tendency to experience difficulty where countries are

amazed by inflation and changes in exchange rates.

The Michael E. Porter’s analysis of industry (five

forces framework) defined the forces which derive

competition and attractiveness of a market. So,

McDonald’s competitive rivalry is intense because of

many small fast food businesses always fighting with

each other. Considering the force of the threat of

entry, the economies of scale and the access of the

distribution are the major barriers that firms face in

the industry. High bargaining power of suppliers of

McDonald’s says that a company uses the same products

from the same suppliers and is very dependent on them

if something would go wrong or the supplier would stop

supplying raw materials to McDonald’s. The Bargaining

power of customers of McDonald’s is low because of low

customer switching costs what means that customers can

easily go from one fast food restaurant to another and

do not feel big disadvantages. The competition between

firms selling substitute products is intense because of

the customer who always tends to find another product

comparable or better in terms of the quality of fast

food products or even healthier for his/her health.

Talking about key strategic factors of McDonald’s, a

company representing one of the largest segments of the

food industry and also being world’s first fast food

company by sales — this all gives them advantage over

their competitors in terms of profit, focusing on

providing a product that is based on low price

convenience, associating with many geographic locations

and low price and quality.

The research about McDonald’s Company has led to the

following key success factors: standardization,

environment oriented, willingness to innovate, one

dollar menu and following healthy food trends.

The later stage of future scenarios explains us that

McDonald's developed its future scenarios around three

strategies — customer convenience, customer value, and

optimal operations. McDonald’s through its 30,000

restaurants, its owner/operators and suppliers has made

significant progress toward becoming a more socially

responsible organization.

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Available from the Internet:

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<http://www.wikicfo.com/Wiki/Default.aspx?

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1 McDonald’s History

http://www.aboutmcdonalds.com/mcd/our_company/mcd_histo

http://dc445.4shared.com/doc/nAYYRGF9/preview.html#sdfootnote1anc

ry.html?DCSext.destination=http://

www.aboutmcdonalds.com/mcd/our_company/mcd_history.html

2 McDonald’s FAQ

http://www.aboutmcdonalds.com/mcd/our_company/mcd_faq/s

tudent_research.html

3 Values in Practice

http://www.aboutmcdonalds.com/content/mcd/csr/about/val

ues.html

4 McDonalds (NYSE:MCD) report: Market share, margins on

the

rise http://www.stockmarketsreview.com/recommendations/

mcdonalds_report_20101115_59520/

5 McDonalds (NYSE:MCD) report: Market share, margins on

the

rise http://www.stockmarketsreview.com/recommendations/

mcdonalds_report_20101115_59520/

6 Resource of financial analysis

http://uk.finance.yahoo.com/q/bs?s=MCD&annual

7 SMO.DK-Sharing Knowledge. McDonald’s current strategy

http://www.smo.dk/mcd-assignment/current-strategy/











10 SMO.DK-Sharing Knowledge. McDonald’s current

strategy http://www.smo.dk/mcd-assignment/current-

strategy/

11 SMO.DK-Sharing Knowledge. McDonald’s current

strategy http://www.smo.dk/mcd-assignment/current-

strategy/

12 Strategic analysis of internal environment of a

business organization

http://bizcovering.com/business/strategic-analysis-of-

internal-environment-of-a-business-organisation/

13 MC. DONALDS SWOT ANALYSIS

http://www.scribd.com/doc/3972375/MC-DONALDS-SWOT















17 Issues of McDonald’s

http://www.mcspotlight.org/issues/intro.html

18 PESTLE analysis to explain company’s international

strategy of

McDonalds http://ivythesis.typepad.com/term_paper_topic

s/2009/02/pestle-analysis-of-mcdonalds.html


strategy of




strategy of




strategy of




strategy of



















strategy of



24 Bargaining power of buyers http://www.smo.dk/mcd-

assignment/porters-five-forces-analysis/

25 Exams Tutor. Demographic

Segmentation http://www.examstutor.com/business/resourc

es/studyroom/marketing/market_analysis/

7_demographic_segmentation.php

26 Tutor2u. Market segmentation - psychographic

segmentation

http://tutor2u.net/business/marketing/segmentation-

psychographic.html

27 BusinessiHub. Use-related

segmentation http://www.businessihub.com/use-related-

segmentation

28 IBS Center of Management Research. Consumer

Behavior http://www.icmrindia.org/courseware/Consumer

%20Behavior/CBC02.htm











29Business dictionary. Critical success factors

definition http://www.businessdictionary.com/definition

/critical-success-factors-CSF.html

30 SWOT Analysis

McDonald's http://www.marketingteacher.com/swot/mcdonal

ds-swot.html

31 SWOT Analysis

McDonald's http://www.marketingteacher.com/swot/mcdonal

ds-swot.html

32 SWOT Analysis McDonald’s

http://www.marketingteacher.com/swot/mcdonalds-

swot.html



swot.html



swot.html







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