An overview of a multinational company
McDonalds is one of the most successful Multinational Cooperation (MNC) in the world, worth $92.8 billion dollars. It started in 1940 by 2 brothers, Dick and Mac McDonald 's. It caters to over 68 million customers daily in 119 countries across 35000 outlets worldwide. These numbers are still increasing. According to a 2012 BBC report, McDonald 's is also the world’s second largest employer with 1.9 million employees, 1.5 million of which work in the franchise (James, 2009). In 2012, the company earned $27.5 billion in revenue and profit of $5.5 billion annually. This essay will cover the reasons for McDonald’s ongoing success, growth factors contributing to its success and problems it has faced and how …show more content…
For example, during the Chinese New Year festival, McDonalds will introduce the famous prosperity burger, an item many look forward to during that time of the year. Items such as filet-o-fish, apple pie and Big Mac have been evolved over many years in order to meet the preferences of customers. Another example of games is the popular Monopoly game in McDonalds, giving customers a chance to win prizes. This attracts customers to eat at McDonalds, hoping for a chance to win those prizes. In 1975, soldiers were not permitted to come out of their vehicles in their fatigues. So McDonalds came up with the drive-thru (Bailey, 2014). The MNC continues to attract customers by meeting their needs. James Skinner emphasized in a 2010 interview, “ (McDonalds) does not put something on the menu until it can be produced at McDonald’s speed.” Thus innovation has contributed greatly to McDonalds ongoing …show more content…
One reason is meeting demands of the customers and the changing food preferences. McDonald has established different menus to meet the demands of different countries. For example, in Singapore and Malaysia, McDonald outlets went through detailed inspections by Muslim clerics to ensure all items used are halal and pork free (Watson, 1997). This is because Singapore is a multi-religious country, home to citizens of various cultures. McDonalds respects the culture of every religion thus allowing the franchise to cater to a larger market. McDonald has also established items to cater to customers of all age groups. For example, Dick Brams introduced Happy Meal to appeal to young children in 1979 (Webley, 2010). It began with a Circus Wagon Train theme which included toys such as a McDoodler stencil, puzzle lock, McWrist wallets and more. The toy in the meal became the key to the Happy Meal success. It attracted children and even adults to collect the season’s Happy Meal series. Thus, contributing to its success. Another factor McDonald has adapted to the changing food preference among customers. Recently, customers are becoming more cautious of their health and eating more healthily. Adapting a healthy diet has become a priority for many, so McDonalds has added new items on the menu such as salad and corn so as to attract this group of customers. This has retained customers through the
McDonalds is one of the most successful Multinational Cooperation (MNC) in the world, worth $92.8 billion dollars. It started in 1940 by 2 brothers, Dick and Mac McDonald 's. It caters to over 68 million customers daily in 119 countries across 35000 outlets worldwide. These numbers are still increasing. According to a 2012 BBC report, McDonald 's is also the world’s second largest employer with 1.9 million employees, 1.5 million of which work in the franchise (James, 2009). In 2012, the company earned $27.5 billion in revenue and profit of $5.5 billion annually. This essay will cover the reasons for McDonald’s ongoing success, growth factors contributing to its success and problems it has faced and how …show more content…
For example, during the Chinese New Year festival, McDonalds will introduce the famous prosperity burger, an item many look forward to during that time of the year. Items such as filet-o-fish, apple pie and Big Mac have been evolved over many years in order to meet the preferences of customers. Another example of games is the popular Monopoly game in McDonalds, giving customers a chance to win prizes. This attracts customers to eat at McDonalds, hoping for a chance to win those prizes. In 1975, soldiers were not permitted to come out of their vehicles in their fatigues. So McDonalds came up with the drive-thru (Bailey, 2014). The MNC continues to attract customers by meeting their needs. James Skinner emphasized in a 2010 interview, “ (McDonalds) does not put something on the menu until it can be produced at McDonald’s speed.” Thus innovation has contributed greatly to McDonalds ongoing …show more content…
One reason is meeting demands of the customers and the changing food preferences. McDonald has established different menus to meet the demands of different countries. For example, in Singapore and Malaysia, McDonald outlets went through detailed inspections by Muslim clerics to ensure all items used are halal and pork free (Watson, 1997). This is because Singapore is a multi-religious country, home to citizens of various cultures. McDonalds respects the culture of every religion thus allowing the franchise to cater to a larger market. McDonald has also established items to cater to customers of all age groups. For example, Dick Brams introduced Happy Meal to appeal to young children in 1979 (Webley, 2010). It began with a Circus Wagon Train theme which included toys such as a McDoodler stencil, puzzle lock, McWrist wallets and more. The toy in the meal became the key to the Happy Meal success. It attracted children and even adults to collect the season’s Happy Meal series. Thus, contributing to its success. Another factor McDonald has adapted to the changing food preference among customers. Recently, customers are becoming more cautious of their health and eating more healthily. Adapting a healthy diet has become a priority for many, so McDonalds has added new items on the menu such as salad and corn so as to attract this group of customers. This has retained customers through the