The competitive advantage of McDonalds is generally based on optimum utilization of resources in the best possible way. There are various strategies in which competitive advantage can be achieved such as innovative ideas, persistent development, frequent investments, and whole value chain process. Competitive advantage can be attained through various strategies such as innovative ideas, whole value chain process, persistent development, frequent investments (Baker, 2000). By allocation and cost formation of product and services the chief competitive advantage could be developed, which was suggested by Piccoli and Ives. Supporting to Piccoli and Ives theory on competitive advantage, Stuart and Brandenburg (1996) gave more focus on creating the
…show more content…
He gives more stress on the practice of strategies rather than the theories. Whittington (1996) explains that idea behind implementing strategies is mainly to create or establish a distinct identity of the company in its industry. It helps the company to create its brand value.
To implement the strategies, McDonald had implemented the 5 Ps, namely Price, Promotion, Place, Products and People.
The main objective of price strategy was to make the products affordable for the family to go out for breakfast, lunch, dinner. McDonalds were able to succeed in this by making happy meals for the children that were of the right price, right portion, right quantity etc. They also make sure that the hungry customers will be full after they have eaten two sandwiches.
The second strategy is promotion. Promotion basically means to promote the products and services of the company. Advertising through televisions, radios, newspapers are one of the most effective way to promote their goods and services. McDonalds has also created certain slogans or taglines over the years which attract many customers such as “I’m loving it” “We love to see you …show more content…
Targeting the people means to target both the employees as well as the customers. If the employees are not happy, they may show the anger on the customers. This would lead to bad service and negative complaints will arise from the customers.
McDonalds measures the customer satisfaction with the help of a Mystery Shopper initiative which focuses on the experiences of the customers within the restaurant along with the feedback that has been provided by the customers. McDonalds has certain principles to ensure that they are constantly changing and evolving every part of their business and also what is delivered to the customers.
McDonald’s strives to deliver the highest level of quality products, services and cleanliness to all the customers in each and every restaurant. The main key to the success of McDonalds is their continuous monitor and acting on the feedback given by the customers to the company. McDonalds have received many complaints, enquiries, negative or positive feedbacks from the customers and are considered as precious pieces of information. With the help of these information, McDonalds were able to tune the business and meet the needs of the customers. These insights helps the company to keep moving
He gives more stress on the practice of strategies rather than the theories. Whittington (1996) explains that idea behind implementing strategies is mainly to create or establish a distinct identity of the company in its industry. It helps the company to create its brand value.
To implement the strategies, McDonald had implemented the 5 Ps, namely Price, Promotion, Place, Products and People.
The main objective of price strategy was to make the products affordable for the family to go out for breakfast, lunch, dinner. McDonalds were able to succeed in this by making happy meals for the children that were of the right price, right portion, right quantity etc. They also make sure that the hungry customers will be full after they have eaten two sandwiches.
The second strategy is promotion. Promotion basically means to promote the products and services of the company. Advertising through televisions, radios, newspapers are one of the most effective way to promote their goods and services. McDonalds has also created certain slogans or taglines over the years which attract many customers such as “I’m loving it” “We love to see you …show more content…
Targeting the people means to target both the employees as well as the customers. If the employees are not happy, they may show the anger on the customers. This would lead to bad service and negative complaints will arise from the customers.
McDonalds measures the customer satisfaction with the help of a Mystery Shopper initiative which focuses on the experiences of the customers within the restaurant along with the feedback that has been provided by the customers. McDonalds has certain principles to ensure that they are constantly changing and evolving every part of their business and also what is delivered to the customers.
McDonald’s strives to deliver the highest level of quality products, services and cleanliness to all the customers in each and every restaurant. The main key to the success of McDonalds is their continuous monitor and acting on the feedback given by the customers to the company. McDonalds have received many complaints, enquiries, negative or positive feedbacks from the customers and are considered as precious pieces of information. With the help of these information, McDonalds were able to tune the business and meet the needs of the customers. These insights helps the company to keep moving