Strategic Management
Case study
Maha Al-Ostaz , Shaima Alaidaroos
3/12/2015
Introduction:
McDonald's Organization is the world's biggest chain of fast food restaurants, serving almost 47 million clients every day through more than 31,000 restaurants in 119 nations around the world. McDonald's offers different fast food things and soft drinks including, burgers, chicken, mixed greens, fries, and dessert. Many McDonald’s restaurants have incorporated a play area for youngsters and advertising geared to kids, and some have been upgraded in a more "characteristic" style, with a specific accentuation on solace: presenting parlor regions and fireplaces, and taking out hard plastic seats and tables. This report will discuss …show more content…
They also can easily cook burgers at their homes; moreover, because people nowadays care for their health, a menu with more healthy foods would attract costumers much more than the one with fat as McDonald’s. Thus these substitute products can be a threat for McDonald’s.
Industry Rivalry is high
The intensity of rivalry among competitors is the most powerful factor. McDonalds operates in a very strong competition because there are many organisations competing in price and quality services such as Burger King and KFC who offering similar products and services in the fast food segment.
What source of competitive advantage does MacDonald’s have?
Taken a toll authority has been the conventional system for the fast-food industry, yet McDonald's held expenses under control with a specific end goal to accomplish equality with competitors. In addition, McDonald's attempted to add to a differentiation playing point while keeping expenses at a sensible level, and also Differentiation requires the formation of something that is seen expansive as interesting and esteemed by …show more content…
They are required to have goods stored adequately and properly in warehouses and a well-organized crew who can store and allocate the correct goods at the right time. Production in huge plants denoted exclusive to McDonald’s control food distribution and packaging system
• Operations: R&D in field research needs of end users. Quality development in collaboration with good suppliers Forward integration: through franchisees with control over store presentation, menu items etc. and enhance participation in process improvement
• Outbound logistics: Prepared food should be shipped to the actual restaurant through distribution channels and when the restaurant actually gives out the finished products and goods
• Marketing and sales: They have a massive marketing team that has to appeal a global company to different niche markets. They should make sure to balance and satisfy customers who are hamburger eaters and on the other hand coffee lover. They should have a marketing team that can apply research to see what the needs of the customer are and what attempt them to eat. This is done through commercial ads and