Introduction
McDonalds has a business model that is largely based on selling franchises to franchisees. What this means is a person buys the rights to use the McDonalds name but they are obligated to follow certain rules of operation. However, franchisees do have some control. This relationship has allowed McDonalds to grow into a capital-rich corporation with some 30,000 restaurants located in more than 100 countries. Yet, there is more to the story of McDonald 's than just the franchise/franchisee relationship. There are certain guiding principles firmly rooted in the corporation’s business. The multi-national restaurant chain seeks to offer a consistent experience. McDonald 's consistency means that diners should have a similar experience …show more content…
McDonalds, also uses the motto "quality service, cleanliness, and value," originally coined by founding father Ray Croc as a guiding principle. Innovation serves as yet another item in McDonald 's business model tool box. Innovation and the policy of consistency mentioned earlier may seem like polar opposites, but they actually complement one another nicely. McDonald 's uses innovation to respond to conditions on the ground. For instance, during 1975 soldiers in Sierra Vista, Arizona were not permitted to …show more content…
They have locations in over 100 different countries and over a 1,000 restaurants total. Not only do they have the most locations but they have highly competive prices as well. Any times someone goes to a McDonalds they have the chance to give them one of their competitors coupons such as a dollar off a large fry coupon from burger king. This is a very good strategic plan on Mcdonald’s behave because not only are they provided direct information on what their competitor are offering but it allows them to take away some customers by offering them an equal if not better deal. So in this case offering to accept competitor’s coupons is a win-win situation for not only the customers but for McDonalds as
McDonalds has a business model that is largely based on selling franchises to franchisees. What this means is a person buys the rights to use the McDonalds name but they are obligated to follow certain rules of operation. However, franchisees do have some control. This relationship has allowed McDonalds to grow into a capital-rich corporation with some 30,000 restaurants located in more than 100 countries. Yet, there is more to the story of McDonald 's than just the franchise/franchisee relationship. There are certain guiding principles firmly rooted in the corporation’s business. The multi-national restaurant chain seeks to offer a consistent experience. McDonald 's consistency means that diners should have a similar experience …show more content…
McDonalds, also uses the motto "quality service, cleanliness, and value," originally coined by founding father Ray Croc as a guiding principle. Innovation serves as yet another item in McDonald 's business model tool box. Innovation and the policy of consistency mentioned earlier may seem like polar opposites, but they actually complement one another nicely. McDonald 's uses innovation to respond to conditions on the ground. For instance, during 1975 soldiers in Sierra Vista, Arizona were not permitted to …show more content…
They have locations in over 100 different countries and over a 1,000 restaurants total. Not only do they have the most locations but they have highly competive prices as well. Any times someone goes to a McDonalds they have the chance to give them one of their competitors coupons such as a dollar off a large fry coupon from burger king. This is a very good strategic plan on Mcdonald’s behave because not only are they provided direct information on what their competitor are offering but it allows them to take away some customers by offering them an equal if not better deal. So in this case offering to accept competitor’s coupons is a win-win situation for not only the customers but for McDonalds as