Business Plan:
The Corporate Environment and Future Strategies of McDonald's Corporation
McDonald's Corporation is a leader in the fast-food industry. This business report includes an in-depth analysis of the present marketing environment of McDonald's Corporation including a LePEST, SWOT, Stake Holder, and Five Forces Analysis in addition the second section will consist of a proposal for possible future strategy for the organization.
Environmental Audit:
LePEST analysis:
Political Factors:
The political environment within the 120 countries in which the McDonlad's corporation has established restaurants is a constantly changing dynamic yet, for the most part the political climate in the respective countries is stable as it applies to the ability of the McDonald's corporation to run effectively. The distribution network of the organization does pose some challenges in some countries as the food and packaging of each restaurant must be obtained through approved and specific channels that attempt to and succeed in making the McDonalds experience a universal one, e.g. The big mac that is served in Detroit will look and the taste the same as the one served in Beijing (Hoover's online McDonald's Corporation Capsule). Each individual political environment and how it effects McDonalds needs to be analyzed for corporate success. Largely the corporation is effective in doing so through communication and cooperation with government entities prior to the company investing in a particular country for the first time.
The political climate in the United States is relatively static, effecting current operations. Yet, to some degree future expansion can be hampered by local governments, in circumstances where public use permits must be obtained and public opinion is in conflict with a corporate or private entities wish to increase operations through additional locations. Public and sometimes private citizens have a certain degree of influence over the acceptance of a new location in some communities. Opposition can be associated with current or future traffic issues, public opposition to business type based on regional culture and composition, and/or regional market saturation. The local government has the ultimate deciding force on these situations of opposition.
Economic factors:
The current interest rates in the United States are in favor of real estate expansion as they have recently met record lows due to the international and local economic situations. The current high levels of unemployment favor the type of employment that the McDonald's corporation offers, as they are also historically high. McDonalds offers entry level and low-level management positions that can be filled by people who would possibly be employed by other markets if the economy were better. The market for the type of product that McDonald's Corporation offers tends not to decrease to any extreme degree during times of economic strife, as the offering is low cost and convenient and may be chosen over other restaurant offerings because the cost is lower in perception and reality.
Long-term economic development seems to be on the upswing as the two-year slump associated with the 2001 terrorist attacks and their aftermath seems to be coming to an end. Market trends are expected to enter into a growth phase by the end of 2003. The GDP of $36,300, in 2002 is expected to increase moderately through 2004 (rising to 2.5% and increasing by 0.3%). Level of inflation is 2.8% (2001). Unemployment rate for 2002 was 5% but is greater or lesser in some regions throughout the country. (CIA World fact book 2002)
Sociocultural Factors:
The dominant religion within the largest McDonald's Corporation market, the U.S. is Christian, yet the government is secular in nature and most people do not practice religious dietary restrictions. The attitude toward foreign market products and services in the United States is open. The market expresses free trade interests and consumers tend to purchase based on price rather than origin of product. The issue of foreign products acceptation is a much greater issue in the other 120 countries where McDonald's offers services. For the most part McDonalds has been embraced by the international community as a welcome American export. In those countries and regions where the predominant religion does not embrace the eating of red meat McDonalds has had a more limited influence.
Language and weights and measures have had some influence upon international marketing of McDonald's services. Some products require renaming as the dominant system of language and/or weights and measures does not translate into the same product meaning which is traditionally associated with a certain product. Yet, to a large degree the services provided are streamlined and the packaging and products are universalized through distribution practices of the corporation.
A decrease in leisure time in the U.S. has influenced the growth of the McDonald's market as the less time an individual or family possesses the more often they will partake in convenience offerings like fast food. McDonald's niche has clearly focused on trying to serve an economical, desirable and appetizing product to people in a hurry. Consumers therefore increase their utilization of services that McDonald's is clearly a trendsetter for, like drive thru restaurants with timed delivery. As...
[2: www.med.govt.nz/business/business.../structure-and-dynamics-2011.... ] The primary research of the Auckland market presents the following sectors for consideration for the new venture: The demographics in the target market include: college going and married women with children who either are working mothers or stay-at-home mothers; this makes the age group anywhere between 25 to 55; the overall annual income of the household is more than AUS $100,000; the property owned by the target individual
As part of the research triangle, Raleigh has a significant portion of its population that fits the target market. For the Farmery to succeed, it only needs to capture a small portion of the market share. This is especially true because the store has a small footprint, and has the flexibility to set up on vacant lots without the costs of either renting or developing fixed real estate. The
Business Plan INSIGNIA SYSTEMS Insignia Systems, Inc. Business Plan The Business Profile: Insignia Systems, Inc. Business Description "Insignia Systems, Inc. markets, sells and supports in-store advertising and promotional products, programs and services designed to provide retailers and consumer goods manufacturers with highly effective in-store programs and point-of-purchase display materials" (Insignia Systems, 2012) Insignia is engaged in advertising to customers in a retail environment who may otherwise not see the product advertised. One of the slogans that
Business Plan for a Financial Divorce Software Business Plan Divorce Software Business Plan relating to the Sales of a new Financial Divorce Software. Business Plan relating to the Sales of a new Financial Divorce Software F F1 F2 F3 G1 G1(a) G1(b) G1(c) Business Identification Keys to Success Company Summary Industry History Legal Form of Ownership Location and Facilities Management Structure Products and Service Market Analysis Target Market Industry Analysis Competitive Analysis Market Strategy Ps of Marketing Price List Selling Strategy Sales Forecast Implementation Strategy Overall Strategy Implementation Control Plan Financial Statements and Projections Revenue and Cost Estimate Forecasted Profit and Loss Statement Forecasted Balance Sheet Financial
The existence and specialization of these three competitors materializes in the need for Creativity Sure to excel in the offering of the three types of products and services offered by challengers Karina Advertising, Falling Agency and Dorna PLC. 4.2 PEST Analysis Political forces: The development of a full legislation within the advertising field has yet to become a complete process. Recent efforts have however limited the operations of advertising campaigns in
. One tactic which has made the John Doe group unique in the industry is its recognition of the importance of community in the viability of individual enterprises. Its damaged relationship with the communities in which it has sought to operate can be rectified by aspects of its model which are already in place. Though the company operates thousands of funeral service establishments from a centralized point of authority, its
Our semester plans gives you unlimited, unrestricted access to our entire library of resources —writing tools, guides, example essays, tutorials, class notes, and more.
Get Started Now