He heads the Directors of all the departments at the corporate level. However, the major weaknesses involve the large number of lawsuits BBC, that the company faces in terms of customers complaining against obesity and the coffee lawsuits Chicago tribune, and the kind of damage that they Strategic managment paper for mcdonalds philippines had on the corporate image.
In terms of the corporate brand, the main strengths of the business could be seen as its leadership, world-wide reach, band value, intellectual property and its having mastered the game of franchising. The new concept of restaurants is aimed at improving customer experience through faster and more convenient ordering.
The company can identify better ways of performing tasks, managing restaurants or hiring new employees and can achieve huge gains by implementing these best practices in its vast network of restaurants.
The demand for fast food is not going to go down anytime soon, despite all the signs and talk of recession and economic turmoil.
In general, with low entry barriers into the industry, threat of potential entrants is considered quite high. Huge gains from implementing best practices. Further, there is also a moderate threat of substitute products. Hence, the threat of substitute products could be considered to be medium.
Few companies are capable of converting their digital efforts to real gains for their customers. Growth over the years: Hence, bargaining power of buyers could be considered moderate. These timeline for these recommendations has been graphically presented in the Gantt chart.
Right from the whole range of frozen products along the supermarket aisles that offer the convenience of simple reheating for consumption to the increasing research and development that goes into the food industry to provide products that are easier to cook and healthier to eat, there is a growing threat of substitute products that is out there in the market.
It not only expanded its scale of operations geographically, but also kept on introducing innovative products and services with the passage of time.
Market power over suppliers and competitors. Another contrast is the difference between standardisation and customisation — to focus on a world market and to strive for standardisation is a perplexing mix that should be enough of a trouble to manage.
Usually, the more valuable a brand is the better it is recognized worldwide. An emphasis on operations and supply chain management go well with the brand image and the product and delivery mechanisms. Most aspects of the marketing mix seem to be perfectly in place, which would prove to be one of the key strengths of the company.
The community initiatives and display of corporate social responsibility go on to strengthen the brand image, involving local communities into the corporate brand and reaching out to a wider market. The director of one particular area focuses on the performance of his entire team but keeps direct coordination with other departments of the Unit.
In terms of customer satisfaction, one of the key components of the stakeholders of the company, the success, turnover, profitability and recognition of the brand would vouch for the effectiveness and efficiency that the company displays in promoting stakeholder welfare.
High levels of competition in the industry and low switching costs augur well for buyers. Inthe owners introduced Speedee Service System in their restaurant in order to cope up with the competition from the market leaders of those times.
This is a mass market industry that focuses on price and product turnover than on differentiation in terms of product and service delivery. Industry rivalry — High In terms of industry rivalry, existing rivalry is high. J,P Ethics and Social Responsibility Social responsibility is a delicate surface to step into, considering the organisational objectives of profit maximisation and share holder value maximisation.
Customers are turning away to newer brands, which offer both, better quality food and service. Is it socially responsible to stay in these areas if it means going bankrupt?
And it is not just in their sustainability report or corporate responsibility statement that the company shows its commitment towards giving it back to the community that it belongs to.
Substitutes — Threat of substitute products — Medium The fast food market may have built its brand value over time with price, some differentiation and vigorous marketing activity, but there is no denying the fact that there are a lot more products out there in the market, focussing on the same selling point of convenience and speed as the fast food market does.
The brand value is closely related to the brand recognition and reputation. There is further evidence of the success of the brand, given that Millward Brown, the leading brand consultant, has come up with its report on the value of global brands, and has ranked the value of brand McDonald at the fourth spot, among leading IT brands such as Apple, IBM and Google, as reported by MSN Threats This is a market that has low entry barriers and low exit barriers, hence, the threat of new entrants has always, and will always be, high.
The competition is indeed high when it comes to fast moving products that are at the low end of the price chain, even as the established chains want to have their products and presence expanded.
The idea is to provide opportunities and hope for employees to have things their way on a global scale, reinforcing the global nature of the brand that they are a part of. Further, suppliers for the food industry also have alternative avenues of sales available to them in the form of competitors who are growing in numbers in the industry.
A feat such as this could not be achieved without paying attention and focus on suppliers.MCDONALD’S STRATEGY. Contents. Abstract 3. McDonald’s – The Company. 4. McDonald’s Business Strategy, McDonald’s Competitive Strategy, Business Analysis, McDonald’s Business Analysis Our service offers STRATEGIC MANAGEMENT essay sample that was written by professional writer.
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Strategic management is the way of implementing different business strategies and plans to attain certain specific aims and objectives. It involves collection of decisions and different rules and policies that tend to define the results that are generated in the form of better business performance.
[pic] San Beda College [pic] Mendiola St. San Miguel Mendiola, Manila A STRATEGIC MANAGEMENT PAPER (STRAMA) On McDonald’s Philippines A. Strategic Management Of Mcdonalds Fast Food Company Uk Marketing Essay. Print Reference this. This paper seeks to analyze the wider environment in which McDonalds operates competition within the fast food industry, strategic focus, and how to address challenges that occur within the industry.
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The strategic management process is a philosophical approach to business and can be characterised through establishing a mission, creating objectives, and devising strategies, then through external and internal assessment creating strategy which is then implemented and checked on by strategic control.Download