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McDonald's in_india_IB_assignment



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  • 1. McDonalds in India (International Business) Submitted to: Prof. Sunil Unni Submitted By: Ammar Mullamitha Harish Nageswaran Meghashree Mohan Rahul Dhruve Vikram Prajapati8/28/2012 UNITED WORLD SCHOOL OF BUSINESS 1
  • 2. We would like to thank Unitedworld School of Business, Mumbai & Professor Sunil Unni for giving us the opportunity to present a case study on various aspects of McDonalds. Through this project we learnt how McDonalds established itself in India and how they became a success story in India.8/28/2012 UNITED WORLD SCHOOL OF BUSINESS 2
  • 3. Entry barriers Cultural and religious • Eating Habits Sensitivity • Taste and preferences Health and Safety Price Sensitive High Import Duties Development of new SCM Strategies Technology Up gradation No cold storage chain logistics8/28/2012 UNITED WORLD SCHOOL OF BUSINESS 3
  • 4. Joint Venture in India Schrieber Dynamix Dairies Is a Joint Venture between Schreiber Foods USA (51%) and K.M. Goenka group (49%). Dairy products that include Cheese (Cheddar, Mozzarella) and processed Butter Vista Processed Foods • It is a JV between OSI Industries (USA) which is one of its largest suppliers for the chicken range of products across the globe since 2001.Vista Fresh product division –implementing new agri technology • Supplier for the chicken and vegetables (McChicken patty, grilled chicken patty, nuggets etc) Mixture of Tie-ups with DynamixForeign entity Value addition both Indian McDonalds in diaries managed by in case of and Europe introduced Indians in innovations International (Cremica milk products India. and ideas. cultures. Industries abroad. 8/28/2012 UNITED WORLD SCHOOL OF BUSINESS 4
  • 5. Where do the food come from Mc Donalds Supply Chain Direct SuppliersIndirectSuppliers (Ludhiana, Punjab) (Noida, Gaziabad) Baramati near Mumbai Taloja on the outskirts of Mumbai Small scale i. Meena Agriculture Farms around Delhi and Nainital Industries ii. Amar Agro farms in Ambala & Himachal Pradesh Farmers iii. Agriflora (Now, Green Earth Fresh Produce) in Ooty, Tamil Nadu Mc Donalds Distinctive Sourcing Distribution Logistic Procurement Logistic Warehouse and packaging 5 8/28/2012
  • 6. SCM Strategies Critical to the Market Logistics (On time delivery) Maintaining cold Forecasting the storage chain Demand (perishable goods) Total quality management Buyer seller relationship (freshness, quality) Cultural sensitivity Cost effectiveness8/28/2012 UNITED WORLD SCHOOL OF BUSINESS 6
  • 7. McDonalds truly a global company Adopting a particular country’s culture and people’s taste and preferences. Sourcing almost all of its products and ingredients locally. Development of local Indian businesses. Creating a huge job market for Indian people.8/28/2012 7
  • 8. Key learnings of ITM that you subscribe to the McDonald Fact File.• McDonalds entered into Indian market with the totally customized product.• They diversified from Beef and Pork to Chicken and Egg.• They assured Quality, Service and Cleanliness to customers.• They also emerged in India as a leader of Quick Service restaurant.• McDonald’s introduced Coke’s Georgia Gold range of hot beverages which was developed especially for the Indian market in 2002• McDonald also launched their product Happy Price Menu at Rs.20, which really attracted the Indian customers.• Their Products are available for Vegetarian and Non-Vegetarian customers.• They keep on bringing on the new product as per the Indian peoples taste.8/28/2012 UNITED WORLD SCHOOL OF BUSINESS 8