This document provides an overview of McDonald's global operations and strategies for international expansion. It discusses McDonald's history and founding in the US in 1940. It then outlines McDonald's strong global presence with over 36,000 restaurants in 118 countries. The document also examines how McDonald's adapts to different cultural dimensions in countries like India, Saudi Arabia, Germany, and China by tailoring menus and restaurant operations. Finally, it summarizes McDonald's key strategies for entering new international markets through franchising, licensing, joint ventures, and subsidiaries.
2. Objective
Provide Company Background and Fun Facts
Discuss Culture Dimensions
Review Systematic Environment Domains
Entering International Markets Strategies
Strategy for International Business and Business Function
Conclusion
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3. Company Background
1940: Year first McDonald’s Opened in SanBernardino,CA
Founder: Dick and Mac McDonald
1954: Ray Krock suggests nationwide franchising
1955: Ray Kroc founded the first McDonald’s Corporation
1967: McDonald’s goes international:
Restaurants open in Canada and Puerto Rico
Headquartered location is in Oak Brook, Illinois.
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4. Fun Facts
World’s largest foodservice retailing chain
Strong Global Presence
Locations in over 118 countries
Operates over 36,000 fast food restaurants
Employs 1.5 million employees globally
Serves over 69 million customers
Brand Recognition
Ronald Mcdonald is as famous as Mickey Mouse
Majority of the Restaurants are operated by Franchisees
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5. Cultural Dimensions
America:
McCulture
American invasion- American way of life
Very popular (ex: Big Mac Index)
67.6% of its business from outside the U.S
Special menu for difference countries
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6. Cultural Dimensions
India
82% of Hinduism, 12% of Islam, 2.5% of Christianity,
0.7% of Buddhism, and 2.8% of other religions
Chicken instead of beef and pork & meat-free menu
Opened vegetarian-only restaurants in India in 2012
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7. Cultural Dimensions
Saudi Arabia
Follow the local law: segregate male and female
customers
No Pork
Mac Arabia Chicken Sandwich
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8. Cultural Dimensions
Germany
Beer
China
Rice burger & Soup
Black and white burger in Chinese New Year (Ying & Yang)
upgrade its appearance and expand the chain’s menu
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9. Cultural Dimensions
Cultural Analysis
Culture affects its aspects of the managemnt
Adaption depends on different culture
Avoid culture mistakes
Meet demands
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15. Conclusion
Most recognized food chain globally
Global cultures lead to business variation
Three primary strategies for worldwide growth
Ability to adapt to markets is prime factor in success
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