This is a mini-case study of McDonald's.

1. CASE STUDY
Pratik Shelke
by

2. Introduction
McDonald's is an American hamburger and fast food restaurant chain
The name McDonald’s was coined in 1952 by Ray Kroc – who bought a
hamburger restaurant from McDonald’s brothers. Since then it has been
growing rapidly around the world, adding 1000s of McDonald’s every year.
McDonald’s is the world's largest restaurant chain, serving approximately

4. CORE VALUES
• Quality
• Cleanliness
• Service
• Value

5. Core Audience Notable Works
The brand understood early on that its core
audience consisted of children and families.
Therefore, he focused McDonald’s
advertising efforts at these groups, and
introduced Ronald – Mascot of McDonald’s!

7. Cute, isn’t it?
Oh,
I mean that ‘Plan to Win!’

8. Market Segmentation
Geographic
McDonald’s allowed local restaurants to adapt to
different environments and cultures. For example,
McDonald’s introduced a Bacon Roll breakfast
sandwich in the United Kingdom, a premium M
burger in France, and an egg, tomato, and pepper
McPuff in China. Prices also varied slightly across
the United States to better reflect different tastes in
different regions.

9. c
Market Segmentation
Income
Prices are listed by analysing people’s income in particular
regions.
Also, introduction of $1 menu for teenagers and low-
income bracket customers.
Age
Women – Low fats, Diet items and even Salads
Children – Play Space, Ronald Mascot and Ice-creams
Young people – Wifi and Sofas to gather comfortably
Working class – Chairs area to grab a quick bite and leave

10. Market Segmentation
Market Segmentation
Psychographic
• Children – Fun place
• Teenagers – Hangouts and Dates
• Efficient people – Quick meals
Behavioural
• Frequency and Quantity
• Reason and Occasion
• Product usage
• Source of purchase

11. c
Pricing Strategy
• Product bundle pricing
• Value pricing
• Product line pricing
• Promotional pricing

14. c
Biggest Challenges for McDonald’s today
1. Declining the trust in McDonald’s / Distraction of
customers by the competitors.
2. Competitors: Burger King, Domino’s, Subway, Pizza
Hut, Taco Bell, Papa John’s, and the most brutal – KFC.
3. Lazy service / Unwelcoming Staff
4. Food safety scandals in China
5. Complex menu
6. Unhealthy food/Obesity enhancer

17. 1. Win back customers who have fallen out of love with
McDonalds
2. Take on competitors by lowering the prices or improving
the quality of food and ambience
3. Tackle the bad PR by paying staff more
4. Sort out China, supply fresh meat and improve the
quality to restore people’s faith.
5. Slim down the menu. And keep the meal sets as simple
as possible.
Likely Solutions

19. c
The Conclusion
• McDonald's is one of the largest fast food companies in the world. Competitors are rising,
but they can easily continue their path for success by keeping their consumers in mind
regarding their product selection, quality, as well as their prices.
• McDonald’s encourage their employees to do a good job, usually promotes from within,
and offers several scholarships to encourage education. Though, providing some leisure or
entertainment to the employees may better the PR.
• Though McDonald's is a centralized, "wait and see" company, they find ways to use
technological products that will increase their productivity, service, and sales, everywhere
from using the Nintendo DS to train staff to using New POS touch screen registers.
• McDonald's will certainly be around for plenty more years to come.

21. A Presentation on McDonald’s by Pratik Shelke, Author getting published by a major traditional publisher; Blogs at
www.pratikshelkeofficial.quora.com
During a Marketing Management Internship under Professor Sameer Mathur, PhD in Marketing from Carnegie Mellon
university; present faculty at IIM Lucknow.