The document is a country report on McDonald's marketing and operational strategies. It discusses McDonald's history and founding in the 1940s. It then summarizes McDonald's marketing mix strategies, focusing on the 4Ps of product, price, place, and promotion. McDonald's operational strategies are also outlined, including their emphasis on value, variety, and variations in their 3 dimensional process. The report concludes with recommendations for McDonald's future growth.

1. COUNTRYREPORT-2018
NAME: SIDDHI SHARMA
PROGRAMME: BBA(IB)
SEM: 3
ENROL. NO: A1833317045
BATCH: 2017-2020
INSTITUTION: AIBS

2. TOPIC:
A STUDY OF McDonald's: MARKETING AND
OPERATIONAL STRATEGIES.

3. ACKNOWLEDGEMENT
I express my genuine thanks to Prof. Amrish Kr. Choubey, Prof. SitaRaman Sir,
Mrs. Jowell Hawks and Mrs. Savita Arora, for their able guidance, continuous
supportand cooperation throughout my project, without which I would not be
able to present my work as it is today. My efforts stand incomplete without
expressing my thanks to them. They have given a lot towards the completion of
my assignment and in making this programme a lot more interesting.
I would also like to express my gratitude to my family and friends for their
unending supportand tireless efforts and long calls that kept me motivated
throughout the completion of this project and didn’t make me miss home so
much.

4. DECLARATION BY THE STUDENT
I hereby declare that the matter in the country report entitled “A Study of
McDonald's: Marketing and Operational Strategies” submitted to Prof. Amrish
Kr. Choubey, Amity International Business School, Amity University, Noida, is
a bonafide and genuine secondary research project. The work done in the report
is fair & has not been given earlier for the award of any degree, diploma etc of
any other university.
Date: 6th December 2018
SIDDHI SHARMA

5. CERTIFICATE BY THE GUIDE
This is to certify that the research paper entitled "A Study of McDonald's:
Marketing and Operational Strategies" submitted to Amity International
Business School, Amity University, has been carried out under my guidance.
All help received by her from different sources have been duly acknowledged.
Date: 6th December 2018
Place: Noida
PROF. AMRISH KR. CHOUBEY
AIBS

6. ABSTRACT
McDonald’s is a fast food company which was founded in 1940’s by
Richard and Maurice McDonald in California.
This research talks about the Marketing and Operational Strategies of
McDonalds. It tells us the different marketing techniques
implemented by the organisation and their Promotional Mix. It also
talks about how the management implemented 3- dimensional
operational process e.i, Value, Variety and Variations.
In this report, we also talk about McDonald’s SWOT Analysis and
Pest Analysis, from which we concluded its strengths, weaknesses,
political and social effects etc.
As far as Marketing is concerned, McDonald’s is doing good with its
marketing campaigns keeping in mind the Product, Price, Place and
Promotion. Their years old McD Man and Happy Meals are still
working and attracting a lot of children towards the brand.

7. OBJECTIVES
 To understand the business model of McDonald’s.
 To understand the Marketing and Operational Strategies of
McDonald’s worldwide.
 To identify what steps are to be taken by the company in coming
future.
 To study marketing strategies adopted by the Company.

8. INTRODUCTION
McD is an American fast food restaurant chain, which was founded in 1940
managed by Richard and Maurice McDonald, in California. In 1949, they
rearranged the business as a cheeseburger outlet, utilizing production line
principles. Ray Kroc came with the organisation as a franchise agent in 1956
and later on bought the line from them.
Now, McD is one of the world's biggest eatery networks, giving services to
around 700000 client’s day by day in more than 100 nations crosswiseover
roughly 36,920 outlets starting at 2016.
McD is the second-largest private employer in the world, 1 billion of which
work in outlets.
McD's Corporation's marketing strategies include different methodologies that
meet business worries in various drive-thru food eatery showcases around the
globe. McDonald's has corporateprinciples that its promoting blend applies
comprehensively.
McDonald's keeps up its powerful arrangements and methodologies for the 10
key choices of activities that the board takes to boostprofitability and execution
as a worldwide pioneer in the junk food eatery industry.
Tagline of McD is fundamental, to give the best quality to their clients, giving
the best service so as to draw in their clients, give cleanliness so as to

9. keep hold of their clients and offering Value to its Customers which will make a
decent connection among clients and
McDonald which will at last offer advantage to the McDonald and make
generosity among themselves.
“McDonald's visionis to be the world's best snappyadministration eatery
encounter. Being the bestmeans giving exceptional quality, benefit, tidiness and
esteem with the goal that they make each client in each outlet grin.”
“McDonald's image missionis to be their client's most loved place to eat and
drink. Their overall activities are adjusted around a worldwide methodology
called the Plan to Win, which fixate on an outstanding client encounter. They
are focused on persistently enhancing their activities and improving their client's
involvement.”
Key SuccessFactors ofMcD:
 Good Reputation and Positive Image
 Food Quality
 Convenient Locations
Critical Issues Facedby McD:
 Price Sensitivity.
 Cut Operation Cost.
 Dealing with PR.

10. LITERATURE REVIEW
McD is an extensive company in the drive-thru fast food area.
 They were founded in 1955 at the point when Richard began the line of
McDonald's. They started developing from that point forward.
 Most of the outlets are claimed through establishments.
In a research in Masaryk University in 2016, the researcher had done SWOT
Analysis of McDonald, which gave the following results:
Strengths:
 Awareness among customers
 Geographic Locations
 McD standardized & confirmed development in wide areas.
Weaknesses:
 Low incomes in Europe and Canada.
 Small revenues
Opportunities:
 New products
 More franchises- less risk
 High growth in Asia
Threats:
 Competition
 Increase in health-consciousness

11.  Eatery Protection Acts
Another research was carried in the University of Columbia, New York which
did the PEST Analysis of the company.
P- Political
E- Economical
S- Social
T- Technological
POLITICAL:
 Health and Safety Guidelines
The official of the heaviness program for the Children's Hospital Boston,
David Ludwig, claims that "modestsustenance usage has been seemed to
grow calorie utilization, advance weight gain, in addition, lift chance for
diabetes.”
 Environmental Issues
 Home market pressure groups
 Wars & Conflicts
ECONOMICAL:
 Low set up costs = rapid expansion
It is difficult for the cheap food industry is to keep the costs low for the
client.
 Franchising setups

12. McD's partnership gives finance and help preparing for innovative
establishment proprietors to oversee income furthermore, keep
organizations productive.
SOCIAL:
 Consumer’s worry has increased regarding Health Fears.
 Increasing competition like Subway.
Social Considerations
 Adding natural products to completely changing the menu by adding veg
stuff.
 Emphasis on Food Safety by including system like Good Manufacturing
Practices (GMP), a verifies Hazard Analysis Critical Control Point
(HACCP) plan etc.
TECHNOLOGICAL:
 They used their technology to streamline their operations, thus improving
efficiency.
 They were the first ones to allow placing orders through handsets and
TouchOrder.
 They also implemented ideas and tech to improve their supply chain
management.
McD’s built up positive perspectives had been double collapsed. Right off the
bat, its provider associations were noteworthy. McDonald's acted in a lead
ability for a decent systems administration with suppliers of middle person
efficiency. Also, McDonald had assembled positive consistency in its supply
and dispersion process, which was basic to client dedication in its cheap food
chain business. McDonald's accepts the natural test as a chance to develop a
focused ecological position. The principle goal of McDonald's is to build up a
dynamic position which would make ecological go about as a proceeding with

13. worry in the business. The pulling in nature of McDonald is that it wanted to
change its typical systems with the market by framing ecological worry into the
entire essentialness chain. McDonald's watched the utilization of the non-
showcasebasics as a gadget in enhancing the picture and nature of its
conveyance framework. McDonald's upper hand is basically founded on using
assets in proficient and viable way. Upper hand can be accomplished through
different strategies, for example, creative thoughts, entire esteem chain process,
diligent advancement, visit ventures and so forth.

14. RESEARCH METHODOLOGY
I basically used informal way of carrying out the research with the
following steps to gather data:
 Firstly, I read the available research papers done by other and
noted some important points.
 Secondly, I watched the movie “Founder” to better understand
the development of McDonald over the years and also watched
some youtube videos based on customer reviews.
 At last, I rechecked the collected information from the
McDonald’s website.

15. DISCUSSION
McD has a reputation that is more than just food, it is a hub for families. McD
has sought after two procedures from 2004. To keep running with the quick
changing client inclinations, socioeconomics and spending designs, McD had
presented unique things in their menu including chicken sandwiches and
hamburger and did practices to make increasingly solid nourishments including
plates of mixed greens as an afterthought. This technique essentially mirrors the
convictions that development rather than unwavering quality to customary items
is the key determinant towards accomplishment in the drive-thru food industry.
MARKETING ACTIVITIES/ STRATEGIES
McD’s genuine objective for their investors is toprovide them profit. Their
expressed objective is Long term supportabledevelopment for partners. McD
had understood that the company is coming to a huge development organize in
the business world, in light of its benefits backing off more and all the more
consistently. It will be a great opportunity to re-evaluate or picture this company
for attempting to begin the business cycle once more.
The marketing strategies refer to the plan of activities which can be
implemented. The strategist develops set of rules between which the team
works. McD ensures a customary and estimated inside points of confinement, to
play out certain constrained spending plan. When the system of showcasing is
set up, various commitments are given to different individuals with the goal that
the Plan can be completed.

16. The main marketing strategy of McDonald’s was the introduction of “McD
Man” which attracted children like never before and the sales figure went up
36% from the previous year.
Their main focus is on the SIZE because;
 McDonalds has a procedure of uniform menu contributions where
collection are created thus bringing down generation amount.
 Bargaining power with providers diminishes raw material amounts with
enhanced edges.
 Big publicizing amounts mean heaps of presentation towards residential
and universal market.
Through their marketing strategies, they establish position in the minds of
customers. They focus and use their Marketing Mix as the primary marketing
tool.
PRODUCT
The most essential thing while giving a menu to the client is that you ought to
give hem a decision. McDonalds dependably attempt to make a menu, which is
really what client’s need. However, because of fast movements in innovation
and others factors, clients are leaving after short span. The R&D team of McD
keeps a close eye on their consumer’s behaviour and cater to their needs by

17. introducing new products and removing the old ones from their existing menu.
Some of the most sellable products ontheir menu are;
 Cheeseburgers and sandwiches
 Chicken and Fish
 Snacks and sides
 Desserts and Shakes
 McCafé
PRICE
McD has been bestin making the motivating force in the minds of customers in
view of which they are compelling in satisfying customers on what they are
charging. McDonalds is essentially offering different arrangements and limits in
value packaging and are utilizing mental estimating system in a way that it
looks a lot simpler to be reasonable. They follow psychological pricing strategy
which looks very affordable to the public and attracts consumers. They often
also follow integrated pricing policy by the C3 formula:
 COST
 COMPETITORS
 CUSTOMER
This formula helps McDonald’s in setting prices to target their customers and to
keep synergy and equality among diverse customers within different franchises
all around the world.
PLACE
In case of fast food restaurants, physical presence is very important. The
physical presence or the distribution locations of any productis known as place.
McDonald’s has from starting very efficient in selecting their locations for their
restaurants, cafes, kiosks etc. The main purposeof this is to make the product
available to the end consumers whether it is done through physical restaurants,
mobile apps and website or through telephone.
PROMOTION
This basically means to communicate with the customers about the brand,
company and products. Itdefines the approaches used in promoting the products

18. of the brand and creating an impact on the minds of the buyers. In order to
promote their brand, they also regularly check their customer service. They
follow many ways to communicate these messages like,
 The IMC Strategy
 Advertisement
 Promoting Sales
 PR
 Direct Sale
 Supply Chain Process
 Branding
They lay more spotlight on enhancing their menu by giving progressively
decision and customization, with plans to start extending the Create Your Taste
stage. They also intend to execute activities that are directed to address client
bits of knowledge and to focus on elements that are one of a kind to each
market.
OPERATIONAL STRATEGIES
“Tasks procedureconcerns the example of key choices and activities which set
the job, goals and exercises of the task”.
The most important goal of the organisation was to make the production process
of the company as efficient as possible. The tools they use to achieve the
company’s objectives are as follows:
 reducing the costs
 improving their productquality
 punctual delivery of products
 increasing their speed
 product customization and
 excellent customer service.
These measures are also called the Operational tools whose focus is on certain
key elements of the production process, thus giving the company a competitive
advantage.

19. One of the Important strategies in the operations of McDonald is to maintain
their, Supply chain process. Themain thing that McD operation team needs to
look over now is experimentation. The operations team is now working on
using of eco-accommodating bundling, guaranteeing effective strong waste
transfer, essential changes in mood spaceaccording to necessity, assignment of
spending plan for innovative work, flexibility in operational time, Streamlining
of menu etc with the help of other specialized teams.
McDonald’s have a three-dimensional operationalprocess strategy which
includes;
VALUE
 As McDonald’s offer so many choices to the customers, the employee’s
job is repetitive and systematic. As to keep up the standards everyone is
given a particular job in which they make sure that the taste and quality is
same always.
VARIETIES
 As discussed earlier, the customers at McDonalds have a lot of variety to
choosefrom, ranging from burgers & french fries, salads, fruits &
vegetables to many soft drinks. They always try to enhance their menu to
attract all kinds of consumers from all over the globe.
VARIATIONS
 McDonalds provide a lot of variations as they can meet the changing
capacity of the consumer’s demand over time through their well
organised processes which happens becauseof the flexible operational
strategies of the company.
McDonalds set their performance objectives well in advance to avoid future
misunderstandings. These objectives are related to the operational processes.
There are currently five performance objectives of McDonalds:
1. Quality
2. Speed
3. Dependability
4. Flexibility

20. 5. Amount
The normal Processdesignof McDonalds include:
 Order received
 Toasted bread products
 Cookfrozen products
 Add ingredients
 Place eatables in packets
 Keep in cabinets (max 10 mins)
 Deliver to the customer
This process helps them to implement customizationin the orders and reduce
the customer’s waiting time.

21. RECOMMENDATIONS
The company’s future success could be maintained by:
 maintaining its base powers
 an undisturbed focus on quality and consistency while carefully
experimenting with new options.
Innovative initiatives like launching higher-end restaurants under new brands
that wouldn't be saddled with McDonald's fast-food image would be a great
option for the company for future expansion.
McDonalds can increase their share in the market by observing what they really
are worth of.
For future growth aspects the company should maybe increase their presence on
social media and do some media marketing campaigns. They could also focus a
little more on Vegetarian salads and meals within economical prices for all.
They should also include more healthy items in their menus and should use
local food sources wherever available to attract more customers from that
particular area.

22. CONCLUSION
McDonalds is a commonly known brand in the world. In their Marketing and
Operational strategies, they have tried to attract more and more customers by
improving the quality of the product, reducing the costs and order
customization. Reduction in costand improvement in final productwas only
possible because of the efficient operational strategies they made and
implemented. Both Operational and Marketing strategies go hand in hand. All
departments of the company work together to achieve the goals set by these
strategies. Every one of the procedures in McDonald's mirror the requirements
of the clients and items are planned considering amazing, administration.
McD cooperates with providers which satisfy every one of the guidelines of
value set by the organization. For fulfilling clients’ want of quick given quality
items their technique fused without a moment to spare framework. Therefore,
the restaurants are serving crisp nourishment in a short span of time.

23. REFERENCES
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