Expanding McDonald's to the Solomon Islands


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Strategic Management Group Project

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  • Ethics - We envision purchasing from suppliers that follow practices that ensure the health and safety of their employees and the welfare and humane treatment of animals in our supply chain.Environment - We envision influencing the sourcing of our materials and ensuring the design of our products, their manufacture, distribution and use to minimize life-cycle impacts on the environment.Economics - We envision delivering affordable food, engaging in equitable trade practices, limiting the spread of agricultural diseases, and positively impacting the communities where our suppliers operate.
  • Expanding McDonald's to the Solomon Islands

    1. 1. Mojida Rabindra Tahia Tsatsa August 9, 2013 Expanding McDonald’s to the Solomon Islands
    2. 2. 1954 Ray Kroc was the first franchisee appointed by Dick and Mac 1940 Dick and Mac McDonald open a Bar B Q restaurant in San Bernardino, California. 1955 Ray Kroc opened a McDonalds restaurant in Des Plaines, Illinois 1965 700 restaurants were open in the U.S and McDonalds now went public in the stock exchange. 1967 As a result, McDonalds went outside of the U.S to Richmond British Colombia and continued to grow internationally. Introduction History of McDonald’s
    3. 3. McDonald's brand mission: be customers' favorite place and way to eat and drink McDonald is committed to their people They operate business ethically  McDonald gives back to communities  Grow business profitably Strive continually to improve Mission & Value
    4. 4. McDonald's is the world's #1 fast-food company by sales Current Situation On a day-to-day basis, more than 47 million customers world-wide are served Employs more than 1.5 million people Serving burgers and fries, it operates more than 30,000 flagship restaurants It serves in more than 119 countries on six continents
    5. 5. External Partnerships Internal Programs Global Initiatives  Hamburger University  Olympics  Global Women’s Inclusion & Diversity
    6. 6. 7 Political Changes in government economic policy, e.g. taxation, government spending, monetary policy Changes in legal requirements e.g. employment law, health and safety legislation, licensing practices, environmental regulations, competition policy Changes in the government ownership e.g. nationalisation, privatisation, de-regulation Economic Changes in the level of economic activity, e.g. growth rates, rates of unemployment, inflation Changes in wage rates and income distribution Changes in exchange rates Social Changing attitudes e.g. work/life balance, concern for the environment, ethical standards Changes in social structure e.g. socio-economic groupings, social mobility Technological Development of new products and processes Automation Developments in information and communication technologies Developments in the natural sciences Porter’s 5 Forces PESTDEG Analysis (Macro-Environmental factors):
    7. 7. 9 Demographic Size of, and changes in population, income distribution, age distribution, geographic distribution, ethnic mix etc. and their impact on strategy Environmental Impact of laws, culture, science on attitudes towards ecology, recycling, ethics, pollution, and the need for business to be responsive and proactive Global Assessment of the increasing reach, complexity, interdependence and accelerated innovation brought by greater commerce and other interaction across country and continental borders Porter’s 5 Forces PESTDEG Analysis (Macro-Environmental factors):
    8. 8. 10 Porter’s Competition Framework
    9. 9. 11 Resources & Capabilities Tangible Intangible Human
    10. 10. 12 Appraising Resources Tangible Financial Resources Research & Development Intangible Reputation Marketing Human Human Resources “learn while you learn”
    11. 11. 13 Capabilities Intangible Brand Name Quality Leader & Superior Services Competitive Advantage
    12. 12. Supply Chain Ethics Commitment to animal welfare Environment Packaging Sourcing Energy Conservation Economics Affordable food Positive impacts
    13. 13. SWOT Analysis of McDonald’s Strengths Weaknesses Opportunities Threats
    14. 14. Largest fast food market share in the world Brand recognition Advertising Locally adapted food menu Targeting of children Strengths Shrimp Burger (Japan) Happy Meal
    15. 15. Negative publicity Unhealthy food menu Differentiation Lack of Solomon market experience Weaknesses
    16. 16. Demands for healthier food Home delivery Differentiating the product Government foreign investment policy Opportunities Salads Wraps
    17. 17. Saturated food Trend towards healthy eating Currency fluctuations Threats
    18. 18. McEnd