Mc donalds


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Mc donalds

  1. 1. Origination• Began in 1940• Opened by Richard McDonald and Maurice McDonald & promoted further by Ray Kroc• McDonalds for first filed for U.S Trademark on the Name “McDonald’s” on May4,1961 with the descriptions “Drive in restaurant services”
  2. 2. Advertising• McDonalds has for decades maintained an extensive advertising campaign. Television Radio Newspaper Sponsoring Internet for Events
  3. 3. Global Marketing Collaterals• McDonalds has 23 different slogans .• This is to grab Public attention and fantasize customers.E.g.
  4. 4. Facilities• Drive thru• Available in Major cities across the world.• Can order food through phone and website• Home Delivery
  5. 5. Customer Perception & Expectation Customer Group Motive Visits McDonalds to give them A parent with two children treat Children As it is fun place to eat As service is fast, food is good ,can A business customer be eaten anywhere without affecting the work To hangout with Friends and keep it Teenagers affordable
  6. 6. Mission StatementMcDonalds brand mission is to "be our customers favoriteplace and way to eat." Our worldwide operations have beenaligned around a global strategy called the Plan to Win centeringon the five basics of an exceptional customer experience –People, Products, Place, Price and Promotion. We arecommitted to improving our operations and enhancing ourcustomers experience. 6
  7. 7. Brand Strategy It was created by Heye &2003 - till date “I’m Lovin’ Partner, a longtime It was the companys first it” is an international Target Market is McDonalds agency global advertising branding campaign by Children/ Elderly People based in campaign. McDonald’s Corp. Unterhaching, Germany. 7
  8. 8. McDonald’s Franchise•Most Owner/Operators enter the System by purchasing an existingrestaurant, either from McDonald’s or from a McDonald’sOwner/Operator.•Financial Requirements/Down Payment •Initial down payment is required when purchasing a new restaurant (40% of the total cost) or an existing restaurant (25% of the total cost). •The down payment must come from non-borrowed personal resources, which includes cash on hand, securities, bonds. •Generally require a minimum of $300,000 of non- borrowed personal resources to consider you for a franchise. •Remaining balance of purchase price must be paid off with in 7 years. McDonald’s does not offer financing but they work with many national lending institutions. •McDonald’s owns all buildings and properties. 8
  9. 9. Ray Kroc Formula for Success:•Quality•Service•Cleanliness•Value 9
  10. 10. Ray Kroc - Business Model•Ray Kroc- Developed a businessmodel known as “The Three LeggedStool.” Owner/Operator, Suppliersand Employees•Just as all three legs of a stool needto be equal to support the weight, allthree elements of the McDonald’ssystem are equally importantpartners in McDonald’s success. 10
  12. 12. Ronald McDonald House Charities •The mission of Ronald McDonald Charities is to create, find and support programs that directly improve the health and well being of children. •Ronald McDonald Houses are located all around the world and provide families a way to stick together in times of need when their children are ill. •Service Provided: •Home-cooked meals •Private bedrooms •Playrooms for children •Special suites for children with suppressed immune systems •Accredited education programs •Recreational activities •Non-clinical support services •Sibling support services 12
  13. 13. Going Green•McDonald’s has taken the initiative to incorporateused cooking oil into their operations.•In several countries across the McDonald’sSystem, restaurants are recycling their usedcooking oil to sell to companies that specialize inrefining the product into clean burning diesel forconsumer use.•In 2006, McDonalds in the U.S has begandeveloping green restaurants. •Floor Tiles with a high recycled content •Efficient Lighting Products, Skylights and Daylight controls •High efficient rooftops •Water conserving toilets 13
  14. 14. World Children DayMcDonalds restaurants around theworld celebrate world children’s daywith fundraising activities. In2006, McDonalds raised more than$25 million worldwide to benefitRonald McDonald House Charities andother local children’s charities. 14
  15. 15. Mom Knows Best“Loved by kids, approved by mom”is one of McDonalds importantgoals. McDonalds created a globalmoms advisory panel of 10mothers from 7 countries toprovide input and guidance on abroad range of topics, includingtheir food to help better serve theneeds of moms and familiesaround the world. 15
  16. 16. Responsible Suppliers“Only purchase from suppliers who meet ourstringent food safety standards, but who also shareour commitment to social responsibility andsustainability.” -animal welfare -rain forest and antibiotics policies -supplier social accountability program
  18. 18. Product Promotion •Toys with Happy Meals •Cars •Pirates of the Caribbean •Games- Monopoly/ Uno –Win various prizes and trips •Collectibles- Coca Cola Glasses, Beanie Babies •Olympic Games- Global partner of the Olympic games- reflects our commitment of the importance of sports and physical activities. •World Champions- 1,400 children from 51 countries had the opportunity to meet the world’s best soccer players at the 2006 FIFA World Cup. 18
  19. 19. Global Competitors 19
  20. 20. Internal Audit- Strengths 1. Strong Global Presence (located in over- 100 countries) 2. Strong Real Estate Portfolio 3. Brand Recognition 4. Revenue Growth 9% (Above Industry Average of 7.5%) 5. The Ronald McDonald House (Children Charity) 6. Systemization and Duplication (Consistency) 20
  21. 21. McDonalds strategies – Key Elements• Adding 700-900 restaurants annually• Being highly selective in granting franchises• Focusing on limited product line & consistent quality• Careful attention to store efficiency• Extensive advertising & use of Mc prefix• Hiring courteous personnel; paying an equitable wage; & providing good training`
  22. 22. McDonald’s product strategy• Friendly, fast-served healthy food• Consumer’s like-dislike, taste, preference, health etc. are taken into consideration.• Provides quality food• Adapts itself to the local culture• Resources to Get the Job Done
  23. 23. McDonald’s pricing strategy• Value-pricing• very large cross section of the Indian population can afford it.• does not sacrifice quality for value