mcd is a strong brand but still it need new strategies to be in indian bussiness and burger king failed twicely n entered again in indian market

1. Prepared for Mr. john tan Prepared by: InderjitKaur 20110142 MonaliBarot20110143 PranayLokre 20110854 Udita Sood 20101401

3. India ranks 2nd worldwide in farm output. India is the largest producer and consumer of tea in the world, accounting for more than 30 per cent of global

4. By 2030, Stan Chart said India will be at number three position with an economy of $30.3 trillion, behind China ($73.5 trillion) and US ($38.2 trillion).

7. In 2009, mc Donald's India won most preferred multi brand fast food outlets.

8. Introduction of local taste based vegetarian menus, no beef and pork products are used.

10. PORTER’S FIVE FORCE Threat of entry Positive factors Consumer loyalty. Access to supply. Socialist and swadeshi mindset. Large capital investment. India is 4th largest economy. Economies of scale. Local distributers. Govt. support open trade. Negative factors

11. Threat of substitutes. Negative factors McDonalds' and Burger king are not substitute for an Indian food. It is just a new option. Indian want a slice of America but only once in a while- traditional eating habits. Dominos, Wimpey's, Nirula offering number of similar food items.

12. Bargaining power of Buyers Positive factors Negative factors Low switching cost. Vendors and road side stalls are cheap source of food. Ready to eat are available. Concentration of buyers high. High income.

13. Bargaining power of Suppliers Positive factors Large number of suppliers. Low switching cost. Negative factors Few technology oriented suppliers like cold chain for McDonalds’ Available quality is not up to mark.

14. Competitive rivarly positive factors Negative factors High brand positioning. Entered in an India in joint ventures with an Indian companies. High cognitive space. Market are un-differentiated . Highly fragmented food market. Millions of road side stalls. Organized chain’s of Nirula, Wimpey's. Indians love spicy food and west food is blunt in taste.

15. Swot of McDonald’s Strength Great partnership with coca-cola. Global presence. Mantra of QSCV. First to provide nutrition facts to customers. Operational excellence. Innovation by adapting cultural differences. Successful advertisement (I’m loving it) Offering Wi-Fi. Cold chain supply method

16. Swot of Mc.Donald’s weakness Highemployee turn over. More focus on children. High prices. Lack of innovation products-offering breakfast and festival meals. Management of joint ventures.

17. Swot of McDonald’s opportunities Giving din-out market for youngsters and adults. use mobile text messages to offer services. Understand need of society and undergo new product line. Upscale restaurants settings. Provide free parking area.

18. Swot of McDonald’s threats Local competition. Consider as unhealthy food. Presence of other fast foods. Parents critise their marketing strategy of “cradle to grave”. Foreign currency fluctuations. Living in mature and saturated industry.

20. Strong brand equity.

21. 90% restaurants owned by franchise.

22. Joint ventures with DLF to overcome real estate cost.

23. Focus on teens and young men.

24. Open cooking flame method.

26. Swot of Burger King opportunities New product development –an Indian breakfast snacks. Expansion in emerging market. Healthy food. Target consumer by understanding social needs.

27. Swot of Burger King threats Health Increasing labor cost. Unable to understand cross culture differences.

28. PESTEL Analysis for McDonald’s and Burger King for India Political environment Political factor is favorable No trade restrictions for food businesses No minimum wages No higher taxes Employees Union are defensive

29. Economic Factor Economic growth is 7% (+) Inflation rate is increasing gradually (-) PESTEL Analysis for McDonald’s and Burger King for India

30. PESTEL Analysis for McDonald’s and Burger King for India Social factor Second most populous country More than 50% population is under 25 Food lovers more nuclear families- working couples Becoming health conscious among the time

31. PESTEL Analysis for McDonald’s and Burger King for India Technology Increasing technological development R&D development opportunities available

32. PESTEL Analysis for McDonald’s and Burger King for India Environmental factor Environmental changes affects the diet of the people Global warming turns the choice of food from Non-vegetarian to Vegetarian

33. PESTEL Analysis for McDonald’s and Burger King for India Legal factor Significant factor for long term stay and for new entrants Competition Law, health and safety law, labor law, employment law Symbol is necessary for vegetarian and non vegetarian food