presentation on how MC'd do business in DENAMARk

1. Presented by :-
Sachin Chaudhary
PGDM2/1528

2. Denmark in EU
• Active member of the EU since 1973.
• Denmark has worked for an efficient and well functioning internal
market, transparent decision-making, and clear and visible results
for the individual citizens.
1

3. Trade Policy
2
• Denmark’s international trade policy fundamentally aims at allowing
more free trade on a global basis.
• Denmark’s international trade policy is conducted in close co-operation
with the other EU-countries.
• Almost 70% of the Danish foreign trade is with other EU countries or
EU acceding countries.
Denmark’s international trade policy

4. Trade Policy
2
WHAT IS TRADE POLICY in EU ?
The EU manages trade and investment relations with non-EU countries through the EU's trade
and investment policy.
The scope of EU's exclusive powers covers not just trade in goods, but also:
• services
• commercial aspects of intellectual property
• foreign direct investment
• Transport
• Capital movements.

5. 3
PESTLE
POLITICAL
Currently governments of certain groups in Europe are tending to
control the business of fast food because of health reasons (2005).
Governments are also applying restriction for issuing license for
franchises.
There should be good relationships with government in giving tax
and employments in international markets.

6. 3
PESTLE
Economical
Working in an international market McDonalds must face
international rules of business like about tax as company has different
rules for tax and for McDonalds franchise must pay some percentage
of its revenue to McDonald’s head office in United Kingdom.
Local markets can’t maintain the supply of materials that’s the reason
McDonald import beef and potato to fulfill its demand.
In international markets the economies of the country also affect the
sales of the products because if the economy is not stable and people
of the country have not much income it will effect the business.

7. 3
PESTLE
Social
In developing countries the lifestyle of people changing very fast because of
their developing economy more people of the country are financially able to eat
fast food.
In Middle East countries urban young generation wants new technology in their
lives like wireless internet, credit card payment and other attractions like music.

8. 3
PESTLE
Technological
Advertisement is the most powerful toll of McDonalds to create a demand of
its products and especially McDonalds works hard to create the demand of its
product in the minds of young generation.
Recently McDonalds implemented new technology to increase the speed of
proceeding of its products such as a Big Mac takes 60 seconds to process in
three stages
1 bun toasted by an oven (20 sec)
2 meat fries (20 sec) and decorating bun (10 sec)
3 packaging (10 sec)

9. 3
PESTLE
Logical
McDonalds cares its reputation in fast food market they follow 20
working hours for student employees in UK as according to the rule in
UK and also internationally they respect all the polices which are
applied for fast food chains.

10. 3
PESTLE
Environmental
As a worlds largest fast food chain obviously the consumption of “beef,
potato, chicken” is more then any other food chains that’s the reason
they had been critics and McDonalds is also disrupting the culture and
McDonalds is trying to cover these issues especially in china

11. 4
A great producer of food, Denmark's commodity exports include
• meat (6.8%)
• fresh fish (1.8%)
• cheese (1.7%)
• furniture (4.0%)
• medicaments (4.3%).

12. 5
•The EU is the largest economy in the world, with a
GDP per head of €25 000 for its 500 million
consumers.
•The EU is the world's largest trading block. The EU
is the world’s largest trader of manufactured goods
and services.
EU’s POSITION IN GLOBAL MARKET

13. 6

14. 7
• McDonald's Denmark was established in 1989
• It formulates the general policies and strategies for McDonald's at the national level.
• McDonald's restaurants in Denmark in 2011 had a total turnover of 1.6 billion.
• McDonald’s remained the leading brand in fast food in Denmark in terms of value sales in
2014 with a 23% value share.
Denmark’s McDonald

15. 7
• In Denmark, 95% of McDonald's restaurants owned by franchisees.
• McDonald’s expand its business by the way of Franchise
• A business concept that has made McDonald's one of the world's leading
and most well-known restaurant chains
Denmark’s McDonald

16. 8
Mc Donald menu includes
• Salads
• Burgers and Sandwiches
• Chicken
• Snacks & Sides
• Desserts and Shakes

17. 9
•McDonald’s remained the leading brand in fast food in Denmark in terms of
value sales in 2014 with a 23% value share.
• Total fast food outlets in Denmark 89 outlets.
•16 of which are owned by McDonald’s Denmark
• Burger King had a total of 31 outlets operating in Denmark.
• Sunset Boulevard with 44 outlets within the chain.