HOTEL MANAGEMENT

1. PROJECT ON : “Porters 5 forces & SWOT
analysis of Mc donald’s ”
RADHIKA GUPTA
12- BBA - HM

2. INTRODUCTION
•Mc Donalds is the global fast food chain
•Entered India in Oct 1996.
•Forty-Eight years down the line, they are the world’s largest
food service chain with more than 1200 restaurants in 100
countries serving 46 million customers everyday.

3. PORTERS 5 FORCES

4. SWOT ANALYSIS

5. STRENGTH
• Strong Brand Recognition.
• Strong Product Value.
• Strong International Presence.
• Customer Intimacy
• Product Innovation
• Strong Distribution Network

6. WEAKNESSES
•High Overall cost than Rivals.
•Unable to capitalize on the trend towards the Organic foods.
•High Employee turnover in their restaurant leads to more money
being spent on training
•Children as their main target audience.
•Considered as Junk Food.

7. OPPURTUNITIES
•Acquisition of other Restaurants.
•Provide optional allergen Free food Items such as Gluten Free
and Peanut Free.
• Partnership with UAE government to reduce carbon footprint
•Advertising strategy
•They have the ability to add healthier lines of food.
•Healthy Hamburger

8. THREATS
•Changing Customer Lifestyle.
•Increasing Competition.
•Heavy investments on promotional campaigns.
•Emergence of other fast food
•Changes in commodity prices

9. I
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STRENGTHS
1. Successful Advertisement &
Brand name
2. Collaboration with Coke
3. Clean Environment & Play
Space for Kids
4. Professional Training for
Employees
5. Competitive Price
WEAKNESSES
1. Weak Product Development
2. Management of
Franchisee/Joint Venture
OPPORTUNITIES
1. Internationalization (Serving
Only 1% of Population)
2. Growing Dining out Market
THREATS
1. More Health Conscious
Customer
2. Threat from local Competitor in
different Countries
3. Global economic recession
4. Playing in a mature and
saturated Industry

10. STRENGTHS
1. Successful Advertisement &
Brand name
2. Collaboration with Coke
3. Clean Environment & Play
Space for Kids
4. Professional Training for
Employees
5. Competitive Price
OPPORTUNITIES
1. Internationalization (Serving
Only 1% of Population)
2. Growing Dining out Market
Market Penetration Strategy
S2-O1&O2
Promotion and advertising with Coke to attract Coke customers.
S3-O1&O2
Keep Environment Clean & Kids safe thus attracting families.
S5-O1
Setting Prices according to different countries.
Market Development Strategy
S1-O1&O2
Explore New overseas market by intensive and aggressive promotion.

11. OPPORTUNITIES
1. Internationalization (Serving
Only 1% of Population).
2. Growing Dining out Market.
Product Development Strategy
S4-O1&O2
Giving training to employees before entering into a new market.
STRENGTHS
1. Successful Advertisement &
Brand name
2. Collaboration with Coke
3. Clean Environment & Play
Space for Kids
4. Professional Training for
Employees
5. Competitive Price

12. STRENGTHS
1. Successful Advertisement &
Brand name.
2. Collaboration with Coke.
3. Clean Environment & Play
Space for Kids.
4. Professional Training for
Employees.
5. Competitive Price.
THREATS
1. More Health Conscious
Customer.
2. Threat from local Competitor in
different Countries.
3. Global economic recession.
4. Playing in a mature and
saturated Industry.
Market Penetration Strategy
S1-T2
Establish & maintain Brand Visibility with in competitor by promotional
Campaign.
S1-T3
Depict the picture which indicate eating an McDonald not only save your
precious time but also a better food experience.
S1-T4
Constantly reinforce the brand recognition by emotional attach strategy.
S5-T2&T3
Setting competitive prices to tackle the competition and economic scenario.

13. STRENGTHS
1. Successful Advertisement &
Brand name
2. Collaboration with Coke
3. Clean Environment & Play
Space for Kids
4. Professional Training for
Employees
5. Competitive Price
THREATS
1. More Health Conscious
Customer
2. Threat from local Competitor in
different Countries
3. Global economic recession
4. Playing in a mature and
saturated Industry
Product Development Strategy
S2-T1
Switch the healthier product line of Coke (Diet Coke, Minute Maid Pulpy).
S4-T2&T4
Continuously improving services.
S4-T3
Send more managers to Hamburger University to improve overall quality
of employees.
S3-T1&T2
Providing safe and clean environment for Kids thus delighting adults and
retain them.

14. WEAKNESSES
1. Weak Product Development.
2. Management of
Franchisee/Joint Venture
OPPORTUNITIES
1. Internationalization (Serving
Only 1% of Population).
2. Growing Dining out Market.
Product Development Strategy
W1-O1
Change the menu in different countries and add some food with local flavor
and move out some un popular Items.
W1-O2
Promote different meal Plans catering to the needs of different customers.
Forward Integration Strategy
W2-O1&O2
Prefer direct investment in your countries and be selective in choosing the
franchisees and evaluate them regularly.

15. WEAKNESSES
1. Weak Product Development.
2. Management of
Franchisee/Joint Venture
THREATS
1. More Health Conscious
Customer.
2. Threat from local Competitor in
different Countries.
3. Global economic recession.
4. Playing in a mature and
saturated Industry.
Product Development Strategy
W1-T1
Develop new product line which focus on organic and healthier food.
W1-T2
Add more flavor and new type of Fast Food which differentiate the
company from its competitor.
Market Penetration Strategy
W1-T3
Use buy more save more promotion strategy, add special offers, family
size meal with lower price.