McDonald's faced protests in India in 2000 when it was revealed their French fries contained beef extracts. Rumors spread that the fries' ingredients in India were the same as in the US. Testing showed there was no beef, but the controversy damaged McDonald's reputation. McDonald's ultimately apologized, compensated plaintiffs, and established an advisory board to ensure vegetarian standards were met going forward.

3. INTRODUCTION
MC DONALDS McDonald's in India
is a locally owned and managed
company run by Indians, employing
local staff, procures from local
suppliers to serve its customers.
McDonald's is a leading international
fast food restaurant chain with 30,000
restaurants spread across the globe. In
India, it launched its operations in
1996. It now has 54 restaurants with a
daily inflow of 500,000 customers

4. BACKGROUND
LOT OF PROTEST BY VARIOUS POLITICAL AS WELL AS
RELIGIOUS GROUPS SUCH AS SHIV SENA, BAJARANG
DAL, VISHWA HINDU PARISHAD PETITION WAS FILED
TO CLOSE DOWN ALL THE OUTLETS IN INDIA LOT OF
CONFUSION WHETHER THE FRIES BEING SUPPLIED IN
INDIA HAD THE BEEF CONTENT OR NOT RUMUORS
HAD IT THAT THESE FRIES INGRIDIENTS WERE THE
SAME AS BEING SOURCED FROM US WHEN BMC AND
FDA CONDUCTED THE TEST IT GAVE NEGATIVE
RESULTS FOR THE BEEF CONTENT

5. PERCEPTION

6. BEEF CONTROVERSY
BEEF FRIES CONTROVERSY TOOK PLACE
IN 2000 U.S BASED HINDU JAIN
SOFTWARE ENGINEER Mr. SHAH READ
AN ARTICLE ABOUT MC DONALDS
FRENCH FRIES CONTAINING BEEF ON AN
ENQUIRY MC DONALDS RESPONDED
THAT THEY DO USE SMALL AMOUNT OF
BEEF FLAVOUR AS A INGREDIENT THE
COMPANY JUSTIFIED IT’S ARGUMENT BY
SAYING THAT THERE WAS NO LAW TO
DISCLOSE THE INGREDIENTS INPUT

7. HALO EFFECT
McDonald’s the world’s largest fast-food chain
McDonald’s, in Seattle, US promised and promoted
their French fries being 100% vegetarian. The
company had duped vegetarian customers into eating
French fries that contained beef extracts

8. BOUNDED REALITY
VARIOUS LAW SUITS WERE FILED
AGAINST COMPANY FINALLY
ENDED UP APPOLOGISING AND
PAYING A COMPENSATION OF 10
MILLION US DOLLARS ALSO IT
PAID 4 MILLION US DOLLARS TO
12 PEOPLE WHO HAD FIED THE
LAW SUITS THEY GAVE
ADVERTISEMENTS IN NEWS
PAPERS ADMITTING THEIR
MISTAKE

9. SOCIAL RESPONSIBILITY
Ronald McDonald’s house of
charities.
Environmental leadership.
Diversity
Employment
Education
Safety/quality

10. AFTER MATH
March 2002:-Mcdonald,s
announcedto pay US $10 million to vegetarian&
religious groups.
Company decided to pay US $4000to
12 plaintiff of 5 law suits
Posted a new & detailed apology
Convene an advisory board to adviceon vegetarian
matters

11. DECISION MAKING
After the lawsuit filed against
McDonald’s for using French fries
that contain beef extract. They made
a decision that they will make all the
products without using beef. They
decided to make vegetarian and
products with chicken