Mc donald's case study
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It is a case study assignment prepared during internship under Prof.Sameer Mathur IIM Luck Now.
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Mc donald's case study
- 1. Why we are lovin’ it?
- 2. How it all Started • Started by Richard and Maurice McDonald in 1940. • Ray Kroc franchised the hamburgers restaurant from McDonald brothers in1955.
- 3. Ray Croc’s Business Model • Ray Kroc - Developed a business model known as “The Three Legged Stool.” Owner/Operator, Suppliers and Employees. • Just as all three legs of a stool need to be equal to support the weight, all three elements of the McDonald’s system are equally important partners in McDonald’s success.
- 4. Road Map for today’s McDonald’s
- 5. How big is the company now????
- 6. McDonaldization • Operates more than 35,000 outlets in more 119 countries. • More than 1.9 million employees worldwide • Feeds more than 68 million people worldwide everyday. • Generated $25.4 billion in revenues in the year 2015. Also owns assets worth $38 billion worldwide.
- 7. Our Range of Products
- 8. Competitors
- 10. Target Segment
- 11. Brand’s promises An easy and enjoyable food experience for its customers.
- 12. Core Values • Consistency in quality, service, cleanliness and value. • Innovation in the products to stay updated. • Affordability of product attracts masses.
- 13. Have the core values changed? Got drifted from its core values in post 1990 decade due to high traffic from customers and rapid growth of restaurants. New employees weren’t trained well enough, which led to poor customer service and dirtier restaurants. To come out of it, McDonald's devised a new strategy called “Plan to Win”.
- 15. Building Brand Equity Smart choice of brand elements && Holistic Advertising Campaign
- 16. Secondary Associations • Promotes the idea of sharing • Sponsored Olympics and many sports events.
- 17. Risks Faced
- 18. Due to Obesity many countries advocate their citizen to not encourage the fast foods. Also health conscious customers switching to other brands. Competition Changing Customer Preferences.Failed to train their employees to comfort their customers.
- 19. Handling Risks • Nutritional and healthier food in the menu • Controlled expansion will keep focus on core brand values and undiluted quality of products and services
- 20. Summary
- 21. Disclaimer Created by M. Raghu Kumar Reddy, Nit Calicut during the marketing Internship by Prof. Sameer Mathur, IIM Luck now.
Editor's Notes
- How Mcd created such a huge brand equity and discuss issues which put mcd in jeopardy and how it can come out of it
- The very famous Mcd .10 years later it expanded to 700 restaurants. Incorporated very famous golden arch to attract local customers and Ronald McDonald as its mascot.
- Emphasized the role played by operators ,their suppliers and employees. They should be balanced like a three legs of a stool for support the load, so that they could deliver food with greater quality and service at cheaper costs.
- .Wide range of products like happy meal ,mc nuggets,French fries mc muffins served along with the beverages like coke,sprite targeting various segments and desserts and it also offers a wide variety of smoothies and high caffeinated drinks through its mccafe . Offers local varieties with global qualit
- Face severe competition from newly emerged competitors .Its aim to offer Low cost coffee to customers through mcafe puts itself in competition with gaints like starbucks.
- happy meal mighty kids meal fries
- Always Aimed at delivering hot food with great quality and greater values at cheaper prices.It laid emphasis on cleanliness of its premises and best service to its customers. It always stayed up-to-date by leveraging technology. As a part of this it introduced drive thru restaurants first of its kind ,online delivery etc..
- Mcd started delineating frm its core values from late 20th century due to rapid growth of restaurants.It finally led to a dip in its business due to poor customer service and dirtier restaurants.
- Focused on 5ps of market.It focused on delivering correct customer with correct product at right place within corrct price range.
- Bilt its brand equity by carefully realting its brand elements to its customers by integrated marketing channles like podcasts,websites,printed papers,ads and
- Incresing health conscous, heavy competition from local restarants,poor customer services and changing customer preferences according to the some of the threats faced by mcd now-a-days.
- Believed in delivering food with gret quality and grater values with its global reach. Built its brand by leveraging brand elemnts like its logo,muscot through its holistic marketing campaign.To get rid out the current threats it should think out of out of box start delivering healthy food with best quality and services at cheaper prices.