McDonald's is a large global fast food chain that has been in business since 1955. It employs over 447,000 people across more than 3,200 restaurants in 119 countries. While some restaurants are owned by the corporation, the majority are franchises owned by individual franchisees. McDonald's offers incentives for young employees like paying for high school tuition. Going forward, McDonald's may face risks from increasing health consciousness among customers and competition from new fast food brands.

1. McDonald's Case Study

2. • McDonald’s is a large
corporation in the fast food
industry.
• They have been around since
1955 when Ray Kroc started the
chain of McDonalds. They have
been growing ever since.
• The majority of the
restaurants are owned through
franchises.
ABOUT COMPANY

3. • They employ 447,000 people.
• They have over 3,200 restaurants in
over 119 countries.
• The majority of the McDonald’s
franchises are owned by individual
franchises.

4. INCENTIVES TO YOUNG
EMPLOYEES
• High school at zero cost to
employees
• More than 5200 graduates from
english under Arches since 2007
• $13 Million+ awarded in Hign
school and college tution
assistance

5. BUSINESS MODEL
• McDonald's corporation earns revenue as an investors in
properties , as franchiser and as an operator of restaurants.
• 15 % of McDonald’s restaurants are owned and operated by
McDonald’s corporation directly.

6. • 15 % of McDonald’s restaurants are owned and operated by
McDonald’s corporation directly.
• In addition to ordinary franchisee fees and marketing fees,
McDonald’s also collect rent on the basis of sales.

7. • McDonald’s in India developed a range of 100% pure Veg
food, along with Non-Veg range.
• McDonald’s efforts were aimed purely at driving traffic in.

8. BUILDING BRAND EQUITY

9. BUILDING BRAND EQUITY
• Introducing regional meal with twists and marketing tricks

10. BUILDING BRAND EQUITY
• Luring costumers with innovative marketing skills and
advertising

11. BUILDING BRAND EQUITY
• Launch of healthy food plans for kids and people with
obesity.

12. • What are McDonald's core brand values? Have
these changed over the years?

13. • McDonald's promises a simple, easy and enjoyable food
experience for its customers. They know the importance of
quality, service, cleanliness and value. In 2003, it
implemented a strategic effort called "Plan to Win". It focuses
on how to improve the company's five P's i.e. people,
products, promotion, price and place.

14. • McDonald's did very well during the recession in the late
2000s. With the economy turning around for the better,
should McDonald's change its strategy? Why or why not?

15. • McDonald’s has changed both in economic times and in the
different parts of the world. Since the company aggressively
expanded overseas during the early 2000s, there was a
decrease in the quality of services. But after implementing the
strategy “Plan to win,” the results produced were staggering
with an increase in revenues by 33%. The company has
changed in the different parts of the world because of its
changes in the menu according to the local cultures and
environments.

16. • Yes adding more products to the product line and a suitable
building of brand equity keeping in mind the recent
developments in the economy and competitors. Brand audits
can provide a key insight to the changing marketing conditions
and suitable actions can be taken thereafter.

17. • What risks do you feel McDonald's will face
going forward?

18. • Increase in health consciousness and change in customer life
style

19. New competitors

20. THANK YOU

21. DISCLAIMER
Created by Sreesha Jagannatha B R, BIT, Bengaluru,
during a marketing internship, by Prof. Sameer Mathur,
IIM Lucknow.