This document provides an overview of McDonald's case study in 3 parts: 1) The history and founding of McDonald's in 1940s California and its growth into a global fast food chain. 2) Current statistics on McDonald's business including $24.62 billion in annual sales, over 36,900 outlets in 120 countries, and 375,000 employees. 3) How McDonald's has maintained brand relevance through localized offerings, innovative products, and managing brand equity while facing risks of health concerns and increased competition.

1. Mcdonalds case
study
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IT?

2. FLOW OF PRESENTATION:
PART1
• THE BEGINNING OF MCDONALDS
• PRESENT
• HOW DID MCDONALDSBECOME MCDONALDS?
• HOW MCDONALDSMANAGES TO BE RELEVANT?
PART2
• MANAGING BRAND EQUITY
• WHERE DOES MCDONALDSSTAND GLOBALLY?
• MCDONALDSCOMPETITORS
PART3
• QUESTIONSAND ANSWERS
• RECAP

4. It was founded in 1940 by Richard and
Maurice McDonald as a barbeque
restaurant in California.
Nationally franchised by Ray Croc in
1955, who eventually bought it.
The golden arches were incorporated in the company logo in 1962.
Ronald McDonald was introduced as the mascot during a 60 sec
Add campaign in 1965.
THE BEGINNING OF MCDONALDS:

5. PRESENT:-
market capital:106.4 billion
sales: 24.62 billion
asset's: 31.02 billion
profits: 4.66 billion
no. Of employees:375,000
Note: most outlets outside u.s.a
Are franchises.
Mcdonalds is the largest chain of fast food restaurants
Serving 68 million customers in 120 countries across 36,900
Outlets.

7. How Did McDonalds Become McDonalds?
Providing quick & cheap fast food option along
with emphasizing on quality ,service ,cleanliness &
value.
Integrated marketing & brand building through
brand contact over the years
Internal branding to ensure well trained staff that
ensure quality service.

8. Smart choice of brand elements &
maintaining the same quality over
The years.
Localized product offerings satisfies local tastes
that is also affordable and attracts masses and
especially young children.
Ronald McDonald house , a charitable cause to help
Children with leukemia, has become a global effort.

9. Mcdonalds manages to be relevant, how?
Introduction of innovative
products and services

10. Managing brand equity:
Brand revitalization
Brand reinforcement
Brand Crises

11. Brand
Mantra

12. McDonalds modifying itself over the years
To keep up with changing customer needs.
McDonald follows market segmentation on
Demographic basis.

13. Where does McDonalds stand globally?

14. McDonalds Competitors:

16. What are mcdonalds core brand values? have these changed over the
years?
• The core values of the brand include quality ,cleanliness,
service & value.
• They target middle class customers to provide them with
cheap hot meal .
• The staff is well trained in all different outlets to ensure
proper service.
• Company lost its focus during expansion in 80’s, but they
bounced back.
• Ever since they have lived up to the brand name and
continuously innovated themselves to maintain a strong
consumer base.

17. How has mcdonalds grown its brand equity over the years? Has mcdonalds changed
in different economic times or in different parts of the world? explain.
• Brand equity is build through
1.Smart choice of brand elements.
2.Holistic marketing activities.
3.Brand revitalization through brand extension
4.Affordability of products.
5.Localized product offerings satisfies local tastes.
• McDonalds had a dip in the 80’s and early 00’s due to massive
expansion but after that they continued to do well even
during the recession in the late 00’s.
• McDonalds practices demographic segmentation to provide
products accepted by a particular region for e.g. no pork or
beef burgers in the franchises in India.

18. What risks do you think mcdonalds will face in the future?
• Health conscious consumers might move to brands
offering healthier options.
• Changing lifestyles pose a big threat, the company
will need to adapt to changes to be able to relate to
audience and attract them.
• Competition with local fast food chains which are
region specific.
• Expansion must not come at the cost of lowered
quality of services.

20. RECAP:
1.Started in 1940 as a barbeque restaurant by richard and maurice
McDonald
has grown to be worlds largest fast food chain.
2.Way ahead of its competitors like burger king ,subway ,starbucks as
it has maintained brand equity through the years.
3.It has managed to become one of the top ten brands in the world with
375,000 employees.
4.Has franchises all over the world and serves each region on
demographic preferences.
5.Innovative marketing campaign along with good quality,
affordability of both services and products.
6.Had some claims regarding causing obesity ,has since then included
healthier alternatives.
7.Often critically analyzed on food safety parameters e.g. several food
chains have been closed in Delhi recently.
8.Still expanding at an exponential rate however needs to live up to
the brand name.

21. This presentation has been created by
Vatsala Mishra , H.B.T.I KANPUR , during a
marketing internship under the
guidance of Prof. Sameer Mathur , IIM Lucknow.
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