A case study with some questions based on philip kotler.

1. Welcome to
McDonalds
A case study

2. History & some facts about
McDonalds

3. McDonalds
➢Founded in 1940 by two brothers , Richard McDonald and Maurice McDonald.
➢Started as a barbeque restaurant.
➢In 1955, Ray Kroc joined as a franchisee agent and subsequently purchased
the McDonalds chain.
➢More than 75 % restaurants run on franchisee and serves simple,fast and
enjoyable food experience for over 58 million of people each day globally.
➢McDonalds target mostly the millenial segment i.e. youngsters,working
people.

4. McDonalds
➢McDonalds is known for-
○ Quality
○ Service
○ Cleanliness
○ Value

5. McDonalds
➢Now, McDonalds have about 1.9 million employees worldwide.
➢McDonalds also have opened many types of restaurants such as McCafe ,
Drive thru restaurant ,Solid Gold restaurant ,McExpress etc.
➢McDonalds “plan to win “ and “I’m lovin it” campaign was very successful and
helped the company in establishing brand presence.
➢These campaigns helped in improving brand image.

6. Mission & Vision
McDonalds

7. Mission
To be consumer’s first choice everywhere
when it comes to top quality
products,outstanding service/cleanliness and
great value for money.
To be consumer’s first choice,when it comes
to top quality products,outstanding
service/cleanliness and great value for
money.

8. Vision
To become a modern, progressive burger
company delivering a contemporary customer
experience.
To become a modern,progressive company
delivering a contemporary consumer
experience.

9. ●The major competitor of Mcdonalds are starbucks,subway,KFC,Wendy.Papa
john etc.Most of the competitors of McDonalds grew during 1990’s or 2000’s
when McDonalds lost it’s focus due to massive global expansion.
Some Major Competitors of McDonalds

10. McDonalds has always been the market leader in it’s field.
It is way ahead of it’s competitors in terms of turnover.It’s just because of the
careful management of product portfolio and understanding the needs of
customer.
Where does Mcdonald Stand in the competition?

11. Now, the question is - What Factors led to the success of the firm?
Let’s explore the three important factors.
Reason for Success of McDonalds

13. Consistency and strategic branding leads to better brand equity.
McDonalds firmly believe in it’s motto of quality,service,cleanliness and value.
McDonalds gives it’s customers a similar experience everywhere in this world.
“ It doesn't matter if you're visiting a McDonald's in California or
Connecticut, America or Australia – you're going to have a
similar experience wherever you are.” - Ray Kroc
Consistency

15. McDonalds always work to make it’s consumer experience better.
They innovate new kind of product and services according to needs.
Drive thru restaurant,Solidgold etc. is a very good example.
Innovation

17. The main power of McDonalds is its ability to fight against the challenges.
The main challenges that they faced in the past was regarding health concerns ,
environmental concerns etc.
The company maintained their upward trajectory even after these challenges.
Resilience

18. McDonalds always love to take risks.They often experiment new kind
of dishes in their menu and get their feedback.
They adapt with consumer’s changing tastes and keep updating their
products constantly.
McDonalds is also known for their short menu & product portfolio.
McDonalds is also known for giving back to the community through
charities , scholarships etc.
Some other factors

19. ➢ The core values of the company are Quality,Service,Cleanliness and value.
➢ These are reflected in their products and services.
➢ They always try to deliver what a consumer wants.
➢ They focus on high quality food and service while maintaining hygenic food conditions.
➢ The company lost their focus due to their extensive expansion during the 1990’s and
2000’s.This led to poorly trained employees and poor service.
➢ The company’s “plan to win “ strategy helped in improvement of service.And thus
maintaining their brand image.
➢ They try their best to maintain their core values.
Questions related to case study
What are the McDonalds core brand values?Have these changed over
the years?

20. ➢ McDonalds has been able to maintain its core brand values i.e. QSC&V with an upward
growth trajectory .
➢ It was during 1990’s ,due to extensive expansion,the company’s brand image was
diminished due to poor service and poor training of employees.
➢ The company then used “plan to win” strategy to refocus on improving their values.
➢ During 1990’s and 2000’s , their brand extension strategy also failed as their new items
included in their menu was not so effective.
➢ The “plan to win” strategy was successful.It is evident from the fact that their share price
increased and sales topped during 2008 recession.Mcdonalds maintained it’s brand equity.
How has McDonalds grown it’s brand equity over the years?Has
McDonalds changed in different economic times or in different parts of
the world ? Explain.

21. ➢ The main problem for McDonalds Is to tackle the health conscious people and
organisations.Major competitors may get benefitted as people may switch to healthier
options.
➢ The growing competition in the fast food sector.They should also be conscious of the local
restaurants as the area the local restaurants serve is low.
➢ They should also focus on their product portfolio expansion as short menu means very less
option for consumers.
➢ Company should also take care of the cases where people use the company’s brand symbol
as it may diminish the brand value and hinder their upgoing trend.
What risks do you think McDonalds will face in the future ?

22. ➢ History and some f
 History and some facts about McDonalds
➢ Mission and vision statement
➢ McDonalds Major competitors
➢ Where does McDonald stand in the competition?
➢ Reason for success of McDonalds
○ Consistency
○ Innovation
○ Resilience
○ Other factors
➢ Case study questions
Summary

24. These slides have been prepared by Shivam,IIT Kanpur, under the guidance of
Professor Sameer Mathur ,IIM Lucknow,during an internship of marketing
management.
Disclaimer