- McDonald's is the world's largest fast food chain serving around 68 million customers daily across 35,000 outlets in 119 countries. - Founded in 1940 in the US, McDonald's began as a barbecue restaurant and later adopted the production line model. Ray Kroc joined in 1955 and established McDonald's as a franchise, overseeing its worldwide growth. - McDonald's emphasizes developing menus customers want while introducing and removing products over time to meet changing tastes. In India, it serves only vegetarian options tailored to local preferences.

1. - Pulkit Choudhary
MCDONALD’S

2. INTRODUCTION
• McDonald's is the world's largest chain of hamburger fast food restaurants,
serving around 68 million customers daily in 119 countries across 35,000
outlets.
• McDonalds is the eighth most powerful brand in the world.
• One of the most valuable brands, worth more than $25 billion.
• McDonald's revenues grew 27% over the three years ending in 2007 to
$22.8 billion, and 9% growth in operating income to $3.9 billion.

3. HISTORY
• Founded in the United States in 1940, the company began as a barbecue restaurant
operated by Richard and Maurice McDonald. In 1948, they reorganized their
business as a hamburger stand using production line principles.
• Businessman Ray Kroc joined the company as a franchise agent in 1955. He
subsequently purchased the chain from the McDonald brothers and oversaw its
worldwide growth.
• He established a franchising company, the McDonalds system Inc. and appointed
the franchisees.

5. EVENTS
Years Events
1955 Ray Crock opens his first restaurant and McDonalds corporation is
created.
1957 Quality, services, cleanliness and value ( QSC & V ) becomes company’s
motto.
1963 Ronald McDonald makes debut.
1965 The company goes public.
1968 Big Mc is introduced.
1974 Happy meal is launched.
1996 McDonalds opens in India, the 95th country.

6. MARKETING MIX (4P’S)
• Product
• Price
• Promotion
• Place

7. PRODUCT
 McDonalds emphasis is on developing a menu which customers want.
 However, customers requirement change over time.
• In order to meet these changes, McDonald's have introduced new products and phased
out old ones, and will continue to do so.
• In India, McDonalds have provided a totally different menu as compared to its
international offerings which includes ham, beef and mutton burgers.
• India is the only country where McDonalds serve vegetarian menu as the majority of
customers are vegetarian in India.
• Even the sauces and cheese used in India are 100% vegetarian.

8. PRICE
This is the most important part of marketing mix as this is the only part which
generate revenue. All the other 3 are expenses incurred
• Low prices as a marketing tool can be a disadvantage as customer may feel that quality
is being compromised.
• In India McDonalds classified its products namely the branded affordability (BA) and
branded core value products (BCV).
• This has been done to satisfy consumers which different price perceptions.
Branded Affordability Products (BA) Branded Core Value
Products (BCV)
• The BA products include McAloo tikki and Chicken . The BCV products mainly include the McVeggie and
McChicken burgers. McChicken burgers.

9. PROMOTION
The methods from which promotion of the product is done, are as follows:
• One of the methods employed is advertising. Advertising is conducted on TV, radio, in
cinema, online, using poster sites and in the press for example in newspapers and
magazines.
• TV advertising makes people aware of a food item and press advertising provides more
detail.
• Other promotional methods include sales promotions, point of sale display,
merchandising, direct mail, loyalty schemes, door drops, hoarding etc.

10. PLACE
• The place mainly consists of distribution channels. It is important so that the
product is available to the customer at the right place, at the right time and in
the right quantity. There are some value positions that McDonalds offers to its
based on their needs.
• It offers:
 hygienic environment
 Good ambience
 Great service
 Internet facility
 Dedicated areas for children. Like play ground, swings etc.

11. PRODUCT MIX

12. .
SWOT ANALYSIS

13. STRENGTHS
 Larger market share.
 Considered as worlds most valuable brands, worth more than $25 billion.
 Consistency of food.
 Fast service
 Good brand equity
 Goodwill Customer satisfaction and intimacy.
 Product innovation.

14. WEAKNESSES
 Unhealthy products are manufactured.
 Their test marketing for pizza failed to yield a substantial product. Leaving them much
less able to compete with fast food pizza chains.
 High employee turnover in their restaurants leads to more money being spent on training.
 They have yet to capitalize on the trend towards organic foods.
 McDonald's have problems with fluctuations in operating and net profits which ultimately
impact investor relations.

15. OPPORTUNITY
 International expansion.
 Only serving 1% population of the world.
 Introducing healthier products (like: fruits, salad) to respond to changing consumer tastes
and preferences.
 Enter into breakfast category.
 In today's health conscious societies the introduction of a healthy hamburger is a great
opportunity. They would be the first QSR (Quick Service Restaurant) to have FDA
approval on marketing a low fat low calorie hamburger with low calorie combo
alternatives. Currently McDonald's and its competition health choice items do not include
hamburgers.

16. THREATS
 They entice children as young as one year old into their restaurants with special meals,
toys, playgrounds. Children grow up eating and enjoying McDonalds and then continue
into adulthood. They have been criticized by many parent advocate groups for their
marketing practices towards children.
 They have been sued multiple times for having "unhealthy" food, allegedly with addictive
additives, contributing to the obesity epidemic in America.
 More health conscious consumers.
 Increasing competition from local fast food outlets, like KFC, dominos, King, Starbucks,
Taco Bell, Wendy's etc.