Preview

Drive Through :McDonald's China Case.

Powerful Essays
Open Document
Open Document
2159 Words
Grammar
Grammar
Plagiarism
Plagiarism
Writing
Writing
Score
Score
Drive Through :McDonald's China Case.
Drive -Through Tips for China: STRATEGY OF McDonald’s CORP
Summary

McDonald opened its first restaurants in china in 1990 but it’s been facing stiff competition from KFC. The Chinese restaurants industry comprises of indigenous firm and Multi nationals firms such as KFC and McDonald but KFC possess the largest Market share with 1600 store across the country.

The cases focus on the strategy of MacDonald in trying to improve and increase the market share in China. The strategy employed by MacDonald is Drive Through, which they believe will change the eating culture of the Chinese consumers. MacDonald in order to get larger marketing share have gone into a deal with China 's largest gas retailer "Sinopec Group" to build drive through in the filling stations across the country. Moreover Mc Donald is hoping to increase its market share by building more restaurants providing internet connections, play areas for children and special seating arrangements for their mothers. With KFC gaining more markets MacDonald hope to equip more of its future restaurants with Drive Troughs - in addition to regular dining rooms and free parking.

CHALLENGES OF MCDONALD: MICRO AND MACRO ECONOMICS PERSPECTIVE&ANALYSIS

Micro economics Perspective and analysis
"Micro economics is the branch of economics that analyze the decisions that individual consumers and producers make as they operate in a market economy"(Farnham,2007).
(A)The Chinese eating culture challenges
(B) Competitor firm brands Inc.’s KFC
Macroeconomics Perspective and analysis
"Macroeconomics examines economy 's wide spread phenomena such as changes in unemployment, national income, rate of growth, gross domestic product, inflation and price levels." (INVESTOPEDIA, 2013). (A)Growth in general economy: China’s sprawling cities (B) Changes in lifestyle/income which influences general price level. (C) Increase in Automobile car usage in China.

THREE KEY ISSUES FOR



References: 1. Robert, F. and John, F.(1999), Business Marketing, Connecting Strategy ,Relationships and Learning ,New York: Mc Graw-Hill. 2. Pearce, J. and Robinson ,B. (2003),Strategic Management ,Formulation,Implementation ,and control, NEW YORK:Mc Graw –Hill. 3. Helen, D. (2011), International Management ,Managing Across Borders And Cultures Text And Cases ,New Jersey :Pearson. 4. Harvey, D. (1982), Business Policy and Strategic Management, London: Bell and Howell Company. 5. Fred,R. (2007),Strategic Management Concepts and Cases ,New Jersey: Pearson 6 7. Donald, N. Principles of managerial economics (2012),New York ,Flat world Knowledge . 8. Baye,M. and Prince,J.(2013),Managerial Economics and Business Strategy,Mc Graw-Hill 9 10. Friedman ,T.(2005),The world is flat a brief history of the twenty-first century, New York: Farrrar ,Strau and Giroux 11 12. Mansfield,E. and Gay,Y.(2003), Micro economics :Theory and application,New York, w.w Norton and company

You May Also Find These Documents Helpful

  • Powerful Essays

    Pearce II, J. A., & Robinson Jr., R. B., p 202, (2009). Strategic Management Formulation, Implementation, and Control (11th ed.). New York, NY: McGraw-Hill/Irwin.…

    • 2923 Words
    • 12 Pages
    Powerful Essays
  • Good Essays

    The economy is divided into two categories microeconomics and macroeconomics. Microeconomics refers to the study of individual’s behavior within the economy. It concentrates on factors that influence the individual’s economic choices based on economic forces. The study of individual’s behavior when it comes to supply and demand is an important element to microeconomics. The law of demand says that the quantity demanded increases as the price falls or decreases as the price rises. An individual can have many wants, but it is restricted by their ability to pay for the goods. The law of supply says that as the quantity of supply rises as the price rises and falls as the price falls. Macroeconomics studies the economy as a whole. It mainly deals with issues with inflation, unemployment, business cycles and growth.…

    • 824 Words
    • 3 Pages
    Good Essays
  • Good Essays

    Macroeconomics examines either the economy as a whole or its basic subdivisions, such as the government, household, and business sectors. Macroeconomics seek to obtain an overview or general outline of the structure of the economy relationship of its major aggregates. We can see it as an economic measure of total output, total employment, total income, aggregate expenditure, and the general level of prices in analyzing various economic problems. On the other hand microeconomics is the part of economics concerned with individual units such as a person, a firm, or industry. At this level economist observe the detail of an economic unit, or very small segment of the economy. Micro measures the price of a specific product, the number of employees in a small business, the revenue of a particular…

    • 637 Words
    • 3 Pages
    Good Essays
  • Good Essays

    Econ 101 Intro notes

    • 613 Words
    • 3 Pages

    Macroeconomics: the study of the behavior of the aggregate economy, including issues like unemployment, inflation, and changes in the level of national income.…

    • 613 Words
    • 3 Pages
    Good Essays
  • Good Essays

    Lafluer Trading Company

    • 923 Words
    • 4 Pages

    Pearce, J. A. II, & Robinson, R. B. (2009). Strategic management: Formulation, implementation, and control (11th ed.). New York: McGraw-Hill.…

    • 923 Words
    • 4 Pages
    Good Essays
  • Good Essays

    The changes in supply and demand when another company came into Atlantis and when the government issued a price cap for rent are example of Macroeconomics. Macro pertains to unemployment and government related issues.…

    • 739 Words
    • 3 Pages
    Good Essays
  • Powerful Essays

    EGC1 Full Study Guide

    • 3964 Words
    • 14 Pages

    Macroeconomics: examines either the economy as a whole or its basic subdivisions, such as govt, household of business sector.…

    • 3964 Words
    • 14 Pages
    Powerful Essays
  • Good Essays

    Econ Study Guide

    • 2117 Words
    • 9 Pages

    Macroeconomics is the study of the economy as a whole. It considers problems of inflation, unemployment, business cycle and growth.…

    • 2117 Words
    • 9 Pages
    Good Essays
  • Good Essays

    ECON 201 Ch14

    • 978 Words
    • 4 Pages

    5. Macroeconomics: The study of the aggregate (or total) effects on the national economy and the global economy of the choices that individuals, businesses, and governments make.…

    • 978 Words
    • 4 Pages
    Good Essays
  • Best Essays

    Pearce, J.A. II, Robinson, R.B. Jr. (2003). Strategic Management: Formulation, Implementation, and Control. 8th Edition. New York, NY: McGraw-Hill/Irwin.…

    • 3306 Words
    • 14 Pages
    Best Essays
  • Good Essays

    Microeconomics is a branch of economics that studies the behavior of individual households and firms in making decisions on the allocation of limited resources. Typically, it applies to Markets where goods or services are bought and sold. Microeconomics examines how these decisions and behaviors affect the supply and demand for goods and services, which determine prices and how prices, in turn, determine the quantity supplied and quantity demanded of goods and services.(From Wikipedia, the free encyclopedia).…

    • 844 Words
    • 4 Pages
    Good Essays
  • Satisfactory Essays

    growth that were the result of social decisions in both the public and private sectors. It…

    • 603 Words
    • 3 Pages
    Satisfactory Essays
  • Good Essays

    The world is flat

    • 1361 Words
    • 4 Pages

    Thomas L.Friedman, The World is Flat: a brief history of the twenty-first century. Published by Farrar, Straus and Giroux, 2007.…

    • 1361 Words
    • 4 Pages
    Good Essays
  • Better Essays

    The World Is Flat

    • 2134 Words
    • 9 Pages

    Friedman, Thomas L., The World is Flat: A Brief History of the 21st Century, New York, Farrar, Straus and Giroux, 2005…

    • 2134 Words
    • 9 Pages
    Better Essays
  • Better Essays

    why do you learn economics

    • 1720 Words
    • 7 Pages

    Macroeconomics is in the other hand. It refers to the larger scope of economy that involved national economy as whole and provides a basic knowledge of how things work in the business world. Example, an industrial sector, oil and gas sector, and food and beverages sector, is not considered as a specific part of any of these sectors.…

    • 1720 Words
    • 7 Pages
    Better Essays