McDonald's is the world’s largest chain of hamburger fast food restaurants. McDonald's and its franchises operated more than 33,000 McDonald’s restaurants in 118 countries and serve 64 million customers each day. The company also operates other restaurant brands, such as Piles Café. McDonald's is the largest food service company in the world. In 2010, the annual total revenues are 24,075 millions. It is also one of biggest employers in the United States, with over 1.7 million workers (our company). Only fifteen to twenty per cent of the restaurants are actually company-owned. The rest are franchises, run by 2,659 independent owners who pay a fee of between $400,000 and $700,000 for a franchise. McDonald's licensing department handles the fee structure on a case by case basis, and there are a wide variety of license fees determined by property and equipment costs. A skilled franchisee can earn a sex-figure income from a single restaurant; most own two or more restaurants (report).
The following part will focus on the international factors affect on the McDonald’s company. International factor is an external environment. It refers to the characteristics of the environment that are particular to cross-border operations which included economic cycles, competitive and entrepreneurial cultures (book). McDonald’s is a large international company. It’s restaurant distributed around the world. Thus, there are many factors that McDonald’s need to consider. Such as how to meet different countries’ customers’ need. Because of different country’s customers have different culture, habit and different taste of food. The other one is how to gain competitive advantage form local restaurant. There are many fast food service companies in the world for example Burger King and KFC, especially Burger King. Burger King is also a big international company with lots of stores around the world. It’s a great competitor for the McDonald’s (Product positioning).
One thing that...
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