Impact of International Environment on Mcdonald

Topics: Fast food restaurant, McDonald's, Hamburger Pages: 9 (2711 words) Published: December 10, 2012
Every day we hear it on the news, read it in the papers, over hear people talking about it… and in every single instance the word globalization seems to have a different meaning. So, what is globalization? What are its main drivers? Why and how does globalization impact international business? What’s the future of international business? This paper, through conceptualizing the significance of globalization for international business and explore core concepts of the international business environment, will answer the above questions. Globalization can be described as a process by which the people of the world are unified into a single society and functioning together. This process is a combination of economic, technological, socio-cultural and political forces. Globalization, as a term, is very often used to refer to economic globalization is integration of national economies into the international economy through trade, foreign direct investment, capital flows, migration, and spread of technology.


Globalization in short, points to the whole effort towards making the world global community as a one village. Goods that were only found in western countries can now be found across the globe. Now under developed areas can enjoy the benefits of scientific advances and industrial progress available in developed countries for the improvement and growth of their area. There are so many international businesses which are influenced by globalization, like Cadbury Nestle, Coke, Virgin, Tesco, Starbucks, KFC. Here, I will discuss about McDonalds having big fast- food chain in the whole world also how the global marketing environment has impact on it. I will describe it through PESTLE analysis where I will discuss some positive and negative effects. I will discuss the impact of global market environment on its shareholders, customers & competitors.

Aims and Objectives of McDonalds:
1. To serve good food in a friendly and fun environment
2. To be a socially responsible company
3. To provide good returns to its shareholders
4. To provide its customers with food of a high standard, quick service and value for money 5. To help the beatific matter in the cordial and recreational environment 6. To be socially answerable company

7. To increase the lancer work so that people easily make money 8. To wage its customers with the matter of broad standard
9. To become a real trader

Challenges facing by the firm (McDonalds):
McDonald's Corporation (NYSE: MCD) is the world's largest chain of hamburger fast food restaurants, serving around 68 million customers daily in 119 countries. Headquartered in the United States, the company began in 1940 as a barbecue restaurant operated by Richard and Maurice McDonald; in 1948 they reorganized their business as a hamburger stand using production line principles but there are the several factors which come in the working of the firm. For this we will discuss the pestle analysis PESTEL ANALYSIS :

Pestle is an analysis of the external macro and micro environment in which a business operates. Pestle stands for political, economical, social, technological, environmental and legal factors. POLITICAL FACTORS

The international operations of McDonald’s are highly influenced by the individual country’s policies enforced by each government. For instance, there are certain groups in India, Europe and the United States that clamour for state actions pertaining to the health implications of eating fast food. They have indicated that harmful elements like cholesterol and adverse effects like obesity are attributable to consuming fast food products. On the other hand, the company is controlled by the individual policies and regulations of operations. Specific markets focus on different areas of concern such as that of health, worker protection, and environment. All these elements are seen in the government control of the licensing of the restaurants in...
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