Company and Product Background
McDonald’s is one of the best known brands worldwide. McDonald's first made its way to Malaysia in December 1980 when McDonald's Corporation of USA issued the exclusive license to GOLDEN ARCHES RESTAURANTS SDN BHD or commonly known as McDonald’s Malaysia to operate McDonald's restaurants in Malaysia.
The entry of McDonald’s into Malaysia is through a Joint Venture agreement with Golden Arches Restaurants Sdn Bhd. McDonald’s Corporation of USA holds 49% equity. The remaining equity is held by local partners: 26% is held by Tan Sri Vincent Tan and 25% by Mohamed Shah Bin Tan Sri Abdul Kadir. At the helm of Golden Arches Restaurants Sdn Bhd is Mohamed Shah Bin Tan Sri Abdul Kadir, the Managing Director / Joint Venture Partner. He took over the reins from Tan Sri Vincent Tan in 1987. Malaysian got their first taste of McDonald's when McDonald's Malaysia opened its first restaurant at Jalan Bukit Bintang, Kuala Lumpur on 29 April 1982. This restaurant is still in operation today and has undergone four renovations to maintain and keep with the changing trends. To date, Golden Arches Restaurants Sdn Bhd operates 194 restaurants located nationwide including Sabah, Sarawak, and Brunei. McDonald’s Malaysia is currently expanding at an annual rate of approximately 10 to 20 restaurants. McDonald's has created many job opportunities in Malaysia. McDonald's Malaysia employs more than 8,000 local people with 120 support staff at its headquarters managing the day-to-day operations of the McDonald's business. There is also a regional office in Penang and Johor Bahru. McDonald's business actually began in 1940, with a restaurant opened by siblings Dick and Mac McDonald in San Bernardino, California. Their introduction of the "Speedee Service System" in 1948 established the principles of the modern fast-food restaurant. The present corporation dates its founding to the opening of a franchised restaurant by Ray Kroc, in Des Plaines, Illinois on April 15, 1955, the ninth McDonald's restaurant overall. Kroc later purchased the McDonald brothers' equity in the company and led its worldwide expansion. McDonald’s grew into the largest restaurant organisation in the world. Today, there are more than 30,000 McDonald’s restaurants serving 47 million customers each day in over 100 countries. Ray Kroc died in 1984 but his legacy is very much alive. With the successful expansion of McDonald's into many international markets, the company has become a symbol of globalization and the spread of the American way of life. Product
Product is anything that can be offered to a market for attention, acquisition, use or consumption that might satisfy a want or need. Product includes certain aspects such as variety, quality, design, features, brand name, packaging and services. These product attributes can be manipulated depending on what the target market wants. McDonald’s predominantly sells hamburgers, various types of chicken sandwiches and products: French fries, soft drinks, breakfast items, and desserts. Each country implements the core McDonald’s menu: hamburger, cheeseburger, chicken nuggets, and french fries.
McDonald’s has intentionally kept its product depth and product width limited. McDonald’s studied the behaviour of the Malaysian customer and provided a totally different menu as compared to its International offering. Being a Muslim-majority country, all McDonald’s in Malaysia are certified Halal. Thus, pork products are not offered in McDonald’s Malaysia to satisfy Halal certification requirements. McDonalds continuously innovates its products according to the changing preferences and tastes of its customers. The recent example is the introduction of the Grilled Chicken Burger (GCB) and Prosperity Burger.
Food quality is the key at McDonald's. This means that McDonald’s take pride in the foods to serve for customers. McDonald’s seeks out fresh lettuce and tomatoes, quality buns and potatoes, pure ground...
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