Mcdonald Think Gobally Act Locally

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British Food Journal
Emerald Article: McDonald's: "think global, act local" - the marketing mix Claudio Vignali

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To cite this document: Claudio Vignali, (2001),"McDonald's: "think global, act local" - the marketing mix", British Food Journal, Vol. 103 Iss: 2 pp. 97 - 111
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http://dx.doi.org/10.1108/00070700110383154
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Claudio Vignali, (2001),"McDonald's: "think global, act local" - the marketing mix", British Food Journal, Vol. 103 Iss: 2 pp. 97 - 111
http://dx.doi.org/10.1108/00070700110383154
Claudio Vignali, (2001),"McDonald's: "think global, act local" - the marketing mix", British Food Journal, Vol. 103 Iss: 2 pp. 97 - 111
http://dx.doi.org/10.1108/00070700110383154
Claudio Vignali, (2001),"McDonald's: "think global, act local" - the marketing mix", British Food Journal, Vol. 103 Iss: 2 pp. 97 - 111
http://dx.doi.org/10.1108/00070700110383154

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McDonald's: ``think global, act
local'' ± the marketing mix

McDonald's:
``think global,
act local''

Claudio Vignali

Principal Lecturer, Manchester Metropolitan University,
Manchester, UK

97

Keywords Globalization, Marketing mix, Marketing management, Fast-food industry, Marketing, Franchising
Abstract Focuses on the marketing mix of McDonald's. Highlights how the company combines internationalisation and globalisation elements according to various fast food markets. Using the effect of strategical and tactical models, the case illustrates the effect of McDonald's on the global environment and how they adapt to local communities. Describes future franchise plans for McDonald's.

Introduction
McDonald's background
Two brothers, Richard and Maurice McDonald founded McDonald's in 1937. The brothers developed food processing and assembly line techniques at a tiny drive-in restaurant east of Pasadena, California.

In 1954, Ray Kroc, a milk-shake mixer salesman, saw an opportunity in this market and negotiated a franchise deal giving him exclusive rights to franchise McDonald's in the USA. Mr Kroc offered a McDonald's franchise for $950 at a time when other franchising companies sold restaurant and ice-cream franchises for up to $50,000. Mr Kroc also took a service fee of 1.9 per cent of sales for himself plus a royalty of 0.5 per cent of sales went to the McDonald brothers. The McDonald's brothers sold out for $2.7 million in 1961. McDonald's first international venture was in Canada, during 1967. Shortly afterwards, George Cohon bought the licence for...
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