Environmental factors got important effects on company’s global business platform. As areas like political, social, economical, environmental and economical are sensitive and critical that’s way, those must be addressed appropriately for company’s success. On the other hand strategy is really important for company because it’s a direction and scope of company over the long time. McDonald’s restaurant established in Illinois in 1955, more than 30,000 restaurants in 120 countries worldwide, serving 54 million customers per day. In December 2005 reached a record high of more than US$20 billion revenue and 390,000 employees. McDonald's is the largest quick service restaurant organization in the world. The environmental factors which are under macro and micro environment .directly or indirectly impacting McDonalds. Currently McDonalds is using lots of strategy which got positive and negative effects on company. .MacDonald’s should keep the effective and successful strategy and modify or redesign the failure strategy.
This report uses SWOT analysis to evaluate the current strategy and recommend three years strategy for McDonald’s.
2.1 Discussion of the environmental factors impacting McDonalds, placing emphasis on the key drivers: As McDonalds is a global company and running businesses most of the countries in the world that’s way, this company faces lots of challenges and issues. There is a relation between key drivers and environmental factors because the key drivers for change are environmental factors who have got a high impact on the success or failure of strategy.
Customers are a major environmental factor for McDonalds. Every day nearly 54 billion customers served by McDonalds. Though McDonald’s customers are mainly young generation. That’s way, company always conscious about their choice. For this reason, customers demand, their choice, their liking, everything is impacting McDonalds.
b. Product or service:
McDonalds producing their product and they are serving those directly to customers. That’s way the factor of product and service is impacting McDonalds. Product quality, product variety, quick and friendly service, every things are important for company. Those got an important impact on McDonalds.
McDonald’s main competitors are Wendy’s, Burger king and Hardees. McDonalds always needed to treat competitors carefully. That’s way the factor related with competitor like competitors product quality, service, price competition, market, sales, growth everything impacting McDonalds.
More than 390,000 employees working in McDonalds. Employees are impacting McDonalds because company is recruiting, training staff for company. And at the same time wages also related with this. It is not uncommon for McDonalds to be the employer of first resort for young people just entering the workforce, older workers desiring extra income, or for those planning on transferring from one corporation to another. So, employee is impacting McDonalds in this way.
McDonalds is producing their main product that means burger ,salads in their own kitchen, they are cooking all fries ,nuggets and meat patties in their own grill .So, the use of equipment, special control devices, temperature regulators, point-of-sales systems, inventory upkeep, financial information and communications are all linked to different technologies. In this way technology is impacting McDonalds.
f. Political factor:
Different political decision, rules, motives are impacting McDonalds. Different countries might have different political view; they could take different decision about food Company. Specially laws, because government makes laws and this law might be changed at the same time of government changing.
Economy is important factor which is impacting McDonalds. Company always need to thing about...