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Strategic Management

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Strategic Management
Executive Summary

The purpose of this paper is to analyze the industrial and strategic aspects of McDonald 's. From an Industrial point of view, the paper will attempt to dissect the industrial trends of McDonald 's such as the use of technology and their stance on government and trade regulations. Also, the paper will cover the notable changes in McDonald 's ' industry environment. In addition, using a strategic group map, the paper will compare McDonald 's to companies with similar business models and strategies in order to evaluate McDonald 's performance amongst other similar businesses. Moreover, the Porter 5 forces model will be used to evaluate the attractiveness of McDonald 's ' industry. Finally, Using a SWOT analysis, the paper will attempt to offer strategic recommendations to improve McDonald 's from an industrial point of view. On the other hand, when talking about the Strategic aspects of McDonald 's, the paper will discuss McDonald 's ' mission statement in addition to assessing their strategies. The Assessment of McDonald 's ' strategy will focus on whether McDonald 's has a generic strategy or not, the costs needed to implement their strategies and the challenges that face the company.Finally, the paper will identify all of McDonald 's ' growth options and recommend any changes needed to insure the company 's growth.
Industrial Analysis
Industrial Trends visible in McDonald 's When speaking about the trends visible in McDonald 's, we can safely assume that they are quite similar to other major fast food restaurants. Firstly, McDonald 's ' segmentation strategies are quite similar to those of other fast food restaurants: 2 methods of segmentation that are observed are the Demographic and psychographic segmentation. Whe speaking about the Demographic segmentation, “McDonalds offers children a varity of options such as the Happy meal which includes a free toy. Targeting families, McDonalds also offers a selection of outlets and drive-thrus for


References: Dobbyn,T. (2009, Nov 19) McDonald 's sets 2010 capital spending at $2.4 billion http://www.reuters.com/article/2009/11/12/us-mcdonalds-idUSTRE5AB3PE20091112. Reuters French-fry face-off. (2009, Aug). Consumer Reports. Retrieved from http://www.consumerreports.org/cro/magazine-archive/august-2009/food/french- fries/overview/french-fry-face-off-ov.htm Hai-Tseng, N. (2011, Jan 21). Three challenges to mcdonald 's growth .Retrieved from http://money.cnn.com/2011/01/21/news/companies/mcdonalds_slowing _growth .fortune /index.htm Lawrence, F. (2010, Nov 12). Mcdonald 's and pepsico to help write uk health policy. Retrieved from http://www.guardian.co.uk/politics/2010/nov/12/mcdonalds-pepsico-help-health-policy McDonalds. (2011, Mar). What technology does mcdonald 's use to help provide a speedy service?. Retrieved from http://www.mcdonalds.co.uk/ukhome/whatmakesmcdonalds/questions/running- the-business/business-operations/what-technology-does-mcdonalds-use-to-help-provide-a- speedy-service.html Mourdoukoutas, P. (2012, Apr 20). Mcdonald 's winning strategy, at home and abroad. Retrieved from http://www.forbes.com/sites/panosmourdoukoutas/2012/04/20/mcdonalds-winning-strategy-at- home-and-abroad/ Muehlhausen,J. (Producer). (2010). Market shares of major players in the fast food industry. [Print Photo]. Retrieved from http://businessmodelinstitute.com/mcdonald’s-business-model-ten- times-better-than-hardee’s/ T, M. (2010, Oct 24). Segmentation, targeting and positioning model of mcdonalds . Retrieved from http://newmarketingblogs.blogspot.com/2010/10/segmentation-targeting-and-positioning.html
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