After years of unmitigated success, McDonald’s faced tougher conditions in 2012. The company battled economic troubles in Western Europe, slowing growth in Asia Pacific, and mounting competition in North America, adding up to relatively disappointing results. To combat these forces moving forward, McDonald’s is focusing on improving the customer experience, maximizing appeal through a balance of value and premium items, depart expansion in key markets, and extended hours worldwide. SWOT analysis aims to analyze an organization’s internal and external environment, with the purpose of understanding internal organizational strengths for taking advantage of external opportunities, and the purpose of understanding external/internal threats and weaknesses. SWOT analysis is a commercial strategy and tool used for decision making purposes, which gives a company the necessary depth of analysis with which to fully understand its own internal characteristics, as well as relevant external factors such as market environment, consumers and competitors, to allow the company to enact the most suitable strategies. SWOT analyzes:
- Strong brand name, image and reputation: McDonalds has built up huge brand equity. It is the number one fast food company by sales, with more than 31,000 restaurants serving burgers and fries in almost 120 countries. The image of McDonalds is recognized everywhere. This brand is in top ten of the most powerful brand name. - Technology Innovative: McDonald’s is keeping at the forefront of technology around the globe. In Brazil McDonald’s is currently studying the installation of Internet access terminals in some outlets as well as enabling customers to order online. This will reduce the amount of lag time between a customer’s orders and pick up of the order. - Children targeting: The business successfully targets very young children through offering playgrounds, toys with its meals and advertisements - Partnership with best...
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