Case Study McDonald's SWOT

Satisfactory Essays
Developing a Competitive Profile Matrix for McDonald’s Corporation

Case Study
Week II

April, 2015

Introduction

McDonald’s Corporation has always had a long commitment to increasing revenues and steady growths which it managed to sustain. McDonald’s is still world’s best fast food chain restaurant which manages to provide quality, service, cleanliness and values at the lowest possible price consistent with a fair return on investment for the shareholders, sustainability and growth in the industry, job enhancement / security for the employees and a level of community involvement by everyone connected with the business. McDonald’s strive to make every customer in every restaurant smile (David, 2011). Competitive profile matrix

Competitive Profile Matrix

McDonalds Burger King
Yum!

Critical Competitive Variables Ratings
Score
Ratings
Score
Ratings
Score
Quality of Food
0.15
3
0.45
3
0.45
2
0.3
Capital
0.15
4
0.6
2
0.3
3
0.45
Safety
0.12
3
0.36
3
0.36
3
0.36
Company, Brand Name and Reputation
0.08
4
0.32
4
0.32
3
0.24
Value Based Pricing
0.12
3
0.36
3
0.36
3
0.36
Innovation & Process Technologies
0.1
3
0.3
2
0.2
2
0.2
Global Expansion
0.1
4
0.4
3
0.3
3
0.3
Market Share
0.1
4
0.4
2
0.2
3
0.3
Promotions
0.08
4
0.32
4
0.32
3
0.24
TOTAL
1

3.51 2.81 2.75

McDonald’s Competitive Profile Matrix sore is well above the 2.5 mark which indicated that the company is doing well and responding great to the critical factors. McDonalds have made changes regarding environment and became more socially friendly company. It has been recognized for its efforts in inclusive excellence with respect to employing and creating opportunities for minorities (David, 2011, p. 33).
If McDonalds focuses on these critical factors it will continue to be one of the best fast food chain restaurant with good standing in the industry. McDonald’s has the reputation for innovation amongst the other competitors with strong marketing.



References: David, F. R. (2011). Strategic Management, Concepts and Cases. Upper Saddle River, NJ: Pearson Education, Inc.

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