University of San Carlos
School of Business and Economics
Department of Business Administration
McDonald’s Case Study
A partial fulfillment to the course Entrep 31
Dr. Emmyllou Llorca
Abaday, Lyndon R.
August 27, 2013
I. CASE Summary
The McDonald's Corporation is the world's largest chain of hamburger fast food restaurants, serving around 68 million customers daily in 119 countries. Headquartered in the United States, the company began in 1940 as a barbecue restaurant operated by Richard and Maurice McDonald; in 1948 they reorganized their business as a hamburger stand using production line principles. Businessman Ray Kroc joined the company as a franchise agent in 1955. He subsequently purchased the chain from the McDonald brothers and oversaw its worldwide growth.
McDonald's primarily sells hamburgers, cheeseburgers, chicken, french fries, breakfast items, soft drinks, milkshakes and desserts. In response to changing consumer tastes, the company has expanded its menu to include salads, fish, wraps, smoothies, and fruits.
McDonald’s Philippines is a subsidiary of the Filipino-owned Golden Arches Development Corporation. The first Filipino McDonald’s to open for business was in the Morayta university districts in Manila during 1981. These days McDonald’s is operating over 150 restaurants throughout the islands of the Philippines. Being a 100% Filipino-owned franchise allows McDonald’s Philippines to be more agile and take quicker actions, making them an even more competitive force in the Filipino fast-food market.
IV. Competitor’s data and Analysis
Jollibee Foods Corporation
Jollibee Foods Corporation abbreviated as JFC and popularly known as Jollibee is a Filipino multinational chain of fast food restaurants headquartered in Pasig City, Philippines. It is the parent of Jollibee, the country's leading fast-food chain brand. Among its licensed brands are Chowking, Greenwich Pizza, Red Ribbon, Mang Inasal and Burger King Philippines.Since its inception, JFC expanded and to date, it has a total of 2,510 stores worldwide with a system wide retail sales totaling to 82.1 billion pesos for the fiscal year 2011 Weaknesses
1. Negative publicity
2. Unhealthy food menu
3. High employee turnover
1. Largest fast food market share in the world
2. $2 billion advertising budget
3. Partnerships with best brands
4. More than 80% of restaurants are owned by independent franchisees 5. Children targeting
1. Trend towards healthy eating
2. Local fast food restaurant chains
3. Lawsuits against McDonald’s
1. Increasing demand for healthier food
2. Home meal delivery
3. Advertising the capabilities of Wi-Fi internet services in the branches
Wendy’s Old Fashioned Hamburgers Wendy's Old Fashioned Hamburgers is an international fast food chain restaurant founded by Dave Thomas on November 15, 1969, in Columbus, Ohio, United States. The company decided to move its headquarters to Dublin, Ohio, on January 29, 2006. As of March 2010, Wendy's was the world's third largest hamburger fast food chain with approximately 6,650 locations, following McDonald's 31,000+ locations and Burger King's 12,000+ locations -------------------------------------------------
Wendy's offers two different hamburger patties, a "Junior" 1.78 ounce (50.4 gram) patty and its "Single" 4 ounce (113.4 gram) patty. 4 ounce patties are sold in single, double and triple sizes whereas the junior patties sell in single and double patties. The previous size of 2 ounces per junior patty was altered to its current size in 2007 to save on expenses from rising food costs. Originally Wendy's had only two kinds of chicken sandwiches, fried and grilled. The spicy chicken sandwich started out as a promotional sandwich. It was later put on the menu full-time in...
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