Mcdonald Analysis

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Competitive Advantage Strategy by Michael Porter Theory of McDonalds 2013 _____________ A paper Presented to the Faculty Economy of President University Indonesia _______________ In Partial Fulfillment of the Requirements for the Final Exam of Service Management _______________ By Trecy Emerald 014201000167 International Business 3
Introduction
McDonald is, originated in California, USA, 1954, has become one of the most recognized and respected brands in the world. The success achieved includes that they have established more than 30,000 franchising stores in 119 countries, serving more than 47 million people each day, and generating about $15 billion revenues annually. McDonald’s also continuously enhances its brand imagine through different social activities and the sponsorship of special events and sports i.e. as a major sponsor of the world cup since 1994 and the Champions League football in England from 1996 to 2000.
How can McDonald’s achieve such success? There are many formulating strategies, which we could use for our analysis of their recipe of success such as Porter’s competitive strategies model, which includes differentiation and low-cost leadership. Obviously, it is extremely important for McDonald is to choose the most appropriate strategy to be successful.
From my personal point view, to be an Analyzer is the most suitable strategic position for them to develop their business as a whole especially when they facing an extreme complex continuously changing world. As Miles and Snow defined that, “The analyzer tries to maintain a stable business while innovating on the periphery. It seems to lie midway between the prospector and the defender. Some products would be targeting toward stable environment in which an efficiency strategy designed to keep current customers is used. Others would be targeting toward new, more dynamic environment, where growth is possible.” (Richard L.Daft)It is also very important to



References: Edström. A., & Galbraith, J.R. (2006). Transfer of managers as a coordination and control strategy in multinational organizations. Administrative Science Quarterly, 22, June, 248-263. Egelhoff, W.G. (2007). Patterns of control in U.S., U.K. and European multinational corporations. Journal of International Business Studies, Fall, 73-83 Fatehi, K Geringer, J.M. & Hebert, L. (2003). Control and performance of international joint ventures. Journal of International Business Studies, Summer, 235-253 Hodgetts, R.M., Luthans, F Mead, R. (1994). International Management. Cross Cultural Dimensions, Oxford: Blackwell. Mohammed Rafiq dan Pervaiz K. Ahmed, 2000. Advances in the Internal Marketing Concept : Definition, Synthesis and Extension. Journal of Services Marketing, vol. 14, no. 6, p. 449-462. Pacific Research Consulting. “Bite Sized Fried Fish from Mcdonalds” Japan Food Products & Service Journal29. 7 (Jul 25, 2004): 1. Richard L.Daft,(2005).Organization Theory and Design, 8th edition, Thomson ,south western(Chapter 10)

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