McDonald's Marketing Mix AnalysisDid Somebody SayMcDonald's?The business began in 1940, with a restaurant opened by siblings Dick and Mac McDonald in San Bernardino, California. Their introduction of the "Speedee Service System" in 1948 established the principles of the modern fast-food restaurant. The original mascot of McDonald's was a man with a chef's hat on top of a hamburger shaped head whose name was "Speedee", which was eventually replaced with Ronald McDonald in 1968.
The present corporation dates its founding to the opening of a franchised restaurant by Ray Kroc, in Des Plaines, Illinois on April 15, 1955, the ninth McDonald's restaurant overall. Kroc later purchased the McDonald brothers' equity in the company and led its worldwide expansion. Now the company has become a symbol of globalization and the spread of the American way of life. Its prominence has also made it a frequent topic of public debates about obesity, corporate ethics and consumer responsibility.
The following graph shows the global penetration by McDonald's over the years:INDIA CALLINGIn the mid 1990s, a spate of global fast food chains entered India hoping to capture a part of Indian fast food segment. They knew that gaining acceptance locally and blending into the Indian culture proved difficult. It was at this time only that McDonald's began to look at the Indian market sometime in 1990, when its executives started making exploratory trips. By 1994, some international suppliers of McDonald's had visited India to identify local partners. Meetings with agriculturists were conducted with a view to set up a supply chain. Finally, all this fructified when a 50:50 joint venture was entered between McDonald's and Hardcastle Restaurants Pvt. Ltd in April 1995.
In October 1996, McDonald's opened its first Indian outlet in Vasant Vihar, an affluent residential colony in India's capital, New Delhi.
Today, McDonald's has 137 restaurants mainly spread across the North and the west. McDonald's also opened its doors to South India with its first restaurant in Bangalore in Oct. 2004. McDonald's has big expansions plans, and is now looking at penetrating the east and south.
McDonald's India has developed a special menu with vegetarian selections to suit Indian tastes and preferences. McDonald's does not offer any beef or pork items in India. Only the freshest chicken, fish and vegetable products find their way into the Indian restaurants.
In addition, McDonald's has re-formulated some of its products using spices favoured by Indians. Among these are McVeggie burger, McAloo Tikki burger, Veg. Pizza McPuff and Chicken McGrill burger. It has also created eggless sandwich sauces for the vegetarian customers. Even the soft serves and McShakes are egg-less, offering a larger variety to the vegetarian consumers.
McDonald's 4 P'sThe Marketing MixAll major marketing management decisions can be classified in one of the following four categories:1. ProductAn important point to remember while preparing a menu is that your customer has a choice. As the customers have wide options for spending their money, McDonalds emphasises considerably on developing a menu which the customer wants.
However what is liked today by customers may be disliked tomorrow, as the customers' choice change over time. Marketing continuously monitors customers' preferences. McDonalds continuously monitors its products for lifecycle management and phases out the old ones with the introduction of new ones. Products go through a life cycle, which is illustrated below:McDonalds has in its menu products with Indian names, like MaharajaMac, McAloo Tikki, made using Indian spices.
Although McDonald's is primarily known for its burgers, but burgers are not the only products served. McDonald's has a variety of products like Pizza, Wraps, fries both in veg and non veg categories.
Apart from the standalone pizza, wraps and other products they also have these served as combos and...
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