Preview

Mcdonalds Case Analysis

Satisfactory Essays
Open Document
Open Document
1598 Words
Grammar
Grammar
Plagiarism
Plagiarism
Writing
Writing
Score
Score
Mcdonalds Case Analysis
McDonalds Case Analysis

Business Policy /BUSN412

BUSN412
Laurel Campbell

1/23/2010

CASE ANALYSIS: MCDONALDS CORPORATION

COMPANY NAME: McDonalds Corporation
WEBSITE: www.mcdonalds.com
INDUSTRY: Fast Food
COMPANY BACKGROUND: HISTORY: McDonalds has been well known since 1940 as the standard for ultra convenient family friendly meals. According to the company’s website, the fist restaurant opened in San Bernardino, California as a barbeque restaurant but eight years later Dick and Mac McDonald restyled the restaurant and streamlined the menu to nine convenient items including their famous 15 cent hamburger. In 1954, a mixer salesman saw potential in the business and opened the first McDonalds franchise in Des Plaines, Illinois. In four short years the chain had grown to at least 100 restaurants. Today, McDonalds is an international corporation with stores in as many as 100 different countries. CEO: Jim Skinner began as the current president and CEO of McDonalds in 2004. He worked his way up from restaurant manager in 1971 without ever receiving a college degree. (McDonalds History, 2010) His “Plan to Win” strategy has increased world wide restaurant sales 41.1 percent from $50.1 billion to $70 billion in 2008, making it one of only two Dow Jones Industrial Average stocks to end the year with a gain. (Chief Executive Magazine, 2009). Today it appears resilient to the current economic downturn. McDonalds recently released its 2009 4th quarter earnings results which show that overall revenue rose 7 percent to $5.97 billion with a net income of $1.22 billion or $1.11 per share. (Berr, 2010)
SWOT ANALYSIS:
STRENGTHS: McDonalds has a large market share, strong brand name, image and reputation. CEO Jim Skinner and the previous CEO James Cantalupo quickly and efficiently enacted a strategy that allowed the company to recover from its first loss ever in 2003. (Dess, 2007) The “Plan to Win” strategy focuses on people, place, price and


References: Berr. (2010, January 22). McDonald 's Beats Expectations, Upbeat for 2010 - Daily Finance. Retrieved January 25, 2010, from http://www.dailyfinance.com/story/investing/mcdonalds-beats-expecations-is-it-enough/19327439/. Chief Executive Magazine Names McDonald 's CEO Jim Skinner "CEO of the Year" | Articles | Articles | Chief Executive - The magazine for the Chief Executive Officer. (2009, May 12). . Retrieved January 25, 2010, from http://www.chiefexecutive.net/ME2/dirmod.asp?sid=0CC7FBE04E534C16922586F98AF9AEB3&nm=Articles&type=Publishing&mod=Publications%3A%3AArticle&mid=8F3A7027421841978F18BE895F87F791&tier=4&id=DD3ED12F23814CAAAF29D37044AC2C0F. Dess, G., Lumpkin, G., & Eisner, A. (2007) Strategic Management (3rd ed.). Boston: McGraw-Hill Irwin. Jim Skinner - About McDonald 's. (n.d.). . Retrieved January 25, 2010, from http://www.aboutmcdonalds.com/mcd/our_company/bios/jim_skinner.html. McDonald 's (MCD). (n.d.). . Retrieved January 25, 2010, from http://www.wikinvest.com/stock/McDonald%27s_(MCD). McDonald 's History - About McDonald 's. (n.d.). . Retrieved January 25, 2010, from http://www.aboutmcdonalds.com/mcd/our_company/mcd_history.html.
Continue Reading
View Writing Issues

You May Also Find These Documents Helpful

  • Powerful Essays

    Strategic Initiative Paper Fin/370
    • 1726 Words
    • 7 Pages

    Strategic Initiative Paper Fin/370

    McDonald’s has been in business since 1955. Through many years of great strategic and financial planning, it has become one of the most successful food chains in the world. In order to continue its great success, McDonald’s must continue to adapt to change. In this paper we will discuss the strategic and financial planning that would be necessary to keep McDonald’s on top of the food chain.…

    • 1726 Words
    • 7 Pages
    Powerful Essays
    Read More
  • Good Essays

    First Day Rhetorical Analysis Essay
    • 904 Words
    • 4 Pages

    First Day Rhetorical Analysis Essay

    Due to its renowned simplicity, consistency, and familiarity, McDonald’s has become a universal staple in everyday life since 1955.…

    • 904 Words
    • 4 Pages
    Good Essays
    Read More
  • Satisfactory Essays

    btec level 3 business unit 3 p4 NOTES
    • 322 Words
    • 2 Pages

    btec level 3 business unit 3 p4 NOTES

    McDonalds has undergone several changes since its start in California. The fast food chain has taken over the US and it now focusing on the rest of the world. McDonalds, along with this trend, continues to strive towards customer satisfaction while still enhancing its international market position. The company is doing very well and keeps trying in Africa, China, and the Middle East, which will be a continued source of revenue for many coming years. If McDonalds can overcome all of its challenges, makes use of advantages and has right strategies, it will win the market again and hold fast to first position in fast food industry.…

    • 322 Words
    • 2 Pages
    Satisfactory Essays
    Read More
  • Powerful Essays

    Assignment 4 Products Liability Research Paper
    • 1437 Words
    • 6 Pages

    Assignment 4 Products Liability Research Paper

    McDonald's is the world's largest chain of hamburger fast food restaurants, serving around 68 million customers daily in 119 countries. McDonald’s is headquartered in the United States in Oak Brook, Illinois. 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.…

    • 1437 Words
    • 6 Pages
    Powerful Essays
    Read More
  • Powerful Essays

    Mcdonalds Case Study
    • 2283 Words
    • 10 Pages

    Mcdonalds Case Study

    Kroc’s offered his services and the first McDonalds open 1955 in Chicago and by 1965 there were more than 700 sites across the United States. It wasn’t long before McDonalds caught on in several countries and today forty seven million people are being served every day and sales are at a hefty $17 billion.…

    • 2283 Words
    • 10 Pages
    Powerful Essays
    Read More
  • Powerful Essays

    History of Mcdonald
    • 6300 Words
    • 26 Pages

    History of Mcdonald

    McDonald’s is a company which has a colorful history and developed the culture associated with the Fast Food Chain today. In 1937, the McDonald’s brother Richard and Maurice opened the first McDonald’s restaurants in America; it was a freestanding business that offered until then an unthought-of concept. The main items they then sold were beef or pork burgers, fries and drinks. Their restaurant were set up differently to the restaurants of those times, with open kitchens the customers could see right through, and counters with many operational cash registers. Under a high degree of customer satisfactory contributed for business expansion, McDonald today has over than 30,000 restaurants over than 100 countries in the world and it has maintained the top position in the Fast Food Industry for the past 50 years.…

    • 6300 Words
    • 26 Pages
    Powerful Essays
    Read More
  • Better Essays

    Mcdonalds History
    • 1239 Words
    • 5 Pages

    Mcdonalds History

    "McDonald 's Corp." Standard and Poor 's NetAdvantage. N.p., n.d. Web. 24 Apr. 2013. <http://www.netadvantage.standardandpoors.com/NASApp/NetAdvantage/simpleSearchRun.do?ControlName=HomePageSearch>.…

    • 1239 Words
    • 5 Pages
    Better Essays
    Read More
  • Powerful Essays

    Financial Analysis of McDonalds Company
    • 1472 Words
    • 6 Pages

    Financial Analysis of McDonalds Company

    b. McDonald’s was started in the 1940s as a BBQ restaurant owned and operated by Richard and Maurice McDonald’s in California, U.S.A. The McDonald’s franchise was not established until 1955, when man by the name of Ray Kroc opened the ninth McDonald’s restaurant in Des Plaines, Illinois. By 1961, McDonald’s filed trademark for the company name and “drive-thru” service. Ray Kroc eventually forced the McDonald’s brothers out of the business and successfully spread the company throughout the world. Today, McDonald’s is an international sign of globalization.…

    • 1472 Words
    • 6 Pages
    Powerful Essays
    Read More
  • Better Essays

    Mgt 301 Module 1- Case Study
    • 854 Words
    • 4 Pages

    Mgt 301 Module 1- Case Study

    When businesses find they are not turning a profit they have to make some adjustments. Managers of these businesses need to apply the core management concepts to successfully envision and apply McDonald’s new marketing strategies. In the last few years McDonald’s has applied incredible management skills to turn the company around and turn a great profit. Here we will show the functions of management they used, the goals they set, and the strategies they used to accomplish those goals.…

    • 854 Words
    • 4 Pages
    Better Essays
    Read More
  • Better Essays

    Mgt 521 Business Analysis Paper
    • 983 Words
    • 4 Pages

    Mgt 521 Business Analysis Paper

    McDonald’s is recognized as the first in its industry to embrace the initiatives and polices being proposed by the President and upheld by the Supreme Court to help customers make better nutritional choices by requiring restaurants with over 20 locations to list calories on its menu. (Choi, September 12, 2012) McDonald’s move to do this is expected to have its rivals scrambling to do the same.…

    • 983 Words
    • 4 Pages
    Better Essays
    Read More
  • Best Essays

    The Golden Arches
    • 2054 Words
    • 9 Pages

    The Golden Arches

    McDonalds was born in 1940 when brothers Maurice and Richard McDonald opened up a restaurant in San Bernardino, California, which quickly became a popular, and very profitable, teen hangout. After serving about 25 different items in their restaurant, the McDonald brothers closed their original restaurant and reopened a restaurant that only served hamburgers, milkshakes and french fries. Mac and Dick turned their kitchen into a hamburger assembly line. The efficiency of the assembly line allowed the brothers to sell their burgers at a cheap price of only 15 cents and made them extremely popular, making the company a giant profit. In 1961, a man by the name of Ray Kroc bought out the McDonalds brothers and began building what would become the most successful fast food operation in the world. A milk shake machine salesman, Ray Kroc bought McDonald’s from the Donald brothers and made the burger joint into a business whose foundation was built upon conformity and uniformity. “Kroc … believed fervently in the ethic of mass production” (Schlosser, 2004). Influenced by this mass production ethic, McDonald’s developed new and uniform production methods like using frozen beef patties, instead of fresh ground beef, and creating a genetically-modified potato as opposed…

    • 2054 Words
    • 9 Pages
    Best Essays
    Read More
  • Good Essays

    Mcdonalds Financial Review
    • 571 Words
    • 3 Pages

    Mcdonalds Financial Review

    Dick and Mac Macdonald opened their establishment in 1940 in San Bernardino, California. They were originally a barbecue restaurant. In 1948 the incorporated McDonalds and opened up as a drive thru hamburger restaurant with nine menu items. In 1949, they took potato chips off the menu and added those now famous French fries. In 1955 the first modern looking McDonalds opened in Des Plaines, Illinois complete with the Golden Arches. In 1961, McDonalds University opened to train management and grow their business even greater. The restaurant made food changes an changed and evolved the menu. In 1971, the company introduced their character to include Ronald McDonald and Grimace and Hamburgler. In 1975 they introduced their breakfast line. The next big move was when they started their online website McDonalds.com in 1996. Over the years McDonalds started a national McDonalds all honor basketball team, created healthier sandwiches and breakfast items. They have been a symbol of American business success, growth, and tradition.…

    • 571 Words
    • 3 Pages
    Good Essays
    Read More
  • Powerful Essays

    Job Analysis at Mcdonalds
    • 2042 Words
    • 9 Pages

    Job Analysis at Mcdonalds

    McDonald’s’s success is the result of high quality products, high standards of performance, distinct competitive strategies and the high integrity of its people. Approximately 85% of McDonald’s restaurant businesses worldwide are owned and operated by franchisees. All franchisees are full-time operators and self-contained. The mission of the company is to be the world's top most consumers Products Company focused on convenient foods and beverages. It seeks to produce hale financial rewards to investors as it provides opportunities for growth and enrichment to its partners, its employees and the communities in which it operates.…

    • 2042 Words
    • 9 Pages
    Powerful Essays
    Read More
  • Better Essays

    Mcdonald's Corporation Case Analysis
    • 1624 Words
    • 7 Pages

    Mcdonald's Corporation Case Analysis

    McDonald 's Corporation (2008). About McDonald’s. Retrieved July 27, 2008, from McDonald 's Corporation Web site: http://www.mcdonalds.com/corp.html…

    • 1624 Words
    • 7 Pages
    Better Essays
    Read More
  • Powerful Essays

    People and Change Management (Mcdonalds)
    • 1838 Words
    • 8 Pages

    People and Change Management (Mcdonalds)

    McDonald's is one of the famous brands that have existed over the last 52 years. The company started in 1955 by Roy Croc and the first restaurant was opened in Des Plaines, US. This restaurant is no longer running and has been turned into a museum. The company is committed to improving their operations and thereby enhancing the customer's experience (McDonald's 2010).…

    • 1838 Words
    • 8 Pages
    Powerful Essays
    Read More

Related Topics