Operational Difference – Major company stake is owned by franchises
As I went through the historical span of Burger King History, the franchises of Burger King played a major part in expansion of the parent company from the early 1960’s till date. The relation of franchises and management has always been influential and significant in success and failures of Burger King History. Primarily, the company operated with major investment from franchises and minimal from the company, so the decisions and relationship with franchises was crucial.
Flame broiler a unique device that improved with decades in Burger King history
The company was set-up on the basis of the oven called ‘Insta-broiler’ for cooking burgers. The purpose had been inspired from McDonald’s speedy service. It was further mechanised into a gas grill without changing patties and self functional by means of a conveyor belt. Further, the device was also customised and technologically advanced to produce Chicken sandwich, Chicken Whopper, Veggie burger, etc.
Drive –thru service
The company though was working hard on franchises and unique device to meet operational needs; it was mainly oriented to meet demand of production at ‘Drive-thru’ restaurants. This was because the company had major part of its sales revenue i.e. 70 % from ‘Drive-thru’ operations.
Later this competence was adapted by McDonald and other competitors as well. However the effectiveness and efficiency of Burger King’s ‘Drive-thru’ was easily highlighted.
Competitive methods of Burger King
The purpose of its competitive strategy is to build a sustainable competitive advantage over the organization’s rivals. It defines the fundamental decisions that guide the organization’s marketing, financial management and operating strategies.
As there were many significant changes in the history of Burger King, eventually there were different competitive methods used in different span in history. Some of the significant competitive methods are listed as follows:
1} Initial decade in Burger king’s history, ‘Insta-broiler’ a device competitive in making burgers and technological advancements in the same gave it a competitive advantage.
2} High amount of franchises worldwide executed major ownership stake and customised operations in the outlets. This was tightened and a new company structure was formed, followed by a new competitive aptitude. [Year 1963 -1967]
3} Push sale approach led increase in competitive breakfast market and thus improve in position in market. Burger King moved to second position in US fast food market after McDonald. [Year 1982-1985]
4} Launched a Burger King Kids Club program that help the company to increase sales and successful entry into a new market segment. [Year 1990-1995]
5} Introduction of a TURNAROUND PLAN named ‘Go Forward Plan’, which was significant to attain objectives like increasing profit, create a customer image, teamwork, etc.[Year 2000]. One more advantage Burger King introduced was ‘Revamped Chicken Whopper’, helpful to compete with other competitors.
Burger King < McDonald’s (BK is simply not as big as McD)
Some of the basic company facts and objectives of both the companies, help us understand how Burger King is not as big as McDonald’s in global terms.
1941 by Richard and Maurice McDonald
1953 by Keith J.Cramer Present chain
12,150 outlets in 50 states and US territories and 74 countries
More than 31,000 outlets in 119 countries Revenue
Number of employees
1,500,000 employees (1.5 million) Customers
11.8 million customers daily worldwide
58 million customers across the globe Products offered
Flame-broiled burgers including the Whopper, Burger King also offers chicken sandwiches, fish sandwiches, French fries, onion rings, salads, chicken fries and Croissanwiches for breakfast.
McDonald’s predominantly sells...
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