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    Project Report

    On

    Consumer preferences towards Multinational eating joints (A study on

    Mc Donalds)

    Submitted In Partial Fulfilment of the Requirement for

    The Award of Degree of

    Master of Business Administration (2010-2012)

    Submitted By:

    Anoop Saini

    University Roll No. (104974775932)

    Department of Business Administration

    Under guidance of:

    Mr. Ajay kumar

    (Faculty, PCTE)

    Punjab College of Technical Education, Ludhiana

    http://images.tolmol.com/images/nwimages/80200803261740990_pcteludh.jpg
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    ACKNOWLEDGEMENT

    At the very outset, I thank the Almighty for His kind blessings, which have made

    this research work possible.

    I would like to place on record my sincere and whole hearted sense of gratitude to my

    learned guide, Mr. Ajay Kumar Department of Business Management, Punjab

    College of Technical Education, Ludhiana, for his ever willing, competent and

    generous help, continuous interest, valuable guidance and constant encouragement

    throughout the period of my study. It was his admiration and motivation that

    inculcated in me more enthusiasm and helped me in treading the right line of action.

    Sincere thanks and my deep appreciation goes to the other esteemed faculty membersof the institution whose mature guidance enlightened me during the course of my

    study.

    No appropriate word could be traced to convey my profound gratitude to my affectionate

    parents for their selfless devotion, moral support, inspiration and affection which

    always helped me to face all odds successfully.

    Words are inadequate to acknowledge my esteemed friends for their ever encouragingsupport, selfless love and care. They are valuable asset to me who have come to my

    help countless times. I extend my sincere gratitude to them.

    I hope that this study will prove to be beneficial in my near future.

    AnoopSaini

    MBA II year

    Roll No: 104974775932

    Punjab College of Technical Education, Ludhiana

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    CertificateI

    This is to certify that Research Project Consumer preferences towards Multinational

    eating joints (A study on Mcdonaldsubmitted for the partial fulfilment of requirement for

    the degree of Master of Business Administration at PCTE, Ludhiana Affiliated to Punjab

    Technical University, Jalandhar is a bonafide Research work carried out by AnoopSaini.

    University Roll no. 104974775932 under my supervision and that no part of this has been

    submitted for any degree.

    The assistance and help received during the course of the investigation have been fully

    acknowledged.

    ___________________ ____________________

    External Examiner Mr. Ajay Kumar

    (Faculty Advisor)

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    CertificateII

    This is to declare that the project title Consumer preferences towards Multinational

    eating joints (A study on Mc Donalds an authentic record of my original work carried out

    under the guidance of Mr Ajay Kumar, PCTE, Baddowal.

    The project work has been carried solely for the purpose of submission in partial fulfilment of

    MBA IB at P.C.T.E, Ludhiana.

    I further declare that I have not submitted this document to any other school, university, or

    institution in whatever manner.

    AnoopSaini

    (University Roll no. 104974775932)

    MBA 2010-2012

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    S. No CONTENTS Page No

    1.INTRODUCTION

    6-26

    2.RESEARCH METHODOLGY

    Objective Of The Study Research Design

    27-28

    3.DATA ANALYSIS AND INTERPRETATION 29-40

    4.

    FINDINGS,CONCLUSION AND SUGGESTION 41-44

    5.BIBLIOGRAPHY 45

    6.ANNEXURE 46-48

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    INTRODUCTION

    McDonalds Corporation is the worlds largest chain of fast-food

    restaurants.

    The McDonalds Corporation is of the most successful global restaurant chains around the

    world. They have used effective management and global expansion strategies to enter new

    markets and gain a share of the foreign fast food market. McDonalds has achieved this

    enormous success, its best practices in the global food industry, international growth trends

    and challenges, and various lessons that have been learned from their expansion in foreign

    countries. This shows how McDonalds creates both customer and brand loyalty for their

    products and services.

    In 1937 Brothers Dick and Mac McDonald open a hot dog stand called the Airdrome at the

    airport in Monrovia, California & in 1940 the brothers move the building to San Bernardino

    California, where they open the first McDonalds restaurant. Although McDonalds did not

    invent the hamburger or fast food,its name has become nearly synonymous with both.

    The McDonalds Golden Arches logo was introduced in 1962. It was created by Jim

    Schindler to resemble new arch shaped signs on the sides of restaurants. He merged the two

    golden arches together to form the famous M now recognised throughout the world.

    Schindlers work was a development of the stylized v logo sketched by Fred Turner, which

    was conceived as a more stylish corporate symbol than the Speedee chef character that hadpreviously used. The McDonalds name was added to the logo in 1968.

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    McDonalds has its familiar golden arches logo; McDonalds has 31,886 restaurants

    worldwide serving Big Macs, Chicken McNuggets, salads and French Fries. Most restaurants

    offer drive-thru service and some suburban location offer outdoor playgrounds for children.

    Approximately 70% of McDonalds restaurants in the U.S. has reached saturation and most

    new McDonalds are now being opened in Europe, Middle East and Asia.

    In order to be a franchisee, an individual must at least $175,000. There is about 2,400

    owner/operators system wide. McDonalds is looking to boost sales by opening restaurants

    24 hours a day. An estimated 30% of store revenue comes from breakfast sales. The company

    has instituted a dollar menu which included a double cheeseburger in a bid to boost sales

    from value-oriented customers.

    HISTORY

    McDonald's has been involved in a number of lawsuits and other legal cases, most of which

    involved trademark disputes. The company has threatened many food businesses with legal

    action unless it drops the Mc or Mac from trading names. In one noteworthy case,

    McDonald's sued a Scottish caf owner called McDonald, even though the business in

    question dated back over a century (Sheriff Court Glasgow and Strathkelvin, November 21,

    1952). On September 8, 2009, McDonald's Malaysian operations lost a lawsuit to prevent

    another restaurant calling itself McCurry. McDonald's lost in an appeal to Malaysia's highest

    court, the Federal Court.

    It has also filed numerous defamation suits. For example, in the McLibel case, McDonald's

    sued two activists for distributing pamphlets attacking its environmental, labor and health

    records. After the longest trial in UK legal history, the judge found that some claims in the

    pamphlet were untrue and therefore libellous. The company, however, had asserted that all

    claims in the pamphlet were untrue, essentially obliging the judge to publicly rule on each

    one. Embarrassingly for the company, several of the specific allegations were upheld.

    McDonald's has defended itself in several cases involving workers' rights. In 2001 the

    company was fined 12,400 by British magistrates for illegally employing and over-

    working child labor in one of its London restaurants. This is thought to be one of the largestfines imposed on a company for breaking laws relating to child working conditions (R v 2002

    EWCA Crim 1094). In April 2007 in Perth, Western Australia, McDonald's pleaded guilty to

    five charges relating to the employment of children under 15 in one of its outlets and was

    fined AU$8,000.

    Possibly the most infamous legal case involving McDonald's was the 1994 decision in The

    McDonald's Coffee Case where Stella Lie beck was awarded several million dollars after she

    suffered third-degree burns after spilling a scalding cup of McDonald's coffee on herself.

    In a McDonald's American Idol figurine promotion, the figurine that represents "New Wave

    Nigel" wears something that closely resembles Devos Energy Dome, which was featured on

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    the band's album cover,Freedom of Choice. In addition to the figurine's image, it also plays a

    tune that appears to be an altered version of Devo's song "Doctor Detroit." Devo copyrighted

    and trademarked the Energy Dome and is taking legal action against McDonald's.

    FIRST MCDONALDS

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    McDonalds Brothers

    FRANCHISEES

    Franchising refers to the methods of practicing and using anotherpersons philosophy of

    business. The franchisor grants the independent operator the right to distribute its products,

    techniques, and trademarks for a percentage of gross monthly sales and a royalty fee. Various

    tangibles and intangibles such a national or international advertising, training and othersupport services are commonly made available by the franchisor. Agreements typically last

    five to twenty years, with premature cancellation or terminations of most contracts bearing

    serious consequences for franchisees.

    McDonalds does business in more than 30,000 restaurants in 119 countries around the world

    serving 47 million customers each day. In many countries around the world it does not have a

    presence and its current strategy is to focus on the markets where it does not do business. No

    firm date has been established for the opening of new markets. In certain markets

    McDonalds have a presence but it is not seeking franchisees and it has included instructions

    regarding those markets. McDonalds sincerely appreciate the customers expressed interest inMcDonalds ad their continued of our restaurants.

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    MCDONALS INDIA

    A 50-50 joint venture partnership between McDonalds Corporation (USA) and two Indian

    business, McDonalds began its journey in India in Oct 1996. Plaza Restaurants Pvt. Ltd

    headed by Vikram Bakshi owns and operates the northern and eastern operations which

    include restaurants in New Delhi, Uttar Pradesh, Rajasthan, Punjab, Haryana, West Bengel

    etc.

    Amitjatias company Hardcastle Pvt. Ltd. Owns and operates McDonalds restaurants in

    West and South India. HRPL has restaurants in Maharashtra, Madhya Pradesh, Karnataka

    and Andhra Pradesh, Chennai and its growing rapidly.

    The head office for Hardcastle Restaurants Pvt.Are spread across two building in Mumbai,

    one at Bhulbhai Desai Road and the other at Santacruz. The head office houses all the support

    departments required to run the restaurants in the western and southern region.

    These includes:-

    Construction

    It is involves in all construction and design related work for the stores as per McDonalds

    standards. It prepares project plans for new stores to be put to the management and

    implements the same after approval.

    Country Purchase

    All the purchases of raw material for restaurants products are done by the country purchase

    department team for both the Delhi and Mumbai markets. It works as a national supply

    chain. The main aim is to purchase the best quality material from the authorized supplier

    and at lowest possible cost. Once the material is ordered by a country purchase it first goes

    to the distribution centre and then to the restaurants according to their requirement.

    Country Quality Assurance & Product Development

    This department works closely with the country purchase department. It looks after the

    quality of both raw material and of finished product. It develops new product for the menu

    based on customer preference.

    Finance & Information technology

    It looks after all the day to day financing accounting transactions and taxation related

    activities of the application of Information Technology to the company processes.

    Corporate Affairs

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    It associates with brand building and protection of the brands. It Works closely with real

    estate in doing feasibility studies for sites from a legal angel. It looks license and liaison

    activities of the company with outside agencies, i.e. regarding media and government

    authority.

    Legal & Company Secretarial

    It helps the company sign legal deals for the restaurants sites. It safeguards the interest of

    the company and act as guardians of the company as regards to its legal functions. It

    provides advisory support to the other departments as regards legal issues and compliance

    with applicable laws.

    People Resources/Human Resources

    It concludes activities related to recruitment, selection, remuneration, retention, and

    matter related to employee satisfaction.

    Training, Learning & Development

    It is responsible for the training and development of employees involved in operational

    activity and the employees in the corporate office.

    Operation

    This department id responsible for the day to day functioning of the restaurants in a

    profitable manner.

    Marketing & Communication

    It is responsible for brand positioning increasing brand awareness and thus resulting in

    increased sales. It is also responsible for advertising, media relation and implementation

    various product promotion schemes like Happy Meals, Value Meals, etc.

    OUR VISION

    McDonald's vision is to be the world's best quick service restaurant experience. Being thebest means providing outstanding quality, service, cleanliness, and value, so that we make

    every customer in every restaurant smile.

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    Our Values

    Our vision is supported by a set of core values:

    Dedication to provide customers unparalleled levels of Quality, Service, Cleanliness and

    Value.

    Commitment with the people, because it knows that a diverse team of well-trained

    individuals, working together, is the key to its continued success.

    To approach all aspects of business with honesty and integrity.

    It backs to the system that provides success.

    Celebrating the achievements, yet we always strive to achieve new heights.

    Challenges in Entering Indian Markets

    Regiocentricism: Re-engineering the menu -McDonalds has continually adapted to

    the customers tastes, value systems, lifestyle, language and perception. Globally

    McDonalds was known for its hamburgers, beef and pork burgers. Most Indians are

    barred by religion not to consume beef or pork. To survive, the company had to beresponsive to the Indian sensitivities. So McDonalds came up with chicken, lamb and

    fish burgers to suite the Indian palate.

    The vegetarian customerIndia has a huge population of vegetarians. To cater to this

    customer segment, the company came up with a completely new line of vegetarian items

    like McVeggie burger and McAlooTikki. The separation of vegetarian and non-

    vegetarian sections is maintained throughout the various stages.

    Segmentation, Targeting and Positioning

    McDonalds uses demographic segmentation strategy with age as the parameter. The main

    target segments are children, youth and the young urban family.

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    As shown above, kids reign supreme in FMCG purchase related to food products. So to

    attract children McDonalds has Happy Meal with which toys ranging from hot wheels to

    various Walt Disney characters are given (the latest in this range is the toys of the movie

    Madagascar). For this, they have a tie-up with Walt Disney. At several outlets, it also

    provides special facilities like Play Place where children can play arcade games, air

    hockey, etc. This strategy is aimed at making McDonalds a fun place to eat. This also helps

    McDonalds to attract the young urban families wanting to spend some quality time whiletheir children have fun at the outlet. To target the teenagers, McDonalds has priced several

    products aggressively, keeping in mind the price sensitivity of this target customer. In

    addition, facilities like Wi-Fi are also provided to attract students to the outlets like the one at

    Vile Parle in Mumbai.

    Mc Donalds meinhai kuch baatprojects McDonalds as a place for the whole family to

    enjoy. When McDonalds entered in India it was mainly perceived as targeting the urban

    upper class people. Today it positions itself as an affordable place to eat without

    compromising on the quality of food, service and hygiene. The outlet ambience and mild

    backgroundmusic highlight the comfort that McDonalds promises in slogans like You

    deserve a Break today & Feed your inner child. This commitment of quality of food

    and service in a clean, hygienic and relaxing atmosphere has ensured that McDonalds

    maintains a positive relationship with the customers.

    71%

    59%52%

    0%

    10%

    20%

    30%

    40%

    50%

    60%

    70%

    80%

    Biscuits Burgers & Pizzas Fruit Juices

    % of kids who influence what FMCG brand their

    family buys

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    Customer Perception and Customer Expectation

    Customer perception is a key factor affecting a products success. Many potentially

    revolutionary products have failed simply because of their inability to build a healthy

    perception about themselves in the customers minds. McDonalds being an internationally

    renowned brand brings with it certain expectations for the customers.

    Customers expect it to be an ambient, hygienic and a little sophisticated brand that respects

    their values. The customers expect the brand to enhance their self-image. Customer

    responses obtained at the Vile Parle, Mumbai outlet confirmed the fact that they connectstrongly with the brand. However, fulfilling some of the customer expectations like a broader

    product variety provide McDonalds a great scope for improvement.

    McDonalds Marketing Mix (5 Ps)

    After segmenting the market, finding the target segment and positioning itself, each company

    needs to come up with an offer. The 5 Ps used by McDonalds are:

    1. Product

    2. Place

    3. Price

    4. Promotion

    5. People

    Target Segment What is McDonalds for me?

    A Family with children A treat to children, a fun place to be for the children.

    Urban customer on the move Great taste, quick service without affecting the work schedule

    Teenager Hangout with friends, but keep it affordable.

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    Product:How should the company design, manufacture the product so that it enhances

    the customer experience?

    Product is the physical product or service offered to the consumer. Product includes certain

    aspects such as packaging, guarantee, looks etc. This includes both the tangible and the non-

    tangible aspects of the product and service.

    McDonalds has intentionally kept its product depth and product width limited. McDonaldsstudied the behaviour of the Indian customer and provided a totally different menu as

    compared to its International offering. It dropped ham, beef and mutton burgers from the

    menu. India is the only country where McDonalds serve vegetarian menu. Even the sauces

    and cheese used in India are 100% vegetarian. McDonalds continuously innovates its

    products according to the changing preferences and tastes of its customers. The recent

    example is the introduction of the Chicken Maharaja Mac.

    McDonalds bring with it a globally reputed brand, world class food quality and excellent

    customer specific product features.

    Place: Where should be the product be available and the role of distribution channels?

    The place mainly consists of the distribution channels. It is important so that the product is

    available to the customer at the right place, at the right time and in the right quantity.

    Nearly 50% of U.S.A is within a 3 minute drive from a McDonalds outlet.

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    There is a certain degree of fun and happiness that a customer feels each time he dines at

    McDonalds. There are certain value propositions that McDonalds offer to its customers

    based on their needs. McDonalds offers hygienic environment,good ambience and great

    service. Now McDonalds have also started giving internet facility at their centres and they

    have been playing music through radio instead of the normal music. There are certain

    dedicated areas for children where they can play while their parents can have some quality

    time together.

    Price: What should be the pricing strategy?

    Pricing includes the list price, the discount functions available, the financing options

    available etc. It should also take into the consideration the probable reaction from the

    competitor to the pricing strategy. This is the most important part of the marketing mix as this

    is the only part which generates revenue. All the other three are expenses incurred. The price

    must take into consideration the appropriate demand-supply equation.

    McDonalds came up with a very catchy punch line Aapkezamanemein

    ,baapkezamanekedaam. This was to attract the middle and lower class consumers and the

    effect can clearly be seen in the consumer base McDonalds has now.

    McDonalds has certain value pricing and bundling strategies such as happy meal, combo

    meal, family meal etc to increase overall sales volumes.

    Promotion:What is the suitable strategy and channels forpromotion of the product?

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    The various promotion channels being used by McDonalds to effectively communicate the

    product information are given above. A clear understanding of the customer value helps

    decide whether the cost of promotion is worth spending.

    There are three main objectives of advertising for McDonalds are to make people aware of

    an item, feel positive about it and remember it. The right message has to be

    communicated to the right audience through the right media. McDonalds does its

    promotion through television, hoardings and bus shelters. They use print ads and the

    television programmes are also an important marketing medium for promotion.

    Some of the most famous marketing campaigns of McDonalds are:

    You Deserve a break today, so get up and get away- To McDonalds

    Aapkezamanemein ,baapkezamanekedaam.

    Food, Folks, and Fun

    Im loving it.

    People:How to converge the benefits of internal and external marketing?

    McDonalds understands the value of both its employees and its customers. It understands the

    fact that a happy employee can serve well and result in a happy customer.

    McDonald continuously does Internal Marketing. This is important as it must precede

    external marketing. This includes hiring, training and motivating able employees. This way

    they serve customers well and the final result is a happy customer.

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    The level of importance has changed to be in the following order (the more important people

    are at the top):

    1. Customers

    2. Front line employees

    3. Middle level managers

    4. Front line managers

    The punch line Im loving it is an attempt to show that the employees are loving their work

    at McDonalds and will love to serve the customers.

    The McDonalds Experience

    Marketing in a services industry is becoming an increasingly complex challenge. The

    paradigms of service marketing demand a passionate understanding of customer expectations

    and perceptions, and linking them to product design & delivery as well as operational

    planning. This is where McDonalds has excelled due to its ability to successfully integrate

    the customers perspective in its products and operations in a comprehensive manner. The

    revamped menu in India is an example of McDonalds strategy of integrating the customers

    perspective in its products. And, the operational integration is evident from McDonalds

    emphasis on its suppliers as its customers as well as its treatment of its consumers as co-

    producers of services.

    The ultimate aim of Service Marketing is not just to become a Service Leader but to create a

    Service Brand. The Service Delivery Process is the key to achieving this aim of Service

    Marketing.

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    During the Service Delivery Process, each moment of interaction between the firm and the

    customer, called Moments of Truth, helps understand the opportunities that a firm has to

    win or lose the customer. For example, these moments of truth are created for McDonalds

    every time the guard at the McDonalds outlet meets the customer, every time an attendant

    takes down the order from the customer waiting in the queue, every time the cashier interacts

    with the customer, every time the attendant helps the customer guided the customer towards

    the table, every time the attendant cleans the table, etc.

    Core Product

    Supplementary Process

    Service Delivery Process

    Customer

    Service Provider Service Delivery Points

    Moments Of Truth The Service Encounter

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    Managing these moments of truth is a great challenge in Service Marketing especially due

    to customers involvement as a co-producer of services (e.g. McDonalds self-service concept

    wherein the customer not only collects the order but also cleans the table after consuming the

    food). However, McDonald's has been able to create a great experience for its customers by

    understanding the nature of the entire Service Delivery Process and the various stages in the

    process that are exposed to the customers. Transparency in the processes at its outlet has

    helped McDonalds bring the back office in its outlet at the front so that the customer is able

    to know the operations and provide feedback on service design improvements.

    Internal Customer Focus is equally important as External Customer Orientation in order to

    win these moments of truth. McDonalds focus on its People and their service delivery

    methods therefore plays a very important role in creating a successful Service Brand. The

    quality and the consistency of the service delivered by McDonalds have been greatly

    enhanced by the combination of the factors mentioned above. This has helped McDonalds

    become Service Leader and a successful Service Brand. This is evident from the fact that

    very few of its customers opt for take-home parcels or home deliveries while most of them

    prefer to eat at the outlet and enjoy the McDonalds experience.

    McDonald zing the Suppliers

    McDonalds has changed the nature of not only the food service industry but also the food

    processing industry as well. McDonalds realized that the battle between fast food chains

    would increasingly be one of efficiency of supply, lower cost production and greater desire to

    innovate. It pioneered with innovative and sophisticated food distribution and packaging

    systems when the traditional food processors were unwilling or unable to supply food items

    that McDonalds demanded. They achieved amazing consistency by devoting more attention

    than anyone else to field service and training at store level. Production was concentrated in

    huge plants devoted exclusively to McDonalds. McDonalds also started with tiny suppliers

    and grew with them displaying great loyalty.

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    Nowhere is the supplier loyalty more evident than in development of new, improved

    products. Some of McDonalds classic food items like Filet-o-Fish, French Fries, Chicken

    Nuggets etc. are results of supplier innovation. Interestingly, it took KFC more than three

    years before in finally introduced its own version of chicken nuggets. Thus supplier

    technological expertise had given McDonalds a product which was not a mere marketinginnovation but a technical one. McDonalds attempted to squeeze labour out of the stores by

    moving more preparation back into the processing plant, creating the opportunity to develop

    unique products based on suppliers processing skills.

    Importance of PLC in McDonalds

    The requirements of customers change over time and thus the product offering has to be

    changed accordingly. What is the fashion today may be out of market within few weeks.Thus continuous innovation is required.

    To counter these changes McDonalds has continuously introduced new products and has

    phased out the old ones which were at the decline stage of their PLC. The introduction is

    timed such that the new product does not cannibalize the product already in the maturity or

    growth stage. Thus the secret lies in getting profits with different products in the different

    stages of the PLC.

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    A perfect example of revitalising a product in decline phase

    The French Fries have been an important part of the McDonalds menu worldwide. But now

    it was in the stage of decline and was actually not generating proper return. In an attempt to

    revitalize it, a new variant was introduced namely Shake Shake Fries. This is being served

    with chatpata spice mix which has resulted in increase in the sales of French Fries and has

    elevated it from to the decline stage. This is used to delay the decline of a well established

    product which has the potential of generating further revenue.

    Competitors Analysis

    McDonalds has been a leading fast-foods outlet in Vile Parle. But the outlet understudy has

    other competitors eating away into its market share. In addition to its traditional rivalsKFC,

    Dominos, Pizza Hutthe firm encounters new challenges. Jumbo King competes using a

    back-to-basics approach of quickly serving up burgers for time-pressed consumers. On the

    higher end, the KFC has become potent competitor in the quick service field, taking away

    customers from McDonalds. Perhaps in the new environment, fast, convenient service is no

    longer enough to distinguish the firm. At this time, a new critical success factor may be

    emerging: the need to create a rich, satisfying experience for consumers. This brings us to

    service and experience based competition which McDonalds can use for competitive

    advantage against Jumbo King. Keeping in mind the demographics of the area, McDonalds

    has Wi-Fi enabled the outlet to cater to the student community. It is for this overall Food,

    Fun & Folks experience that customerspay a premium over the other competitors.

    Competition also reduces product lifecycle; inducing firms to revise their products

    portfolios and to revisit their product market to understand changing needs, expectations and

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    perception of different market segments. The new McBreakfast would be introduced between

    6 to 11 am as a pilot project. This would open up a whole new revenue stream for

    McDonalds by tapping into the student and working population by providing a healthy and

    wholesome breakfast. This shows how demographic shift can affect the demand for products

    and services. McDonalds has anticipated these changes to maintain its competitive edge.

    Two Dimensional Perceptual Mapping

    SWOT Analysis

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    The Road Ahead

    Entr y to Tier 2 and Tier 3 citiesThe main target customer for McDonalds is the

    new urban Indian family. With the customer demographics constantly changing and

    tectonic social and cultural shifts being observed in Tier 2 and Tier 3 cities due to

    globalization, the company is now expanding to Tier 2 cities like Pune and Jaipur.

    Roll ing out M cBreakfast across all outletsIn India, the company has recently

    launched its entry into the breakfast food category. This is now launched on a pilot

    basis on select stores. In Mumbai, it available at the Vile Parle outlet. The company

    views this category as a key growth driver in future.

    Exhibits

    1. McDonalds Indian Menu

    Vegetarian Non Vegetarian

    McVeggie Chicken Maharaja Mac

    McAlooTikki McChicken Burger

    Paneer Salsa Wrap Shahi Chicken McCurry

    Crispy Chinese Wrap Chicken Mexican

    McCurry Pan Fillet-O-Fish

    Pizza McPuff

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    Vegetarian Menu

    Non-Vegetarian Menu

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    CHAPTER 2

    Research Methodology

    OBJECTIVES OF STUDY

    1) To study the consumer preference towards McDonalds .

    2) To know about the eating behaviour of consumer.

    3) To study the level of satisfaction of consumer.

    Research Design

    A research design is the arrangement of condition for collection and analysis of data in a

    manner that aims to combine relevance to the research purpose with the economy in

    procedure Intact the research design is the conceptual structure within which research is

    conducted it constitutes the blue prints for the collection, measurement and analysis of data.

    As such the design includes an outline of what the researcher will do from writing the

    hypothesis and its operational implication to the final analysis of data.

    For this research work Explotory design is used, it includes survey and fact-findings, enquires

    of different kinds. The major purpose Explotoryof research is description of the state of

    affairs, as it exists at preset. In this method the reach has no control over the variable he/she

    can only report what had happened and what is happening this study tries to describe the

    McDonalds.

    Sampling Design

    There are numbers of consumers of McDonalds. The objective of study is to consumer

    preference towards McDonalds. .Before selecting sampling technique it is necessary to

    planning about sample.

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    SAMPLING TECHNIQUE

    For this research work I have applied judgmental and convenience sampling method.

    SAMPLING SIZE

    Sample size: The sampling size for this research is 50 only.

    SOURCE OF DATA

    Primary Source

    Primary data have been collected through personal observations, and discussions with

    variousconsumers of McDonalds.

    To evaluate the effectiveness of consumer preference a survey was conducted on a sample of

    50 consumers. In this study the primary data was collected through well designed

    questionnaires.

    Secondary Sour ce

    Through Internet

    Scope ofThe Study

    Ludhiana

    TOOL OF DATA COLLECTION

    The tool used for data collection in research is questionnaires. A structured questionnaire was

    carefully developed and before actually distributing it was checked by internal guides while

    designing the questionnaires researcher have used close-ended type of questions.

    It is easy way to obtain the information .Otherwise they are very busy. They do not have

    enough time to share something.

    Scaling

    In this project information is related to consumer preference towards McDonalds

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    CHAPTER -3

    ANALYSIS & INTERPRETATION

    Here, an attempt has been made to interpret and analysis the information collected

    through primary data. Here the information gathered and compiled has been represented

    through graphs and different chart.

    These include thefollowing:

    Q1. Which fast food you join to prefer

    McDonalds

    Kfc

    Subway

    Other

    INTERPRETATION:-

    The chart reveals the consumer preference towards fast food. 55% of the sample were

    satisfied with the McDonalds. While 25% are preferedkfc ,9% are prefered subway and

    11% are others.

    55%

    25%

    9%

    11%

    Preference

    McDonald's

    KFC

    Subway

    Other

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    Q2. Which is your favourite product at McDonalds

    Maharaj Mac

    Mc Chicken Burger Mc Veg. Burger

    French Fries

    Mc Curry Pan

    File To Fish

    Others

    Interpretation:-

    The chart reveals the favourite food at McDonalds. Mostly the consumer in favour of French

    fries . While 18% consumers in favour of mc chicken burger, 12% in favour of mc veg burger

    and rest are other products.

    Favourite Product

    6%

    18%

    12%

    34%

    12%

    8%

    10%

    MAHARAJ MAC

    MC CHICKEN

    BURGER

    MC VEGGIE

    BURGER

    FRENCH FRIES

    MC CURRY PAN

    FILETO FISH

    OTHERS

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    Q3. Is the product line in McDonalds adequate

    Yes

    No

    Average

    INTERPRETRATION:-

    The chart reveals the product line of McDonalds. 38%of thesample were satisfied with

    Average. While 34% consumers that they are unsatisfied with product line and 28%

    satisfied with product line.

    Is the product line adequate?

    28%

    34%

    38%YES

    NO

    AVERAGE

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    Q4.What is the mainproblem you faced at McDonalds

    Long Queues

    Rude Behaviour of Employees

    Congestion

    Other

    No problem

    Interpretation:-

    The chart reveals the main problem faced in McDonalds. 40% of the consumers were not

    facing any problem. While 24% werefaced long queues, 16% were faced congestion and

    other.

    Problems Faced in McDonald's

    24%

    4%

    16%

    16%

    40%

    Long Queues

    Rude Behavior of

    Employees

    Congestion

    Other

    No Problem

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    Q5. Which area do you think needs the most improvement

    Delivery Time

    Capaciousness

    Product Variety

    Prices

    Offers and discounts

    Others

    Interpretation:-

    The chart reveals improvement required in McDonalds. 30%of the sample said that

    product variety, 24% said that prices, 20% said that offers and discounts and others were etc.

    Improvement Required

    10%

    6%

    30%

    24%

    20%

    10%

    Delivery Time

    Capaciousness

    Product Variety

    Prices

    Offers anddiscounts

    Others

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    Q6. What is the first thing that strikes your mind about McDonalds

    Burger

    Golden Arches

    Service

    Value for money

    Fun

    Interpretation

    The chart reveals the first thing about McDonalds strikes Consumers mind. 30% of the

    sample was satisfied with burger, 26% with Golden Arches, 18% with service, 22% with

    fun and rest were value for money.

    First Thing About McDonald's That

    Strikes Consumer's mind

    30%

    26%

    18%

    4%

    22%

    Burger

    Golden Arches

    Service

    Value for Money

    Fun

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    Q7.How often do u eat at McDonalds

    Once in a year

    Once a month.

    Once a week

    Everyday

    Interpretation:-

    The chart reveals the 40% of the sample satisfy with once in month, while 35% were once a

    week, 20% of the consumers once in a year and rest 15% were everyday.

    20

    4035

    15

    Eat At McDonald's

    Once a year

    Once a mon

    Once aweek

    Everyday

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    Q8.Would u says that McDonalds is healthy

    Yes

    No

    Not Sure

    Interpretation

    The chart reveals the McDonalds healthy. 40% of the consumers were satisfied with

    McDonalds. While 30% were unsatisfied and rest were not sure.

    40

    30

    30

    Healthy

    Yes

    No

    Not Sure

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    Q9. Does price affect what you buy.

    Yes

    No

    Interpretation:-

    The chart reveals the price effect.65%of thesample was satisfied while 35% were unsatisfied.

    65

    35

    Price Effect

    Yes

    No

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    Q10.Have you ever had to wait in a line for more than 5 minute

    Yes

    No

    Interpretation:-

    The chart reveals that 69% of the consumers are not satisfied with wait in line. While 31% of

    the consumers are satisfied.

    31

    69

    Wait in line

    Yes

    No

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    Q11.Why do u eat at McDonalds

    Tastes food

    Cheap

    Convenient

    I dont eat at McDonalds

    Interpretation:-

    Chart exhibits the consumersopinion on McDonalds. 45% of the consumers satisfied with

    tastes food. While 30% were satisfied with convenient and rest were others.

    45

    15

    30

    10

    Why Eat

    Tastes good

    Cheap

    Convenient

    I don't eat at

    McDonald's

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    Q12.What time of the day do you prefer to eat there.

    Breakfast

    Lunch

    Dinner

    Dessert

    Snack

    Interpretation:-

    Chart reveals the time of the day consumers prefer to eat. 25% were satisfied with snacks and

    lunch. While others were i.e. 20% were satisfied with dessert and rest were others.

    15

    25

    15

    20

    25

    Time

    Breakfast

    Lunch

    Dinner

    Dessert

    Snack

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    CHAPTER-4

    FINDINGS

    The following are the findings:

    1.75% consumers are satisfied with theproducts of McDonalds rest of the respondent not

    satisfied.

    2. It is observed that majority of the consumers 98% are very much satisfied with the

    facilities that they are receiving.

    3. Majority of the employees 79% are feeling good about the McVeg.that is provided by the

    McDonalds. .

    4. Majority of the consumers 96% have the more satisfaction regarding the more product

    variety rest of the respondent not satisfied. .

    5. 90% respondents are satisfied with delivery response and 10% are not satisfied with

    delivery response.

    6. Majority of the consumers 85% are feeling good about McDonaldsbut 15% are not.

    7. 30% respondents are satisfied with their product line but 70% are not.

    8. It is observed that majority of the consumers 60% are very much satisfied with the

    McDonalds rest of the respondent not satisfied.

    9. 65% of the consumers affected with the price ofMcDonalds than 35% was not.

    10. All the consumers have satisfied with their delivery system.

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    SUGESSTIONS

    The following are the suggestions:

    1. McDonalds should provide the facility buy one get one free on costly products.

    2. McDonalds should more concentrate on their product line.

    3. McDonalds should provide the discounts to all the consumers on festival days.

    4. McDonalds should provide the facility of home delivery.

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    Limitations of Study

    1. Certain limitations were inherent with this project work.

    2. 100% response rate was not found from the respondents. Some extent of biasness was

    found because of Brand loyalty while answering the questions

    3. Potential biases such as reluctance of consumers, executives etc.

    4. Lack of interest of the respondent was one of the major problems.

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    Conclusions

    McDonald takes the share on this attribute by providing the customer with fast and

    friendly services

    At McDonald we get your order usually within 60-90 seconds from the time it is

    placed. Providing the customer fast and friendly services is the philosophy of

    McDonald's. This is the big advantage McDonald's is having over the other

    restaurants.

    The customer satisfaction levels are better than the other competitors McDonald's.

    The advantage McDonald having over the other restaurant is I) Ambiance ii)Employee behaviour iii) Cleanliness and iv) Price

    There is a price and service quality factor today, which the customer is looking for. It

    is giving an edge to McDonald's.

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    CHAPTER 5

    BIBLIOGRAPHY

    1. Marketing Management Dr. RajanSaxena

    2. McDonalds Behind the Arches John S Love

    3. www.Mcdonaldsindia.com

    4. Outlet ManagerMcDonalds Vile Parle

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    Chapter-6

    ANNEXURE

    Questionnaire

    Q1. Which fast food you join to prefer?

    a) McDonalds b)KFC

    c) Subway d) Others

    Q2.Which is your favourite product at McDonalds?

    a) Maharaj Mac b) Mc Chicken Burger

    c) Mc Veg. Burger d) French Fries

    e) Mc Curry Pan f) File to Fish

    g) Others

    Q3. Is the product line in McDonalds adequate?

    a) Yes b) No

    c) Average

    Q4.What is the main problem you faced at McDonalds?

    a) Long Queues b) Rude Behaviour of Employees

    c) Congestion d) Other

    e) No problem

    Q5.Which area do you think needs the most improvement?

    a) Delivery Time b) Capaciousness

    c) Product Variety d) Prices

    e) Offers and discounts f) Others

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    Q6.What is the first thing that strikes your mind about McDonalds?

    a)Burger b)Golden Arches

    c) Serviced) Value for money

    e) Fun

    Q7.How often do u eat at McDonalds?

    a) Once a year b) Once a month.

    c) Once a week d)Everyday

    Q8..Would u says that McDonalds is healthy?

    a) Yes b) No

    c) Not Sure

    Q9.Does price affect what you buy?

    a) Yes b) No

    Q10.Have you ever had to wait in a line for more than 5 minute?

    a) Yes b) No

    Q11.Why do u eat at McDonalds?

    a) Tastes food b) Cheap

    c) Convenient d) I dont eat at McDonalds

    Q12.What time of the day do you prefer to eat there?

    a) Breakfast b) Lunch

    c) Dinner d) Dessert

    e) Snack

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    Please dont forget to mention your personal information

    Name: --------------------------------

    Business / Profession: --------------------------------

    Gender --------------------------------

    Contact No. ------------------------------

    SIGNATURE-___________


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