Mcd project.docx

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o Internal data may be maintained at a level of aggregation too extreme beuseful as inputs

o Census geographic areas not the same as geographic areas of interest to thecompany - often too aggregated.

o Mismatch between purpose collected and purpose used.o Records may not be well maintained or organized.o The quality of internal secondary data may be exaggerated or biased.


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CHAPTER2


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COMPANYS PROFILE

2.1COMPANYS OVERVIEW

McDonald's Corporation is the world's largest

chain of hamburger fast food restaurants, serving

around 68 million customers daily in 119

countries. Headquartered in the United States, 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.

A McDonald's restaurant is operated by either a franchisee, an affiliate, or the corporation

itself. The corporation's revenues come from the rent, royalties and fees paid by the

franchisees, as well as sales in company-operated restaurants. McDonald's revenues grew 27

percent over the three years ending in 2007 to $22.8 billion, and 9 percent growth in

operating income to $3.9 billion.

McDonald's primarily sellshamburgers,cheeseburgers,chicken,french fries,breakfast items,

soft drinks,milkshakes anddesserts.In response to changing consumer tastes, the company

has expanded its menu to includesalads,wraps,smoothies and fruit
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2.2HISTORY

McDonald's corporate logo used from 1968 to 2006. It still exists at some restaurants.

Theoldest operating McDonald's restaurant was the

third one built, opening in 1953. It is located at

10207 Lakewood Blvd. at Florence Ave. inDowney,

California (at

335650N 1180706W33.9471N 118.1182W).

The business began in 1940, with a restaurant

opened by brothers Richard and Maurice McDonald at 1398 North E Street at West 14th

Street inSan Bernardino, California (at

340732N 1171741W34.1255N 117.2946W). Their introduction of the "Speedee

Service System" in 1948 furthered the principles of the modern fast-food restaurant that the

White Castle hamburger chain had already put into practice more than two decades earlier.

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". Speedee was eventually replaced with Ronald McDonald

by 1967 when the company first filed a U.S. trademark on a clown shaped man having puffed

out costume legs.
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McDonald's first filed for a U.S. trademark on the name "McDonald's" on May 4, 1961, with

the description "Drive-In Restaurant Services", which continues to be renewed through the

end of December 2009. In the same year, on September 13, 1961, the company filed a logo

trademark on an overlapping, double arched "M" symbol. The overlapping double arched

"M" symbol logo was temporarily disfavored by September 6, 1962, when a trademark was

filed for a single arch, shaped over many of the early McDonald's restaurants in the early

years. Although the "Golden Arches"appeared in various forms, the present form as a letter

"M" did not appear until November 18, 1968, when the company applied for a U.S.

trademark. 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, and the company became listed on the public stock markets in

1965.

PRODUCTS

McDonald's predominantly sells hamburgers, various types of chicken sandwiches and

products, French fries, soft drinks, breakfast items, and desserts. In most markets,

McDonald's offerssalads andvegetarian items,wraps and other localized fare. On a seasonal

basis, McDonald's offers the McRib sandwich. Some speculate the seasonality of the McRib

adds to its appeal. Various countries, especially in Asia, are currently serving soup. This local
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deviation from the standard menu is a characteristic for which the chain is particularly

known, and one which is employed either to abide by regional food taboos (such as the

religious prohibition of beef consumption inIndia)or to make available foods with which the

regional market is more familiar (such as the sale of McRice in Indonesia). In Germany,

McDonald's sells beer.

List of famous Products accross the GLOBE :

BURGERS

Big Mac: Along with the Quarter Pounder with cheese, this is one of the twoMcDonald's signature menu items, introduced in 1967 as a response to the flagship

burger atBig Boy restaurants. Two 1.6-ounce (45 g) (approx. uncookedweight)ground beefpatties, special Big Mac sauce (similar toThousand Islanddressing), shredded iceberg lettuce, cheese, two gherkin slices, and re-hydrated onionson a toasted sesame seed bun, with an additional middle bun (called a "club layer")separating both beef patties. In Australia a Big Mac average serving size is 201 grams.

Big N' Tasty:The Big N' Tasty consists of a seasoned quarter-pound (4 oz, 113.4 g)beef patty with ketchup, mayonnaise, slivered onions, two dill pickle slices, leaflettuce, and one tomato slice on a sesame seed bun. The Big Tasty configuration issomewhat different, consisting of a third-pound (150 g) beef patty, 5-inch sesameseed bun, square-cut lettuce, two tomato slices, sliced onions, three slices of

Emmental cheese, and Big Tasty sauce (which has a smoke flavour). The Big TastyBacon variant also contains strips of bacon. This variant is not sold in the USA, onlyinternationally.

Quarter Pounder: Along with the Big Mac, this is one of the two McDonald'ssignature menu items. 4-ounce (113 g) (approx. uncooked weight)ground beefpattywith ketchup, mustard, slivered onions, two gherkin slices (many countries don'tinclude gherkins), and two slices of cheese. The Quarter Pounder was invented byAlBernardin, afranchise owner and former McDonald's Vice President ofproductdevelopment, at his McDonald's inFremont, California, in 1971. In some marketsunfamiliar withImperial measurements (such as France), it is known as a RoyalCheese, or variants thereof, such as McRoyale.[4]Also available as the DoubleQuarter Pounder with Cheese, which includes another patty of the same proportionsand a slice of cheese, or as a quad sandwich in parts of Australia.

Hamburger andcheeseburger: a 1.6-ounce (45 g) ground beef patty, with 0.125ounces (3.5 g)ketchup,mustard, a singledill pickle,re-hydratedonions,on a toasted

bun. At one time early in McDonalds history, the pickle was removed from thesandwich.[5]Also sold as a double or triple, adding an extra pickle slice for each beef

patty added. The double cheeseburger was originally offered as a promotional item inthe 1950s, and was added to the regular menu in 1965. A triple burger and a bacon

double cheeseburger are optional items and are not always available in all restaurants
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or markets. A green chilli double cheeseburger withchilli peppers is offered inNewMexico.In Australia the average serving size for a Cheeseburger is 110 grams.

Double Cheeseburger has two 1.6-ounce (45 g) ground beef patties, with 0.125ounces (3.5 g)ketchup,mustard, two slices ofdill pickle,re-hydratedonions,and two

pieces of cheese on a toasted bun.

The McDouble McDouble, similar to a Double Cheeseburger, but with just one slice of cheese.

Reintroduced as a permanent dollar-menu item in December 2008 had previouslybeen a short-term product in 1997, advertised with "Eddie the Echo."

Daily Double Similar to the double cheeseburger, however the toppings aredifferent. The Daily Double is made with lettuce, tomato, slivered onions, andmayonnaise. It also has only one slice of cheese, rather than the two slices that are onthe double cheeseburger. In 2011 and 2012, the item was test marketed in variousregional locations.

CHICKEN,FISH AND PORK

McChickenAlso offered as the Hot 'n Spicy in some markets, it is a mildly spicychicken sandwich. Made from 100% ground white meat chicken, mayonnaise, and

shredded lettuce, on a toasted bun. It was introduced in 1980, then later removed, but

then later reintroduced in 1988. In some markets it is not spicy, and in others a cajun

spiced version is also offered. It still remains one of the biggest sellers, just behind the

Big Mac. This was replaced with the Crispy Chicken Deluxe in 1996 and brought

back in 1998. In Australia the average serving size for a Mc Chicken is 185 grams.

Premium chicken sandwichesThe Classic is arebranding of the Crispy Chicken andChicken McGrill sandwiches, with mayonnaise, leaf lettuce, and a tomato slice. The

RanchBLT contains ranch sauce instead of mayonnaise and includes bacon. The Club

is similar to the Classic with added bacon and a piece of Swiss cheese.
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Southern Style Chicken Sandwich A southern-style fried chicken breast filet, on asteamed bun, dressed with butter and two pickles. Nearly identical to a Chick-fil-

A chicken sandwich.

Snack Wrap McDonald's version of awrap made withwhite meatchickenbreast (crispy or grilled),lettuce,shreddedCheddar cheese andMonterey Jack cheese,

and a sauce (Spicy Buffalo,Ranch,Honey Mustard,Chipotlebarbecue, or Salsa Roja,

the breakfast sauce on the McSkillet), wrapped in a soft flourtortilla. Officially

launched on July 1, 2006.

Chicken Fajita Chicken, cheese, red and greenbell peppers,and diced onions in aflour tortilla. Comes with Picante sauce packets on request, which are available in

mild and spicy. Available in only a few markets.

Chicken McNuggetsIntroduced in 1980 as a replacement for the McChicken, theseare small chicken chunks served with dipping sauces ofBarbecue,Sweet n'

Sour,Honey,andHot Mustard.Available in 4, 6, 10 (originally 9), or 20 pieces. Up

until 2003, they were a combination of liquified white and dark meat, now they are

made with only liquefied white meat. In 2011, 4 new dipping sauces were introduced

and added to the lineup: Sweet Chili, Honey Mustard, Spicy Buffalo, and Creamy

Ranch.

Chicken SelectsMcDonald's version ofchicken strips.They were introduced sinceearly-1998 and offered again as a permanent part of the menu in late-October 2003.

They are sold in 3, 5, or 10 pieces sizes and include choices ofspicy buffalo,creamy

ranch,Honey Mustard,andChipotlebarbecue dipping sauces; sauce selections in the
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UK are smokeybarbecue,sour cream and sweetchili sauce.Sold in theUnited

States,Canada,Israel and theUK. Available in Australia under the name Chicken

McDippers.

Chicken Selects

Filet-O-Fish Awhitefish fillet withtartar sauce and a half slice of cheese, on asteamed bun. It was introduced inCincinnati in 1962 when it was discovered that

manyRoman Catholics chose to eat atFrisch's Big Boy on Fridays and duringLent,as

it offered a fish sandwich so they could go without meat. This was replaced with the

Fish Filet Deluxe in 1996 and brought back in 1998 albeit a larger fish patty.

McRib A sandwich featuring boneless pork with barbecue sauce, slivered onions,and pickles. First seen in test-market stores near interstate highways

aroundMilwaukee andMadison, Wisconsin, in the late 1970s (along with early tests

of personal-sized pizza) the McRib was more widely released in 1981, but pulled

from menu in 1985. Now released annually in the U.S. as a limited time promotion.

Since 2005, the McRib has reappeared in late October and stays on the menu for one

month.

The McRib
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OTHER PRODUCTS

McDonald's sellsFrench fries as its primary side order. Until 1967, French fries werenever frozen, but were cut on-site from potatoes and immediately fried. In some

international locations, they sell potato wedges, a type of French fry that is thick cutand wedge shaped and fried onion pieces that are similar toonion rings.

Many McDonald's locations inWal-Mart stores offer freshly poppedpopcorn andsoftpretzels in addition to the normal menu. In PA stores, only soft pretzels are offered asa side option.

McKinley MacA burger that looks like the Big Mac, but it uses two quarter poundbeef patties. Sold only in Alaska.

McLobster Some McDonald's restaurants in New England and the CanadianMaritimes offer lobster rolls as a seasonal menu item, called the McLobster.

McLobster

McCrabIn response to the McLobster, McDonald's along the southern coast of theDelmarva Peninsula (comprising parts of Delaware, Maryland and Virginia)developed the McCrab sandwich, a McDonald's version of the Chesapeake crabcake.

Poutine In Quebec and New Brunswick, two French speaking Canadian provinces,McDonald's also offersPoutine which consists of French fries and cheese curds,covered withbrown sauce.Poutine was also a menu item for a limited time only inthe mid 1990s in select locations inOntario,Canada,includingTimmins,and is stillavailable at select locations in Ontario likeLancaster on the Quebec border.[18]

Brownie Meltsimilar to a Cinnamelt, it is a rich chocolate brownie with chocolateand white frosting.

McRiceMost McDonald's restaurants in countries inAsia serve the product due tocustomers demand. It is normal rice.

AngusSnack Wrap Wrap with Angus burger introduced to the U.S. market onAugust 9, 2010. Angus Snack wraps are available three ways: Deluxe (lettuce,

tomato, onions, pickles, American cheese, mayo, mustard); Bacon & Cheese (onions,pickles, American cheese, ketchup, mustard, a strip of bacon); and Mushroom &
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Swiss (sauteed mushrooms, Swiss cheese, mayo). The Angus Wrap uses 1/2 of aregular Angus burger pattie.

The McVeggie burgera vegetarian burger on a whole wheat bun. Available in India,Slovenia and Greece. A special version is available inCheung Chaubranch in Hong

Kong during theCheung Chau Bun Festival.

The MENU IN INDIAhas numerous unique items: Chicken Maharaja Maclike a Big Mac, but with two pressed spiced chicken

patties instead of beef, served with a mustard sauce

Paneer Salsa Wrap ("paneer is an Indian unsalted white cheese). Chicken Mexican Wrap McAloo Tiki Breaded potato patty with onion and tomato on a plain bun

("aloo" is "potato").

Chicken McGrill

McDonald's first introduced salads to its menu in 1985. Since that time, they haverestructured their salad lines several times. In the U.S., the newest salad offerings are

part of theMcDonald's Premium line.First introduced in 2003, the Premium Saladsall are a mixture of iceberg lettuce and a special lettuce assortment (romaine, etc.),withcherry tomatoes and different toppings to differentiate them; additionally allsalads can be topped with warm grilled or crispy chicken. All of its salads are part ofMcDonald's move towards creating a healthier image.

TheHappy Meal/Mighty Kids Meal McDonald's capitalized onBurger Chef'sFunmeal concept of a children's meal when it introduced the first Happy Meal in
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1979. The meal includes anentre, a side dish, a beverage and a toy. Happy mealsinclude a tiny order fries (far less than a small order of fries) and fruit, optional saucefor fries, and a choice of nuggets, a single patty burger, or wraps. An additional

product, Pasta Zoo was discontinued in 2008. The Mighty Kids Meal contains morefood than the Happy Meal, less than the adult meal, and still contains a toy.

BREAKFAST

McDonald's introduced breakfast foods in 1972.

McDonald's primary breakfast offerings arebreakfast sandwiches. McMuffins are McDonald's signature breakfast sandwich, first sold at select

restaurants in 1972 as the Egg McMuffin, just five years before breakfastofficially went into effect, it consists of afried egg,Canadian Bacon andAmerican cheese on a toastedEnglish muffin. Sausage orbacon McMuffinsare also available.

Egg McMuffin

McDonald's offers a line of breakfast sandwiches:bagels,biscuits, and aspecial type ofmaple flavoredpancake calledMcGriddles. All can all beordered with sausage, ham or bacon, with an optional choice of cheese and/oregg. Regional meat offerings include fried chicken, steak, spam and bacon.

The McDonald's Hamdesal is a new breakfast sandwich which consist of aslice of ham onpandesal, which can be ordered plain, with eggs or withcheese. This sandwich is currently available in thePhilippines.

There are two styles of breakfastburritos available. The Sausage Burrito is made withaflourtortilla,sausage,American cheese,eggs, onions, and peppers. The newMcSkillet wrap burrito addspotatoes andsalsa. Chicken and steak variants of theMcSkillet exists in limited areas. Outside the U.S., the breakfast burrito may be calleda breakfast wrap (in theUnited Kingdom for example, it consists of a pork sausage

patty with a free range egg, British bacon, potato rosti, cheese and ketchup orHP

Sauce).
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Additional breakfast items includehotcakes;several breakfast platters with eggs, hashbrowns and meats or breads; a type of cinnamon roll called a Cinnamon Melt; andDanish.Biscuits and gravy are available in parts of the southern U.S.

Oatmeal was added to the breakfast menu on December 27, 2010, after it testmarketed well in Washington, DC and some parts of Maryland. In the test marketareas, oatmeal started selling in late-January 2010.

Waffles with the maple syrup already baked in (similar to the McGriddle pancakes)were introduced in some markets in 1999.[citation needed]

Hawaii and Guam McDonald's offers local breakfast items such as Spam, Portuguesesausage and fresh cut pineapple.

Cinnamon Melts-a popular cinnamon roll type item with cream cheese icing.

BEVERAGES

McDonald's primary soft drink supplier is theCoca-Cola Company, except inrestaurants which fall under an overall contract withPepsiCo.For example: theMallof America, theDetroit Metropolitan Wayne County Airport,Staples Center andtheUniversity of Maryland, College ParkStudent Union. In the U.S. andCanada,Cadbury-Schweppes suppliesDr Pepper.

S&D Coffee, Gavina and Kraft supply McDonald's Premium Roast Coffee forMcDonald's U.S. restaurants besides the New England area.Green Mountain CoffeeRoasters suppliesNewman's Ownbrandedcoffee for McDonald's New England arearestaurants.

Hot and icedtea (supplied by S&D Coffee in the U.S.),hot chocolate,variousjuices and other regional beverages are available in various markets.

The McCafe is an umbrella term forlattes,espresso,iced coffee,hotchocolate,mocha,smoothies, and other drinks that are sold in several marketsworldwide.

Milkshakes are available in all of McDonald's U.S. and global markets (except for theArgentinian, Paraguayan and Guatemalan branches).Permanent flavors are vanilla,strawberry, and chocolate; regional or seasonal flavors include Caramel, Coffee,Cherry, Eggnog (during Christmas), Banana, Pumpkin (during Halloween),Strawberry Banana, Lime, Mango Raspberry, Honeycomb, Arctic Orange (sherbet),Orange Cream,Shamrock Shake (a green, spearmint Limited Time Offer shake forSt.Patrick's Day), Chocolate Mint, and Rolo (available only in Canada and the UK. Thisflavoured milkshake was also available in the Republic of Ireland during the summerof 2007 for a limited time only).
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Beer of different brands (varies locally) is available at McDonald's in France,Belgium, Germany, Spain, Portugal, Romania, Lithuania, Czech Republic, Italy andSlovenia.

Irn-Bru is available in some Scottish McDonald's locations. Inca Kola is available in every Peruvian McDonald's location. McDonald's also offers 1% milk, 1% chocolate milk, and apple juice, most often as

replacements for fountain drinks in Happy Meals.

DESSERTS

Asoft serveice creamproduct is available in several forms,includingsundaes,cones (either vanilla or chocolate), and as the primary ingredientin the McFlurry. As with many other formulations of soft serve,cellulose gum isutilized as an extender and thickener.

The McFlurryis a soft-serve ice cream dessert, that has pieces of candy or cookiesmixed into it.The flavors are crushed Oreo, M&M's Minis,Mars, Incorporated candy

bars like Snickers, Twix, Galaxy etc.Cadbury's candy bars like Twirl, Wispa, CremeEgg, Crunchie etc.Nestl candy bars like Yorkie, Smarties, Drifter, Rolo,Butterfinger,Kellogs Hello Kitty Snacks,Phillies etc. McDonald's also does limitedtime only flavors e.g. forShrek 3it released the Ogre-Load flavor.
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McDonald's McFlurry

McDonaldland Cookies:McDonaldland cookies are traditionally available and aresimilar toanimal crackers,except the shapes of the cookies are of Ronald McDonald,Grimace, Birdie the Early Bird, the Hamburglar, and the Fry Guys. In fact, they aremanufactured byKeebler and are just re-branded animal crackers (Elfin Crackers or

Our Family Animal Crackers).

Freshly baked cookies:Freshly baked cookies manufactured byNestl are availablein some markets. Among some of the cookies offered are sugar, oatmeal raisin, orchocolate chip.

Pies:McDonald'spies are actuallyturnovers and come inapple or, in somemarkets,cherry and other seasonal or limited-time-only flavors such aspumpkin

pie,smores, and Holiday pie, and in Hawaii,taro,haupia andbanana. In Canada, inthe 1970s, blueberry was standard, as was the Great Fruit Pie. During some seasonal

promotions, cherry and strawberry are an available pie flavor in Canada; also, newly

featured is Blueberry Maple and Peach. CurrentlyMcDonald's is selling raspberrypies, for a limited time. In Thailand and Guam, taro pie is featured occasionally. Otherregional flavors include coconut and tuna (all in Guam as limited-time), and corn inJapan. In Mexico and Guatemala, cheese pie is available all year round. .

McDonald's apple pies
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Brownie meltsSimilar to the Cinnamon melt, only chocolate flavored with fudgeand cream cheese icing on top. Available only in select markets.

The Fruit and Yogurt Parfait a mix of frozen strawberries and blueberries andvanilla yogurt, sold with a package of granola topping.

Smoothies (introduced nationally in 2010) are available in some locations in eitherWild Berry, Strawberry Banana, or Mango-Pineapple flavors. In the test market areas,smoothies were introduced in 2009.

In 2010, McDonald's New Zealand began offering a 'Frozen Coke Float' mini-sizeddessert. It contained Frozen Coke and a small amount of soft serve.

2.3TYPES OF RESTAURANTS

Most standalone McDonald's restaurants offer bothcounter service anddrive-through service,

with indoor and sometimes outdoor seating. Drive-Thru, Auto-Mac, Pay and Drive, or

"McDrive" as it is known in many countries, often has separate stations for placing, paying

for, and picking up orders, though the latter two steps are frequently combined; it was first

introduced in Arizona in 1975, following the lead of other fast-food chains. The first such

restaurant in Britain opened atFallowfield,Manchester in 1986.[19]

In some countries, "McDrive" locations nearhighways offer no counter service or seating. In

contrast, locations in high-density city neighborhoods often omitdrive-through service. There

are also a few locations, located mostly in downtown districts, that offer Walk-Thru service

in place of Drive-Thru.

To accommodate the current trend for high quality coffee and the popularity of coffee shops

in general, McDonald's introduced McCaf, a caf-style accompaniment to McDonald's

restaurants in the style of Starbucks.McCaf is a concept created by McDonald's Australia,

starting with Melbourne in 1993. Today, most McDonald's in Australia have McCafs

located within the existing McDonald's restaurant. InTasmania, there are McCafs in every

store, with the rest of the states quickly following suit. After upgrading to the new McCaf

look and feel, some Australian stores have noticed up to a 60% increase in sales. As of the

end of 2003 there were over 600 McCafs worldwide.

Some locations are connected to gas stations/convenience stores,while others called

McExpress have limited seating and/or menu or may be located in a shopping mall.Other
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McDonald's are located in Wal-Mart stores. McStop is a location targeted at truckers and

travelers which may have services found attruck stops.

Since 1997, the onlyKosher McDonald's in the world that is not in Israel, is located in the

"Abasto de Buenos Aires",Argentina

2.4REDESIGN

An American McDonald's inMount Pleasant, Iowa in June 2008; this is an example of the

"new" look of American McDonald's restaurants.
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An Irish McDonald's inPortlaoise,County Laois,Ireland in August 2012; this is a more

modern restaurant complete with a drive-through.

In 2006, McDonald's introduced its "Forever Young" brand by redesigning all of its

restaurants, the first major redesign since the 1970s. McDonald's has invested $1 billion to

redesign nearly all of the 14,000 restaurants by 2015.

The goal of the redesign is to be more like a coffee shop, similar to Starbucks.The design

includes wooden tables, faux-leather chairs, and muted colors; the red is muted to terra cotta,the yellow was turned golden for a more "sunny" look, and olive and sage green were also

added. To warm up its look, the restaurants have less plastic and more brick and wood, with

modern hanging lights to produce a softer glow. Many restaurants now feature free Wi-Fi and

flat screen TVs. Other upgrades include double drive-thrus, flat roofs instead of the angled

red roofs, and replacing fiber glass with wood. Also, instead of the familiar golden arches, the

restaurants now feature "semi-swooshes" (half of a golden arch), similar to theNike swoosh.
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2.5CHARITY

McHappy Day

McHappy Day is an annual event at McDonald's, where a percentage of the day's sales go

tocharity.It is the signature fundraising event forRonald McDonald House Charities.

In 2007, it was celebrated in 17 countries:Argentina,Australia,Austria,Brazil,Canada,

theUnited States,Finland,France,Guatemala,Hungary,England,Ireland,New

Zealand,Norway,Sweden,Switzerland andUruguay.

According to the Australian McHappy Day web site, McHappy Day raised $20.4 million in

2009. The goal for 2010 is $20.8 million.

McDonald's Monopoly donation to St. Jude

In 1995,St. Jude Children's Research Hospital received an anonymous letter postmarked in

Dallas, Texas, containing a $1 million winning McDonald's Monopoly game piece.

McDonald's officials came to the hospital, accompanied by a representative from the

accounting firm Arthur Andersen, who examined the card under a jeweler's eyepiece, handled

it with plastic gloves, and verified it as a winner. Although game rules prohibited the transfer

of prizes, McDonald's waived the rule and has made the annual $50,000 annuity payments,

even after learning that the piece was sent by an individual involved in an embezzlement

scheme intended to defraud McDonald's

2.6MCDIN INDIA

Indian McDonald's restaurants do not serve beef and pork products, in deference to Hindu

and Islamic beliefs, respectively. The only animal products available are chicken and fish.

Meat and vegetarian meals are prepared in separate areas of the restaurant due to religious

laws; cooks preparing vegetarian dishes wear a distinctive green apron.

The veggie burger menu includes the McAloo Tikki Burger, a burger with a patty made out

of potatoes, peas, and spices. It is served with tomato slices, onions, and vegetarian
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mayonnaise. The McVeggie is a similar burger with a sesame seed bun, lettuce, vegan

mayonnaise, and a vegetarian patty made from peas, carrots, green beans, red bell pepper,

potatoes, onions, rice, and seasonings. The Crispy Chinese consists of a crispy vegetarian

patty topped with a creamy Szechuan sauce and lettuce.

There is an Indian version of the Big Mac, called the Maharaja Mac, made with two grilled

chicken patties and topped with onions, tomatoes, cheese, and a spicy mayonnaise. It was

formerly made with lamb.

Mexican-style wraps for both vegetarians and non-vegetarians, like the Mexican Chicken

Wrap, and Curry Pans in shahi paneer and chicken tikka variations are also offered. The

Paneer Salsa Wrap is sold in India. It contains a small slab of paneer dredged in a coating thatcombines Mexican and Cajun flavors, when is then fried and wrapped in flatbread and topped

with lettuce, red cabbage, celery, vegetarian mayonnaise, salsa, and Cheddar cheese.

Recently, McSpicy Chicken and McSpicy Paneer burgers and wraps have also been

introduced.

There is also a Pizza McPuff, a rectangular shaped crust flavored with a tomato-based sauce

and topped with carrots, beans, bell peppers, onions, peas, and mozzarella.

McDonald's plans to open its first vegetarian-only restaurant next year in the the country. The

first location will open near the Golden Temple in the Sikh holy city of Amritsar in northern

India. The second store will be near the Vaishno Devi cave shrine in northwestern Indian

Kashmir.


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CHAPTER 3


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FINDINGS AND ANALYSIS

McDonalds is one of the best known brands worldwide. This case study shows how

McDonalds aims to continually build its brand by listening to its customers. It also identifies

the various stages in the marketing process. Branding develops a personality for an

organisation, product or service. The brand image represents how consumers view the

organisation.

Branding only works when an organisation behaves and presents itself in a consistent way.

Marketing communication methods, such as advertising and

promotions, are used to create the colours, designs and images which give the brand its

recognisable face. At McDonalds this is represented by its familiar logo the Golden

Arches.

In all its markets, McDonalds faces competition from other businesses.

Additionally, economic, legal and technological changes, social factors, the retail

environment and many other elements affect McDonalds success in the market.

Marketing involves identifying customer needs and requirements and meeting these needs in

a better way than competitors. In this way a company creates loyal

customers.

The starting point is to find out who potential customers are

not everyone will want what McDonalds has to offer. The people McDonalds identifies as

likely customers are known sa key audience.

3.1BUSINESS MODEL


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McDonald's Corporation earns revenue as an investor in properties, a franchiser of

restaurants, and an operator of restaurants. Approximately 15% of McDonald's restaurants are

owned and operated by McDonald's Corporation directly. The remainder are operated by

others through a variety of franchise agreements and joint ventures.

The McDonald's Corporation'sbusiness model is slightly different from that of most other

fast-food chains. In addition to ordinaryfranchise fees and marketing fees, which are

calculated as a percentage of sales, McDonald's may also collectrent, which may also be

calculated on the basis of sales. As a condition of many franchise agreements, which vary by

contract, age, country, and location, the Corporation may own or lease the properties on

which McDonald's franchises are located. In most, if not all cases, the franchisee does not

own the location of its restaurants.

The United Kingdom and Ireland business model is different than the U.S, in that fewer than

30% of restaurants are franchised, with the majority under the ownership of the company.

McDonald's trains its franchisees and others atHamburger University inOak Brook,Illinois.

In other countries, McDonald's restaurants are operated by joint ventures of McDonald's

Corporation and other, local entities or governments.

As a matter of policy, McDonald's does not make direct sales of food or materials to

franchisees, instead organizing the supply of food and materials to restaurants through

approved third party logistics operators.

According toFast Food NationbyEric Schlosser (2001), nearly one in eight workers in the

U.S. have at some time been employed by McDonald's. (According to a news piece on Fox

News this figure is one in ten. The book also states that McDonald's is the largest private

operator of playgrounds in the U.S., as well as the single largest purchaser

ofbeef,pork,potatoes, andapples.The selection of meats McDonald's uses varies with the

culture of the host country.

3.2ENTERING INDIA

McDonalds entered India in 1996. McDonalds India has a joint venture with

ConnaughtPlaza Restaurants and Hard Castle Restaurants. Connaught Plaza Restaurants man

agesoperations in North India whereas Hard Castle Restaurants operates restaurants in

WesternIndia. Apart from opening outlets in the major metros, the company is now

expanding to Tier 2 cities like Pune and Jaipur.
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CHALLENGES IN INDIAN MARKET

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 andfish burgers to suite the Indian palate.

The vegetarian customer:

India has a huge population of vegetarians. To cater

tothis customer segment, the company came up with a completelynew line of vegetarian item

s like McVeggie burger and Mc AlooTikki. The separation of vegetarian and non-

vegetarian sections is maintained throughout the various stages.

3.3SEGMENTATION,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

3.4CUSTOMER PERCEPTION AND CUSTOMER EXPECTATION

Customer perception is a key factor affecting aproductssuccess. Many potentiallyrevolution

ary products have failed simply because of their inability to build a healthy perception about

themselves in the customers minds. McDonalds being an internationallyrenowned brand

brings with it certain expectations for the customers.Customers expect it to be an ambient,

hygienic and a little sophisticated brand that

respectstheir values. The customersexpect 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


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expectations like a broader product variety provide McDonalds a great scope for

improvement.

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.

3.5MCDONALDS MARKETING MIX (7PS)

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

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

1. Product

2. Place

3. Price

4. Promotion

5. People

6. Physical Evidence

7. Process


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PRODUCT:

How should the company design, manufacture the product so thatit 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. McDonalds studied 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 McDonaldsserve 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.


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PLACE:

Where should be the product be available and the role of distributionchannels?

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

isavailable 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.

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 optionsavailable

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 partwhich 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

Aap ke zamane mein ,baap ke zamaneke daam. 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 ,

combomeal , family meal etc to increase overall sales volumes.


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PROMOTION:

What is the suitable strategy and channels for promotion of the product?

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 areto 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 Deservea break today, so get up and get away- To McDonalds

Aap ke zamane mein ,baap ke zamane ke daam.

Food, Folks, and Fun


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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 ell 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.

PHYSICAL EVIDENCE:

The physical evidence appearance affects not onlythe impression outsiders have of a businessbut allthe way that business functions.

McDonalds focuses on clean and hygienic interiors of is outlets and at the same time theinteriors are attractive and the fast food joint maintains a proper decorum at its joints.Hence due importance is to be given to :

Staff members. Location & appearance. Buildings Maintence.

PROCESS

The food manufacturing process at Mc Donalds is completely transparent i.e. the wholeprocess is visible to the customers. In fact, the fast food joint allows its customers to view andjudge the hygienic standards at Mc Donalds by allowing them to enter the area where theprocess takes place. The customers are invited to check the ingredients used in food.

Hence, McDonalds follows :


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Food manufacturing transparent to customers. Training to the licensees. Invented the most efficient cooking equipment. New methods of food packaging anddistribution.

McDonalds in India followed the same tradition.

3.6COMPETITORS ANALYSIS

McDonalds hasbeen 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

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

awaycustomers 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 competitiveadvantage against Jumbo King. Keeping in mind

the demographics of the area, McDonaldshas Wi-Fi enabled the outlet to cater to the student

community. It is for this overall Food, Fun & Folks experience that customers pay a

premium over the other competitors

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

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

perception of different market segments. The new Breakfast 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.


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Two Dimensional Perceptual Mapping

PIZZA HUT:

Pizza Hut is a global fast food chain, a subsidiary of Yum! Brands Inc. , the worldslargest

restaurant company. It was founded in Wichita, Kansas, USA in 1958 and isrunning its

operations in about 91 countries worldwide. Its one of the majorcompetitions of

McDonalds in thePakistani QSR industry. It started its operations inPakistan in 1993 with a

single outlet at Boat Basin, Clifton, Karachi. Today it operates innine cities of Pakistan with

38 outlets. The cities include Karachi, Lahore, Islamabad,Peshawar, Faisalabad, Multan,
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Rawalpindi, Sialkot and Hyderabad. Pizza Hut serves alarge variety of starters, soups, salads,

sandwiches, Pastas and deserts.

Strategic Objectives:

When we talk about strategic objectives, Pizza hut says: We want to satisfy our customers by

offering them The best. Diversification of the products that they offer hasalways been a

focal point of strategies at Pizza Hut. The strategies at Pizza hut areguided by principles like

Cleanliness, Hospitality, Accuracy, Maintenance, Productquality and Speed (CHAMPS).

Since its a global chain, the strategies are based uponcustomizing the services, advertising

and marketing activities according to the countriesthat they are operating in. Customer

service and satisfaction have of course alwaysbeen a vital aspect of the strategies. Another

important feature of the Pizza Hutsstrategies are the 3 Fs (Fun, Friendly and Familiar)

Problems and Weaknesses:

At one time, the biggest marketing problem Pizza Hut facedwas lunch. As compared to

McDonalds, its restaurants hadvirtually no lunch time sales, and neitherdid any of its

pizzacompetitors. The reason, of course, is that it takes 20minutes to cook a pizza from

scratch in a traditional pizzaoven, and most people wont spend that long at lunch time

waiting to be served. Byusing a new, continuous-broiling technology adapted from burger

business, Pizza Hutdeveloped a personal pan pizza that could be served in less than 5

minutes. It wasquick, tasty and moderately priced. And Pizza hut rolled it out to all 4500

storesworldwide and locked up the pizza-lunch business almost everywhere, almostovernight.

One of the weaknesses of Pizza hut that it hasnt overcome yet is its price. Localchains are

constantly springing up, offering lower prices and similar recipes. Mostpeople dont mind

giving a lower price for slightly different taste because of which thesales at pizza hut at are

suffering.Growing awareness about eco-friendliness has forced a lot of the food chains

tomaintain practices that conform to international environmental standards. For

exampleMcDonalds is introducing coffee beans grown inenvironmental friendly conditions

inorder to appeal to the people who are conscious about environmental friendliness. Inthe


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Pizza selling restaurants, organic pizzas are the new concepts that are appealing tothe masses

to these days. Its a phenomenon that highlights the health consciousattitude as well as

environmental friendliness. Pizza Hut on the other hand has notcome up with any strategy in

this area and if it doesnt even in the future, it is going tolag behind the chains that offer

healthier food.

Competitive Advantages:

Pizza Hut has the first mover advantage in the pizza chains because of which it hasdeveloped

a strong customer base which is one of its strengths.In the Pakistani QSRs industry, the

delivery service of Pizza hut is clearly a competitiveadvantage that it enjoys. Pizza huts

delivery service is one of quickest and the pizzasdelivered are oven hot in the real sense ofthe world.Pizza Hut is often referred to as Pizza Innovation Leader because it is

constantlycoming up with new varieties of pizzas to appeal the different audiences and at

thesame time, people at the pizza hut have a really good idea about which varieties

areappealing to the customers and they are thus retained in the menusThe first mover

advantage is an advantage that Pizza hut was born with but time, Pizzahut has been

successfully creating competitive advantages like a traditionally strongbrand name for itself

and the quality service that it provides.

KENTUCKY FRIED CHICKEN (KFC):

KFC, founded and also known as Kentucky Fried Chicken, is a chain of fast foodrestaurants

based in Louisville, Kentucky. KFC is a brand and operating segment,called a "concept",


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of Yum! Brands since 1997, when that company was spun off fromPepsiCo as Tricon Global

Restaurants Inc.. KFC has more than 11,000 restaurants inmore than 80 countries. KFC

came to Pakistan in 1996 with the first branch opening inKarachi and later in Lahore. The

Franchisee was a Pakistani owned and operated,Dubai-based Company the Cupola Group,

which owns licenses and its own restaurantthroughout Pakistan and the middle-east.


KFC has the strategic objectives of expansion along with profits and sales growth. KFChas

also been applying its strategies at improving services and making them more andmore

customer friendly. It has not only been customizing it's menu according to the countries that

it has been operating in, it has also been trying to cater to different ethnicgroups like

African Americans and Hispanics. Such types of strategies are focused onincreasing the

customer base by better customization of products. Other than thetraditional eat-in

restaurants, KFC has also been expanding into non-traditional facilitieslike shopping malls,

hospitals, universities, stadiums; office buildings etc and a number of strategies have been

formulated to aid this kind of expansion.


The advertising campaign of KFC does not specifically appeal to any segment. Itdoes not

appear to have a consistent long-term approach. The U.S. hasenormous changes in its

demographics. Only in US, single-person householdsincreased from 12% in 1970 to 25% in

1995. With this kind of dramatic change,KFC does not have a proper approach to its target

market.

The increased health concerns of the masses has put KFC at a greatdisadvantage because of

the word 'fried' attached to it's brand name which givesan instant idea that the food would be

oily and unhealthy.

Another weakness of KFC is that of the lack of a corporate direction because ithas been

a part of four different parent companies till now namely, Heublein Inc.,R.J Reynolds, Pepsi

Co. and Yumm! Brands Inc. The corporate functioning of these companies has been pretty


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different from each other because of which astrong culture could not be established at KFC

and it had long been strugglingwith it.

Because of the nature of the chicken segment of the fast food industry,innovation was never

a primary strategy for KFC. However, during the late1980's, other fast food chains, such

as McDonald's, began to offer chicken as amenu option. During this time, McDonald's had

already introduced the McChicken while KFC was still testing its own chicken sandwich.

This delaysignificantly increased the cost of developing consumer awareness for the

KFCsandwich.

Competitive Advantage:

A very strong financial background is one of KFCs competitive advantages.

KFC has been functioning as a multinational corporation for several decades. Asa result, the

company is familiar with the logistical and quality problems whichaccompany operating an

international food operation, and has demonstrated thatit can work with host countries and

businesses within the host country to developa strategy which works in the most cost

effective way.

With the passage of time, KFC has developed another very importantcompetitive

advantage for itself- Environmental Friendliness. In March 2009, thefirst eco-friendly green

KFC was opened in Northampton USA. The restaurant isdesigned according to

environmental goals that include cutting energy and water consumption by 30 percent

and reducing CO2 emissions. Operations at the newsite are also expected to reduce waste and

the amount of rubbish sent tolandfills; the restaurant composts and recycles other waste,

grease and usedcooking oil. Other than this, in an effort to reduce its packaging by 1,400

tons,KFC is now switching from cardboard to recyclable and biodegradable paper wrapping

for some of its products.

Subway:

Subway is a restaurant franchise that primarily sells submarine sandwiches and salads.It is

owned and operated by Doctor's Associates, Inc. (DAI). Subway is one of thefastest growing

franchises in the world with approximately 30,052 restaurants in 90 countries as of April

2009. It is the second largest restaurant operator globally after Yum! Brands (35,000


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locations)Subway restaurants are known for their sub sandwiches and salads. The

Subwayrestaurant chain is the fastest growing restaurant chain in the world surpassing

evenMcDonald's. Subway has the second most stores of any chain restaurant system in

theworld after McDonald's, and the most locations in North America of any chain.

Subwaywas founded in 1965, however the franchising started in 1974.In Pakistan, subway

has restaurants at 30 locations, including Karachi, Lahore,Gujranwala, Islamabad, Sialkot and

Multan. Majority of the restaurants are located inLahore and Karachi.


The strategic objectives of Subway focus on creating a global strategic plan to enableSubway

Restaurants to succeed internationally. Other than this subway is intent uponintroducing the

concept of healthy fast food. Sandwiches of Subway have beenincluded in diet plans by

experts. Jared Fogle, an obese college student who weighed425 pounds introduced a weight

loss plan called the subway diet and lost 245 pounds in11 months. Subways stand regarding

obesity in children is not new to its customers.Strategies at Subway are not only about a

really ambitious increase in franchises allover the world but they are also about making the

food more and more appealing to thehealth conscious customers because health conscious

attitudes, according to theexperts, are here to stay now.


One of the major problems that can be identified with Subway right now isrelated to the

franchises. Although Subway has long been named as the number one franchise opportunity

by The Entrepreneur magazine but it seems thatSubway has developed a myopic focus

regarding the franchises. Subway hasregional managers who have the opening of new

franchises as their sole aimand their bonuses and incentives are tied to the opening of new

franchises.

These managers at Subway even don't care if the new franchises are detrimentalfor the

existing ones and because of this; many of the franchises are becoming avictim of internal

competition or cannibalization. For example, in Lahore alone,Subway has 20 outlets. Instead

of this, Subway could have targeted Cities likeFaisalabad and explored a new market.


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Franchise owners believe that Subwayhas been irresponsible with allocating the franchises

and uses bloated storesales projections as part of their sales pitch for encouraging new

franchises.

The opening up of a lot of new stores in close proximities are also resulting indecline in

sales per store because of which the franchisees are not very satisfieswith Subway.

The environment at the Subway stores cannot be compared with that of McDonald's, KFC

or Pizza Hut. The Stores are small and suffocating and do noteven provide the necessary

privacy to the people eating there. Subway has nostandard size for any of its store because of

which the sales orientedFranchisees try to fix them at as smaller a place as possible. This is

tarnishingthe image of Subway as an international brand.

The quality of the sandwiches and standards of cleanliness at Subway are goingdown day

by day due to the greater and greater autonomy that franchiseesenjoy. The Subway at

Rawalpindi was recently closed down due to quality issuesas well.

There is a dire need of a system to integrate the large number of Subwayfranchises and to

ensure that the original Subway practices are being followedthere. The management of the

franchises is one part of their operations thatSubway has not handled well.

Competitive Advantage:

One of the greatest competitive advantage that Subway was born with is it's healthyMenu.

The salads and sandwiches appeal much more to the people as compared tofried chicken,

burgers, fries and pizzas. With its advertising and promotion, Subway haslong been

highlighting its healthy food in advertising and promotions and with thepassage of time, it

has established itself as a healthy brand.

Another competitive advantage that subway enjoys is the fact that along withtraditional

locations, Subway restaurants can be found in more than 4,000 non-traditional locations such

as food courts, health clubs, hospitals, universities,amusement parks or just about anywhere.

In fact, Subway restaurants can evenbe found in automobile showrooms and Laundromats!


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This global presence isindeed a sustainable advantage for Subway and needs to be managed

properly.

Subway's fresh food is also a competitive advantage because unlike it'scompetitors like

McDonald's it allows it's franchisees to choose their own foodsuppliers, to ensure they can

access the freshest ingredients.


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MCDONALDS MARKET SHARE ACROSS GLOBE

3.7SWOTANALYSIS


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STRENGTH

Strong brand name, image and reputation.

Large market share.

Strong global presence.

Specialized training for managers known asthe Hamburger University.

McDonalds Plan to Win focuses on people,products, place, price and promotion.

Strong financial performance and position.

Introduction of new products.

Customer focus (centric).


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Strong performance in the globalmarketplace

WEAKNESS

Unhealthy food image.

High Staff

Turnover including

Topmanagement.

Customer losses due to fierce competition.

Legal actions related to health issues; use of trans fat & beef oil.

Uses HCFC-22 to make polystyrene that iscontributing to ozone depletion.

Ignoring breakfast from the menu

OPPORTUNITY

Joint ventures with retailers (e.g. supermarkets)

Globalization, expansion in other countries(especially in China & India).

Diversification and acquisition of other quickservice restaurants.


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Growth of the fast-food industry.

Worldwide deregulation.

Low cost menu that willattract the customers.

Freebies and discounts.

THREATS

Health professionals and consumer activistsaccuse McDonald's of contributing tothecountrys health issue of high cholesterol, heartattacks, diabetes, and obesity.

The relationship between corporate levelMcDonald's and its franchise dealers.

McDonalds competitors threatened marketshare of the company both internationallyanddomestically.


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CHAPTER4

FUTURE PATH AND SUGGESTIONS

4.1THE ROAD AHEAD


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Entry to Tier 2 and Tier 3 citi es

The 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 McBreakfast across all outlets

In 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 availa

Date post:	04-Jun-2018
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Mcd project.docx

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