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McDonalds

` McDonalds Restaurants is a wholly-owned subsidiary of McDonaldsCorporation of the USA.

` McDonalds have been around since 1955 when Ray Kroc started the chainof McDonalds.They have been growing ever since.

` 1.6 million employees working worldwide

` McDonald's is the leading global foodservice retailer with more than32,478 local restaurants serving more than 60 million people in 117countries each day.

` More than 75% of McDonald's restaurants worldwide are owned andoperated by franchises.

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McDonalds in Middle East

` In the Arab nations, all McDonald's restaurants are locallyowned and operated by Arab entrepreneurs.

` The first restaurant in the region opened in

Riyadh, Saudi Arabia, on December 8th, 1993;

then Jeddah, KSA on January 19th,1994;

Oman in March 1994;

Kuwait in June 1994;

Bahrain on December 15th, 1994;

the UAE on December 22nd, 1994;

and Qatar in December 1995.

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McDonalds in UAE

` Population of UAE 3.1 million

` McDonald's restaurants in the UAE are Emirati owned

and operated by the Emirates Fast Food Corporation.

` McDonald's has 70 restaurants in the UAE located at

malls, petrol stations and drive thru with the first

restaurant opening on 22 December 1994.

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Favourite foods at McDonalds

` The McDonalds Brand is one of the most well knownBrands in the world.

` World Famous Fries, Big Mac, Quarter Pounder, Chicken

McNuggets and Egg McMuffin.

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Community Involvement

` McDonald's UAE is very active in the community,supporting many projects and events at schools and with

environmental groups.

` McDonald's regularly invites children with special needsto new restaurant openings offering complimentary meals

and giving these children the opportunity for a fun outing.

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Financial Figures

` McDonald's 2009 results reflect the broad-basedstrength of their global business

` Total revenues in 2009 was $22745.

` Return of $5.1 billion to shareholders through shares

repurchased and dividends paid.

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Increase in Sales

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Ever Been to McDonalds?

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With regards to your last visit at

McDonald's , how satisfied were you ?

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Will you visit McDonald's again ?

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How often you visit McDonald's ?

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Is McDonald value for money ?

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Would you recommend McDonald's to

other ?

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Marketing Mix

` Product` Price

` Place

` Promotion

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Product

` On the Go meals fast service` Huge importance given to what customer wants.

` Menu designed after analyzing customer insights

` Happy meals for kids

` Enjoys economies of scale

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Product Life Cycle

` McDonalds keep introducing new products

` Makes sure that sale of one product does not cannibalize

the sale of another product

` Big Mac is in maturity stage, while most product are in

growth` McDonalds itself is in growth stage.

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Price

` The customer's perception of value is an importantdeterminant of the price charged.

` Customers draw their own mental picture of what a

product is worth.

` Value Price good service and fair price.

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Promotion

` The promotions aspect of the marketing mix covers alltypes of marketing communications.

` Promotion through :

` Advertising

` Direct Marketing

` Above the line activity

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Place

` Relates to distribution of the Product` It encompasses the management of a range of processes

involved in bringing products to the end consumer.

` Outlets are at all the major malls

` Outlets at every major gas station

` Easily accesibile

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BCG Matrix

` A method of evaluating businesses relative to the growth

rate of their market and the organizations share of the

market.

` Dogs have small market shares and no growth prospects.` Cash cows have large shares of mature markets.

` Question marks have small market shares in quickly growing

markets.

` Stars have large shares of rapidly growing markets

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Strengths

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Weakness

` Pre conceived notion of it

being a unhealthy.

Are not able to attract local

talent.

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Opportunity

` Lot of scope for expansion.` Enormous growth in the population.

` Fast growing industry.

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Threat

` High competition from similar outlets like, kfc, burgerking etc.

` Change in people attitude towards food, ie, people

growing health consciousness.

` Technological advancement.

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Targeting

` Main target customers are children: Happy meal toys` Teenagers: focuses on the cheap and quick nature of the

food

` Working class customer base: convenient to have a quick

lunch in a busy schedule

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Positioning

` Emphasis on enhancing its brand positioning throughsponsorship of events and sports

` It was one of eight corporate sponsors of the MillenniumDome Experience, investing 8 million in the Dome'scommunity program and learning experience.

` It has been a major sponsor of international football,including the World Cup since 1994 and the ChampionsLeague from 1996 to 2000.

` It has sponsored British athletics since 1993, notably the

McDonald's Young Athletes' League, training 11 to 17 yearolds.

` It has sponsored Child Safety Week since 1994

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Burger King

` is a global chain of hamburger fast food restaurantsheadquartered in Miami-Dane county, Florida, U.S.A

` 52 outlets in UAE.

` Favorites- whopper, chicken, specialty value meals

` Employees almost 41000 people worldwide

` Net revenue $2.54 billion (FY 2009)

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Comparison

McDonalds

Goal-100% customer satisfaction

Two separate counters to order andpick the food

Food is made in mass production.

Fast service and emphasis on quality

Involved in lot of communitydevelopment work

At Mc Donalds on global terms-

differentiation strategy-courteousemployees

Burger King

Goal-Working for you

Two separate counters to order andpick the food

The burger is prepared in the kitchenas and when the orders are placedthereby promising a fresher meal

Community development did notseem to be there

Managers took involvement by takingorders and training employees therebyensuring a systematic employeebehavior.

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What factors do you consider important

when visiting McDonald?

PRICE

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Food Quality

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Promotion/Discount

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Service

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Hygiene

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Convenience

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Product