8/3/2019 Akanksha Macdonalds Final Presentation
1/37
Presented by: Guided by:Bavarva Ruchita S Prof.Chitral Patel
Shah Priyanka M
Kotecha Vishal K
Patel Akanksha MGandhi Manushi N
Submitted To:
Hasmukh Goswami Collage Of Engeneering
In partial fulfillment of M.B.A. Program of
GUJARAT TECHNOLOGICAL UNIVERSITY
8/3/2019 Akanksha Macdonalds Final Presentation
2/37
Table of Contenty Introduction about U.S.A and MacDonald's.
y Factor affecting selecting country.
yOperation Management.
y Export and import strategy.
y Benefits .
y Recommendations and suggestion.
y Conclusion .
8/3/2019 Akanksha Macdonalds Final Presentation
3/37
Introduction about U.S.A
and MacDonald's
8/3/2019 Akanksha Macdonalds Final Presentation
4/37
Information about U.S.A.y The United States of America is a Federal constitutional Republic
comprising 50 states and federal district. The country is situated mostly in
central North America, where its 48 contiguous states and Washington, the
capital district.y At 3.79 million square miles and with over 310 million people, the United
States is the third or fourth largest country by total area, and the third largest
both by land area and population.
y The U.S. economy is the world's largest national economy, with an
estimated 2010 GDP of $14.780 trillion.y On July 4, 1776, they issued the Declaration of Independence, which
proclaimed their right to self-determination and their establishment of a
cooperative union.
y The current United State Constitution was adopted on September 17, 1787.
8/3/2019 Akanksha Macdonalds Final Presentation
5/37
Information about the Companyy McDonald's is the leading global foodservice retailer with more than 32,000
local restaurants serving more than 64 million people in 118 countries each
day. More than 80% of McDonald's restaurants worldwide are owned and
operated by independent local men and women.
y We serve the world some of its favorite foods - World Famous Fries, BigMac, Quarter Pounder, Chicken McNuggets and Egg McMuffin.
8/3/2019 Akanksha Macdonalds Final Presentation
6/37
y Founder of , McDonald's
Ray Kroc.
y Number of Global Restaurants:More than 32,000
y Number of Countries:
118
y Number of worldwide employees:
1.7 milliony Percentage of franchised restaurants around the world:
More than 80%
y Chief Executive Officer:
Jim Skinner
8/3/2019 Akanksha Macdonalds Final Presentation
7/37
History of the companyy The business began in 1940, with a restaurant opened
by brothers Richard and Maurice McDonald in San
Bernardino, California.y 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.
yIn the same year, on September 13, 1961, the companyfiled a logo trademark on an overlapping, doublearched "M" symbol.
8/3/2019 Akanksha Macdonalds Final Presentation
8/37
y The first McDonald's restaurants opened in the UnitedStates, Canada, Costa Rica, Panama, Japan, theNetherlands, Germany, Australia, France, El Salvadorand Sweden, in order of openings.
y The present corporation dates its founding to the
opening of a franchised restaurant by Ray Kroc, in DesPlaines, Illinois, on April 15, 1955.
y the ninth McDonald's restaurant overall. Kroc laterpurchased the McDonald brothers' equity in the
company and led its worldwide expansion, and thecompany became listed on the public stock markets in1965.
8/3/2019 Akanksha Macdonalds Final Presentation
9/37
McDonalds vision & missiony McDonald's vision
McDonald's vision is to be the world's best quick service restaurantexperience. Being the best means providing outstanding quality,
service, cleanliness, and value, so that we make every customer in everyrestaurant smile.
y McDonald's MissionsBe the best employer for our people in each community around the
world Deliver operational excellence to our customers in each of our
restaurants; and Achieve enduring profitable growth by expanding thebrand and leveraging the strengths of the McDonald's system throughinnovation and technology.
8/3/2019 Akanksha Macdonalds Final Presentation
10/37
Factor affecting selecting
country
8/3/2019 Akanksha Macdonalds Final Presentation
11/37
PESTEL AnalysisPestel is an analysis of the external macro environment
in which a business operates. PESTEL stands for
political, economic, social, technology, environmentaland legal factors.
y Political Factors
y Economic Factors
y
Socio-Cultural Factorsy Technological Factors
y Environment
y Legal Factors
8/3/2019 Akanksha Macdonalds Final Presentation
12/37
SWOT analysisStrengths :-
y It is a global brand that owns 32,000 restaurants
serving in 118 countries. Of these 32,000 restaurants atleast14,000 restaurants are situated in the US.
y It is recognized as one of the worlds most recognizedlogos.
y It has located itself in major airports, cities, highways,tourist locations, theme parks.
8/3/2019 Akanksha Macdonalds Final Presentation
13/37
Weaknesses :-
y It uses advertising that mostly targets children.
y High employee turn-over.y Lack of innovative products.
Opportunities :-
y It can adapt to the needs of the societies and undergoan innovative product line.
y It can research ways to packaging which will work as apart of their promotional effort as well as fulfill their
social responsibility.y It can upscale some of its restaurant settings at
luxurious locations to attract more customers.
8/3/2019 Akanksha Macdonalds Final Presentation
14/37
Threats :-
y
Foreign currency fluctuations are regarded to be amajor problem as it uses standard pricing for its fooditems.
y Health issues regarding the fast food chain.
y Heavy investments on promotional campaigns whichdecrease the gaining of market share.
Literacy Rate of USA:
y Literacy rate of USA is 99%.
8/3/2019 Akanksha Macdonalds Final Presentation
15/37
Per capital income of the USA
year 2006 2007 2008 2009 2010
Per capitalincome
44,663 46,406 46,971 45,745 47,084
8/3/2019 Akanksha Macdonalds Final Presentation
16/37
Operation Management
8/3/2019 Akanksha Macdonalds Final Presentation
17/37
Business in different country
y Argentinay Australiay Brazily Canada
y Chinay Francey Germanyy Hong Kongy India
y Indonesiay Italyy Japany Malaysiay Mexico
y New Zealandy Philippinesy Quebecy Singapore
y South Koreay Spainy Taiwany Thailandy United Kingdom
y United States
8/3/2019 Akanksha Macdonalds Final Presentation
18/37
Country vise producty JAPAN-Shrimp burger,mashed potato, cabbage and kastu sauce ,green tea-
flavored Milkshake.
y CHILE - Burger with ketch up
y HONGKONG- rice burger
y INDIA-vegetarian burger, McAloo Tikki
y GERMANY- beer with snakes.
y NORWAY- McLaKs sandwich
y CANADA-McLobster lobster roll
Above mentioned items is the main item of the country. There are so manyitems which McDonalds serves in each country.McDonalds also serves chocolates, cute cake, creative sandwiches.
8/3/2019 Akanksha Macdonalds Final Presentation
19/37
Marketing policy of McDonalds:
y Goal changing from getting bigger, to getting better.
yAdvertise on the internet more. Get more people tovisit their website.
y
Secondary advertisingy Of course build brand awareness and loyal customers.
Attracting:
y Secondary advertising customer videos and
employee videos YoutubeyAdvertising on products happy meals, monopoly
8/3/2019 Akanksha Macdonalds Final Presentation
20/37
Engaging :-
y
Macromedia Flash used extensivelyy Games for the kids
y Online calculators for nutrition information
Retaining :-
y The site uses a common color theme of red, yellow andblack, with a logo on the top left
y Theres a news link that shows the news that goes on,but is only updated once every two months
y Overall the site is easy to navigate
8/3/2019 Akanksha Macdonalds Final Presentation
21/37
8/3/2019 Akanksha Macdonalds Final Presentation
22/37
Export and import
strategy.
8/3/2019 Akanksha Macdonalds Final Presentation
23/37
8/3/2019 Akanksha Macdonalds Final Presentation
24/37
Reason of selling more internationally rather
than domestically:
y Globalization of Markets and Competition.
y Stages in the International Involvement of aMacDonalds.
y Some forces in international trade.
8/3/2019 Akanksha Macdonalds Final Presentation
25/37
Benefits
8/3/2019 Akanksha Macdonalds Final Presentation
26/37
Benefits received from different
countries:y It sets you up for life
y It will make new friends
y The hours are flexible
y There are great discounts
y Its a safe environment
y Scholarships & grants
y Manager benefits
8/3/2019 Akanksha Macdonalds Final Presentation
27/37
Benefits to Host Country [US]Restaurant Benefits :-
y Competitive wages
y
Free uniformsy Free or discounted meals
y Flexible hours
y Medical insurance
yPrescription drug coverage
y 24-hour nurse line access
yVision discount
yAvailable dental
8/3/2019 Akanksha Macdonalds Final Presentation
28/37
Additional Benefits
yShort-term disability
y Term life insurance
y Paid holidays
yVacation
y Educational assistance
8/3/2019 Akanksha Macdonalds Final Presentation
29/37
8/3/2019 Akanksha Macdonalds Final Presentation
30/37
Benefits to societyEmployee Benefits:-
y Health and Protection
y Pay and Rewardsy Investing in the Future
y Balance Work and Life
8/3/2019 Akanksha Macdonalds Final Presentation
31/37
Key indicator
8/3/2019 Akanksha Macdonalds Final Presentation
32/37
Financial indicatorsRatio title Proportion
Return on asset 15.86%
Return on equity 39.08%
Return on capital 19.75%
Gross profit 39.58%
Total asset turnover 8:1
Fixed asset turnover 1.2:1
Current ratio0.9: 1
Quick ratio 0.7:1
8/3/2019 Akanksha Macdonalds Final Presentation
33/37
Recommendations andsuggestion
8/3/2019 Akanksha Macdonalds Final Presentation
34/37
8/3/2019 Akanksha Macdonalds Final Presentation
35/37
Conclusion
8/3/2019 Akanksha Macdonalds Final Presentation
36/37
Today McDonalds has grown to 25000 restaurants in about120 countries serving 50 million customers daily.McDonalds is also leading in marketing activities whichmainly focus on attracting children segment so that they
can capture the largest market. Although McDonalds failsto introduce innovative product rapidly but the salesrevenue of existing products is also rapidly increasing as weshown in financial information. The products of McDonalds in different countries conform to the cultural
and social life style. McDonalds is having a competitiveadvantage over KFC. Wendys, burger king, star bucks, tacobell. Becoming the largest fast-food chain in all over the
world
8/3/2019 Akanksha Macdonalds Final Presentation
37/37