McDonalds Final Case Analysis Power Strat Girls
Transcript of McDonalds Final Case Analysis Power Strat Girls
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JMJ Marist BrothersNotre Dame of Marbel University
GRADUATE SCHOOCity of !orona"al# $rovin%e of So&th Cotabato
JMJ Marist BrothersGRADUATE SCHOOL
NOTRE DAME OF MARBEL UNIVERSITYCity of oro!a"a#$ %ro&i!'e of So(th Cota)ato
CASE ANALYSISON
MCDONALD*S COR%ORATION
In Partial Fulfillment of the Requirements in BA 239(STRATEGIC MAAGEMET!
Presente" to
Mr# Antonion $# Boquiren% MBA MSA
Presente" &'
)IBA$ER% A*A MA+*E S#
$ASTIM,SA% M-.-R)-$$ MA- $#
,*,-% G$AI.A S#
Overview
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GRADUATE SCHOOCity of !orona"al# $rovin%e of So&th Cotabato
I# Brief )istor' of M/*onal"0s
II# M/*onal"0s 1ision% Mission 1alues Statement
a# Eistin4 Im5ro6e" 1ision Statement Eistin4 Im5ro6e" Mission Statement
/# 1alues Statement
III# M/*onal"0s Ma7or Com5etitors
a# -+M
8 Sales an" Profits Stren4th an" ea:nesses
Bur4er ;in4
8 Sales an" Profits Stren4th an" ea:nesses
/# en"'0s
8 Sales an" Profits Stren4th an" ea:nesses
I1# Com5etiti6e Profile Matri
1# Eternal ,55ortunities an" Threats
1I# Eternal Fa/tor E6aluation (EFE! Matri
1II# Internal Stren4ths an" ea:nesses
1III# Internal Fa/tor E6aluation (IFE! Matri
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JMJ Marist BrothersNotre Dame of Marbel University
GRADUATE SCHOOCity of !orona"al# $rovin%e of So&th Cotabato
I+ BRIEF HISTORY OF MCDONALD*S COR%ORATION
M/*onal"0s is the >orl"0s lea"in4 fast foo" restaurant /hain >ith more than3?%@@@ lo/al restaurants ser6in4 a55roimatel' 9 million 5eo5le in 9 /ountries ea/h
"a'# More than @D of M/*onal"0s restaurants >orl">i"e are o>ne" an" o5erate" &'
in"e5en"ent lo/al fran/hisees#
,n *e/em&er 9?% the first M/*onal"0s restaurant is o5ene" in San
Bernar"ino% California &' &rothers Ri/har" an" Mauri/e M/*onal"# ,ffers &ur4ers% fries%
mil: sha:es% soft "rin:s% an" a55le 5ie# Ra' ;ro/% a mil:sha:e ma/hine salesman%
su44ests nation>i"e fran/hisin4 an" a/ts as a fran/hisin4 a4ent for the &rothers in the
'ear 9?# )e run the first restaurant in 9 an" o5ens in *es Plaines% Illinois# Se6eral
5ro&lems arise in a"a5tin4 the s'stem use" &' Ri/har" an" Mauri/e to the ne>
restaurant# First lo4o% S5ee"ee% is intro"u/e"# The net 'ear% ;ro/ has to re5ur/hase
the fran/hise ri4hts for the Coo: Count' restaurant# The' ha" &een 5re6iousl' sol" to
the Fre7la/: I/e Cream Co# Fre" Turner is hire" to o6ersee o5erations# In 9% he &u's
out the M/*onal" &rothers for 2# million an" o5ens his first Hamburger University, for
the trainin4 of fran/hisee# ,n 9?% ;ro/ "ie" an" E" Rensi &e/ame the 5resi"ent of
M/*onal"0s +SA# HGo A/ti6e )a55' Meal%J >as then intro"u/e" in 2@@? /onsistin4 of a
sala"% >ater% ste5ometer% an" an eer/ise &oo:let#
II+ MCDONALD*S VISION MISSION STATEMENT
VISION
(Eistin4 1ision Statement!
Be the >orl"0s &est qui/: ser6i/e restaurant e5erien/e% &ein4 the &est means
5ro6i"in4 outstan"in4 qualit' ser6i/e% /leanliness% an" 6alue so that >e ma:e e6er'
/ustomer in e6er' resto smile#
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JMJ Marist BrothersNotre Dame of Marbel University
GRADUATE SCHOOCity of !orona"al# $rovin%e of So&th Cotabato
,Im5ro6e" 1ision Statement!
To &e the >orl"0s &est qui/: ser6i/e restaurant e5erien/e
The statement is quite lon4 an" in/lu"es 5hrases >hi/h onl' "es/ri&es their
inter5retation of &ein4 the K&est0 &ut "oes not "e5i/t >hat the' reall' >ant to &e/ome#
The 5hrase Hto &e the >orl"0s &est qui/: ser6i/e restaurant e5erien/eJ is enou4h to
e5ress futuristi/ 6ie> of M/*onal"0s#
MISSION STATEMENT
(Eistin4 Mission Statement!
M/*onal"Ls &ran" mission is to &e our /ustomersL fa6orite 5la/e an" >a' to eat
an" "rin:# ,ur >orl">i"e o5erations are ali4ne" aroun" a 4lo&al strate4' /alle" the
Plan to in% >hi/h /enter on an e/e5tional /ustomer e5erien/e Peo5le% Pro"u/ts%
Pla/e% Pri/e an" Promotion# e are /ommitte" to /ontinuousl' im5ro6in4 our
o5erations an" enhan/in4 our /ustomersL e5erien/e
(Im5ro6e" Mission Statement!
Be the &est em5lo'er for our 5eo5le in ea/h /ommunit' aroun" the >orl"# *eli6er
the o5erational e/ellen/e to our fast foo" restaurants >hile insurin4 >e o5erate
ethi/all'N A/hie6e en"urin4 5rofita&le 4ro>th &' e5an"in4 the &ran" an" le6era4in4 the
stren4ths of M/*onal"0s s'stem throu4h inno6ation% /or5orate /itiOenshi5 an"
te/hnolo4'# Fulfillin4 our /ustomer >ill automati/all' im5ro6e our 5rofit#
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GRADUATE SCHOOCity of !orona"al# $rovin%e of So&th Cotabato
• Be the &est em5lo'er for our 5eo5le in ea/h /ommunit' aroun" the >orl"#
(Mar:ets% /on/ern for em5lo'ees!
• *eli6er the o5erational e/ellen/e to our fast foo" restaurants >hile insurin4 >e
o5erate ethi/all'# (Philoso5h'% Pro"u/ts Ser6i/es!
• A/hie6e en"urin4 5rofita&le 4ro>th &' e5an"in4 the &ran" an" le6era4in4 the
stren4ths of M/*onal"0s s'stem throu4h inno6ation% /or5orate /itiOenshi5 an"
te/hnolo4'# (Te/hnolo4'% Con/ern for Sur6i6al% Gro>th Profita&ilit'% Con/ern for
5u&li/ ima4e!
• Fulfillin4 our /ustomer >ill automati/all' im5ro6e our 5rofit# (Customers% Self8
/on/e5t!
VALUES
-e .#a'e the '(sto/er e0.erie!'e at the 'ore of a## 1e "o+
,ur /ustomers are the reason for our eisten/e# e "emonstrate our
a55re/iation &' 5ro6i"in4 them >ith hi4h qualit' foo" an" su5erior ser6i/e in a /lean%
>el/omin4 en6ironment% at a 4reat 6alue# ,ur 4oal is qualit'% ser6i/e% /leanliness an"
6alue (=SC1! for ea/h an" e6er' /ustomer% ea/h an" e6er' time#
-e are 'o//itte" to o(r .eo.#e+
e 5ro6i"e o55ortunit'% nurture talent% "e6elo5 lea"ers an" re>ar" a/hie6ement#
e &elie6e that a team of >ell8traine" in"i6i"uals >ith "i6erse &a/:4roun"s an"
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JMJ Marist BrothersNotre Dame of Marbel University
GRADUATE SCHOOCity of !orona"al# $rovin%e of So&th Cotabato
e5erien/es% >or:in4 to4ether in an en6ironment that fosters res5e/t an" "ri6es hi4h
le6els of en4a4ement% is essential to our /ontinue" su//ess#
-e )e#ie&e i! the M'Do!a#"*s Syste/+
M/*onal"0s &usiness mo"el% "e5i/te" &' our Hthree8le44e" stoolJ of
o>nero5erators% su55liers% an" /om5an' em5lo'ees% is our foun"ation% an" &alan/in4
the interests of all three 4rou5s is :e'#
-e o.erate o(r )(si!ess ethi'a##y+
Soun" ethi/s is 4oo" &usiness# At M/*onal"0s% >e hol" oursel6es an" /on"u/t
our &usiness to hi4h stan"ar"s of fairness% honest'% an" inte4rit'# e are in"i6i"uall'
a//ounta&le an" /olle/ti6el' res5onsi&le#
-e 2i&e )a'3 to o(r 'o//(!ities+
e ta:e seriousl' the res5onsi&ilities that /ome >ith &ein4 a lea"er# e hel5 our
/ustomers &uil" &etter /ommunities% su55ort Ronal" M/*onal" )ouse Charities% an"
le6era4e our siOe% s/o5e an" resour/es to hel5 ma:e the >orl" a &etter 5la/e#
-e 2ro1 o(r )(si!ess .rofita)#y+
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JMJ Marist BrothersNotre Dame of Marbel University
GRADUATE SCHOOCity of !orona"al# $rovin%e of So&th Cotabato
M/*onal"0s is a 5u&li/l' tra"e" /om5an'# As su/h% >e >or: to 5ro6i"e sustaine"
5rofita&le 4ro>th for our sharehol"ers# This requires a /ontinuous fo/us on our
/ustomers an" the health of our s'stem#
-e stri&e 'o!ti!(a##y to i/.ro&e+
e are a learnin4 or4aniOation that aims to anti/i5ate an" res5on" to /han4in4
/ustomer% em5lo'ee an" s'stem nee"s throu4h /onstant e6olution an" inno6ation#
III+ MCDONALDS* MAJOR COM%ETITORS
a+ YUM BRANDS
SA$ES PR,FITS
Mar:et Ca5 %@%@@@%@@@Em5lo'ees 3%2@@=uarterl' Re6enue Gro>th #@DRe6enue 9%@@%@@@%@@@Gross Mar4in 2#D,5eratin4 Profits %@%@@@%@@@,5eratin4 Mar4in 2#9Det Profits ?@%@@@%@@@EPS ratio 3#@3PE Ratio 22#3PEG ( 'r e5e/te"! #3PS #9
STRENGTHS 4 -EANESSES
Stre!2ths-ea3!esses
# Continuous ra5i" o6erseas 4ro>th an"e5ansion% es5e/iall' in China
2# orl"0s lar4est restaurant /om5an'
# +n"er5erforman/e an" slo>in4 of +#S#sales% s5e/ifi/all' >ith ;FC an" PiOOa)ut &ran"s
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JMJ Marist BrothersNotre Dame of Marbel University
GRADUATE SCHOOCity of !orona"al# $rovin%e of So&th Cotabato
o6er 3%@@@ restaurants in @/ountries an" territories
3# ;FC% PiOOa )ut% Ta/o Bell% an" $on4Qohn Sil6er0s are >orl">i"e lea"ers in
/hi/:en% 5iOOa% Mei/an% an" seafoo"qui/:8ser6i/e se/tors?# ;FC is the first% the lar4est% an" fastest
4ro>in4 qui/:8ser6i/e restaurant /hainin China
# Stron4 "omesti/ an" international&ran" re/o4nition an" &ran" ima4e
# 3D annual Earnin4s Per Share4ro>th sin/e 2@@
# Pro"u/t "i6ersit' a/ross "ifferent&ran"s
2# Relati6el' small mar:et share ino6ersaturate" +#S# fast foo" in"ustr'
5+ ,l"er +#S# restaurant units losin4 salesannuall'
B+ BURGER ING
SALES 4 %ROFITS
Mar:et Ca5 3%@%@@@%@@@Em5lo'ees 3%@@@=uarterl' Re6enue Gro>th #9@DRe6enue 2%@%@@@%@@@Gross Mar4in 3?#@D,5eratin4 Profits 33?%@@@%@@@
,5eratin4 Mar4in #@2Det Profits @2%@@@%@@@EPS ratio @#3PE Ratio 3?#@PEG ( 'r e5e/te"! #?PS #@
STRENGTHS 4 -EANESSES
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GRADUATE SCHOOCity of !orona"al# $rovin%e of So&th Cotabato
Stre!2ths-ea3!esses
# Geo4ra5hi/ *i6ersifi/ation2# Esta&lishe" Mar:et Share3# Glo&all' Re/o4niOe" Bran"?# Su5erior Gro>th Plan
6+ 1ulnera&ilit' to $a&or an"Re4ulator' Influen/es
7+ Relian/e on so /alle" HSu5erCustomersJ
C+ -ENDY*S
SALES 4 %ROFITS
Mar:et Ca5 3%@%@@@%@@@Em5lo'ees 3%@@@=uarterl' Re6enue Gro>th #9@DRe6enue 2%@%@@@%@@@Gross Mar4in 3?#@D,5eratin4 Profits 33?%@@@%@@@
,5eratin4 Mar4in #@2Det Profits @2%@@@%@@@EPS ratio @#3PE Ratio 3?#@PEG ( 'r e5e/te"! #?PS #@
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GRADUATE SCHOOCity of !orona"al# $rovin%e of So&th Cotabato
STRENGTHS 4 -EANESSES
Stre!2ths-ea3!esses
# E5ert Mana4ement2# Atmos5here3# Glo&al Bran"
6+ Brea:fast Menu Pro&lem7+ Mana4ement
McDonalds Burger King Yum Brands -e!"y*s
Criti'a#S(''essfa'tors
-ei2hts
Rati!2
-ei2hte" S'ore
Rati!2
-ei2hte" S'ore
Rati!2
-ei2hte" S'ore
Rati!2
-ei2hte" S'ore
8+8 to
6+8 6 to 9 6 to 9 6 to 9 6 to 9
Mar3et Share 8+6: 9 8+;7 5 8+
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GRADUATE SCHOOCity of !orona"al# $rovin%e of So&th Cotabato
Fi!a!'ia#%ositio! 8+67 9 8+9: 5 8+5= 5 8+5= 5 8+5=
G#o)a#
E0.a!sio! 8+8> 9 8+5= 5 8+7; 5 8+7; 7 8+6:
C(sto/erSer&i'e 8+8> 7 8+6: 5 8+7; 7 8+6: 7 8+6:
A"&ertisi!2 8+8; 9 8+7: 9 8+7: 5 8+76 7 8+69
%ri'eCo/.etiti&e!ess 8+8; 9 8+7: 9 8+7: 5 8+76 7 8+69
%ro"('tI!!o&atio! 8+66 7 8+77 5 8+55 5 8+55 5 8+55
%ro"('t ?(a#ity 8+6 6 8+6 9 8+9 7 8+7 9 8+9
C(sto/erSatisfa'tio! 8+8: 5 8+79 5 8+79 5 8+79 9 8+57
Ma!a2e/e!t 8+8> 9 8+5= 5 8+7; 5 8+7; 5 8+7;
Tota# 6 5+77 5+79 7+:6 7+=:
IV+ COM%ETITIVE %ROFILE MATRI@ ,C%M
V+ MCDONALD*S E@TERNAL O%%ORTUNITIES 4 THREATS
E0ter!a# O..ort(!ities E0ter!a# Threats# e> Pro"u/ts Ser6i/es2# Be6era4e Mar:et3# Gro>th of Fran/hise Restaurants?# *eman" for ,r4ani/ Pro"u/ts
# Chan4e in Commo"it' Pri/es2# Foo" Safet' an" Foo" Borne Illness
Con/erns3# E/onomi/ Slo>"o>n
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JMJ Marist BrothersNotre Dame of Marbel University
GRADUATE SCHOOCity of !orona"al# $rovin%e of So&th Cotabato
# International E5ansion
# Conser6ation (4oin4 4reen!
?# Gro>in4 )ealth Cons/iousness# Intense Com5etition ("ine8in
restaurants% Bur4er ;in4!# $e4al Challen4es (M/*onal"0s
fa/es man' la>suits!
VI+ E@TERNAL FACTOR EVALUATION ,EFE MATRI@
Key External Factors Weights Rating Weighted Scor
0.0 to
1.0 1 to 4
O33ort&nitiesNe4 $ro"&%ts 5 Servi%es 26) + 26+
Bevera'e Mar7et 8frosties9262
0 * 26).
Gro4th of :ran%hise Resta&rants262
1 + 26*/
Deman" for Or'ani% $ro"&%ts262
. * 26)*;nternational Een"y?s9262
1 , 26+.e'al Challen'es 8M%Donal"s fa%es many
la4s&its9262
1 + 26*/
Totals 1 3.00
VII+ MCDONALD*S INTERNAL STRENGTH 4 -EANESSES
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JMJ Marist BrothersNotre Dame of Marbel University
GRADUATE SCHOOCity of !orona"al# $rovin%e of So&th Cotabato
I!ER"# S!RE$!%S I!ER"# WE"KESSES
)6 Stron' Global $resen%e 8lo%ate"in over= )22 %o&ntries9
*6 Stron' Real Estate $ortfolio+6 Bran" Re%o'nition,6 Reven&e Gro4th 1@ 8Above
;n"&stry Avera'e of /6-@9-6 The Ronal" M%Donal" Ho&se
8Chil"ren Charity9.6 Systemiation an" D&3li%ation
8Consisten%y9
)6 $&bli% $er%e3tion 83er%eive" as a%ontrib&tor to so%ieties obesity3roblem9
*6 $ro"&%t ;nnovation+6 A"vertisin' 8tar'ets yo&n'
%hil"ren9,6 C&stomer Servi%e-6 Mar7et Sat&ration 8more "i%<
to a"" ne4 stores9.6 abor T&rnover
VIII+ INTERNAL FACTOR EVALUATION ,IFE MATRI@
Key Internal Factors Weights RatingWeighte
Score
0.0 to 1.01& '& 3 or
4
Internal Strengths + or ,
Stron' Global $resen%e 8lo%ate" in over )22 %o&ntries9 2621 , 26+Stron' Real Estate $ortfolio 8fran%hises# lan"#
b&il"in's9 2621 , 26+Bran" Re%o'nition 8Ronal" M%Donal" is as famo&s as
Mi%7ey Mo&se9 26)) , 26,,Reven&e Gro4th 1@ 8Above ;n"&stry Avera'e of /6-@9 26)) , 26,, The Ronal" M%Donal" Ho&se 8Chil"ren Charity9 262. , 26*Systemiation an" D&3li%ation $ro%ess 8%onsisten%y9 2621 , 26+
Internal Weaknesses ) or *$&bli% $er%e3tion 83er%eive" as a %ontrib&tor to
so%ieties obesity 3roblem9 2621 ) 262$ro"&%t ;nnovation 2620 * 26)A"vertisin'= tar'ets yo&n' %hil"ren 8many %o&ntries
ban &nhealthy a"vertisements9 262/ * 26),C&stomer Servi%e 2620 * 26)Mar7et Sat&ration 8more "i%< to a"" ne4 stores9 262/ * 26),abor T&rnover 262. ) 262
Totals 1 '.(
I@+ MATRICES
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JMJ Marist BrothersNotre Dame of Marbel University
GRADUATE SCHOOCity of !orona"al# $rovin%e of So&th Cotabato
a+ S-OT ANALYSIS
SO Strategies
WO
Strategies S! Strategies W! Strategies
)6 Develo3 Ne4 $ro"&%ts5 Servi%es :or GlobalMar7ets6 8S)# O)9
)6 A"vertise Or'ani%$ro"&%ts to Ol"erDemo'ra3hi%6 8>+#O,# O.9
)6 a&n%hMar7etin'Cam3ai'n forRonal" M%Donal"Ho&se toin%rease Bran"Re%o'nition an"C&stomeroyalty6 8S-# S+# T+# T-9
)6 Resear%h an"Develo3 3ro"&%tsthat &ell Gro4in'Health Con%erns68>)# T*# T,9
*6 Develo3 Green$a%7a'in' for all Stores68S.# O.9
*6 S3en" moremoney on Resear%han" Develo3ment to%reate ne4 3ro"&%tsan" servi%es6 8>*#O)9
*6 Develo3alternatives toe
mar:ets 83
Cash Flo> ? Ris: in6ol6e" in 82
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JMJ Marist BrothersNotre Dame of Marbel University
GRADUATE SCHOOCity of !orona"al# $rovin%e of So&th Cotabato
&usiness
A6era4e ?# A6era4e 82#
-8ais 2#
Com5etiti6e A"6anta4e Ratin4 In"ustr' Stren4th Ratin4
Mar:et Share 8#@@ Gro>th 5otential
Pro"u/t =ualit' 8#@@ Finan/ial sta&ilit'
Customer $o'alt' 8#@@
Ease of entr' ne>
mar:ets ?
Control o6er other 5arties 82#@@ Resour/es utiliOation ?
Profit 5otential
*eman" 6aria&ilit' 3
A6era4e 8#2 A6era4e ?#33
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JMJ Marist BrothersNotre Dame of Marbel University
GRADUATE SCHOOCity of !orona"al# $rovin%e of So&th Cotabato
,sto*er#oyalty /1.00
Ease o- entry new*ar6ets 4
ontrol overother arties /'.00 Reso,rces ,tili;ation 4
ro
D+ Gra!" Strate2y Matri0
E+ M'Do!a#"s Gra!" Strate2y Matri0
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JMJ Marist BrothersNotre Dame of Marbel University
GRADUATE SCHOOCity of !orona"al# $rovin%e of So&th Cotabato
F+ INTERNALE@TERNAL ,IE MATRI@
IFE Scores
%old "nd 9aintainStrong "verage Wea6
3/4 '/'.(( 1/1.((
%igh 3/4
I II III
E F E
S c o r e s
9edi,* '/'.((
I? ?
M'Do!a#"s
?I
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JMJ Marist BrothersNotre Dame of Marbel University
GRADUATE SCHOOCity of !orona"al# $rovin%e of So&th Cotabato
#ow 1/1.((
?II ?III I=
G+ ?UANTITATIVE STRATEGIC %LANNING MANAGEMENT
Otion
1 Otion'
reate anOrganic
Send *ore*oney on R@ to
create new rod,cts
*en,.
and services andincrease the eAciencyo- oerations
Key External Factors Weight "S!
"S "S "S
Oort,nities1 to
4 1 to 4
ew rod,cts andServices 0.1 4
0.4 4 .4
5everage 9ar6etB-rostiesC
0.0> 3
0.'4 ' .12
$rowth o- Franchise
Resta,rants
0.0
( 0 e*and -or Organicrod,cts
0.02 4
0.'4 ' .1'
InternationalExansion 0.1 0 onservation B$oing$reenC
0.07 4
0.'> 3 .'1
!hreats
hange in o**odityrices
0.07 '
0.14 ' .14
Food Sa-ety and Food 5orne
Illness oncerns
0.0
7 0 Econo*icSlowdown 0.1 '
0.' 3 .3
$rowing %ealthonscio,sness
0.0> 4
0.3' 3 .'4
Intense o*etition Bine/InResta,rants& WendyDsC
0.0( 4
0.32 3 .'7
#egal hallengesB>.>*illion laws,itsC
0.0( 0
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JMJ Marist BrothersNotre Dame of Marbel University
GRADUATE SCHOOCity of !orona"al# $rovin%e of So&th Cotabato
total sho,ld +e1.0 1
ey I!ter!a# Fa'tors Or2a!i'Me!(
I!'rease
o!
Resear'h 4
De&e#o./e!tStre!2ths to ? to ?
Stron4 Glo&al Presen/e (lo/ate" ino6er @@ /ountries! @#@9 ? @#3 ? @#3Stron4 Real Estate Portfolio (lan"%&uil"in4s! @#@9 @ @Bran" Re/o4nition (Ronal"M/*onal" is as famous as Mi/:e'Mouse! @# ? @#?? ? @#??Re6enue Gro>th 9D (A&o6ein"ustr' a6era4e #D @# @ @
The Ronal" M/*onal" )ouse(Chil"ren Charit'! @#@ @ @S'stemiOation *u5li/ationPro/ess (/onsisten/'! @#@9 @ @
-ea3!esses
Pu&li/ Per/e5tion (5er/ei6e" as a/ontri&utor to so/ieties o&esit'5ro&lem! @#@9 ? 3 @#2Pro"u/t Inno6ation @#@ ? @#32 ? @#32
A"6ertisin4 (tar4ets 'oun4/hil"ren! @#@ @ @Customer Ser6i/e @#@ @ @Mar:et Saturation (more "iffi/ult toa"" ne> stores! @#@ @ @
$a&or Turno6er @#@ @ @
total shoul" &e#@
3#3 3#23
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8/19/2019 McDonalds Final Case Analysis Power Strat Girls
20/22
JMJ Marist BrothersNotre Dame of Marbel University
GRADUATE SCHOOCity of !orona"al# $rovin%e of So&th Cotabato
H+ MARET ANALYSIS
A#ter!ati&e Strate2ies IE S%ACE GRAND COUNT
For>ar" Inte4ration <
Ba/:>ar"s Inte4ration <
)oriOontal Inte4ration <
Mar:et Penetration < < 2
Mar:et *e6elo5ment <
Pro"u/t *e6elo5ment < < 2
Con/entri/ *i6ersifi/ation < < 2
Con4lomerate *i6ersifi/ation < < 2
)oriOontal *i6ersifi/ation < < 2
Qoint 1enture < 2
Retren/hment @
*i6estiture @
$iqui"ation @
I+ RECOMMENDED S%ECIFIC ANNUAL OBJECTIVES
o Better restaurant o5erations
o Bran"e" affor"a&ilit'
o Menu 6ariet' an" &e6era4e /hoi/e
o Gro> mar:et share
o Maintain "e&t8to8/a5ital le6els to 38?@D
o Create lon48term 5rofita&le 4ro>th for sharehol"ers
$a'e ( *2
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8/19/2019 McDonalds Final Case Analysis Power Strat Girls
21/22
JMJ Marist BrothersNotre Dame of Marbel University
GRADUATE SCHOOCity of !orona"al# $rovin%e of So&th Cotabato
J+ RECOMMENDA
TIONS
GOING ORGANIC
o ,r4ani/ Foo" sales are anti/i5ate" to in/rease an a6era4e of 22 5er/ent ea/h'ear from 2@@ to 2@@#
o ,r4ani/ foo" re5resents a55roimatel' 2#D of o6erall foo" an" &e6era4e sales
in 2@@# The or4ani/ se/tor 4re> 2@#9D in 2@@#o Total +S or4ani/ sales% in/lu"in4 foo" an" non8foo" 5ro"u/ts% >ere # &illion
in 2@@ u5 2D from 2@@#
O*NATURALS ORGANIC FAST FOODo M/*onal"s H/om5etitionJ in the or4ani/ se4ment#
o Pri6atel' o>ne" /om5an'#
o $o/ations 2 in Maine% in Massa/husetts% in AriOona% in ;ansas#
o Ser6es onl' or4ani/ foo" an" &e6era4es#
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Create an or4ani/ menu to satisf' the 4ro>in4 hun4er for healthier foo"s# This >ill in/rease M/*onal"0s sales an" &e a 5ositi6e effe/ti6eon its 5u&li/ ima4e#
8 A"6ertisement to 5romote ne>
menu
@%@@@
8 *e6elo5 4reen 5a/:a4in4 for allstores# This >ill "e/reaseM/*onal"0s o5erations e5ensesan" /reate a &etter atmos5here inthe lon4 run#
@%@@@
8 S5en" more on Resear/h *e6elo5ment to /reate ne>5ro"u/ts an" ser6i/es an"
in/rease the effi/ien/' of o5erations#
@%@@@
Total Costs 3@%@@@
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8/19/2019 McDonalds Final Case Analysis Power Strat Girls
22/22
JMJ Marist BrothersNotre Dame of Marbel University
GRADUATE SCHOOCity of !orona"al# $rovin%e of So&th Cotabato
o Eas' a/quisition for M/*onal"s if the' 5ursue the or4ani/ se4ment of the fastfoo" in"ustr'#
U%DATECURRENT STRATEGY AND OBJECTIVES 788;788:
,ur Plan to in% >ith its strate4i/ fo/us on &ein4 &etter% not 7ust &i44er% has"eli6ere" e6en &etter restaurant e5erien/es to /ustomers an" su5erior 6alue tosharehol"ers#
e ha6e the >orl"Ls &est o>nero5erators% su55liers% an" em5lo'ees unite" inour /ommitment to /ustomers#
e are le6era4in4 4reater /onsumer insi4ht to "eli6er sustaina&le &usinessresults for the lon48term &enefit of our sharehol"ers#
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