Strategic Plans

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McDonald's Introduction : The McDonald's Corporation is the world's largest chain of hamburger fast food restaurants , serving around 68 million customers daily in 119 countries across 35,000 outlets. 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. McDonald's Corporation revenues come from the rent, royalties, and fees paid by the franchisees, as well as sales in company-operated restaurants. In 2012, McDonald's Corporation had annual revenues of $27.5 billion, and profits of $5.5 billion. According to a 2012 report by the BBC, McDonald's is the world's second largest private employer (behind Walmart) with 1.9 million employees, 1.5 million of whom work for franchises. McDonald's primarily sells hamburgers, cheeseburgers, chicken, french fries, breakfast items, soft drinks, milkshakes, and desserts. In response to changing consumer tastes, the company has expanded its menu to include salads, fish, wraps, smoothies, fruit, and seasoned fries. McDonald’s in Australia : Back in 1971, McDonald's opened its first restaurant in a Sydney suburb called Yagoona. Today there are

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Transcript of Strategic Plans

McDonald's

Introduction: TheMcDonald's Corporationis the world's largest chain ofhamburgerfast food restaurants, serving around 68 million customers daily in 119 countries across 35,000 outlets. Headquartered in the United States, the company began in 1940 as a barbecue restaurant operated byRichard and Maurice McDonald; in 1948 they reorganized their business as a hamburger stand using production line principles. BusinessmanRay Krocjoined 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. McDonald's Corporation revenues come from the rent, royalties, and fees paid by the franchisees, as well as sales in company-operated restaurants. In 2012, McDonald's Corporation had annual revenues of $27.5 billion, and profits of $5.5 billion. According to a 2012 report by the BBC, McDonald's is the world's second largest private employer (behind Walmart) with 1.9 million employees, 1.5 million of whom work for franchises.McDonald's primarily sells hamburgers, cheeseburgers, chicken, french fries, breakfast items, soft drinks, milkshakes, and desserts. In response to changing consumer tastes, the company has expanded its menu to include salads, fish, wraps, smoothies, fruit, and seasoned fries.

McDonalds in Australia: Back in 1971, McDonald's opened its first restaurant in a Sydney suburb called Yagoona. Today there are over 900 McDonald's outlets across Australia and they employ around 90,000 people across the restaurants and management offices. With more than one million customers coming through the restaurants every day, its their priority to maintain the customers trust and integrity. To do this they make sure that the customers and employees receive the respect they deserve. Through honesty, hard work and outstanding quality, service, cleanliness and value (QSC&V) they make sure that the restaurants are up to the standard the customers deserve.

Organizational Mission: McDonald's brand mission is to be our customers' favorite place and way to eat and drink. Our worldwide operations are aligned around a global strategy called the Plan to Win, which center on an exceptional customer experience People, Products, Place, Price and Promotion. We are committed to continuously improving our operations and enhancing our customers' experience.

Organizational Vision: McDonald's vision statement is "to be our customers' favorite place and way to eat and drink."This portrays the company's aspirations towards providing quality customer experiences and services. The long-term goal is to retain current customers, attract new customers and be a favorite place to eat for many people.

Organizational Values: We place the customer experience at the core of all we do - Our customers are the reason for our existence. We demonstrate our appreciation by providing them with high quality food and superior service in a clean, welcoming environment, at a great value. Our goal is quality, service, cleanliness and value (QSC&V) for each and every customer, each and every time.We are committed to our people - We provide opportunity, nurture talent, develop leaders and reward achievement. We believe that a team of well-trained individuals with diverse backgrounds and experiences, working together in an environment that fosters respect and drives high levels of engagement, is essential to our continued success.We believe in the McDonalds System -McDonalds business model, depicted by our three-legged stool of owner/operators, suppliers, and company employees, is our foundation, and balancing the interests of all three groups is key.We operate our business ethically -Sound ethics is good business. At McDonalds, we hold ourselves and conduct our business to high standards of fairness, honesty, and integrity. We are individually accountable and collectively responsible.We give back to our communities -We take seriously the responsibilities that come with being a leader. We help our customers build better communities, support Ronald McDonald House Charities, and leverage our size, scope and resources to help make the world a better place.We grow our business profitably -McDonalds is a publicly traded company. As such, we work to provide sustained profitable growth for our shareholders. This requires a continuous focus on our customers and the health of our system.We strive continually to improve -We are a learning organization that aims to anticipate and respond to changing customer, employee and system needs through constant evolution and innovation.

SWOT Analysis of McDonalds:

Strengths: Largest fast food market share in the world Brand recognition valued at $40 billion $2 billion advertising budget Locally adapted food menus Partnerships with best brands More than 80% of restaurants are owned by independent franchisees Children targeting

1. Largest fast food market share in the world.McDonalds is the largest fast food restaurant chain in terms of total world sales (8%). It is the second largest outlet operator with more than 34,000 outlets, serving 69 million consumers every day in 119 countries.2. Brand recognition valued at $40 million.Companys brand is the most recognized brand in fast food industry and is valued at $40 billion. McDonalds is also famous by the Ronald McDonald clown.3. $2 billion advertising budget.McDonalds spends on advertising more than the next 4 fast food restaurant chains combined.4. Locally adapted food menus.The fast food chain is operating in many diverse cultures where tastes in food are extremely different than those of US or European consumers. Thus ability to adapt to local tastes is one of McDonalds strengths.5. Partnership with best brands.McDonalds offers only most popular brands in its restaurants, such as: Coca Cola, Yogurt, Heinz ketchup and others.6. More than 80% of restaurants are owned by independent franchisees.Therefore, McDonalds can focus more on perfecting its serving system and marketing campaigns.7. Children targeting.The business successfully targets very young children through offering playgrounds, toys with its meals and advertisements.

Weakness: Negative publicity Unhealthy food menu Low differentiation Employment practices and low wages Criticism and negative publicity Image of a cheap place to eat at Competition based on prices rather than differentiation

1. Negative publicity.McDonalds is heavily criticized for offering unhealthy food to its customers, stimulating obesity and strong marketing focus on very young children.2. Unhealthy food menu.Although McDonalds tries to introduce healthier choices in its menu, the menu is largely formed of unhealthy meals and drinks. Such menu offering prompts protests by organizations that fight obesity and hence, decreases McDonalds popularity.3. Mac Job and high employee turnover.Mac Job is a low paid and a low skilled job, which is often seen negatively by its employees. This results in lower performance and high employee turnover, which increases training costs and add to overall costs of McDonalds.4. Low differentiation.McDonalds is no longer able to substantially differentiate itself from other fast food chains (at least not enough to gain some market share) and opts to compete by price rather than by additional features.

Opportunities: Changing customer habits and new customer groups Increasing demand for healthier food Expand McCaf network and separate it from the traditional McDonalds restaurants Expand McDelivery services Expand make your own burger service Growing middle class in China

1. Increasing demand for healthier food.While demand for healthier food increases, McDonalds could introduce more healthy food choices in its menu and reverse its weakness into strength. McDonalds is trying to seize such an opportunity and soon plans to open only vegetarian restaurant in India.2. Home meal delivery.McDonalds could exploit an opportunity of delivering food to home and increase its reach to customers.3. Full adaptation of its new practices.McDonalds has redesigned its logo and restaurant design in 2006. In addition, it has introduced some new practices. In a result, remodeled restaurants have seen 8-9% higher than average market growth. McDonalds should finish remodeling all of the restaurants and adapt the best practices in them as soon as possible.4. Changing customer habits and new customer groups.Changing customer habits represent new needs that must be met by businesses. So far, the company has been successful in introducing its McCaf, McExpress and McStop restaurants to meet the changing customer habits and the needs of previously untapped customer groups.

Threats: Saturated fast food markets in the developed economies Trend towards healthy eating Local fast food restaurant chains Currency fluctuations Lawsuits against McDonalds Intensifying rivalry

1. Saturated fast food markets in the developed economies.The fast food market in the developed countries is already overcrowded by so many fast food restaurant chains and this already proves to be a threat to McDonalds as it barely grew through 2012.2. Trend towards healthy eating.Due to government and various organizations attempts to fight obesity, people are becoming more conscious of eating healthy food rather than what McDonalds has to offer in its menu.3. Local fast food restaurant chains.Local fast food restaurants can often offer a more local approach to serving food and menu that exactly represents local tastes. Although McDonalds does a great job in adapting its own menu to local tastes, the rising number of local fast food chains and their lower meal prices is a threat to McDonalds.4. Currency fluctuations.The business receives a part of its income from foreign operations. The profits that are sent back to US have to be converted into dollars and may be affected by the exchange rates, especially when the dollar is appreciating against other currencies. In 2012, McDonalds profit was largely affected by appreciating dollar.5. Lawsuits against McDonalds.McDonalds has already been sued for many times and lost quite a few lawsuits. Lawsuits are expensive as they require time and money. And as McDonalds continues to operate more or less the same way, there is high probability for more expensive lawsuits to come.

Strategic Planning: McDonalds strategic plan is called plan to win. Theconcept ofthis plan is for McDonalds to not be the biggest fast foodrestaurantchain, but to be the best fast foodrestaurantchain. McDonalds tries to achieve this by applying the five Ps: People, products, place, price andpromotion. Along with this they also incorporate geographic strategic plans.In the U.S., McDonalds strategic plan continues to focus on breakfast, chicken,beveragesand convenience. These are the core areas in the United States. McDonalds has launched the Southern Style Chicken Biscuit for breakfast and the Southern Style Chicken Sandwich for lunch and dinner. In thebeveragebusiness, McDonalds starting introducing new hot specialty coffeeofferingson a market-by-market basis.In Europe, McDonalds uses a tiered menu approach. This menu features premium selections, classic menu, and everyday affordableofferings. They also complement these with new products and limited-time food promotions.In the Asia-Pacific, Middle East, and Africa markets, McDonalds strategic plan is focused around convenience, breakfast, core menu extensions and value. With McDonalds overall strategic plan and its geographical strategic plan, the company should start to see more positive financial results.As well as all this, McDonalds also incorporates organizational strategic plans which include betterrestaurantoperations, placing the customer first, menu variety andbeveragechoice.All of these strategic plans make McDonalds global brand gain a very high turnover rate and you cansee howfar McDonalds has grown since it first opened up in 1940.

Strategic Objectives and need for the Future: The current situation of McDonalds appears to be quite challenging. Overall customer traffic to the restaurants declined by 1.6 percent in the United States in 2013. Customers were not happy with the prices at McDonalds and when the chain revamped its Dollar Menu, customers didnt consider it to be anything extraordinary. Its Mighty Wings failed miserably and the restaurant had to have a chicken wing clearance sale to get rid of the extra food.It seems as ifMcDonaldsis doomed to fail. There are several reasons for it. First, the overall fast food chain is facing declining customer service and an overloaded menu. There has also been a significant change in consumer perception about fast food in general and McDonalds in particular.There is no doubt that McDonalds hasoverloadedits menu. Most of the new items have been nothing but expensive flops. McDonalds did try to diversify and improve its image as a coffee shop. They even tried to promote it by giving away free coffee. It is believed that it wants to become more likeStarbucksbut it is highly doubtful that this would become a reality.McDonalds has also been unsuccessful at convincing customers that its menu items are actually healthy. Efforts to shed theunhealthy imagehave not worked yet. More and more consumers are now demanding ethically sourced and sustainable ingredients. There have been complaints regarding the level of transfatin its products.McDonaldscustomer serviceis also at a low. Drive-thru times have slowed and workers feel overwhelmed.

The future looks even moredauntingbecause the taste of the American consumer is changing. McDonalds now faces tough competition from fast-casual rival chains such as Chipotle, Mexican Grill andPanera Bread. In countries outside the U.S., McDonalds has to now deal with non-traditional competitors, including cafes, convenience stores, bakeries and ready-to-eat supermarket meals. The chain has made changes to its menu and has introduced new chicken and bean items, smoothies and an enhanced breakfast menu but the competition still remains aggressive.

Europehas always been a big market for McDonalds accounting for more than one-third of its operating income and half of the company-operated margins. The European market for burgers is declining. Sales have been declining in Germany and France. In fact, traffic to McDonalds restaurants in Germany is contracting much faster than for other fast-food chains.

According to McDonalds CEODon Thompson, Customers want to personalize their meals with locally relevant ingredients. They also want to enjoy eating in a contemporary inviting atmosphere. And they want choices; choices in how they order, choices in what they order and how theyre served.

Unfortunately, these requirements are being fulfilled in a much better way by other restaurants such as Chipotle. Chipotle offers complete customization of food and antibiotic-free meats.Evaluation: McDonalds faces some difficult challenges. Key to its future success will be maintaining its core strengths an unwavering focus on quality and consistency while carefully experimenting with new options. These innovative initiatives could include launching higher-end restaurants under new brands that would not be saddled with McDonalds fast food image. The company could also look into expanding more aggressively abroad where the prospects for significant growth are greater. The companys environment efforts, while important, should not overshadow its marketing initiatives, which are what the company is all about.Potential Competitors: The major competitors of McDonalds are; Burger King Worldwide Inc. Yum! Brands Inc. Subway Darden Restaurants, Inc. Wendy's International, Inc. Starbucks CorporationLet us take a competitor of McDonalds and compare the two companies:

Burger King Worldwide Inc. Introduction: Burger King, often abbreviated asBK, is a globalchainofhamburgerfast food restaurantsheadquartered inunincorporated Miami-Dade County, Florida, United States. The company began in 1953 as Insta-Burger King, aJacksonville, Florida-based restaurant chain. After Insta-Burger King ran into financial difficulties in 1954, its two Miami-based franchisees,David EdgertonandJames McLamore, purchased the company and renamed it Burger King. Over the next half century, the company would change hands four times, with its third set of owners, a partnership ofTPG Capital,Bain Capital, and Goldman Sachs Capital Partners, taking it public in 2002. In late 2010,3G Capitalof Brazil acquired a majority stake in BK in a deal valued at US$3.26 billion. The new owners promptly initiated a restructuring of the company to reverse its fortunes. 3G, along with partnerBerkshire Hathaway, eventually merged the company with Canadian-based donut chainTim Hortons. Vision Statement: Our commitment to premium ingredients, signature recipes, and family-friendly dining experiences is what has defined our brand for more than 50 successful years. Mission????Organisation Values??????Objectives???????????

Operational Strategy: Driving sales and traffic in the U.S. and Canada: They have identified the following four pillars that they believe will enable them to drive future sales and traffic in the U.S. and Canada:Menu. The strength of our menu has been built upon our signature flame-grilled cooking process, which we believe results in better tasting burgers. Our menu strategy seeks to optimize our menu by focusing on our core products, such as our flagship Whopper sandwich, while enhancing our menu to broaden our appeal to women, parties with kids and seniors. Our recently launched initiative to focus on our food expanded our product platforms and introduced 21 new or improved menu items in 2012. We believe that our renewed focus on our food will provide us the opportunity to meaningfully increase same store sales and margins.Marketing & Communications. We have established a data driven marketing process which is focused on driving restaurant sales and traffic, while targeting a broader consumer base with more inclusive messaging. Through our food-centric marketing communication strategy, we believe we can refocus our consumers on our food, which is a core asset and competitive differentiator.Image. We believe that our contemporary "20/20 design," which draws inspiration from our signature flame-grilled cooking process, will drive same store sales, higher profits and strong return on invested capital. To encourage franchisees to commit to these remodeling efforts, we developed a lower cost remodeling alternative and provided our U.S. franchisees with access to a third-party financing program. As of December 31, 2013, ~30% of the North America system was in the "20/20 design", and our goal is to have 40% reimaged by 2015.Operations. We have restructured our field teams through our "field optimization project," to significantly increase our field presence and restaurant visits by reducing the span of control of our field teams. We believe that this reduction in the number of restaurants for which a field employee is responsible will improve all aspects of restaurant operations, including food quality, guest service, and speed of service and restaurant cleanliness. We also redefined the role of a field employee to be that of a "business coach" who is responsible for closely working with the restaurant teams and franchisees to achieve their sales, profit, and operational goals. The field employees variable compensation is linked to the performance of those franchise restaurants. We believe that this "business coach" approach will ensure accountability and alignment with our franchisees. We have also launched standardized operational metrics to evaluate restaurants that focus on those core competencies that we believe will maximize the guest experience. We believe that enhancing our guests experience increases traffic to restaurants and provides us and our franchisees the opportunity to improve sales and margins.SWOT Analysis: Strengths Geographic DiversificationBurger King has over 11,500 fast food restaurants located in over 70 countries. 7,207 of its restaurants are located in the United States (62%) and another 4,358 are established in international locations (389%) such as Asia, the Middle East, Africa and Canada.Opportunities New Breakfast Food InitiativeBurger King is seeking to overhaul its breakfast menu and will add Starbucks Corp.s Seattles Best Coffee to all its U.S. restaurants. It has introduced earlier restaurant opening times in its United Kingdom locations. New Healthier Menu ItemsBurger King sponsoring its biggest new product launch in years by introducing the Tendercrisp, Premium Chicken Burger and accompanying the launch with a marketing campaign called cheat on beef. National Urban Community Marketing InitiativeBurger King is seeking to strengthen its standing in the African American Community through its new next best move promotion which includes a well-publicized tour of 41 urban communities across the country. Brand Licensing ProjectBurger King has entered into a licensing arrangement (brokered by Broad Street Licensing Group) to further increase the companys brand awareness and broaden the presence of the iconic King character, various licensees of Burger King Corp. will soon launch a line of branded T-shirts, and also an exclusive collection of sleepwear and lounge ware.

Threats Unrest among FranchiseesBurger Kings new dollar cheese burger initiative and loss leader strategy has upset some of its franchise owners who feel the pricing violates the franchise agreement. The dispute spurred the National Franchisee Association to file a lawsuit against the company. In 2009 Franchisees voted twice against the new promotions. The company reportedly has dropped the $1 burger promotion, but there may be bad feelings lingering for a while. The Slow Recovering EconomyThe challenging global economy continues to hamper the companys financial strength (ranked 238th among its peers). Burger King posted weaker-than-expected quarterly results in the last half of 2009, and missed stock analysts expectations. The decline was driven in part by continued adverse macroeconomic conditions, including record levels of unemployed. Changing Consumer Eating HabitsBurger Kings same-store sales in the U.S. and Canada declined 4.6% in the three months ended Sept. 30, 2009. People 18 to 34 cut their consumption of fast-food meals from November 2006 to November 2009 according to the market-research firm NPD Group. The combination of the economy and better health information has influenced people to eat at home and to opt for leaner lower calorie foods. Established Market ShareAmong Fast Food restaurant chains, Burger King is second only to McDonalds and holds a 15% share of the United States market. The companys profitability has also increased in recent years. In the period 2006-08, its operating profit has increased from $170 million in FY2006 to $354 million in FY2008. Globally Recognized BrandBurger King is able to boast a brand that is widely recognized thanks to its flagship slogan have it your way, the whopper sandwich and most recently enhanced by its mascot known as the King. The company was recently ranked 7th in brand awareness.

Weaknesses Vulnerability to Labor and Regulatory InfluencesAlthough the company operates in many international venues, the majority of restaurants are in the United States. This concentration of operations in one geographic area increases companys exposure to local factors such as labor strikes and the influence of regulatory changes. Reliance on so-called Super CustomersThere is some indication that Burger King may have been slow to transition to leaner and healthier restaurant fare in favor of pleasing its long term customers who are fans of the big larger portion sandwiches.

Starbucks Corporation

Introduction: Starbucks Corporation, generally known asStarbucks Coffee, is an American globalcoffeecompany andchain based inSeattle,Washington. Starbucks is the largestcoffeehousecompany in the world ahead of UK rivalCosta Coffee, with 21,160 stores in 63 countries and territories, including 12,067 in theUnited States, 1,570 inChina, 1,451 inCanada, 1,070 in Japanand 793 in theUnited Kingdom.

Starbucks locations serve hot and cold beverages, whole-bean coffee, micro ground instant coffee, full-leafteas,pastries, and snacks. Most stores also sell pre-packaged food items, hot and cold sandwiches, and items such as mugs andtumblers. Starbucks Evenings locations also offer a variety ofbeers,wines, and appetizers after 4pm. Through the Starbucks Entertainment division andHear Musicbrand, the company also markets books, music, and film. Many of the company's products are seasonal or specific to the locality of the store. Starbucks-brand ice cream and coffee are also offered atgrocery stores.

Organizational Mission: To inspire and nurture the human spirit one person, one cup and one neighborhood at a time.

Organizational Values:With our partners, our coffee and our customers at our core, we live these values: Creating a culture of warmth and belonging, where everyone is welcome. Acting with courage, challenging the status quo and finding new ways to grow our company and each other. Being present, connecting with transparency, dignity and respect. Delivering our very best in all we do, holding ourselves accountable for results. We are performance driven, through the lens of humanity.Organizational Vision: Establish Starbucks as the premier provider of the finest coffee in the world while maintaining our uncompromising principles while we grow."

Organizational Objectives:

Distinguish between aims, strategies and tacticsAims are the general long-term goals of an organization. They are mainly expressed through vague and unquantifiable statements. Aims serve to give a purpose to the general statements and vision statements. On the other hand, strategies are used to refer as any plans or schemes to achieve the long term aim of a business. It is used for trying to achieve strategic objectives. Lastly, tactics are short-term ways that organizations use to achieve their aims and objectives, they are used to achieve the tactical objectives. Both strategies and tactics carry matching purposes. They both help the organization in dealing with how it can get to where they want to be. Strength and Weakness????????

Distinguish between a mission statement and a vision statementA mission statement defines what the company is, why it exists and its reason for being as well as an outline of the organization values. It should serve to unify all people and corporate cultures within the organization in attempt to achieve its vision.It shouldidentify the primary objectives related to the customer, needs, how the company will grow, its team values and more. It should also lists the broad goals for which the company is formed which is to define key measures of the company success. Mission Statement should also be the first consideration for evaluating any strategic decision. However, it does not have a distinct time frame and tends to be qualitative rather than quantitative statements.

A vision statement outlines where a company wants to be and its purpose and values in terms of the future. Vision statements are generally shorter in length and must captures essence of a companys goal. However, it does not explain how the company is going to achieve those goals. It provides a roadmap for where the company wants to be. It should also be inspirational and aspirational.

Explain the importance of objectives in managing your organization.Starbucks objective is vital to their business because without having it clearly stated, the company would lack a sense of direction and purpose. Its objectives also said the company in the process of decision-making where they can then create strategies to achieve outlined goals. Furthermore, its objectives can provide the foundation for measuring and controlling the performance of the company as a whole.In Starbucks case, one of their main objective is to maintain its standing as one of the most recognized and respected brands in the world. In order to achieve this goal, their strategies are clearly stated where they will continue their disciplined expansion of their global store base. This statement provides encouragement and a strategic thinking platform for workforce and the management team in order to reach their goal, especially a sense of direction.Starbucks second goal is to continue to offer costumers new coffee products in a variety of forms, across new categories, and through diverse channels. This statement clearly outlines the goal of the company in terms of its products. It not only provides the foundation for measuring and controlling the performance of the workforce, but it allows them a sense of direction and to understand the importance of constantly bringing new and innovative products to the market.

Analyze the role of your companys mission or vision statement.Starbucks mission statement is to inspire and nurture the human spirit one person, one cup and one neighborhood at a time. Missions statements generally define what the company is, its reason for existence, company values and outlined broad goals in aid of the company for evaluating any strategic decisions. Looking at Starbucks mission statement, its role is to serve as a directive forthe whole companys operation. For example, to inspire and nurture the human spirit may set as a directive for the company stores interior design, food and coffee presentation and staff members working attitudes as having a positive and well-presented environment can be highly inspirational. As for one person, one cup and one neighborhood at a time. this again guides the company towards the goal of the continuous expansion hence its aim to increase mass market reach.

With reference to your company, discuss the relationship between aims, strategic, objectives and tactical objectives.Aims serve to give a purpose to the general statements and vision statements. In Starbucks case, their aim is to increase mass market reach. On the other hand, strategic objectives are long-term organizational goals that aid a mission statement from a broad vision to more specific plans. In comparison to aims, strategic objectives regard the HOW to achieve the aim. As for tactical objectives, they are daily, weekly or monthly projects that implement larger strategic objectives. They are set out with strategic objectives in mind and provide an action plan for the company, management team or staff to break down a larger strategic goal into workable tasks. In Starbucks case, their aim is to increase mass market research, which is to expand market coverage, for example through increasing the number of retail stores. To add on here are some of Starbucks strategic objectives: Focusing on relevant product innovation and profitable new growth platforms, timely completing certain supply chain capacity expansion initiatives, including increased roasting capacity and construction of a new soluble products plant and a new Evolution FreshTM plant, executing a multi-channel advertising and marketing campaign to effectively communicate our message directly to Starbucks consumers and employees. etc. Last but not the least, some of Starbucks tactical objectives are to increase their market share in disciplined manner, by selectively opening additional stores in new and existing markets as well as increasing sales in existing stores, to support their long- term strategic objectives and aims.

The most appropriate strategic plan for your Venture?????

McDonalds is booming, despite all the economic destruction going on around it.It has been the second-best performing stock in the Dow in 2011. In Q3 it beat revenue and profit projections yet again, its stock is up 63% in the last three years and same store sales continued to climb for the 103rd month,reports Julie Jargon at theWall Street Journal.The success goes back further than that, too. Since 1980, McDonald's has absolutely blown away some of the biggest Dow blue chips around (likeIBM, DIS,GEand XOM),notes Bespoke Investment Group.Meanwhile, competitors like Burger King and Wendy's continue to try new things asthey fight each other for the #2 spot, but they're still leagues behind. McDonald's just keeps dominating, and it now has upwards of33,000 stores worldwide. Yet somehow it's still expanding, and in more ways than one.So, how's McDonald's doing it? Its powerful brand and sheer size are two big, dependable advantages that it can always lean on.But just being McDonald's isn't enough it's doing a lot, domestically and globally, to stay ahead. Here are ten strategies that are keeping McDonald's barreling forward:Focusing heavily on emerging marketsMcDonald's mayseem like it's already everywhere, but it hasn't quite saturated the world yet. Over the past few years, McDonald's has made aheavy push toward emerging markets. And not just trendy markets like China and India, but places previously devoid of the Golden Arches, like some African nations. Sales are up 8.1% from last year in Asia/Pacific, Africa and the Middle East.Still, China is McDonald's most important international front,where it's battling Yum! Brandswholeheartedly. It plans to have a whopping 2,000 stores there by 2013 that's 1,000 new stores in just four years.It's going to need to keep it up, becausethe Colonel still reigns supremein the world's biggest market, and Yum! Has no intention of letting up.

McCafhas been a big winTheMcCafhas been demolishing expectationsever since the company started revving up its marketing machine for it in 2002.Now, there are 1,300 McCaf's worldwide in dozens of countries, and it just keeps growing. Its latest moves have been to Ukraine, along with a national rollout in Canada. The McCafmenu has been growing as well, adding non-coffee items like smoothies over the past couple years.

Offering a wider variety of food to attract more segmentsIts not just snack foods and desserts that it's expanding into there's a whole lot more. McDonald's is trying to get more consumer segments to chomp up its offerings by expanding non-traditional menu items, while keeping its core base of burgers-and-fries eaters.Many of the new items help combat McDonald's ever-present negative image of unhealthiness, though it will likely never shake it fully. For instance, oatmeal has been a big hit for McDonald's, serving as a replacement for high-calorie breakfast sandwiches. Additional types of salads have worked too, for people looking for a somewhat healthier option.

Delivering food to customers in places that demand itThough not traditional in the US, McDonald's delivers in many markets around the world, andthe company cites it as one of the reasons it has been so successfulin those markets.Why? Delivery is a common practice, even for fancy restaurants, in many Asian and Middle Eastern cities, so McDonald's is just meeting the cultural norms of its surroundings. Yum! Brands' KFC does it too, with equal success.A select few places in the US deliver too there are 10 stores in Manhattan that will bring a burger and fries to your building but there are no plans to roll it out nationally.

Making its stores more attractive to get customers in

McDonald's is improving its physical locations to make them more appealing to customers, and it seems to be working. In China, it'strying out a "Less is more" concept design, which goes with softer colors and cushioned seats.Also, over95% of McDonald's locations have extended their hoursnow, and it has several thousand stores that are open 24/7.Free Wi-Fi is now available in McDonald's restaurants across the world, and lately it has made a big push to get flat screen TVs in the stores. It's evenstarting up its own TV channelwith original programming, called McTV.

Increasing its offering of snack itemsAmericans love to snack on stuff, and McDonald's has recognized that demand and answered with a plethora of new products.Smaller items like wraps, along with an expansion into desserts (whichit plans to ramp up soon), have made their way onto the menu and have done well.

Expanding its dollar menu to breakfastMcDonald'sfired up a breakfast dollar menuin 2010 as the economy continued to slump, which supplemented its existing dollar menu for its usual fare. It hasbeen working well thus far, capitalizing on Americans' attraction to the super-cheap in times like these.But even before that, itsbreakfast business was growing, just at a lower rate than normal. Competitors like Burger King and Dunkin' Donuts have made their own types of dollar menu, but nobody has had the widespread success that McDonald's has enjoyed.

And it hasn't been scared to take anybody on

Many of these expansions drew looks from brand new competitors, because McDonald's was encroaching on their territory. In most cases, McDonald's leveraged its size and brand to attack head on.McCafis the most obvious example, and it has performed admirably againstStarbucksand Dunkin' Donuts. Its upcoming expansion into desserts is likely to concern Dunkin' even more, along with niche dessert chains like Dairy Queen.But there's plenty of risk in doing this. As it opens it to more fronts than ever, it has bigger, powerful brands breathing down its neck, and even more complexity to worry about in its internal operations.