PESTEL Framework:

Political:
The international operations of McDonalds are highly influenced by the individual state policies enforced by each government.

Economic:
McDonalds has the tendency to experience hardship in instances where the economy of the respective states is hit by inflation and changes in the exchange rates. Market leader. Very high target market. Low cost and more incomes. The rate at which the economy of that particular state grows determines the purchasing power of the consumers in that country.

Social: Working within many social groups. Increase employments. Technological Environmental: Advanced technology development. Quality Quality packing. standards. ocal manu!acture using !oreign supplies.

egal: egislation !or product. Sustained logo.

External Audit:
Opportunities
".

Threats ". 6ealth pro!essionals and consumer activists accuse 7c.onald8s o! contri%uting to the country9s health issue o! high cholesterol' heart attacks' dia%etes' and o%esity. The relationship %etween corporate level 7c.onald8s and its !ranchise dealers. 7c.onald9s competitors threatened market share o! the company %oth internationally and domestically. Anti0American sentiments. #lo%al recession and !luctuating !oreign currencies. 5ast0!ood chain industry is e(pected to struggle to meet the e(pectations o! the customers towards health and environmental issues.

#rowing health trends among consumers #lo%ali&ation' e(pansion in other countries )especially in *hina + India,. .iversi!ication and ac/uisition o! other /uick0service restaurants. #rowth o! the !ast0!ood industry. Worldwide deregulation. ow cost menu that will attract the customers. 5ree%ies and discounts.

$.

-. 1. 2. 3. 4.

$. -.

1. 2. 3.

CPM-Competitive Profile Matrix

Critical Success Factors Price Financial Position Consumer oyalty !d"ertising Product #uality $nno"ation Mar%et Share Management &lo'al ()pansion Total Weight ;."2 ;.;< ;."; ;."; ;."; ;."2 ;."; ;.;4 ;."2 1 McDonald's :ating Weighted Score 1 ;.3; 1 ;.-$ 1 1 1 1 1 ;.1; ;.-; ;.1; ;.12 ;.1; ;.$< ;.3; .!" Burger King :ating Weighted Score ;.12 ;.-$ $ $ ;.1; ;.-; ;.1; ;.12 ;.$; ;.$" ;.-; .# Yum Brands :ating Weighted Score ;.12 ;.$1 1 1 ;.-; ;.1; ;.1; ;.12 ;.-; ;.$" ;.12 .$# Wendy's :ating Weighted Score ;.12 $ ;."3 $ $ $ $ $ " ;.$; ;.$; ;.$; ;.-; ;.$; ;.$" ;."2 $.#!

External Fa%tor Evaluation &EFE' Matrix

Key ()ternal Factors Opportunities #rowing health trends among consumers #lo%ali&ation' e(pansion in other countries )especially in *hina + India,. .iversi!ication and ac/uisition o! other /uick0 service restaurants. #rowth o! the !ast0!ood industry. Worldwide deregulation ow cost menu that will attract the customers. 5ree%ies and discounts. Threats 6ealth pro!essionals and consumer activists accuse 7c.onald8s o! contri%uting to the country9s health issue o! high cholesterol' heart attacks' dia%etes' and o%esity. The relationship %etween corporate level 7c.onald8s and its !ranchise dealers. 7c.onald9s competitors threatened market share o! the company %oth internationally and domestically. Anti0American sentiments. #lo%al recession and !luctuating !oreign currencies. 5ast0!ood chain industry is e(pected to struggle to meet the e(pectations o! the customers towards health and environmental issues. Total Weight ;.;< *ating Weighted Score ;.$1

;."$ .;1 ."; .;1 .;< .;<

1 $ $ "

;.1< ;."$ ;.-; ;.;< ;."3 ;.;<

;.";

;.-;

;.;= ;."$ .;4 .;1 .;1 1.##

1 $ $

;.$4 ;.1< ."1 ."$ .;< $.("

)nternal Fa%tor Evaluation &)FE' Matrix

Key $nternal Factors Strengths Strong %rand name' image and reputation+ arge market share. Strong glo%al presence. Speciali&ed training !or managers known as the 6am%urger >niversity. 7c.onalds Plan to Win !ocuses on people' products' place' price and promotion Strong !inancial per!ormance and position+ Introduction o! new products+ *ustomer !ocus )centric,+ Strong per!ormance in the glo%al marketplace. Wea%nesses >nhealthy !ood image+ 6igh Sta!! Turnover including Top management *ustomer losses due to !ierce competition+ egal actions related to health issues? use o! trans !at + %ee! oil+ 7c.onald8s uses 6*5*0$$ to make polystyrene that is contri%uting to o&one depletion+ Ignoring %reak!ast !rom the menu. Total Weight ;."$ ;."; ;.;1 ;.;1 ;."$ ;.;< ;.;3 ;.;3 ;.;< *ating 1 1 1 1 1 1 1 Weighted Score ;.1< ;.1; ;."$ ;."$ ;.1< ;.-$ ;.$1 ;.$1 ;.-$

;.;< ;.;1 ;.;1 ;.;1 ;.;1 ;.;3 1.##

" " " $ $ "

;.;< ;."; ;.;1 ;.;< ;.;< ;.;3 .1*

S+,T Matrix

". $. -. 1.

Strengths Strong %rand name' image and reputation. arge market share. Strong glo%al presence. Speciali&ed training !or managers known as the 6am%urger >niversity.

". $. -. 1.

Wea%nesses >nhealthy !ood image. 6igh Sta!! Turnover including Top management. *ustomer losses due to !ierce competition. egal actions related to health issues? use o! trans !at + %ee! oil.

2.

7c.onalds Plan to Win !ocuses on people' products' place' price and promotion. 2.

>ses 6*5*0$$ to make polystyrene that is contri%uting to o&one depletion.

3. 4. <. =.

Strong !inancial per!ormance and position. Introduction o! new products. *ustomer !ocus )centric,. Strong per!ormance in the glo%al marketplace.

6. Ignoring breakfast from the menu.

".

,pportunitie#rowing health trends among consumers. #lo%ali&ation' e(pansion in other countries )especially in *hina + India,. .iversi!ication and ac/uisition o! other /uick0 service restaurants. #rowth o! the !ast0!ood industry. Worldwide deregulation. ow cost menu that will attract the customers. 5ree%ies and discounts.

". $. -. 1. 2. 3.

S-, Strate.ie". 5ocus on Plan to win to attract customers and e(pansion in other countries )S2' @$' @3,. $. E(pansion in market share %y more investments in Asia )S$' @$,.

".

+-, Strate.ie7inimi&e customers losses %y provide low cost menu and discounts )W-' @3' @4,.

".

$. -.

T/reat6ealth pro!essionals and consumer activists accuse 7c.onald8s o! contri%uting to the country9s health issue o! high cholesterol' heart attacks' dia%etes' and o%esity. The relationship %etween corporate level 7c.onald8s and its !ranchise dealers. 7c.onald9s competitors threatened market share o! the company %oth internationally and domestically.

". $.

S-T Strate.ie7ore control on !ranchise dealers to maintain 7c.onald8s reputation and /uality )S"' T$,. Provide new product and keep innovation )S4' T-,.

". $.

+-T Strate.ieApplying ; grams Trans !at in all worldwide 7c.onald8s )W"' W1' @",. Trans!er !rom 6*5*0$$ to 65* )hydro!luorocar%on,0!ree )W2' T3,

SPACE Matrix
Financial Strength :eturn on investment everage Aet Income EPS :@E *ash 5low Average Competitive Advanta.e 7arket share Product Quality *ustomer oyalty *ontrol over other parties *ating 1 1 3 2 2 1 1.34 0atin. 0".;; 0".;; 0".;; 0$.;; (n"ironmental Sta'ility :ate o! in!lation .emand *hanges Price Elasticity o! demand *ompetitive pressure Barriers to entry new markets :isk involved in %usiness Average C0a(is )ndu-tr1 Stren.t/ #rowth potential 5inancial sta%ility Ease o! entry new markets :esources utili&ation Pro!it potential .emand varia%ility Average D0a(is *ating 000" 000$ 0$.2 $.1! 0atin. 2 2 1 1 2 1.-.#(

Average

0".$2

2ire%tional ve%tor point i- :& .#(3 $.1!'

5S *onservative Aggressive

* A .e!ensive *ompetitive

IS

ES

4rand Strate.1 Matrix

<

:apid 7arket #rowth Quadrant II Quadrant I

Weak *ompetitive Position

Strong *ompetitive Position

Quadrant III

Quadrant IE

Slow 7arket #rowth

T/e 5o-ton Con-ultin. 4roup &5C4' Matrix

:elative 7arket Share Position

Industry Sales #rowth :ate

7*.

Stars

Question 7arks

*ash *ows

.ogs

T/e )nternal-External &)E' Matrix

T/e )FE Total +ei./ted S%ore

Strong -.; to 1.; I II

Average $.; to $.== III

Weak ".; to ".==

6igh -.; to -.==

IE

EI

T/e EFE Total 7edium +ei./ted S%ore M%2onald9$.; to $.==

EII

EIII

ID

ow ".; to ".==

T/e 6uantitative Strate.i% Plannin. Matrix &6SPM'

Strategy , ()pand -urther in !sia 'y adding .// restaurants Strategy 0 !pplying / grams Trans -at in all 1orld1ide McDonald's restaurants

7e1 )nternal Fa%torStren.t/Strong %rand name' image and reputation arge market share Strong glo%al presence Speciali&ed training !or managers known as the 6am%urger >niversity 7c.onalds Plan to Win !ocuses on people' products' place' price and promotion

+ei./t #.1$ #.1# #.#8 #.#8 #.1$

AS 8 8 8 8

TAS #.8( #.8# #.1$ #.8(

AS 8 $ $ 8

TAS #.8( #.$# #.#( #.8(

";

Strong !inancial per!ormance and position Introduction o! new products *ustomer !ocus )centric, Strong per!ormance in the glo%al marketplace +eakne--e>nhealthy !ood image 6igh Sta!! Turnover including Top management *ustomer losses due to !ierce competition egal actions related to health issues? use o! trans !at + %ee! oil >ses 6*5*0$$ to make polystyrene that is contri%uting to o&one depletion S2BTOT!

#.#( #.#* #.#* #.#(

8 1

#. $ #.#* #.$8

8 8 1

#. $ #.$8 #.#(

#.#( #.1# #.#8 #.#8 #.#8 ,+//

1 -

#.#( #.1$ #.#8 0+34

8 1 8 -

#. $ #.#8 #.1* 0+4/

1 -

Strategy , ()pand -urther in !sia 'y adding .// restaurants

Strategy 0 !pplying / grams Trans -at in all 1orld1ide McDonald's restaurants

7e1 External Fa%tor,pportunitie#rowing health trends among consumers #lo%ali&ation' e(pansion in other countries )especially in *hina + India, .iversi!ication and ac/uisition o! other /uick0 service restaurants #rowth o! the !ast0!ood industry Worldwide deregulation ow cost menu that will attract the customers 5ree%ies and discounts T/reat6ealth pro!essionals and consumer activists accuse 7c.onald8s o! contri%uting to the country9s health issue o! high cholesterol' heart attacks' dia%etes' and o%esity

+ei./t #.#( #.1$ #.#8 #.1# #.#8 #.#( #.#(

AS 1 8 8 8 -

TAS #.#( #.8( #.8# #.1* -

AS 8 1 8 1 -

TAS #. $ #.1$ #.8# #.#8 -

#.1#

#.1#

#.8#

""

The relationship %etween corporate level 7c.onald8s and its !ranchise dealers 7c.onald9s competitors threatened market share o! the company %oth internationally and domestically Anti0American sentiments #lo%al recession and !luctuating !oreign currencies 5ast0!ood chain industry is e(pected to struggle to meet the e(pectations o! the customers towards health and environmental issues S2BTOT! S2M TOT! !TT*!CT$5(6(SS SCO*(

#.#: #.1$ #.#! #.#8 #.#8 ,+//

8 8 1

#. * #.8( #.#8 0+,/ 4+44

1 8 8

#.#: #.8( #.1* 0+/, 4+4,

0e%ommendation()pand -urther into !sia mar%ets o"er a 07year period 'y adding .// restaurants per year at a cost o- 84 'illion annually9 and applying / grams Trans -at in all 1orld1ide McDonald's restaurants+

)ntrodu%tion: 7c.onald8s *orporation is the world8s largest chain o! !ast !ood restaurants' serving nearly 14 million customers daily through more than -"';;; restaurants in ""= countries worldwide. 7c.onald9s sells various !ast !ood items and so!t drinks including' %urgers' chicken' salads' !ries' and ice cream. 7any
"$

7c.onald8s restaurants have included a playground !or children and advertising geared toward children' and some have %een redesigned in a more 8natural8 style' with a particular emphasis on com!ort: introducing lounge areas and !ireplaces' and eliminating hard plastic chairs and ta%les. Each 7c.onald8s restaurant is operated %y a !ranchisee' an a!!iliate' or the corporation itsel!. The corporations8 revenues come !rom the rent' royalties and !ees paid %y the !ranchisees' as well as sales in company0operated restaurants. 7c.onald8s revenues grew $4F over the three years ending in $;;4 to G$$.< %illion' and =F growth in operating income to G-.= %illion." ;i-tor1 anal1-i-: The %usiness %egan in "=1;' with a restaurant opened %y %rothers .ick and 7ac 7c.onald in San Bernardino' *ali!ornia. Their introduction o! the HSpeedee Service SystemH in "=1< esta%lished the principles o! the modern !ast0!ood restaurant.

The original mascot o! 7c.onald8s was a man with a che!8s hat on top o! a ham%urger shaped head whose name was HSpeedee.H Speedee was eventually replaced with :onald 7c.onald in "=3-. The present corporation dates its !ounding to the opening o! a !ranchised restaurant %y :ay Iroc' in .es Plaines' Illinois on April "2' "=22 ' the ninth 7c.onald8s restaurant overall. Iroc later purchased the 7c.onald %rothers8 e/uity in the company and led its worldwide e(pansion and the company %ecame listed on the pu%lic stock markets in "=32. With the e(pansion o! 7c.onald8s into many international markets' the company has %ecome a sym%ol o! glo%ali&ation and the spread o! the American way o! li!e. Its prominence has also made it a !re/uent topic o!

http://en.wikipedia.org.

"-

pu%lic de%ates a%out o%esity' corporate ethics and consumer responsi%ility.$ <i-ion To %e the %est and leading !ast !ood provider around the glo%e Mi--ion 7c.onald8s %rand mission is to %e our customers8 !avorite place and way to eat' and improve our operations to provide the most delicious !ast !ood that meet our customers8 e(pectations. <alue@ur values summari&ed in HQ.S.*. + E.H. Provide good /uality' services to customer. 6ave a cleanliness environment when customer enJoys their meal. The value o! !ood product makes every customer is smiling.

Potential Potential entrantentrant-

T/e Five For%e- Framework Competitive

SupplierSupplier-

Competitive rivalr1 rivalr1

5u1er5u1er-

http://en.wikipedia.org.

"1
Su=-tituteSu=-titute-

T/e T/reat of Entrantarge esta%lished companies with strong %rand identities such as 7c.onald9s BI*' C>7' and WEA do make it more di!!icult to enter and succeed within the marketplace? new entrants !ind that they are !aced with price competition !rom e(isting chain restaurants.

5ar.ainin. Power of 5u1erow %argaining power o! %uyers.

5ar.ainin. power of -upplierBargaining power o! suppliers within the !ast !ood industry would %e relatively small' unless the main ingredient o! the product is not readily availa%le.

T/reat of Su=-tituteThis could range !rom a competitive !ast !ood restaurant to !amily restaurant to a home cooked meal.

Competitive 0ivalr1
The strength o! competition in this industry is very high? the main rivals are
"2

BI*' C>7' and WEA. They compete with international' national' regional' local' retailers o! !ood products )restaurants' /uick service' pi&&a' co!!ee shops' and supermarkets,.

PESTEL Framework:
Political:
The international operations of McDonalds are highly influenced by the individual state policies enforced by each government.

Economic:
McDonalds has the tendency to experience hardship in instances where the economy of the respective states is hit by inflation and changes in the exchange rates. Market leader. Very high target market. Low cost and more incomes. The rate at which the economy of that particular state grows determines the purchasing power of the consumers in that country.

Social: Working within many social groups. Increase employments. Technological Environmental: Advanced technology development. Quality Quality packing. standards. ocal manu!acture using !oreign supplies.

"3

egal: egislation !or product. Sustained logo.

External Audit:
Opportunities
<.

Threats 4. 6ealth pro!essionals and consumer activists accuse 7c.onald8s o! contri%uting to the country9s health issue o! high cholesterol' heart attacks' dia%etes' and o%esity. The relationship %etween corporate level 7c.onald8s and its !ranchise dealers. 7c.onald9s competitors threatened market share o! the company %oth internationally and domestically. Anti0American sentiments. #lo%al recession and !luctuating !oreign currencies. 5ast0!ood chain industry is e(pected to struggle to meet the e(pectations o! the customers towards health and environmental issues.

#rowing health trends among consumers #lo%ali&ation' e(pansion in other countries )especially in *hina + India,. .iversi!ication and ac/uisition o! other /uick0service restaurants. #rowth o! the !ast0!ood industry. Worldwide deregulation. ow cost menu that will attract the customers. 5ree%ies and discounts.

=.

";. "". "$. "-. "1.

<. =.

";. "". "$.

"4

CPM-Competitive Profile Matrix

Critical Success Factors Price Financial Position Consumer oyalty !d"ertising Product #uality $nno"ation Mar%et Share Management &lo'al ()pansion Total Weight ;."2 ;.;< ;."; ;."; ;."; ;."2 ;."; ;.;4 ;."2 1 McDonald's :ating Weighted Score 1 ;.3; 1 ;.-$ 1 1 1 1 1 ;.1; ;.-; ;.1; ;.12 ;.1; ;.$< ;.3; .!" Burger King :ating Weighted Score ;.12 ;.-$ $ $ ;.1; ;.-; ;.1; ;.12 ;.$; ;.$" ;.-; .# Yum Brands :ating Weighted Score ;.12 ;.$1 1 1 ;.-; ;.1; ;.1; ;.12 ;.-; ;.$" ;.12 .$# Wendy's :ating Weighted Score ;.12 $ ;."3 $ $ $ $ $ " ;.$; ;.$; ;.$; ;.-; ;.$; ;.$" ;."2 $.#!

"<

External Fa%tor Evaluation &EFE' Matrix

Key ()ternal Factors Opportunities #rowing health trends among consumers #lo%ali&ation' e(pansion in other countries )especially in *hina + India,. .iversi!ication and ac/uisition o! other /uick0 service restaurants. #rowth o! the !ast0!ood industry. Worldwide deregulation ow cost menu that will attract the customers. 5ree%ies and discounts. Threats 6ealth pro!essionals and consumer activists accuse 7c.onald8s o! contri%uting to the country9s health issue o! high cholesterol' heart attacks' dia%etes' and o%esity. The relationship %etween corporate level 7c.onald8s and its !ranchise dealers. 7c.onald9s competitors threatened market share o! the company %oth internationally and domestically. Anti0American sentiments. #lo%al recession and !luctuating !oreign currencies. 5ast0!ood chain industry is e(pected to struggle to meet the e(pectations o! the customers towards health and environmental issues. Total Weight ;.;< *ating Weighted Score ;.$1

;."$ .;1 ."; .;1 .;< .;<

1 $ $ "

;.1< ;."$ ;.-; ;.;< ;."3 ;.;<

;.";

;.-;

;.;= ;."$ .;4 .;1 .;1 1.##

1 $ $

;.$4 ;.1< ."1 ."$ .;< $.("

"=

)nternal Fa%tor Evaluation &)FE' Matrix

Key $nternal Factors Strengths Strong %rand name' image and reputation+ arge market share. Strong glo%al presence. Speciali&ed training !or managers known as the 6am%urger >niversity. 7c.onalds Plan to Win !ocuses on people' products' place' price and promotion Strong !inancial per!ormance and position+ Introduction o! new products+ *ustomer !ocus )centric,+ Strong per!ormance in the glo%al marketplace. Wea%nesses >nhealthy !ood image+ 6igh Sta!! Turnover including Top management *ustomer losses due to !ierce competition+ egal actions related to health issues? use o! trans !at + %ee! oil+ 7c.onald8s uses 6*5*0$$ to make polystyrene that is contri%uting to o&one depletion+ Ignoring %reak!ast !rom the menu. Total Weight ;."$ ;."; ;.;1 ;.;1 ;."$ ;.;< ;.;3 ;.;3 ;.;< *ating 1 1 1 1 1 1 1 Weighted Score ;.1< ;.1; ;."$ ;."$ ;.1< ;.-$ ;.$1 ;.$1 ;.-$

;.;< ;.;1 ;.;1 ;.;1 ;.;1 ;.;3 1.##

" " " $ $ "

;.;< ;."; ;.;1 ;.;< ;.;< ;.;3 .1*

$;

S+,T Matrix

$"

Strengths ";. Strong %rand name' image and reputation. "". arge market share. "$. Strong glo%al presence. "-. Speciali&ed training !or managers known as the 6am%urger >niversity. "1. 7c.onalds Plan to Win !ocuses on people' products' place' price and promotion. "2. Strong !inancial per!ormance and position. "3. Introduction o! new products. "4. *ustomer !ocus )centric,. "<. Strong per!ormance in the glo%al marketplace.

4. <. =. ";.

Wea%nesses >nhealthy !ood image. 6igh Sta!! Turnover including Top management. *ustomer losses due to !ierce competition. egal actions related to health issues? use o! trans !at + %ee! oil.

"". >ses 6*5*0$$ to make polystyrene that is contri%uting to o&one depletion.

12.Ignoring breakfast from the menu.

$.

,pportunitie#rowing health trends among consumers. #lo%ali&ation' e(pansion in other countries )especially in *hina + India,. .iversi!ication and ac/uisition o! other /uick0 service restaurants. #rowth o! the !ast0!ood industry. Worldwide deregulation. ow cost menu that will attract the customers. 5ree%ies and discounts.

4. <. =. ";. "". "$.

S-, Strate.ie". 5ocus on Plan to win to attract customers and e(pansion in other countries )S2' @$' @3,. $. E(pansion in market share %y more investments in Asia )S$' @$,.

$.

+-, Strate.ie7inimi&e customers losses %y provide low cost menu and discounts )W-' @3' @4,.

4.

<. =.

T/reat6ealth pro!essionals and consumer activists accuse 7c.onald8s o! contri%uting to the country9s health issue o! high cholesterol' heart attacks' dia%etes' and o%esity. The relationship %etween corporate level 7c.onald8s and its !ranchise dealers. 7c.onald9s competitors threatened market share o! the company %oth internationally and domestically.

-. 1.

S-T Strate.ie7ore control on !ranchise dealers to maintain 7c.onald8s reputation and /uality )S"' T$,. Provide new product and keep innovation )S4' T-,.

-. 1.

+-T Strate.ieApplying ; grams Trans !at in all worldwide 7c.onald8s )W"' W1' @",. Trans!er !rom 6*5*0$$ to 65* )hydro!luorocar%on,0!ree )W2' T3,

$$

SPACE Matrix
Financial Strength :eturn on investment everage Aet Income EPS :@E *ash 5low Average Competitive Advanta.e 7arket share Product Quality *ustomer oyalty *ontrol over other parties *ating 1 1 3 2 2 1 1.34 0atin. 0".;; 0".;; 0".;; 0$.;; (n"ironmental Sta'ility :ate o! in!lation .emand *hanges Price Elasticity o! demand *ompetitive pressure Barriers to entry new markets :isk involved in %usiness Average C0a(is )ndu-tr1 Stren.t/ #rowth potential 5inancial sta%ility Ease o! entry new markets :esources utili&ation Pro!it potential .emand varia%ility Average D0a(is *ating 000" 000$ 0$.2 $.1! 0atin. 2 2 1 1 2 1.-.#(

Average

0".$2

2ire%tional ve%tor point i- :& .#(3 $.1!'

5S *onservative Aggressive

* A .e!ensive *ompetitive

IS

ES

4rand Strate.1 Matrix

$-

:apid 7arket #rowth Quadrant II Quadrant I

Weak *ompetitive Position

Strong *ompetitive Position

Quadrant III

Quadrant IE

Slow 7arket #rowth

T/e 5o-ton Con-ultin. 4roup &5C4' Matrix

:elative 7arket Share Position

Industry Sales #rowth :ate

7*.

Stars

Question 7arks

*ash *ows

.ogs

T/e )nternal-External &)E' Matrix

T/e )FE Total +ei./ted S%ore

$1

Strong -.; to 1.; I II

Average $.; to $.== III

Weak ".; to ".==

6igh -.; to -.==

IE

EI

T/e EFE Total 7edium +ei./ted S%ore M%2onald9$.; to $.==

EII

EIII

ID

ow ".; to ".==

T/e 6uantitative Strate.i% Plannin. Matrix &6SPM'

Strategy , ()pand -urther in !sia 'y adding .// restaurants Strategy 0 !pplying / grams Trans -at in all 1orld1ide McDonald's restaurants

7e1 )nternal Fa%torStren.t/Strong %rand name' image and reputation arge market share Strong glo%al presence Speciali&ed training !or managers known as the 6am%urger >niversity 7c.onalds Plan to Win !ocuses on people' products' place' price and promotion

+ei./t #.1$ #.1# #.#8 #.#8 #.1$

AS 8 8 8 8

TAS #.8( #.8# #.1$ #.8(

AS 8 $ $ 8

TAS #.8( #.$# #.#( #.8(

$2

Strong !inancial per!ormance and position Introduction o! new products *ustomer !ocus )centric, Strong per!ormance in the glo%al marketplace +eakne--e>nhealthy !ood image 6igh Sta!! Turnover including Top management *ustomer losses due to !ierce competition egal actions related to health issues? use o! trans !at + %ee! oil >ses 6*5*0$$ to make polystyrene that is contri%uting to o&one depletion S2BTOT!

#.#( #.#* #.#* #.#(

8 1

#. $ #.#* #.$8

8 8 1

#. $ #.$8 #.#(

#.#( #.1# #.#8 #.#8 #.#8 ,+//

1 -

#.#( #.1$ #.#8 0+34

8 1 8 -

#. $ #.#8 #.1* 0+4/

1 -

Strategy , ()pand -urther in !sia 'y adding .// restaurants

Strategy 0 !pplying / grams Trans -at in all 1orld1ide McDonald's restaurants

7e1 External Fa%tor,pportunitie#rowing health trends among consumers #lo%ali&ation' e(pansion in other countries )especially in *hina + India, .iversi!ication and ac/uisition o! other /uick0 service restaurants #rowth o! the !ast0!ood industry Worldwide deregulation ow cost menu that will attract the customers 5ree%ies and discounts T/reat6ealth pro!essionals and consumer activists accuse 7c.onald8s o! contri%uting to the country9s health issue o! high cholesterol' heart attacks' dia%etes' and o%esity

+ei./t #.#( #.1$ #.#8 #.1# #.#8 #.#( #.#(

AS 1 8 8 8 -

TAS #.#( #.8( #.8# #.1* -

AS 8 1 8 1 -

TAS #. $ #.1$ #.8# #.#8 -

#.1#

#.1#

#.8#

$3

The relationship %etween corporate level 7c.onald8s and its !ranchise dealers 7c.onald9s competitors threatened market share o! the company %oth internationally and domestically Anti0American sentiments #lo%al recession and !luctuating !oreign currencies 5ast0!ood chain industry is e(pected to struggle to meet the e(pectations o! the customers towards health and environmental issues S2BTOT! S2M TOT! !TT*!CT$5(6(SS SCO*(

#.#: #.1$ #.#! #.#8 #.#8 ,+//

8 8 1

#. * #.8( #.#8 0+,/ 4+44

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