Running head: BUSINESS REPORT 1

Business Report – McDonald in Spain Franchise

Name

Institution
BUSINESS REPORT 2

Business Report – McDonald in Spain Franchise

Introduction

The food industry is drastically affected by COVD19 (Tsai, Harling, Reynolds, Gilbert,
& Siedner, 2020). States have taken approaches to restaurant regulations which include and are
not limited to monitoring employee health, reducing physical contact between workers and
customers, and imposing more strict sanitation protocols. States have set strict rules and
regulations guiding eateries to curb the spread of the pandemic. In my country, strict rules and
regulations governing eateries and restaurants have been imposed by the national government.
The report will discuss the COVID-specific restrictions in my country related to dine–in eating,
the alternative food delivery methods McDonald's offers its customers, and changes in the six
cultural dimensions because of COVID-specific practices.
Methods
The Six Cultural Dimensions as applied to McDonalds
The six cultural dimensions also referred to as Hofstede’s cultural dimensions, were
developed by Dr. Geert Hofstede (Team, 2018). Psychologists Hofstede published his cultural
dimensions as a framework for understanding the difference in culture across different countries
and identifying how business is contacted across other countries. Hofstede’s cultural dimensions
are used to discern different cultural and national cultures and assess the different cultures'
impact on the business setting. The six cultural dimensions include power distance index,
individualism versus collectivism, uncertainty avoidance index, indulge versus restraint, long
versus short term orientation, and masculinity versus femininity (Team, 2018).
The power distance index considers the degree to which inequality exists. It considers the
extent to which power and inequality are tolerated within a country (Team, 2018). Inequality is
measured between people without power and people with power. A high power distance index
indicates that people accept the hierarchical and unequal distribution of power and understand its
"place" in the system. In case of Spain, McDonalds franchise will have the advantage of
experiencing a society based on hierarchies. The employees understand the concept of team work
but also require strong leaders to guide them.
Another cultural dimension is individualism versus collectivism (Team, 2018). This
dimension considers the degree of strength of ties that people have to others in society. It mainly
focuses on the degree to which the organization is integrated into groups and how it depends on
the groups and the obligations to the groups. As the website of McDonalds is able to define, one
of their priorities is to create a strong teamwork which will facilitate innovations. Spain is an
ideal place for such a mentality due to the fact that it has a high collectivism score meaning that
teamworking is a natural concept.
The uncertainty avoidance index is another cultural dimension (Team, 2018). This
dimension considers the extent to which ambiguity and uncertainty are tolerated. It focuses on
how unexpected situations and events are dealt with. Spain people avoid confrontation as it
interferes with their daily activities. This will allow McDonalds store to evolve accordingly.
Moreover, another cultural dimension is masculinity and femininity, which describe
women and men's roles in society. In masculine cultures, the part of men overlaps women's roles,
while in feminist cultures, women are expected to be more responsible (Team, 2018). The dining
experience changes the masculinity and femininity dimension as every person was accountable
for their actions. McDonalds website states that they want to focus on diversity when it comes to
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new restaurants, and with a score of 42, Spain is the ideal place to start as the country tries to
incorporate minorities in their daily activities and promote their freedom.
On the other hand, short-term orientation focuses on delivering short-term success and
emphasizes respect for tradition and quick results. Besides, indulgence versus restraint is another
cultural dimension. Indulge indicates that a community allows for the free enjoyment of life and
having fun. In contrast, the condition suggests that society can suppress gratification of needs to
adjust to social norms. Spain is the country which lives in the moment. The McDonalds website
also promotes the concept of enjoying the current moment of the day which makes it feasible
with the concept promoted in this country.
In discussing the six cultural dimensions, I analyzed one web page https://www.hofstede-
insights.com/country-comparison/ which contained cultural dimensions for different countries.
Confirmation of the website's cultural dimensions was based on the specific country that I
selected, as other countries have different cultural dimensions. The web page contained
information for different and most countries across the globe. These aspects were then applied to
the McDonalds official website in Spain (https://mcdonalds.es/)
Results
My country encourages a low power distance index; hence, the dining experience and
restrictions of COVID 19 have changed the country from a downward power distance index
society to a high power distance index. People do not focus on the distribution of power. Still,
they must obey the authority and rankings from above.
My country is more individualist as opposed to collectivism. Still, during the COVID 19
pandemic, the dining regulations changed the consideration from personal responsibility to other
people's well-being.
The dining regulations changed my country's uncertainty avoidance index from a low
scoring to a high scoring state-imposed regulations to effectively deal with the pandemic.
The dining regulations changed citizens' lifestyles from a long-term to a short-term
exposure as people focused on curbing the spread of the COVID 19 pandemic.
Dining regulations changed my country from an indulgence to restraint as restrictions
have been imposed to change the social norms.
In McDonald’s case, the number of people per table has been reduced to minimize
interaction, and social distancing must be observed. Yet, due to the Hofstede’s cultural
dimensions which were applied to this restaurants website, it can be determined that opening a
new location in Spain is a viable option.
Discussion
COVID 19 pandemic has dramatically affected the standard way of living for people in
different states. The food industry, among other sectors, has been significantly hit by the
pandemic due to restrictions regulating the interaction of people and avoiding clouded places to
reduce the spread of COVID. However, the regulations have also resulted in a change in the six
cultural dimensions in my country. The website on six cultural dimensions aligns well with what
I have learned about my country; hence it has been influential in the study. However, the website
should be updated from time to time as cultural dimensions vary from one country to another.
They are also affected by major issues such as a pandemic.
Specific Restrictions in My Country as Related To Dine –In Eating
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Seating capacity at eateries has been reduced. COVID 19 is spread chiefly through
physical contacts and when people closely interact (Tsai, Harling, Reynolds, Gilbert, & Siedner,
2020). The seating capacity has been reduced to four people in each ten square meters dining
space. However, food buffets are highly not recommended by the state due to the risk of close
physical contact between different people. Shared serving implements and other people touching
area surfaces at the buffet center also increases the chances of getting infected.
Also, the distance from one chair to the other should be at least one-meter distance apart
for both outdoor and indoor dining guests (Tsai, Harling, Reynolds, Gilbert, & Siedner, 2020).
All guests must have their masks on when entering the restaurant, wash their hands, and sanitize
them every time. All the staff at the eateries must have their masks on. Besides, food services
have been reduced to take-outs, delivery, curbside pick-ups, and drive-through. This is effective
as it reduces the number of people at the restaurant; hence interaction is reduced, and the spread
of COVID 19 at restaurant centers is also reduced. Also, take away ensure that customers do not
share the same serving implements and there are no many interactions at the dining area between
workers and customers.
In most cases, the restrictions at the eateries are in reaction to the pandemic's severity.
Besides, there are restrictions to mandated opening and closing times. Restaurants cannot operate
the all-around clock, and the hours of operations per day have been reduced. Following spikes in
Coronavirus cases, some states have decided to ban all indoor dining temporarily. Indoor
banning and strict restrictions on restaurants will result in more restaurants shutting down
permanently. Therefore, the franchise owner should be aware of all the strict guidelines
governing restaurants before considering opening a Mcdonald's in Spain.
Recommendations
During the COVID 19 pandemic, most restaurants used the alternative way of online food
delivery to meet their consumer satisfaction. The most alternative food delivery methods include
Uber eats, door dash, zomato, Grub hub, and post mates. McDonald's is the leading fast-food
industry due to its focus on customer service, innovative marketing techniques, and competition
response. The typical online alternative methods used by Mcdonald's include Uber eats and door
dash. A customer can order what they want on the McDonald’s menu and deliver it to their
doorstep within a specified period. Delivery of food has been effective during the pandemic to
ensure that the restaurant is running and customers still consume their products while they keep
safe. One of the strict regulations for COVID19 was that people should stay indoors and avoid
going too dark when necessary. Hence, the online food delivery system has ensured that its
customers consume McDonald's food through uber eats and door dash. Also, McDonald's used
the alternative strategy of pick-ups whereby customers order food. It is delivered at a specific
place where they pick it without interaction with the delivery persons.
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References

Komańda, Marcin. (2015). McDonald's as a Cultural Brand in the Landscape of Attitudes of

customers. Trends Economics and Management. 9.

McDonalds,(n.d) Official Website Spain, Retrieved on 22th March 2021 from:

https://mcdonalds.es/

Team, M. T. C. (2018). Hofstede’s Cultural Dimensions: Understanding Different

Countries. Mind Tools. Accessed March 15, 2018.

Tsai, A. C., Harling, G., Reynolds, Z. C., Gilbert, R. F., & Siedner, M. J. (2020). COVID-19

transmission in the US before vs. after relaxation of state social distancing

measures. medRxiv.