McDonalds SWOT and PESTLE - McDonalds SWOT and PESTLE analysis Contents Introduction.4 SWOT Analysis.4 Strengths.4 Weaknesses.5 Opportunities.6

McDonalds SWOT and PESTLE - McDonalds SWOT and PESTLE...

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McDonalds SWOT and PESTLE analysis
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Contents Introduction ................................................................................................................................................. 4 SWOT Analysis ............................................................................................................................................. 4 Strengths ................................................................................................................................................. 4 Weaknesses ............................................................................................................................................. 5 Opportunities .......................................................................................................................................... 6 Threats ..................................................................................................................................................... 6 PESTLE Analysis ............................................................................................................................................ 6 Political .................................................................................................................................................... 6 Economical .............................................................................................................................................. 7 SocioCultural ............................................................................................................................................ 7 Technological ........................................................................................................................................... 7 Legal ........................................................................................................................................................ 8 Ecological ................................................................................................................................................. 8 Introduction Hailed as one of the largest and globally one of the most well known brands, McDonalds Corporation serves more than 60 million customers. It operates in more than 36,000 locations in over 118 countries. McDonalds has adopted franchising model where-in majority of the restaurants, almost 80 percent, is owned by independent business men and women and only a few are ran by the corporation. McDonalds finds its largest market in the United States with reference to the number of restaurants, operating income and revenue. In-fact it revamped its organizational structure in July 1, 2015 and the entire organization is divided under four broad pillars: U.S Market; International Lead markets; High growth markets; Foundation markets. The international markets are the ones that are quite established with
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strong and robust economies and present comparable growth and competitive dynamics just as in the U.S. It has positioned McCafe as a premium coffee shop in these markets. High growth markets are those where McDonalds see a substantial growth potential in terms of number of restaurant expansion and franchising. It has identified eight markets under this belt that includes Asia, Europe and Africa etc. Finally the foundation markets are large markets with approximately 80 markets under its umbrella that acutely focus on expanding the franchisee model. SWOT Analysis Strengths Undoubtedly this is a brand this is recognized by all age groups. Hence one of the key strengths of McDonalds would be its brand name. It is hailed as one of the most fundamental brand when it comes to service and value in the sector of fast food. Secondly, McDonalds has been able to achieve a huge economy of scale. It is miles ahead of its immediate competitors such as BurgerKing earning revenues nearly 8 times than that of the later. Given its reputation it’s a readily accepted brand in almost all parts
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