MGT1FOM_Examination_CaseStudy

MGT1FOM_Examination_CaseStudy - PART C: CASE STUDY (20...

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The menu planner The new chief executive of McDonalds’s Australia has never flipped burgers for a living, but he knows what he likes. There is a saying at McDonald’s that those with a passion for the franchised restaurant chain have ‘ketchup in their veins’. Peter Bush, the company’s new chief executive, says he has the sauce in him and that one of his greatest strengths is his passion for the McDonald’s System. Although he has been a consultant to McDonald’s since 1999, he does not have a McDonald’s pedigree and says it could be seen as a weakness. ‘Many of the people I am working with have been here for 10, 15 or 20 years. Success is driven by what goes on in the restaurant, and I haven’t worked in a restaurant’. The fact that McDonald’s Australia has chosen an outside as its new chief executive is telling. McDonald’s highly values length of service and boasts that many senior executives joined the company as 15-year-old crew members. So, the appointment of Bush illustrates the trouble it has experienced in recent years, with flagging sales and bad publicity. Indeed, McDonald’s still faces challenges. Bush took the chief executive role from Guy Russo in June and offers a fresh approach for the chain that is under pressure from public-health officials, Tasmanian potato growers and consumers. Bush, 53, is sitting at the board table at McDonald’s Australian head office in North Sydney. The former marketing executive, dressed casually in a black shirt and pants, says he relishes a challenge. ‘My vision for the business is unequivocal. I would like McDonald’s to become Australia’s favourite brand. I put that up in bright lights as our destination’. He says this will be difficult – McDonald’s silence during the obesity debate has damaged its reputation. ‘We have clear evidence from our customers that says – McDonald’s, your silence equaled guilt’. He intends to confront the community perception by joining the debate. For many people, McDonald’s represents the dangers of high-fat, high-carbohydrate fast food. As Australians have become more aware of the importance of diet and the obesity problem worsens, McDonald’s has been criticized for encouraging poor nutrition. The complaints reached a crescendo with the release of Super Size Me , a powerful documentary film by New York
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This note was uploaded on 11/22/2009 for the course MGT IS taught by Professor Nicola during the Three '09 term at La Trobe University.

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MGT1FOM_Examination_CaseStudy - PART C: CASE STUDY (20...

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