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McDonald's SWOT Analysis
SWOT Analysis McDonalds.xls
Hello All,
Here is my McDonald's SWOT Analysis, I would love to get your feedback. I have attached the initial format that I used to organize my thoughts, please feel free to use this format for future research.
McDonald's Corporation (MCD)
Strengths:
1) Globalization: 31,000 restaurants serving 120 countries. Of the 31,000 restaurants at least14,000 restaurants in the US
2) Active Children's Charity: The Ronald McDonald House
3) Adjusted Ingredients and product offerings to comply with upgraded health standards deemed necessary by the USDA
4) Earns revenue not merely by fast food sales, but also as a property investor, a franchiser of restaurants.
5) Branded (name recognized) menu items such as Big Mac, Quarter Pounder and Chicken McNuggets
Weaknesses:
1) Advertisement techniques that target children
2) Consumers use disposable income to purchase fast food meals so when the budget it threatened, consumers redirect these funds
3) Public perception: McDonald's has been impacted by negative press like the documentary "Supersize Me" by Morgan Spurlock in which he contributed our societies obesity to McDonald's and other fast food chains.
Opportunity:
1) IInnovation: Continued adaptation to societies needs such as USDA and Supersize Me upgrade.
2) Conservation: Researching green energies and green packaging solutions and incorporating these findings as a part of their marketing strategy and advertisements.
3) Exploration: Create new product offerings. Continue to use technology to influence revenue strategy: possibly use text messages to deliver specials offers to individuals who sign up for such services.
Threats:
1) Current world economic standing: the company's revenue streams are diversified, but depending on the the length of this "recession", they will inevitably be negatively impacted by the trickle down effect.
2) More Casual Dining Restaurants increasing their "burger" offering and decreasing the price: Restaurants like Ruby Tuesdays have $6 burger meals that they strongly advertise…If you're not in a hurry, which one would you choose?
3) Public Health Crisis: with a growing number of obesity cases among Americans, fastfood chains like McDonalds will continued to be overshadowed by their previous product offerings (Supersized Meal, no fruits or yogurt, slim salad selection).
Hello All,
Here is my McDonald's SWOT Analysis, I would love to get your feedback. I have attached the initial format that I used to organize my thoughts, please feel free to use this format for future research.
McDonald's Corporation (MCD)
Strengths:
1) Globalization: 31,000 restaurants serving 120 countries. Of the 31,000 restaurants at least14,000 restaurants in the US
2) Active Children's Charity: The Ronald McDonald House
3) Adjusted Ingredients and product offerings to comply with upgraded health standards deemed necessary by the USDA
4) Earns revenue not merely by fast food sales, but also as a property investor, a franchiser of restaurants.
5) Branded (name recognized) menu items such as Big Mac, Quarter Pounder and Chicken McNuggets
Weaknesses:
1) Advertisement techniques that target children
2) Consumers use disposable income to purchase fast food meals so when the budget it threatened, consumers redirect these funds
3) Public perception: McDonald's has been impacted by negative press like the documentary "Supersize Me" by Morgan Spurlock in which he contributed our societies obesity to McDonald's and other fast food chains.
Opportunity:
1) IInnovation: Continued adaptation to societies needs such as USDA and Supersize Me upgrade.
2) Conservation: Researching green energies and green packaging solutions and incorporating these findings as a part of their marketing strategy and advertisements.
3) Exploration: Create new product offerings. Continue to use technology to influence revenue strategy: possibly use text messages to deliver specials offers to individuals who sign up for such services.
Threats:
1) Current world economic standing: the company's revenue streams are diversified, but depending on the the length of this "recession", they will inevitably be negatively impacted by the trickle down effect.
2) More Casual Dining Restaurants increasing their "burger" offering and decreasing the price: Restaurants like Ruby Tuesdays have $6 burger meals that they strongly advertise…If you're not in a hurry, which one would you choose?
3) Public Health Crisis: with a growing number of obesity cases among Americans, fastfood chains like McDonalds will continued to be overshadowed by their previous product offerings (Supersized Meal, no fruits or yogurt, slim salad selection).
Views: 3339
Tags: Chai18Network, Conservation, CorporateStrategy, Exploration, HunterReignStrategies, Innovation, JonnetteFair, JonnetteS.Fair, McDonald's, McDonald'sCorporation, More…
Comment
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Comment by Steven Muraski on July 14, 2009 at 12:25am -
Interesting analysis. One "Opportunity" that I think you need to include is a determined attempt to create a dominant share of the Chinese market. Last year, for example, McDonald's opened its first drive-thru, in an attempt to reach the burgeoning auto-owner market.
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Comment by Jonnette Fair on March 4, 2009 at 6:42pm -
Thank you all for your feedback! I hope to update the Analysis in the next few months to include new findings and include some of your feedback. I really hope to address the international prospective, which will call for some intense research on my part. I will be calling on you Kumar for some input. Continue to stop by for updates. Be Prosperous in all you do!
Jonnette
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Comment by Arvind Sharma on February 24, 2009 at 11:33pm -
Very good analysis
Arvind Sharma
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Comment by Amy on February 23, 2009 at 8:55pm -
I believe that your swot was amazing but I would have added just one more thing. Under the strengths I would have put the systemization and duplication of all processes.
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Comment by Kumar Motiani on December 30, 2008 at 6:07pm -
I respond to this SWOT and would like to point out that it is quite centred on the Anerican (or at most anglo-saxon) market(s). Your comments please.
humble regards
Kumar
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Comment by Larry Lanier on November 26, 2008 at 11:36am -
Jonnette,
McDonald's is a major brand name. I think their strength is globalization, brand identity, children, and price. I understand why they market towards children - easily influence, generation develop awareness, and maximize market penetration. The community perception of McDonald's is good. The slant that it's been given by negative press has kept their names in the press over the last 4 years. Your opportunities and threats are ON. Keep up the good work...Can you help me with a SWOT on my company? :)
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