Mac D Final 03
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Transcript of Mac D Final 03
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Team 11
Presenters: Sahil AnandSakshi Joshi
Vidhu JainMansi Dua
Niketa DattaNadira Feroz
Saurabh DhawanVarun Dhingra
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About McDonald's
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In The Beginning…
• Began by two Brothers:
Dick McDonald
Mac McDonald• Started off as a Hot Dog Stand in CA(1937)
• Hot Dog Stand moves to Rt.66 and becomes a Hamburger Joint
- Offers 25 Menu items
- Becomes car hop
- Highly profitable teen hang-out
1st
McDonald’s
Hamburger
Cost $.15
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• Brothers realize Burgers were most profitable
• Close down restaurant and reopen as a “Speedy Service System”– Offer only burgers, shakes, and fries
• McDonald’s is franchised to several locations[1953]– First McDonald’s to feature the Golden Arches
• Ray Kroc discovers McDonald’s [1954]– Creates “McDonald’s System’s Inc” to start franchising [1955]
– Renamed to “McDonald’s Corporation” [1960]
Contd…
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World wide strategies
Best employer Operational Excellence Continue to grow and be profitable
- Innovation - Leadership Marketing
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Indian Market
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India – Entry Strategy
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Product Adaptation – The Indian Challenge
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Marketing Analysis4 P’s Analysis
$Produ
ct
• Wide variety of menu items - veg and non-veg
product- health-conscious items
• Local flavors
• Variety of product offering
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4 P’s Analysis
$
Marketing Analysis
Promotion
• I’m lovin’ it campaign to attract family
• Feature artists to target teenagers
• Advertising through media
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4 P’s Analysis
$
Marketing Analysis
Place
• 31,000 stores worldwide
• About 230 outlets in India
• Mainly focuses in north and west India
• Distribution channel
• Operations- Company-owned- Franchise
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4 P’s Analysis
$
Marketing Analysis
Price
• Traditionally - value-pricing as competitive weapon
• Now, offer products at range of price points
- attract both price-sensitive and health-conscious consumers
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Planned Growth Strategy
Execute planned growth strategy to capitalize opportunitieswithout foregoing a Healthy Franchisor-Franchisee Relationship
STRATEGY
•Slow Expansion
• Focus on Same Store - Sales Growth and Improving Delivery Outlets
• High Growth
• Aggressive ‘Planned’ Expansion - to avoid conflict with current franchisee and future franchisees
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Target Markets
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Growth Strategies
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Reasons for Failure
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Benefits from Franchisee Involvement
• For McDonald’s:
-Understand where its franchise management is lacking
-Get Ideas for Future Initiatives
-Enhance Future Franchise Management
Can Thrive even under high pressure/competitive environment
• For McDonald’s Franchisee:
-Attain ability to carry out franchisor’s initiatives
-Improve commitment levels
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Conclusion
F
Corporate Policies and Initiatives
Success of Implementation
Depends on Franchisees
F F
McDonald’s Focus Marketing. Product
Innovations
Enhanced Relationship
Mutual Understanding and Raised
Commitment Levels
Turning Initiatives into Successes
Franchise able and willing to Deliver
Initiatives in consistent manners
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