United States Of America

Currency US$ which is a federal reserve

note.Most used in International Transactions .

Worlds dominant Reserve currency

also known as defacto currency

Balance Of Payment :

Current Account balance- $124.1 billion

(3rd quarter)$111.1 billion (2nd

quarter)Deficit increased to

2.7% from 2.5%$190 billion from

$189.2 billion

Trade Practices in USA :

Major Exporter of machines , engines , pumps , electronics ,

oils , vehicles Major Importer of

Apparels, Footwear, Furniture , Appliances

Kitchen and Households

Worlds largest chain of hamburger fast food restaurants , serving 68 million customers daily .

Revenue : US$ 27.44 billion (2014) Employees : 30,60,000 (2014) Headquarter in Illinois, USA & company began in

1940. A McDonald's restaurant is operated by a franchisee,

an affiliate, or the corporation itself. McDonald's Corporation revenues come from the rent, royalties, and fees paid by the franchisees, as well as sales in company-operated restaurants.

14,157 McDonald's restaurants in the United States in 2012 

 In 2014, McDonald’s had a brand value exceeding 85 billion U.S. dollars.

Introduction of McDonalds

McDonald's began divesting itself of other chains it had acquired during the 1990s. The company owned a majority stake in Chipotle Mexican Grill until October

2006

McDonalds promises Quality, Service, Cleanliness and Value in slogans like “YOU DESERVE A BREAK TODAY” , “FEED

YOUR INNER CHILD”.Toys for children with happy meal

2008 2009 2010 2011 2012 2013 20147.4

7.6

7.8

8

8.2

8.4

8.6

8.8

9

Revenue(millions)

Revenue(millions)

Revenue of McDonalds

MARKETING MIX

HamburgersChicken nuggetsCheese burgers

French fries Breakfast items

Soft drinksMilkshakes

Desserts

Dollar menu- low cost food

and drinks

Tier 2 suppliers –primary food

producers Tier 1 suppliers are processors

30 – 35 SKU at the supply side ,

creating a streamlined operation2

6th position on ―Best Global Brands 2011

The iconic Golden Archesare used in promotionsglobally. The I'm lovin‘ it campaign launched in 2003

McDonald‘s aim is to create a

vibrant working environment for

staff and managers.Employees

undergo rigorous on-the-job training in

customer service, food handling and

preparation..

PESTEL

Political factors Legal factors

• Increasing international trade agreements (opportunity)

• Pending tax reform (opportunity)

• Evolving public health policies (threat and opportunity)

• New legal minimum wage levels in the U.S. (threat)

• Local health regulations in workplaces and schools (threat)

• Animal welfare regulation (threat & opportunity)

Economic Factors

Slow but stable growth of the U.S. economy (opportunity)

Stable but risky European economies (threat)

Slowdown of the Chinese economy (threat)

Widening wealth gap (opportunity) Increasing cultural diversity

(opportunity) Healthy lifestyle trend (threat &

opportunity)

Sociocultural Factors

Moderate R&D activity in the industry (opportunity)

Increasing business automation (opportunity)

Increasing sales through mobile devices (opportunity)

Environmental FactorsTechnological Factors

Rising interest for corporate environmental programs (opportunity)

Increasing emphasis on sustainable business strategies (opportunity)

Climate change (threat)

10 Strategies that are keeping McDonald’s Barrelling Forward:

Focusing on heavily emerging markets McCafe has been a big win

Offering a wider variety of food to attract large segments

Delivering food to the customers in places they demand it

Making it stores more attractive to get customers in

Increasing its offering of snacks itemsShortening of menu cycle e.g. McRib

Importing its successful niche product Expanding its dollar menu to breakfast

Accepting Cross-cultural barriers

Advantages of Franchising :

Franchising requires less capital than other growth methodsRapid expansion

Market DominanceFranchising puts a "business owner" in charge

Great Buying PowerFranchising puts a "business owner" in charge

Increased name recognitionIncreasing Advertising and Marketing budget

New revenue streams are created

McDonalds Ads ProgramLets eat out! (1960–1965)Look for the Golden Arches! (1960–1967)Go for the Goodness at McDonald's (1962–1969)The closest thing to home (1966–1969)McDonald's is your kind of place (1967 – January 22, 1971)You deserve a break today (January 23, 1971 – April 23, 1975)30 years of good times and great taste (1985, 30th anniversary)I'm lovin' it (September 29, 2003–present) What we're made of (2008–present)You want it, need it, you gotta have a taste of McDonald's burgers (December 1, 2010 – present, The simple joy of McDonald's (2010–2013)

PGDM2:Priyanka Banerjee

Ankita SharmaAmritpal Kaur Virk

Arshpreet Kaur SohalPooja Agarwal

PGCM5: Ankur Sharma