MARKETING

Marketing

Marketing

Introduction

The purpose of this report is to apply the knowledge of marketing to McDonalds which is an international fast food chain. McDonald is an international famous fast food chain which has operations in around all countries across the globe. McDonald has been applying the marketing concepts in a comprehensive manner which has resulted in competitive advantage.

The adoption of right marketing strategies such as market segmentation, positioning, advertising, and branding have helped the company to achieve the competitive advantage over the other fast food chains and McDonald enjoy a sustainable market share not in developed countries but in developing countries as well such as India, Pakistan etc.

Task 1

Significance of Marketing at McDonalds

The first store in the history of the service fast food was opened by the McDonald brothers in 1948 in San Bernardino, California, (USA). They gave a new direction to the business, offered prepared food and served at high speed, and other modernized the system of the era: the dishwasher replaced by napkins and paper bags. Ray Kroc, then a provider shake mixing machine, surprised by the amount of "Multi-mixers" requested, visited the McDonald brothers in 1954. He proposed to open more places like that. Ray Kroc opened his first McDonald's restaurant in 1955 which offered a variety of food of high quality and at a price moderate. Ray use YV CSL system (quality, service, cleanliness and value) which was a great success. Thanks to these principles due to which the fast food chain spread across many parts of the world and this is how in 1983 we had more than 6,000 restaurants in the United States and in 1995 came to have 18,000 in 89 countries on six continents, only in that year McDonald's restaurants built over 2400 and by 2001 had more than 29,000 restaurants in 121 countries (McDonalds, 2012).

There are currently more than 26,000 establishments in 126 countries. This shows that the company adopted the comprehensive marketing strategies to penetrate in the fast food industry and to maintain the customer loyalty. There are various Integrated Marketing Communication techniques which have helped McDonald to achieve the competitive edge and brand loyalty (Crouch, 2004).

Key Issues

McDonalds spending on their advertisement is estimated around 2 billion dollars, the symbol of McDonalds 'Golden Arches' are more familiar in the market than 'Christian Cross'. Using the technique of advertising through promotional activities such as Below the Line (BTL) and Above the line (ATL), television advertisement, and catering the school going children thorough promotional schemes such as portraying the character of Ronald McDonald. The company achieve their target market.

A consultation report has been discussed widely on prevention of chronic disease and diet; they examined the substantial relationship between the lifestyle and dietary factors that are risky in developing obesity. The lifestyle and dietary factors were characterised that based on the empirical evidences that focused on 4 general level of scientific evidence: probable, insufficient, possible and convincing.

SWOT Analysis of McDonalds

Main Characteristics of a Marketing Oriented Organisation

Advertising

The aim of McDonald's advertisements ...