McDonalds

Strategic Marketing Principles: McDonalds

Executive Summary3

Introduction3

Discussion4

Current Marketing Strategy of McDonald4

Macro Issues faced by McDonald and PESTEL Analysis6

Political Factors6

Economic Factors7

Socio-Cultural Factors8

Technological Factors9

Legal Factors9

Micro Issues faced by McDonald and SWOT Analysis10

Strengths10

Weaknesses11

Opportunities12

Threats12

McDonald can transform into Market Driven Organisation13

Conclusion15

References16

Strategic Marketing Principles: McDonalds

Executive Summary

This assignment examines the marketing plan of McDonald and determines the macro and micro issues faced by the company. This paper has been complied to demonstrate the effect of internal and external environment on the marketing plan of McDonald. An analysis of internal and external environment is essential, as sound marketing plan cannot be developed without assessing the environment where McDonald operates. McDonald did not study external and internal environment effectively before entering a country, or unable to devise a marketing plan as per the need of people. Thus, McDonald faced challenges in developing and implementing effective marketing plan in the target market as they certainly overlook the external environment (political, social, legal factors) and do not formulate marketing mix based on the target customer preferences.

Introduction

McDonald is one of the leading food retailers with more than 34,000 local food restaurants where the company serves around 53 million customers over 119 countries in a day. McDonald is the world's valuable and recognised brands and has the leading market share in countries across the world. The company is branded as a quick service restaurant across the globe and is the informal eating-out market in virtually all countries where the company. McDonald has a wide product line that includes hamburgers, pork, fish, chicken, french-fries, desserts, salad and soft drinks (www.nytimes.com).

The significance of the external and internal environment and its impact on the implementation and development of marketing planning is very important and must be taken into consideration by any company as it is essential for business profitability and to match with the pace of competition global marketplace. Multinational firms must keep in mind that sound marketing strategies might not be formulated without considering macro and micro issues affecting the strategic marketing plans of the company. The scan of the external environment (macro issues) includes political, environmental, social, technological, economic and legal forces. However, the internal scan assesses the own resources and supplies of the company suggesting as the firm's strengths and weaknesses.

The purpose of this assignment is to examine the macro and micro issues affecting the strategic marketing plans of the McDonalds, as well evaluate and discuss how McDonald can transform into market driven organisation.

Discussion

Current Marketing Strategy of McDonald

Since 2003, McDonald pursues a strategy named “play to win.” This marketing strategy turned out to be beneficial for McDonalds and offer the company positive sales. Briefly, McDonald has experienced a consistent growth in the industry. This strategy is nothing else except five Ps of the marketing mix: Product, price, place, promotion and people. This marketing mix tries to perceive every thinkable perspective of the firm, and offers the ways of improvement, from creating delicious menu, setting good ambiance, maintenance of Wi-Fi, refurbishing old outlets to cope with the bad publicity (Hunt ...