Marketing Principles of McDonald's

MARKETING PRINCIPLES

Table of Contents
INTRODUCTION...........................................................................................................................1
TASK 1............................................................................................................................................1
1.1 Elements of marketing process.........................................................................................1
1.2 benefits and costs of marketing orientation.....................................................................2
TASK 2............................................................................................................................................2
2.1 Micro and Macro environmental factors influencing marketing decisions in McDonald's
................................................................................................................................................2
2.2 Segmentation criteria used by McDonald's......................................................................3
2.3 target strategy used by McDonald's..................................................................................4
2.4 how buying behavior affects marketing activities McDonald's......................................4
2.5 New positioning for a selected service or product of McDonald's..................................5
TASK 3............................................................................................................................................5
3.1 How McDonald's products are developed in order to make sure that competitive
advantage is sustained............................................................................................................5
3.2 Explain distribution strategies used by McDonald’s.......................................................6
3.3 Explain pricing strategies used by McDonald.................................................................6
3.4 Promotional activities of McDonald's.............................................................................7
3.5 Elements of the extended marketing mix........................................................................7
TASK 4............................................................................................................................................8
4.1 marketing mixes for two different segments in the consumer markets...........................8
4.2 differences in marketing products and services to business and consumers...................8
4.3 Difference between International marketing and domestic marketing.............................9
CONCLUSION................................................................................................................................9
REFERENCES..............................................................................................................................11

INTRODUCTION
The principles of marketing helps the company to evaluate marketing process and it
different elements. The present report gives a full view of marketing techniques, processes and
principles of McDonald (Hassan and Craft, 2012). McDonald uses product differentiation
strategy to lessen the expenditure and increase in profit. A major advantage with a marketing
orientation is that McDonald is built on addressing the needs of those they serve. Fast food
restaurant meets these objectives by intensifying their skills and competencies through grooming
and improvement programs in order to make them give improved public presentation and to be
capable of acquiring rewards. McDonald keep their prices low to high for their burgers as
different income groups can enjoy eating in the restaurant and can buy food according to their
budget. Moreover, it increases its brand image with these marketing strategies.
TASK 1
1.1 Elements of marketing process
Marketing Process means the procedures that are formed to guarantee the customers have
an affirmative and unforgettable experience when buying and using goods or service (Doole and
Lowe, 2008).
Elements of marketing process are as:
1. Handling the elements of marketing mix: The value of handling every element of
marketing mix is wants and other unique character of targeting the customers. This can
be fully understood by McDonald management.
2. Identifying marketing goals: McDonald's Selling objectives are sustainability and profit
maximization doing business in short-term and long-term view and raising the economic
value of the brand representation. These goals of McDonald are intimately connected
with their business scheme that belong to the following seven elements :
 To flourish the UK center
 Rise in global existence through huge restaurant chain
 Flourishing fast food chain services in existing market
 Centering on corporate social responsibility activities
 Intensifying brand value
The expenditure of McDonald's marketing orientation might be important. The
contribution of marketing orientation of McDonald has its central motive of profit maximization.
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Nexus between McDonald’s marketing orientation and its competitive advantage are directly
related and hefty. In difference to this, these competitive advantages of McDonald are associate
with its competitive expenditure, and later it is communicated via the promotional message.
1.2 Benefits and costs of marketing orientation
Marketing orientated concept means a business concern enact to what consumer need.
The decisions interpreted are based on the data about customers needs and wants, rather than
what the enterprise consider is right for the consumer.
 Costs: During market orientation McDonald spends more time on consumer interaction
and research. This can increase the expenditure of the restaurant. McDonald uses product
differentiation strategy to lessen the expenditure and increase in profits (Doole and Lowe,
2008). McDonald's competitors may be able to develop more distinct features and more
cutting-edge advances in their burgers and fast food. The hope for marketing-oriented
businesses is that these more-advanced products miss the mark on what customers want
or cost too much.
 Benefits: A major advantage with a marketing orientation is that McDonald is built on
addressing the needs of those they serve. If customers want certain features or attributes
in the food products, McDonald try to achieve this by coming up with innovative idea.
McDonald is customer-centric organization that spend most of the time researching to
acquire the best of ideas that gives customer maximization satisfaction.
TASK 2
2.1 Micro and Macro environmental factors influencing marketing decisions in McDonald's
The micro factors are
 Suppliers: Suppliers are the stakeholders of McDonald that adopt objectives of profiting
orders from airline of different services they deal with. McDonald meets their aim by
being consistent in their orders by providing tactful information about enhancing quality
of the services which they provide. Suppliers are not that important in decision making
because they are afraid of losing their contract bridge with McDonald.
 Customers: Customers in McDonald are actually guests. These guests are the
stakeholders who buy services. Their aim is to obtain quality services at fare prices in
which they can find worth against their purchases. McDonald meets these objectives by
offering quality services on time while also providing place substitute to them.
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