Human Resource Management of McDonald Report

Running head: HUMAN RESOURCE MANAGEMENT
Human Resource Management
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Slide 1
Introduction:
In my part of the presentation, I have discussed about the human resource management of
McDonald. Here I have outlined the business strategy adopted by McDonald. I have also
discussed about how the company have positioned themselves over the years. In addition, I have
also tried to put forward the vision and the aims and objectives adopted by the company.
Outlining the Strategy of McDonald
McDonald is an American fast food and hamburger chain found in the year 1940. While
outlining the company’s strategy I have found that McDonalds adopts generic strategy that refers
to the basic approach followed in the development of its business and competitive advantage
(Sachdeva 2015). Thus, being one of the biggest fast food restaurants the company makes use of
the intensive growth strategy for supporting its continuous expansion and business development.
Thus, I have found that the business strategy followed by McDonald is a combination of
cost leadership and strategies for international market expansion. Moreover, franchising and
entry into the new market is a part of business strategy adopted by McDonald. I have also found
that the company also considers service and product standardization as a key to its business
strategy. Therefore, as we all know, the company tries to offer uniform menu that comprises of
not only hamburgers and cheeseburgers but also salads, French fries, shakes, desserts, sundaes,
soft serves, pies, soft drinks and other beverages (Shakhshir 2014). Further, I have also found
that the company considers local preferences and tastes while selecting its menu and undertaking

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the efforts for marketing. Thus, the company aims to adopt a business strategy that makes fast
food available to the customers at comparatively lower prices while making profit from it and
ensure worldwide business expansion.
However, I have presented the competitive advantage of McDonalds in a nutshell:
1. The company makes use of extensive economies of scale for achieving the cost
advantage.
2. Ensures the speed of delivery without comprising on the quality of service
3. The company ensures universality in taste for its products sold around the globe.
How have McDonald Positioned themselves?
Here, I would like to discuss how McDonald has positioned them. Now what do we mean
by positioning? Positioning refers to the selection of marketing mix most suitable for the target
customer segment. Positioning achieved through manipulating the marketing mix of 4Ps and the
position matrix (Ahmed et.al 2015). In this regard, I have found that McDonald has made use of
adaptive type product positioning and engaged in periodic re-positioning of services and
products as per the changes in the segment. Thus, the company has not only positioned itself by
being a family friendly low cost restaurant in fast food business arena but at the same time has
adopted a strategy of lower cost.
McDonald in the recent years has broadened the scope for appealing to a wider customer
base by incorporating a healthier option in the menu. Moreover, the company also tries to narrow
down mostly to the families with focus on reducing delivery time and cutting down food cost. I
have also found that the company has also tried to position itself by using modern and