Marketing Essentials Assignment- McDonald’s

MARKETING ESSENTIALS

TABLE OF CONTENTS
INTRODUCTION...........................................................................................................................1
TASK...............................................................................................................................................1
1.Concept of marketing with current and future trends...............................................................1
2.Overview of different marketing process.................................................................................1
3.Roles and Responsibilities of marketing manager....................................................................2
4.interrelation of marketing with other functional department of McDonald's...........................2
5.importance of marketing role....................................................................................................3
6.significance of having effective interrelation between marketing and other functional
departments..................................................................................................................................3
7. comparison of marketing mix element....................................................................................4
8. Marketing plan for McDonald's...........................................................................................10
CONCLSUION..............................................................................................................................13
REFERENCES..............................................................................................................................14

INTRODUCTION
Marketing is essential element that supports in raising demand of products and attracting
new consumers towards the brand. Present study is based on McDonald’s which is a
multinational firm and offers wide range of food products to customers. Current assignment will
explain concept of marketing and will describe future or current trends. Furthermore, it will
compare marketing mix of McDonald’s with Dominos. In addition, study will prepare marketing
plan for the selected enterprise.
TASK
1.Concept of marketing with current and future trends
Marketing is the process of exchanging values to others and creating positive image in the
mind of consumers. It can also have defined as it is the management process that supports in
identifying and satisfying needs of buyers (What is marketing, 2018). There are 4 types of
marketing concept.:-
Product concept- This concept says that customer will prefer to buy the McDonald’s
product. If it offered to them with the best quality and in reasonable price. Then marketer need
not to put many efforts to sell their product (Kotler and et.al., 2015).
Selling concept - This concept focuses that, customers will buy the product only if they
are aggressively sold by the company that is the promotion of the product should be aggressively
done.
Marketing concept - This concept encourages McDonald to adopt a business technique
and produce the quality goods which satisfy the customers’ needs and wants.
Societal concept - This concept of McDonald focuses on satisfying the customer's want
and concerning long term for societal welfare. That is performing social responsibilities also.
Some of current trend of marketing are advertisements on televisions, hoardings, social
media marketing, internet video ads, etc. and some future trends through which McDonald will
able to advertise its product or use of any technology which help McDonald to sell their product
in most cost-effective way (Shaw, 2016)
2.Overview of different marketing process
SOSTAC is marketing model which is used by McDonald to increase their sales and they
will be able to earn good amount of profit. It is basically 6 facets of marketing that is situation,
Objective, strategies, tactics, action and control. These all are fundamental factors which used by

McDonald to enhance sales (Tuten and Solomon, 2017). This is basically an extension of SWOT
analysis. SOSTAC explained as:
 Situation – Says about the company, in which situation they are now.
 Objective- Helps to achieve any goals or missions for McDonald and help organisation
work towards in direction of goal.
 Strategy - Says that which strategies McDonald should use to achieve objectives
 Actions - It is the tactics that is used by firm to met its objectives. By taking effective
action entity will be able to meet its marketing goal.
 And Control– To monitor the activities going in right direction and if not, then what
corrective measures are to be taken by McDonald.
3.Roles and Responsibilities of marketing manager
 Marketing manager has various roles and responsibilities which they have to perform for
smooth functioning of business.
 McDonald's marketing manager are responsible for developing and implementing marketing
strategies to promote their products and services with aiming of increasing the sales and
winning over their competitors (Bowie and et.al., 2016).
 McDonald's marketing manager are creating and defining their brand that describes that
what they are and their brand value.
 The another role played by marketing manager is monitored and managing social media and
ads which they publish, they are continuously observing what is being posted online.
 Managing communications – It is responsibility of marketing manager that to communicate
with employees and clarify the jobs and duties which they have to perform (Vellas, 2016).
 Market research helps to define the targets and different available opportunities which help
McDonald's to identify how their products and services are being perceived in the market.
4. Interrelation of marketing with other functional department of McDonald's.
There is interrelation and influence of marketing department on the other functional
department of McDonald's which is discussed in detail below:
Human resource and marketing-
HRM is function of organisation which helps in recruiting, selection, training and
development. So marketing manager of McDonald's needs help of HR. to recruit appropriate
marketer or marketing assistant which help in marketing and promoting the goods produced by

McDonald's (Hudson and et.al., 2016). Marketing department aids in identifying future demand
and inform to HR team. On the bases of this, HR department recruitment new people those who
can support in meeting this demand.
IT and marketing-
It is digital platform without which it is not possible to run organisation smoothly. Any
promotional activities promoted through Internet become easier and maintain accounts
effectively is also possible with the help of IT. Obtaining useful information from internet and
using it for marketing purpose is another interrelation between both (Lantos, 2015). IT
department gets influenced by marketing department, marketing team conduct research and get
to know about new techniques that are used by competitors .On the bases of this, entity makes
changes in its firm so that it can gin competitive advantage.
Marketing and production department- Production department always focuses on producing
the goods and services with the best quality which offer satisfaction to customers. Marketing
tools, sales volume, will help McDonald's to know about the need and requirement of customers,
so that accordingly they produce and alter the products in near future.
5. Importance of marketing role
There are many significant roles of market which help McDonald's success and
achievement of desired goal. Some of the roles are; -
Meeting the needs and wants of consumers – Today market people and youth of the
generation is desirably attracted towards fast food products offered by McDonald's and little
change in products taste or range according to the customer's needs will help McDonald's to
achieve its goal efficiently (Alalwan and et.al., 2017). Marketing plays role of researcher and
find needs of buyers. This helps other department in offering same services to consumers.
Widens market - Marketer of McDonald's use many ways to promote their product in the
market including advertisement, sales promotion, publicity and a mass communication which
increases the goodwill of company and hence, capturing wider market.
Creating utility:- Most of the product's utility is created by marketing, Where, utility is
ability or power of product to satisfy human wants.
Economic growth:-Due to effective marketing, customer attract towards the product
which will lead to increasing demand which encourages more production. Further, more

production creates more employment opportunities resulting in increasing level of income which
than contributes toward overall economic development (Kashyap, 2016).
Hence, these are some marketing roles played by McDonald's to encourage more sales and
achieve greater success.
6. Significance of having effective interrelation between marketing and other functional
departments
Effective interrelation between -marketing and other functional department helps to bring
coordination in McDonald's. From this effective step or process the effective interrelation
between marketing and other functional departments, the managers will be able to perform, their
task more effectively and efficiently.
For smooth functioning of business all the tasks and activities must be followed in the direction
of organisational goal (Chaffey and Smith, 2017).
Though all the activities are interlinked with each other, To perform, one activity
accomplishment of another activity is required. So marketing help in accomplishment of work on
time and scheduling the works accordingly.
Marketing helps other functional department to enhance their activity. McDonald's
production department is completely based on its marketing of the goods as effective marketing
encourage more demands and more demand than will lead to more production.
Similarly, more production requires enough availability of funds which further indicates
that, Directly or indirectly marketing relates to other departments and having an effective link
with other departments which helps McDonald's to move upward towards the direction of
success and growth (Oakey, Cooper and Biggar, 2018). Hence, interlink of all the departments
with marketing have significant and effective impact in McDonald's.
7. Comparison of marketing mix element
Marketing mix: it refers to the set of action which adopted by entity in order to promote its
brand, product or services in the market. This is the process by which effective marketing
practises will get developed by organisation in order to achieve the success of the business.
Importance of marketing mix for McDonalds:
Marketing mix is the process of getting the right product in front of right people which
also at the right time. For the McDonald’s organisation it is also an important strategy in order to
capture the consumers of the business market. Through this technique, entity will able to provide

goods to consumer by various intermediaries. Entity will also able to promote its goods and
services very effectively with the proper use of digital channels which will further helps in create
awareness and promoting the products.

Marketing
mix
MacDonald's Domino's
Product As a fast food service business, MacDonald's
has a product mix composed mainly of food,
hamburgers, cheese burgers, Filet-O-Fish,
chicken, sandwich varieties, French fries,
Chicken Nuggets, wraps etc. it also offers
some salads, shakes, Oatmeal, sundaes, soft
cones, soft drinks, coffee, beverages etc. It is
primarily known as for its burger. It gradually
expands its product mix. Company also trying
to increase nutritional value of their meals, as
McDonald food is widely perceived as
unhealthy (Kotler and et.al., 2015).
Domino's is one of leading
global pizza outlets. It mainly
concentrated on different
varieties of pizza which are
customized with respect to the
customer’s demand. it ranges
from vegan pizzas to non
vegan pizzas one variety of
dips, toppings, sauces are also
included and they can also can
be customized according to the
requirements of customers
(Shaw, 2016). Apart from the
pizza bread there also
availability of various breads
also which includes bacon,
chicken dishes, chicken wings
etc. Pasta vegetarian and non-
vegetarian types are also
available with domino's.. some
drinks and soft beverages are
also offered for which they
have tied up with coca cola
Price It involves various price building and strategies
according to the customers. To ensure that
customers buy more products if company will
provide them offers and discounts. The
discounting pricing strategy is to be adapted to
Domino's has a very
competitive pricing of pizzas
because it has two competitors
in the market which are most
equality or even more spread

tap the lower and middle section of the society.
McDonald’s following a business strategy of
cost leadership. there are mix of different price
strategies which company use like value
pricing, cost plus pricing, price discrimination,
going rate and some of popular price
techniques. McDonald’s different restaurants
have slight difference in their price based on
some factor including availability of
resources ,demand etc (Bowie, Buttle, Brookes
and Mariussen, 2016).
than its competitive prices.
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Place It refers to the place where product would be
distributed. There are some ways of
distribution through which McDonald’s make
products available to their customers. Even, in
some countries restaurants is offering home
deliveries through indirect channel.
McDonald’s restaurants also opened 24 hours
in some places. This is a type of intensive
distribution which means making the goods
available to the customers and their places.
Through all the possible distribution channels.
McDonald operates restaurant worldwide. The
different types of Mc restaurants provide so
many services to the customers. MacDonald
have so many franchisees over the worldwide
ad make a strong base in the market.
McDonald’s restaurants are around 36,258 in
119 countries. The company wants to establish
their branches in urban as well as in rural areas
(Kashyap, 2016).
975 of business of domino's is
franchise owned. Globally,
there are around 13000 stores
of Domino' .it has 16 dough
manufacturing centres,1 centre
of vegetable processing,1
centre of supplying equipment
s,1 pressed plant centre in
America (Vellas, 2016).
Domino's has wide presence
online as 95% of domino's
orders are placed online and
the transactions done are
through apps, website.
People MacDonald has a unique way to addressing the
customers and treats them well. They have
around 97,000 employees working in
McDonald’s in UK and Netherlands. And of
70% of McDonald’s restaurants are operated
by women's and businessman (Oakey, Cooper
and Biggar, 2018).
Restaurants investment on employee's training
and development is about £40 million.
Employees have a dress code which emphasis
the company. Employees are given ratings
Domino's staff is very much
trained. Domino's gives
undergo training to the
employees. They encouraged
employees to provide ideas for
improvement through the
classroom training and other
development tools. Innovations
are supported by providing
rewards and other various
schemes which motivate the
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based on their performance and they are
encouraged to take a large part in decision
making which motivate the employees.
Company also concern with the satisfaction of
both employees and customers (Chaffey and
Smith, 2017).
employees to introduce more
new ideas .there is also a
system of feedback which is
linked through employees'
performance system which
makes employees more
responsible and accountable
for the behaviour and actions
they performed at workplace.
Domino's also hires other
various external development
programmes. Also, employees
wear the uniform of Domino's
which is sign of equality and
strong values which they are
maintaining (Bowie, Buttle,
Brookes and Mariussen,
2016).
Promotion McDonald's has spent so much money on their
promotions through newspaper add, billboards,
various sport's event, like Fifa, world cup,
Olympic when it comes to the marketing mix.
they us some advertisement tools and
promotional tactics to attract the customer
towards their products. McDonald’s uses
different techniques of promoting their product
and sales. McDonald’s also offers some
discount and coupons on certain products
(Shaw, 2016).
Domino's does their promotion
through advertisement,
promotion on its websites,
mobile apps and personalised
SMS aggressively.
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Process It is basically a set of activities which are
performed by the McDonald’s to achieve a
desired objective. They undertake many
numbers of activities to make products
available to customers. e.g.- process of food
preparation is completely transparent that is
completely visible to customers that how their
product is prepared .
Domino's have two methods
for providing services that is
either order online or order
from restaurant directly. As
domino's guarantees 30
minutes delivery than they give
priority to online orders first as
they need to prepare the orders
quickly(Tuten, and Solomon,
2017).
Whereas in direct orders the
food products are easily visible
and transparent to customers so
that they can satisfy
themselves by observing the
preparation of food.
Physical
Evidence
Any elements of physical environment which
experienced by visitors and customers said to
be physical evidences. These physical evidence
does not only make the impression on
customers but it also defines how McDonald’s
performs and functions. The interior of
McDonald’s is very attractive and
maintenance of restaurant is in very clean and
hygiene way (Lantos, 2015).
The orders are delivered to
customers according to their
requirements and the payment
is made to domino's by cash or
card. The customer support is
also provided by the domino
during their working hours, but
still domino's provided the
customer support trough their
websites or phone all over the
world through countrywide
unique number.
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Marketing mix help McD in achieving business goals which by proper execution of the product,
place, promotion and price. Entity will analyse the situation of the market where product which
is trendy and customer more preferring will only be develop which is also in affordable range of
price which is in place which will be easily reachable by the consumers. Thus, by this business
goals will get achieved by the McD organisation.
Marketing planning process:
Entity is following the Franchise model where the training and monitoring will be
provided to person which wants to open the franchisee of their business. This is the most
effective strategy by which company getting a success. As per the market segmentation, entity’s
main targeted customers are the youth, the young urban family and the children where in order to
attract such customer, entity is providing services like happy meal, combo services and birthday
party celebrations and for attracting children entity is providing the gifts of cartoons to children.
For giving such gifts, company has tied up with the Walt Disney.
8. Marketing plan for McDonald's
Executive summary
McDonald's have planned an effective plan which they are implementing in their
organisation for achieving organisational objective and success,
The marketing plan they have decided includes different marketing objectives, analysis of
different situations, competition, various marketing strategies, what would be the budget and
how to monitor and control. These all are important factors which come under the marketing
plan of McDonald's (Kashyap, 2016)
Vision and mission of McD:
Corporate mission of the entity is to be our customer’s favourite place and a way to eat
and drink.
Vision statement of the entity is to move with velocity in order to drive profitable growth
and to become an even better McDonalds serving more customers delicious food each day
around the world.
Marketing objective
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There is always a smart objective with every organisation and same with McDonald's.
They have smarty plan towards which they have to perform their function and activities. Their
objective is to increase the sales of burgers by 30% till by the end of 2019.
Situation analysis
This explain the internal and external situation of McDonald's which defines what
changes the McDonald's have to made in their product,.( burger) to attract ,more and more
customers towards them,.
The situation can be internal that can be defined by using SWOT analysis.
STRENGTH
 McDonald's have successfully
implemented the production of new items
like Angus burgers, coffees, smoothies etc.
 McDonald's having a strong and quality
product offering, company have grown
their income through recession also.
 Its operations are spread all around the
world.
WEAKNESSES
 The weakness of McDonald's is that it is
harder for them to find prime locations for
building a golden arch.
 The dividend hikes are continuing and
growth rate of dividend is decreasing
(Alalwan and et.al., 2017).
OPPORTUNITIES
 There are many opportunities available
with McDonald's to open up new
restaurants outside the US.
 China is also a great opportunity for them
as it is much of Asia.
 Lower interest rates help to provide cheap
capital for their further growth.
THREATS
 Government are passing regulations which
are targeting fast foods.
 McDonald's facing tough competition
with Burger king ,Yum brands etc.
 New products like coffee also have to face
tough competition with strong players like
Starbucks coffee etc.
Whereas the external situation of the company can be judges by PESTLE analysis.
POLITICAL FACTOR
These are the effects of government actions or
ENVIRONMENTAL FACTOR
Some factors of environment which affect the
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any policies which affect the McDonald's
business and economy.
Some of political factors affect
McDonald's are:-
 Trade agreements internationally are
increasing.
 Guidelines by government regarding diet
and health.
 Public health policies are evolving.
internal business environment and they are:-
 Interest is rising for environmental
programmes by corporate bodies.
 Changes in climatic conditions in some
regions from which the products of
McDonald's can suffer (threat).
SOCIAL FACTOR
These factors include the social condition
which will limits or support the McDonald's .
 Social trends area affecting consumer
behaviour which in turn affect the overall
business.
 Some of social factors :-
 Disposable incomes are rising.
 Urban environments people having busy
lifestyles.
 Culture diversity is increasing
 healthy trend of lifestyle.;
TECHNOLOGICAL FACTOR
 Industry having moderate R&D activities.
 Sales are increasing through mobile
devices are some of opportunity can be
availed by McDonald's.
 Hence, they are some social factors which
directly or indirectly affect the
McDonald's business.
ECONOMICAL FACTOR
this factor talks about the economic, condition
which affect McDonald's as a whole.
 Some of economic factors are :-
 Chinese economy is slowing down( threat)
 rapidly growing of developed countries.
( opportunity)
 Developed countries growth is slow but
LEGAL FACTOR
This factor considers the impact of law ,rules
and regulations on the firm.
 Any change in legal system will lead to
great effect on business of McDonald's.
 Some legal factors are:-
 Animal welfare regulation Is increasing.
 Rising of minimum wages.
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stable.(opportunity)  Health regulations are increasing at
workplaces and schools.
Competitor analysis:- McDonald's have a tough competition with other firms in the
industry which offers quality products and customers get attracted towards them. Some tough
competitor of McDonald's are subway, Starbucks, Pizza hut, Domino's, Dunkin' Donuts, Burger
king etc.
Marketing mix strategies:-
There are various strategies which McDonald adapt to expand their business .
4ps of marketing mix are
 Price- Company will use discounting pricing strategy in order to gain attention of
consumers.
 Promotion: It will be done through social media platform (Vellas, 2016).
 Product: Company will continuously develop its burger product as per the needs of buyers.
 Place: Direct distribution placing strategy will be implemented in order to make connection
with mass audience.
Segmentation, targeting and positioning
McDonald’s will take support of demographic segmentation strategy and will target on
the bases of age. Targeting strategy will be differentiated, this will help in reaching to potential
buyers. Cost positioning strategy will be used by McDonalds in order to achieve its marketing
objective.
Budget
Total budget for this marketing will be 1030 Pound.
Marketing expenses 200
Salaries 500
Utility bills 150
Administration 180
total 1030 Pound
Monitoring and controlling
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In order to monitor the progress of this plan company will apply test marketing. It will
continuously monitor the progress so that issues can be identified timely. Through the use of
sales analysis tool entity will able to examine sales reports in order to see which goods and
services are getting higher sales in market and which are not. This analysis will help determining
stock inventory, effectiveness of sales force and to set manufacturing capacity so that entity
performance will get rise and strategies will get develop for modifying such services of products
which are not achieving good amount of sales volume.
Effectiveness of the marketing plan:
Through this marketing plan McD will able to expand its business growth effectively.
More and more customers will get attracted with the technique of social media marketing where
entity will able to develop direct communication with customers and will also able to promote
the services and products among them. Through continuous monitoring of the work entity will
further able to develop business process in accordance with the current business trend.
CONCLSUION
From the above report it can be concluded that marketing supports in building strong
relationship with consumers, customer relationship management helps them to collect the
information regarding database of customers which help them to create a customer's satisfaction
survey. Further, this information is than communicated to employees to ensure that services and
products offered to customers are with the best quality which help in lasting relationship with
customers. Effective marketing plan aids in increasing sales and demand of consumers.
Recommendations:
It is recommended to McD entity that through the use of marketing mix strategies entity
will able to develop product and service very effectively and efficiently. It will help entity in
examining the type of competitors and their services in market through which proper strategies
will get develop in order to achieve profitability of businesses.
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REFERENCES
Books and Journals
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Bowie, D., Buttle, F., Brookes, M. and Mariussen, A., 2016. Hospitality marketing. Routledge.
Chaffey, D. and Smith, P. R., 2017. Digital marketing excellence: planning, optimizing and
integrating online marketing. Taylor & Francis.
Hudson, S. and et.al., 2016. The influence of social media interactions on consumer–brand
relationships: A three-country study of brand perceptions and marketing behaviors.
International Journal of Research in Marketing. 33(1). pp.27-41.
Kashyap, P., 2016. Rural marketing. Pearson Education India.
Kotler, P. and et.al., 2015. Marketing. Pearson Higher Education AU.
Lantos, G. P., 2015. Consumer behavior in action: Real-life applications for marketing
managers. Routledge.
Oakey, R. P., Cooper, S. Y. and Biggar, J., 2018. Product marketing and sales in high-technology
small firms. New Technologies and the Firm (London, Routledge. 1993). pp.201-222.
Shaw, S., 2016. Airline marketing and management. Routledge.
Tuten, T. L. and Solomon, M. R., 2017. Social media marketing. Sage.
Vellas, F., 2016. The international marketing of travel and tourism: A strategic approach.
Macmillan International Higher Education.
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