McDonald Restaurant Research Paper 2022

MCDONALD’S RESTAURANT 1
MCDONALD’S RESTAURANT
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MCDONALD’S RESTAURANT 2
Executive Summary
McDonald's company is the largest international fast food restaurant with more than
30,000 restaurants in 121 countries globally. Affiliates, twenty-eight operate Fourteen percent
of the stores by the company, and franchisees operate fifty-eight percent. The company was
founded in 1955, and it serves over 70 million customers in a day (Ang, 2017). The company
has expanded into foreign markets through franchising and joint ventures. It uses a
centralized international structure in its operations to ensure top quality services are offered.
Its operating strategy relies on high consistency, relationship building with its franchises and
vendors innovatively to enhance the operating system and, the introduction of new goods.

MCDONALD’S RESTAURANT 3
Table of Contents
Executive Summary.................................................................................................................2
Consumer value propositions..................................................................................................4
Website Establishment.........................................................................................................4
Pricing of commodities.........................................................................................................5
Location.................................................................................................................................5
Product Diversification........................................................................................................5
Outsourcing...........................................................................................................................5
Process Map for McDonald.....................................................................................................6
Impact of Blockchain in Supply Chain Performance...........................................................6
Relationship Between Service Quality and Profitability......................................................8
Challenges Faced by McDonald’s Restaurant.......................................................................9
Gaining Industry Adoption.................................................................................................9
Lack of Transparency..........................................................................................................9
Slow and Inaccurate Services............................................................................................10
Increased Competition.......................................................................................................10
Recommendations..................................................................................................................10
Conclusion................................................................................................................................12

MCDONALD’S RESTAURANT 4
Consumer value propositions
Delivering and creating a value proposition is a vital issue that McDonald has
considered in its planning strategies. Izquierdo-Yusta, et al. (2019), stated that currently,
there is a high level of competition and profound changes in the market and technology,
making it hard for a company to deliver quality products hence the need to focus on
delivering value that customers require. The difference in the environment and customer
experience also changes the value proposition that the customers need. McDonald's restaurant
has invested in marketing research to gain deep customer insights to shape their development
plans. Value can be created from different elements such as price, location, and quality.
Besides, companies are responsible for maintaining value based on their shareholders and
strategies.
Website Establishment
McDonald’s company has recently developed a website that links management and
consumers. The restaurant has been able to post all its information on its official website to
assist consumers. When consumers order goods, they are tracked using the website hence
ensuring the secure delivery of goods they requested for. Windler, et al., (2017, pgs. 173-
186), argued that all shipping and the cost of products is posted on the website making it easy
for customers to pay and order goods of their desire. Also, through the website, consumers
can enquire about a product and also given immediate feedback when they need clarification
about an item. This move has helped the management to efficiently communicate with their
customers hence facilitating business to grow and expand. The website has enabled the
company to reach a broader market hence outdoing its close competitors.