Final Strategic Recommendations for McDonalds

Final Strategic recommendations report 1
Final Strategic recommendations report

Final Strategic recommendations report 2
Executive Summary:
This paper defines the final recommended strategy for the McDonalds, and all these strategies
are based on the information provided by the first report and information available on the
internet. Final recommended Strategy for McDonalds in this paper is cost leadership strategy
because this is the only strategy which helps the leaders of the industry in getting the competitive
advantage and gain market share. This paper also discusses the differentiation strategy but this
strategy is not effective for the market leaders.

Final Strategic recommendations report 3
Contents
Executive Summary:....................................................................................................................................2
Introduction:...............................................................................................................................................4
Discussion:...................................................................................................................................................4
Market Size & Trends:.............................................................................................................................4
Financial and Corporate Performance:....................................................................................................5
Strategic Options:........................................................................................................................................6
Final Recommended Strategy:.....................................................................................................................7
Implementation of Final Strategy:...............................................................................................................8
Monitoring and Control of Future Performance:.........................................................................................9
Conclusion:..................................................................................................................................................9
References:..................................................................................................................................................9

Final Strategic recommendations report 4
Introduction:
Situational analysis is considered as the methods collection that are used by the managers of the
company for the purpose of analyzing the internal and external environment of the organization
for understanding the customers, abilities, and environment of the business. It is necessary to
analyze the internal and external environment of the company on continuous basis. As
environment witness number of changes and for dealing with these changes, organization
required effective strategies which can be framed after analyzing the environment only. It is
important for each and every company to maintain its strategies in effective manner because
these strategies can help the company in achieving its future goal.
This Report is the based on the first situational analysis report of the McDonalds, and contains
final strategic recommendations and specific steps which are important at business and corporate
level for implementing these recommended strategies. This report also includes the strategies
through which performance of the company is control and monitored. Lastly, this report is
concluded and this conclusion defines the key points of this report.
Discussion:
As stated in the original report, McDonalds opened its 1st restaurant in the Sydney suburb of
Yagoona, and presently almost 970 restaurants are operated in the Australia. This restaurant
gives employment to almost 100,000 or more people. This report includes the strategic
recommendation for different aspects, and all these aspects are stated below:
Market Size & Trends:
As stated in the first report, McDonals already holds the position of leaders in the fast food
industry, and this can be witnessed through the 24% market share holding by McDonalds in
2016. In the same year, the value of the company share has increased because of the innovation
done by the company in its menus and ingredients (McDonalds, 2018). For the purpose of
maintaining this market share, company can use following strategy:
Market fortification: this is the strategy in which leaders of the market make efforts to prevent
themselves from exploiting them. It is also considered as the multi branding strategy under