Company Profile of McDonalds

MGT 2540 – International Business
Environment
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Introduction
Company profile of McDonalds
◂ Mission Statement: To be the customers’ favorite place and way to eat and drink
◂ Industry and market:
o Operating in a restaurant industry , McDonald's Corporation founded in 1940 operates and franchises restaurants.
o Local related menu food and drinks are sold across its market spread in over 100 countries.
o U.S., International Lead Markets, High Growth Markets and Foundational Markets and Corporate are its segments
o Mainly a franchisor, its franchised restaurants are owned and operated as conventional franchise, developmental license or
affiliate.
o Focus of McDonald's is to offer the customers a platform for authentic ingredients customizing their food and drinks.
o Revenue is generated from rent, royalties, franchisees and company-operated restaurants.
o As of 2018, McDonald's with 1.7 million employees is the fourth-largest private employer in the world.
o China, Italy, Korea, Poland, Russia, Spain, Switzerland, Netherlands and related markets are McDonald's high growth
markets.
o The International Lead markets segment comprises of operations in Australia, Canada, France, Germany, the United
Kingdom and related markets.
o Foundational markets and Corporate segment engages into operating restaurants and enhancing customers convenience,
through drive-thru and delivery.
(Reuters 2019)
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Continued....
◂ Corporate objectives:
o Becoming the customers favourite place to eat
o Serving quality food that customers can love and trust
◂ Size:
o By revenue McDonald’s is the biggest restaurant chain in the world, catering to 69 million
customers daily across its 37,855 outlets.
o Presently McDonalds has a total of 2,770 company-owned locations and 35,085 franchised
locations, including total of 2,770 company-owned locations and 35,085 franchised locations
(Reuters 2019)
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Growth History
◂ American fast food chain McDonald’s, known for its hamburgers had humble beginnings.
◂ Having operations in more than 100 countries, MCD has grown from a family burger stand to a global fast-food
behemoth
◂ In 1967 McDonald’s opened its first international franchise in British Columbia, followed by another in Costa
Rica.
◂ In 1971 MCD entered in three new continents by launching stores in Japan, Holland and a Sydney suburb.
◂ McDonald's opened in Brazil in 1979;
◂ By opening an outlet in Casablanca, Morocco, MCD reached its sixth continent in 1992.
◂ Announced expansion into Belarus four years later, claiming to open a new restaurant in some corner of the
world every three hours.
◂ The northernmost McDonald's is located in Oulu, Finland; southernmost in Invercargill, New Zealand;
easternmost restaurant is Gisborne, New Zealand and the westernmost is located in Western Samoa.
◂ Outside U.S. the biggest market is Japan, which opened in 1971 in a top shopping district Ginza.
◂ McDonald's oldest structure is located in Shrewsbury, England.
◂ It opened first restaurant in China in 1990 and more than 100 restaurants use the Chinese characters "Mai Dang
Lao,“ phonetically approximating the word "McDonald's."
(Bates and Buckles 2017) 4