Business Project: Macdonald's Impact on Bangkok's Business Environment

Desklib provides past papers and solved assignments. This case study analyzes Macdonald's impact on Bangkok's business environment.

1
Managing a Successful business project
How multinational companies affect the business environment of the host destination? A case
study of Macdonald’s in Bangkok

2
Table of Contents
Introduction................................................................................................................................3
LO1............................................................................................................................................4
LO2..........................................................................................................................................10
LO3..........................................................................................................................................15
LO4..........................................................................................................................................24
Conclusion................................................................................................................................26
Reference List..........................................................................................................................27

3
Introduction
In this era of globalisation, business organisations are hugely depending on the process of
market expansion through which global companies are utilising resources from different parts
of the world in order to improve their business processes. Macdonald’s is one of such
companies that are operating global business through several decades. In Bangkok, the
company has more than hundred stores and continues on the path to grow
(asiaoutlookmag.com, 2019). In this project, a brief research will be done on Macdonald’s
impact on business environment of Bangkok and Primary data will be collected in order
provide vivid picture of the impact of the company on business environment of Bangkok.

4
LO1
(P1, P2 & P3): Establish project aims, objectives and timeframes based on the chosen theme
The title of the project is “How multinational companies impact the business
environment of the host destination? A case study of Macdonald’s in Bangkok”. Main
objective of this study is to identify impacts of Macdonald’s on the business environment of
the host destination, which is in this case Bangkok.
Objectives of this particular study are:
 To identify economic effects of Macdonald’s on business environment of Bangkok
 To analyse social effects of Macdonald’s on business environment of Bangkok
 To evaluate environmental effects of Macdonald’s on business environment of
Bangkok
 To recommend Macdonald’s to improve their functions to improve business condition
of Bangkok
Rationale
Main aim of this study is to introduce different social, environmental and economic impact of
the company have on the community of host nation. In the contemporary era of globalisation,
it is seen that global companies are using their huge resources through which they are
identifying new markets in order to expand their business (Bird and Mendenhall, 2016). As a
result companies such as Macdonald’s are introducing huge impacts on business environment
of the host country. In modern context, economic condition of countries are highly dependent
on the processes of foreign direct investments through which different global companies
introduces their new business ideas in new locations and that create huge impacts on the
business environment of the host countries (Caligiuri and Bonache, 2016). Both positive and
negative impacts can be seen because of such ventures and communities are often get
effected by that. This is the main issue now in contemporary business situations and this
study will focus on different factors of a multinational company that has huge impact on the
business condition of the host country.

5
Develop a project plan, which covers aspects of cost, scope, time, quality,
communication, risk, access and resources needed to support your proposal.
Cost
Activities Time Cost (£) Total budget
(£)
Selection of Topic and Theme 3 hours 5 15
Research Question Designing 5 hours 5 25
Project Plan Development 10 hours 12 120
Primary qualitative and
quantitative research
12 hours 10 120
Analysis of Data 10 hours 12 120
Documentation Process 4 hours 12 48
Total Budget 44 hours 52 448
Table 1: Estimation of Cost
(Source: Created by the learner)
Scope
1. Included Scope
The scope of the project introduces social, economic and environmental impact of the
multinational company on the host business through the process of Primary research. Both
qualitative and quantitative research analysis are properly undertaken regarding the project.
2. Excluding Scope
The project does not have proper scope in order to understand different multinational
companies and their impact on the host business. On the other hand, secondary sources are
also not considered in this study.
Project Quality

6
Quality of the project has huge importance on its achievement as it introduces different
dimensions to the project. The project has a proper reliable method to acquire data through
both qualitative and quantitative data collection processes.
Communication plan
Project
stakeholders
Information Mode of
communication
When Phase
Supervisor of
the project
Aim, objective
and plan
Meeting Weekly Initiation
Sponsor of the
project
Progress of the
Project
Meeting Weekly Execution
Introduction of
Participants
Criteria of the
research
Meeting/ Email Daily Execution
Table 2: Communication Plan
(Source: Created by the learner)

7
Risk Register
Risk I.D Risk
description
Likelihood Consequences Rank Mitigation
strategy
1 Data set
inaccuracy
High Significant Medium
Risk
Cross
checking
acquired data
and revising
proper data
collection
process and
sampling
2 Insufficient
amount of
budget
Moderate Significant High Risk Proper
determination
of budget
regarding
different
activities
3 Inappropriate
project
management
skills
Rare Minor Medium
Risk
Project
management
skill
development
Table 3: Risk register
(Source: Created by the learner)
Resources
In a project management process, mainly four types of resources are needed in order to do it
successfully. These main resources are Participants or People, Equipment for different
purposes, facilities and financial resources.
Resources Example
Participants or People Skilled human who can properly
contribute to the project
Equipment Computer, phones

8
Financial Proper budget for the project
Facilities Internet Connection
Table 4: Resources
(Source: Created by the learner)
Produce a work breakdown structure (WBS) and a Gantt Chart to provide timeframes
and stages for completion of the proposed project.
With the help of following stages, the project will be completed properly
Major Activities Start Date Duration End Date
Theme selection of the Project 3/21/2019 2 3/23/2019
Objectives and aim development 3/23/2019 1 3/24/2019
Project Management Plan Formulation 3/24/2019 10 4/3/2019
Selection of the Project approaches 4/3/2019 3 4/6/2019
Data collection 4/6/2019 7 4/13/2019
Data analysis 4/13/2019 5 4/18/2019
Documentation 4/18/2019 3 4/21/2019
Submission of the project 4/21/2019 1 4/22/2019
Table 5: Work breakdown structure
(Source: Created by the learner)

9
Theme selection of the Project
Objectives and aim development
Project Management Plan Formulation
Selection of the Project approaches
Data collection
Data analysis
Documentation
Submission of the project
21/03 26/03 31/03 05/04 10/04 15/04 20/04 25/04
Gantt Chart
Start Date
Duration
Figure 1: Gantt chart
(Source: Created by the learner)

10
LO2
P4 Carryout small-scale research by applying qualitative and quantitative research
method appropriate for meeting project aims and objectives
Introduction
This part is one of the most important aspect of this project management study as it will
discuss about a small scale research work by using both qualitative and quantitative method
in order to find out social, economic and environmental impact of Macdonald’s on it’s one of
host destinations Bangkok in Thailand.
Qualitative Data Collection
In order to identify acquire qualitative data for this study, a brief interview section has been
organised with two of the managers of Macdonald’s restaurant chain in context of Bangkok
in order to find out cultural, economic and environmental impact of Macdonald’s on the
community of Bangkok. Qualitative data has been collected from two of the managers of
local managers of Macdonald’s and important data is collected through the process.
Questions Manager 1 Manager 2
1. How Macdonald’s have
influenced economy and
culture of Bangkok in recent
years?
“I think over the past few
years Macdonald’s have
introduced a new food
culture to the people of
Bangkok through our
authentic eastern and
western fast-food sensation.”
“There are 102 stores in
Bangkok and we plan to
double the number of stores
by the years 2020 which will
introduce positive impact on
the economy of our company
as well as the country.”
2. What are the main effects
of Macdonald’s on the
contemporary society of
Bangkok?
“We introduce our pricing
strategies considering the
fact that people from
different economic group get
healthy and better experience
from our services.”
“We have proper demand
regarding local authentic
food items as well as our
western classics which shows
our impact on the
contemporary society. On the
other hand, our numbers of
employees are also growing

11
and it is estimated to be
14000 in the year 2020."
3. What are the main
environmental effects of the
company on Bangkok?
“Our waste management
processes have influenced
others to think about the
world environment and its
long term benefits.”
"We have a unique approach
to minimise the threat of
emitting gasses responsible
for global warming."
Table 6: Qualitative Data
Quantitative Data collection
Quantitative data collection is one of the most important processes through which proper
first-hand data can be collected from different methods (Brannen, 2017). In order to conduct
this study, a survey with the help of 50 participants of Macdonald’s consumers is done in
order to acquire data to fulfil the objectives of this particular study. Local consumers are
selected for this survey purpose as they can introduce proper information regarding socio-
cultural effects Macdonald’s have introduced to the community of Bangkok.
1. Please mention in which age group you belong to
Options % of participants No. of participants Total respondents
15-25 42 21 50
25-50 36 18 50
Above 50 22 11 50
Table 7: Age group
2. Please mention your gender
Options % of participants No. of participants Total respondents
Male 64 32 50
Female 36 18 50
Others 0 0 50
Table 8: Gender
3. What is the most important thing you look for when you buy food from Macdonald’s?
Options % of participants No. of participants Total respondents

12
Quality of their
products
20% 10 50
Quantity 24% 12 50
Price 44% 22 50
New Flavours 12% 6 50
Table 9: USP of Macdonald’s
4. How far do you agree with the pricing schemes of Macdonald’s?
Options % of participants No. of participants Total respondents
Agree 30% 15 50
Strongly Agree 40% 20 50
Neutral 2% 1 50
Disagree 4% 2 50
Strongly Disagree 24% 12 50
Table 10: Pricing Schemes of Macdonald’s
5. How often do you visit restaurants of Macdonald's?
Options % of participants No. of participants Total respondents
Daily 26% 13 50
Very often 34% 17 50
Often 16% 8 50
Rare 10% 5 50
Very Rare 14% 7 50
Table 11: Popularity of Macdonald’s
6. How far do you agree with the fact that increasing number of fast food chain can introduce
employment opportunities to the local community?
Options % of participants No. of participants Total respondents
Agree 20% 10 50
Strongly Agree 54% 27 50
Neutral 6% 3 50
Disagree 4% 2 50
Strongly Disagree 16% 8 50
Table 12: Macdonald’s and employment opportunities