Marketing Report: Analysis of McDonald's Strategies and Processes

This report delves into the marketing strategies of McDonald's, examining its core concepts, current and future trends, and the various marketing processes employed. It outlines the role and responsibilities of a marketing manager within the context of McDonald's, highlighting how marketing interrelates with other functional departments like finance, HR, production, and operations management. The report emphasizes the value and importance of the marketing role in the organization, discussing the benefits and drawbacks of interdepartmental relationships. Furthermore, it explores the marketing mix of McDonald's and concludes with a basic marketing plan evaluation, providing a comprehensive analysis of the company's marketing practices and their impact on business success and customer satisfaction. The report also analyses the different marketing processes and the role and responsibilities of the marketing manager in the context of McDonald.

MARKETING
ESSENTIALS

Table of Contents
INTRODUCTION...........................................................................................................................1
MAIN BODY...................................................................................................................................1
1. The concept of marketing, including current and future trends.........................................1
2. An overview of the different marketing processes............................................................2
3. The role and responsibilities of a marketing manager in the context of McDonald..........3
4. How marketing influences and interrelates with other functional departments of
McDonald's.............................................................................................................................4
5. The value and importance of the marketing role in the context of the organisation.........5
6. Conclusions that emphasise the significance of having effective interrelationships between
different functional departments.............................................................................................6
7. Marketing mix of McDonald to the marketing planning process......................................6
8. Produce and evaluate a basic marketing plan for McDonald's..........................................8
CONCLUSION .............................................................................................................................10
REFERENCES..............................................................................................................................11
.......................................................................................................................................................11

INTRODUCTION
Marketing is a most important aspect that assist in promoting and delivering goods or
services to customers for business benefits (Ahrens, 2011). On the basis of these elements, an
organisation fulfil need and demands of their existing as well as potential customers. For the
implementation of this strategy, a business firm needs to be able to attract customer's towards
their products. This report is based on McDonald which is a large scale fast food company. The
organisation was founded in the year 1940 by Richard and Maurice McDonald. It has an approx.
37,000 outlets in around 120 countries. In this, they served services to estimated 68 million
customers (Countries With The Most McDonald's, 2018). This report is going to cover the role of
marketing and how it interrelates with other functional units of an organisation. It will also
determine the elements of marketing mix as well as evaluation of basic marketing plan in the
respect of McDonald.
MAIN BODY
1. The concept of marketing, including current and future trends
Marketing concept is determined as a strategy that is implemented by firm to satisfy
needs and demands of customers. Through these practices, a firm can improve their sales as well
as can maximise profitability easily. McDonald is a second large fast food chain in the world
which implements unique marketing strategy to get connected with customers for a long
duration. In this procedure, marketing department of McDonald's provides their effective
contribution by implementing new trends and ideas. Thecurrent and future trend of marketing is
determine below as -
Current trends – These are general terms which influence marketing activities of each
organisation in direct and indirect manner. McDonald has their own marketing strategy that they
implement to get connected with their potential customers easily. These trends are -
 Mobile marketing – This is a most common and cost effective platform in which
organisation provides information of their products and services to customers through
mobile calls and messages (Bellenger, Bernhardt and Goldstucker, 2011). McDonald also
implement these marketing strategies to update new information’s to customers directly.
On the basis of these platforms, customer can ask their quarries to service employees
easily.
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 Online performance marketing – Now a day, numerous organisations conduct their
marketing and promotional activities on online platform. Main reason behind these
approaches is that, customers are more likely to grasp information through these
platforms. Therefore, McDonald conducts advertisement as well as sales activities
through digital applications for their customers.
Future trends – Marketing has a wide concept in which technology play a most important
role. Therefore, the possibility of modifications in marketing aspects can be through advance
technologies (Bird, 2012). The physical techniques of advertisement and marketing are now also
get connected with internet, so there might be possibilities to identify technical changes in future
trends of marketing. Main objectives of these approaches is to enhance organisational profits and
sales effectively. These technological trend can be beneficial for those organisation who deals
with international customers/ because through this they can get connected with them easily and
render them desired services in convenient manner.
2. An overview of the different marketing processes
Marketing is a wide concept that include promotion, analysis and delivering of goods and
services on the basis of market requirement need. For this, marketing department of a business
needs to conduct a marketing procedure for the betterment of analytical approaches. In
McDonald, marketing division works wisely for the identification of their customer's demand.
 Situational analysis – McDonald is a well-known organisation which always
implements unique analysis approaches for their business firm. They are basically
working on internal and external environmental factor that can impact business decision
in direct and indirect way. The impact of these factors has on marketing and business
operations therefore, management of McDonald requires to work on them partially.
Through this, they can analyse positive and negative impact of these factors for future
procedures.
 Marketing strategy – After the marketing analysis and situational analysis, management
of McDonald working on planning practices. These activities are based on impactful
strategies of firm that they conduct to maximise business sales and profitability.
Marketing employees of McDonald's provide their effective contribution in this process
because they all basically works to identify customer's demand and requirement towards
firm to provide them higher satisfaction easily.
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 Marketing decision – In the decision making procedure, manager play a most important
role who analyse business and market demand for additional improvements (Brooks and
Simkin, 2012). In McDonald, marketing manager analyse customer's desired and
requirement in order to produce quality services for them. These managerial decision aid
to build positive and long term relation between service users and organisation. Thus,
marketing activities as well as decisions can be fruitful for both aspect.
 Implementation and control – Implementation of decision can be a most important
phase for firm. These aspects of firm have based on market research in which products
and services manufactured on the basis of customer's need. The effective implementation
of marketing strategy provides desirable outcomes and profitable results to firm. On the
other hand, management also needs to pay their attention toward additional working
approaches to control them easily.
3. The role and responsibilities of a marketing manager in the context of McDonald
The marketing manager of McDonald perform several functions for the customer
relationship management procedure. Their main objectives are to provide quality products and
services to their customer's by analysing their requirement and need. They perform a most
important role in a firm for the enhancement of profitability. There are the roles and
responsibilities of marketing manager which are determine below as -
 Market analysis – This is a most important objective of marketing department of firm.
In this procedure, marketing employees works to gather information and data from
different sources based on existing competitors as well as current trends (Cabrera and
Williams, 2014). Marketing manager play a most important role in these activities to
initiate overall program with effective planning. After the market analysis, manger take
an impactful decision for their firm with the implementation of benefits and business
advantages.
 Market segmentation – This is a planning approach in which manager classify market in
different segments with the determination of customer's age, choice, taste and
preferences, culture and beliefs. Manager of McDonald determine their market in these
segments in order to provide higher satisfaction to each customer. Market segmentation
approach of McDonald assist to rank them higher in target market.
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 Pricing – In a business organisation, manager play a most important role to held all the
important decision in effective manner. They also work to set price of their products on
the basis of each group of customers. Their Cost effective strategy assist to build direct
connection with customers for a long duration. This is the only reason behind the success
of firm.
 Distribution – Market research is a most crucial aspect of a business function that
determine market requirement to firm for the development of new products (Coombs,
2012). Marketing manager of McDonald pay their maximum attention toward these
aspects for the effective distribution of organisational. Such activities help in the
maximisation of business profitability and growth as well.
 Creation of employment – Employees of McDonald's are known as their key strength
who render quality services to their customers for the development of long term
relationship. Manager of firm pay their maximum attention towards employment
opportunities for energetic and skilled candidates. These can be the beneficial
opportunities for individuals who wants to be a part of McDonald.
4. How marketing influences and interrelates with other functional departments of McDonald's
McDonald is a multinational fast food organisation that provides their products and
services to customers of each age group. In these practices, marketing division provide their
effective contribution in the analysis and selling process. This division is interrelated with other
functional departments of firm in direct and indirect manner for the betterment of operational
practices such as -
 Finance – This is known as one of the functional key of an organisation that arrange
capital and funds for firm to organise resources for other working practices (Cooper and
et. al., 2014). The availability of resources helps in maximisation of sales. Through this
firm can attain higher growth in a short duration. Finance division of McDonald is
interrelated with marketing department directly because it provides funds to employees
for the marketing analysis and promotional practices. Through this, marketing
management conducts effective activities for the improvement of business sale.
 HR – Human resource department of a firm concern with the management practices of
firm (Daniel, 2011). The main objectives of this department is to manage all the
operational and functional practices of firm by resolving issues and conflicts. For the
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success of a business, this department works to maximise productivity by hiring skilled
candidates. They also, hire marketing employees who working effectively with this
department for promotional as well as selling practices. These both department of a firm
are interrelated with each other for the success of business.
 Production and manufacturing – Marketing department has a direct connection with
production and manufacturing department. As marketing division analyse information
related to customer's demand and requirement. After this, they provide this information to
production division for the development of new products. On the basis of these services
they can enhance profitability and sales of firm for the future success.
 Operations management – For this department, marketing division has responsibility to
work closely with production, administration, research and development practices.
Through this, they can have planned a impactful strategy to build a direct relationship
with customer's on the basis of their products and services. Through this, they can
promote organisational products and services to attract maximum customers toward
them.
Benefits of interrelation between different functional divisions – Interrelationship
between different functional division assist in attaining business goals and objectives in
predetermined duration. Through this, each and every division provides information for
additional working activities for the betterment of business growth and success.
Drawbacks of interrelation between different functional divisions – Interrelationship
between different functional departments can create dependency that can affect negatively on the
working practices of individual employees.
5. The value and importance of the marketing role in the context of the organisation
The organisation structured basically determine in different divisions who provides
quality services for the success of growth. In between them, Marketing department play a most
crucial role for the collection of marketing data as well as for the promotion of organisation's
products. There are the value and importance of the marketing role are determine below -
 Marketing Helps in Transfer, Exchange and Movement of Goods – One of the most
crucial working approach of marketing division is to transfer and exchanges the
information of business products and services to the potential customers. Through this,
they can build direct connection with service users by introducing each single
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information for sales enhancement. For this procedure, they implement online and
physical advertisement to promote business services.
 Marketing Is Helpful in Raising the Standard Of Living Of The Community -
Marketing is a most crucial concept which is beneficial for firm as well as customers too
(Friis, 2012). Through this, marketing employees can analyse requirement of customers
for the enhancement of their living standard. These aspects are beneficial for the
individuals who belongs to rural areas. For them, organisation implement new ideas to
provide them quality products to satisfy their needs.
 Marketing Creates Employment – Marketing is wide concept in which each and every
individual provide their quality services for data gathering practices. This division create
opportunities of employment for those candidates who have abilities for business
servicing.
 Marketing Is Helpful in Development Of An Economy – Marketing division provides
opportunities to a business organisation for easy growth. Thus, it impacts positively on
the economy development practices (Hsu, 2011).
6. Conclusions that emphasise the significance of having effective interrelationships between
different functional departments
In a business organisation, several departments provide their effective contribution to
attain target objectives and goals in effective manner. All these divisions are interrelated with
each other’s as a supportive team for the accomplishment of target goals. For example,
marketing division is work for data and information gathering practices. After the collection of
these information they inform production department for the manufacturing of desired products
and services. To conduct manufacturing practices positively, finance division provide
appropriate funds for the resources. Through this, each division connect their link for better
business servicing as well as to satisfying need of target customers.
7. Marketing mix of McDonald to the marketing planning process
Marketing mix is a most appropriate concept that is used for the analysis of business
value in existing place (Ionitã, 2012). For the analysis of these practices, 7P's model determining
firm's existing place value as well as plans to take better steps for the improvement of their
competitive position.
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McDonald's Burger King
Product: McDonald's arrangement in different
item sections, for example, vegetarian, Non-
vegetarian, Beverages and Frozen desserts and
so on. It is evaluated that client's prerequisites
are changed constantly over the period of time.
Product: Burgers, beverages, milkshakes are
the main products of burger king Burger king
provides product both veg and non veg
classifications.
Price: Pricing will enable the association to
like McDonald's to charge precise value which
fulfil the distinctive needs of clients continue
in different sections. For ex., if low cost was
charged for their items then clients having the
observation that quality traded off. Therefore
they implemented price discrimination strategy
for selling their products.
Price: The technique which is trailed by
Burger king for estimating of their item is
advertise situated. They basically implemented
competitive pricing because they have strong
competitors in the market.
Promotion: Type of techniques are utilized by Promotion: Basically two different ways are
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Illustration 1: Marketing Mix
(Sources: MARKETING MIX FOR SERVICES – 7 PS OF
INTEGRATED SERVICE MARKETING. 2018.)

McDonald's to achieve viable outcomes (Jones,
2011). For ex., TV notices push the association
to mindful clients about nourishment things
and press ads help in fortune of more detail.
utilized by Burger lord for promoting of their
item incorporates web based life and
commercials through print media. They take
the help of various backers to spread out their
scope towards clients.
Place: This covers the perspective about
appropriation focuses for items. In current
circumstance, outlets of McDonald's are spread
out in fundamental urban areas which are
effectively open by end clients.
Place: The production network system of
Burger King is sold at worldwide channels.
Closeness of Burger King is higher in western
districts.
People: The way by which McDonald's deal
with their clients and workers in one of a kind.
In their outlets, approx. 97000 employees are
working on which company invest £40million
for their training, development and so on
(Marketing mix of McDonald’s – McDonald’s
marketing mix, 2017).
People: Administration of Burger king gives
emphasis on both client's and workers. For the
performance enhancement practices,
management of burger king conduct appraisal
programs.
Process: New types of tools and techniques are
bought by association to proceed with the
working of process.
Process: The procedure which is utilized by
Burger king to work their capacities is planned
with global specialists.
Physical evidence: McDonald's having great
physical proof which help in affecting the
psyche of purchaser. It is family restaurant
subject to their food on portion is children's,
they give cheerful supper toys to draw in them.
Physical evidence: It is working in 71 distinct
nations their outlet is built up in 15000 areas.
This will be considered as immense open door
for Burger King as pattern of cheap food
persistently expanding in creating countries
like India.
McDonald basically implement product development, cost effective and promotional
approaches for their effective sales of their business goods. For these strategic practices, they
basically carrier out their business operations on different locations in order to providing quality
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services at each location. Through this, firm satisfy desired need and requirement of their
services users.
8. Produce and evaluate a basic marketing plan for McDonald's
Marketing plan is a most important strategy of a firm that aid to create a framework for
new product of a firm (Kennedy and Parsons, 2014). Through this, they can build long term
relation with them as well as can get higher revenues easily. It is considered as a blueprint that
uses to determining marketing and advertising approaches of business for coming practices.
Introduction of company: McDonald is a well-known fast food company which was
founded by Richard and Maurice McDonald in the year of 1940. Organisation serve their quality
services in more than 110 countries in which they has approx. 37,000 outlets. Firm basically
deals in Hamburgers, chicken, French fries, soft drink, milkshakes, salads, desserts, coffee,
burgers and so on.
Vision: To become a progressive organisation in the world of fast food products.
Mission: To become a most popular platform for each age group of individual for the
foods and drinks.
Marketing Objectives of McDonald :
 To Provide varieties in burger with health supplements to increase more number of
customer's at around 20%
 To increase business sales by 10% within 1 year.
SWOT analysis -
Strength-
 McDonald's has a strong brand name as well as goodwill (Langer and Heil, 2015).
 McDonald's get engaged with large numbers of customers in worldwide.
 Organisations uses successive approaches for the business growth.
Weaknesses -
 McDonald basically deals in fast food services which can not be a healthy food for each
individual.
 Firm usually faces high turnover due to lack of additional opportunities.
Opportunities -
 Organisation basically deals at international level that can provide opportunity to them
for higher success.
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 McDonald Alter its value statement by promoting individuals to visit their stores.
Threats -
 Fast food is not a unhealthy food that can create health crises.
 McDonald has Strong competition in market as Burger king which can be a major threat
for firm.
The Marketing mix 7 P's:-
Product:- The variety of burgers with health supplements of McDonald should fit to the
taste of customer and fulfil the expectation of them.
Price:- The healthy burger should be pocket friendly and valuable for the customers. If it
is expensive the product must be justify that the customers are happy to pay little more.
Place:- The McDonald's new healthy burger must be available to their target customer
easily.
Promotion:- McDonald should use appropriate promotion technique to get reachable to
the target audience.
People:- McDonald's should train their employees for the launching of the new product.
Process:- The whole process from the preparing of product to the delivery, respective
Company should have appropriate process.
Physical Evidence:- The physical evidence of the product and service of McDonald's
should be attractive to the customer which influence them to pay.
Marketing Budget:
Marketing budget
Particulars 1st year 2nd year 3rd year 4th year 5th year
Initial money 7000 10000 12000 10000 10000
Investment 3000 18000 25000 35000 18000
Total 10000 28000 37000 45000 28000
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