Marketing Essentials Report: Analysis of McDonald's Marketing

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This report provides a detailed analysis of McDonald's marketing strategies, encompassing its roles and responsibilities within the business environment and wider organization. It explores the application of the marketing mix, comparing McDonald's approach with that of KFC to achieve business objectives. The report evaluates the tactics employed by McDonald's to demonstrate the accomplishment of its organizational objectives, including the use of SMART targets. Furthermore, it presents a basic marketing plan for McDonald's, including a company overview, vision, mission, and a SWOT analysis, which identifies the company's strengths, weaknesses, opportunities, and threats. The report emphasizes the importance of marketing in driving business success and growth, highlighting its impact on brand promotion, customer relationships, and overall financial performance.
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Marketing
Essentials
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Table of Contents
INTRODUCTION...........................................................................................................................1
TASK 1............................................................................................................................................1
P 1 Roles and responsibility of marketing Function..............................................................1
M 1 Roles and responsibility of marketing in context of business environment...................3
P 2 Roles and responsibility of marketing in context of wider organisation..........................4
TASK 2............................................................................................................................................4
P3 Comparing the ways in which different organisation apply the marketing mix to marketing
planning process to achieve business objectives....................................................................4
M3 Evaluating the tactics applied by enterprise to demonstrate the ways organisational
objectives have been accomplished........................................................................................5
TASK 3............................................................................................................................................6
P4 Basic marketing plan for Organisation..............................................................................6
M4 Developing detailed coherent evidence based marketing plan........................................9
CONCLUSION..............................................................................................................................10
REFERENCES..............................................................................................................................11
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INTRODUCTION
The success and growth of any organisation is totally dependent on marketing. The overall
business aspects and performance is based on marketing activities. Marketing is a very
effective tool that is used enterprise for introducing as well promoting their products and
services in market. The various activities that are included in marketing process are
advertising, public relation, sales promotion etc.
The understanding about Importance of marketing helps organisation in identifying various
external and internal forces that may have great impact on business activities. It is very
essential for business to understand influence of various factors on their profit and growth.
The study has focus on explaining the roles and function of marketing In Context of MC
Donalds. It emphasizes on comparing the ways in which different organisation apply
marketing mix to market planning process in order to achieve their goals and objectives.
TASK 1
P 1 Roles and responsibility of marketing Function.
The marketing refers to the actions or activities that are conducted by business for
promoting their product and services. Marketing is also defined as part of management process
through which products and services are being delivered by organisation to potential customer.
There are five concepts of marketing and they have different function to perform. These
concepts include production, Product, selling, marketing and societal marketing thought.
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.In present scenario the enterprise formulate marketing plan and strategies by analysing
both current and future marketing trend. Current trend of marketing include mobile phones,
advance technologies, computers, internet, email are being used by organisation for promoting
their products and services. Social media platform is being preferred by company for
communicating directly with customers (Bowen and Ozuem,2016)
`It is very difficult for firm to determine future Marketing trend. It is due to rapid
changes in business environment. It can determine based on past and current trend that the
manger in business unit will frame strategy and plan according to focussed targeted customer
group. The separate marketing plan would be formulated by marketing person based on the
needs and demands of consumers. There will be the more use of advance technologies for
promoting company brand. There will be more media sources available for enterprise that can be
used by firm for communicating with people. Marketing activities will have more influence and
impact on society (Chinunda,2014)
Marketing function has essential role to play in business. Marketing main role is to
communicate and promote organisation mission and vision. Role and responsibility of marketing
function may varies based on nature and objective of organisation. Roles and responsibility of
marketing function in Mc Donald's-
Developing relationship with customer-Marketing function plays significant role in developing
and maintaining healthy relationship between customer and enterprise.
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Illustration 1: Marketing Concept
Source:(Concept of marketing, 2017)
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Promoting brand-The role of marketing function is to promote company's brand, product and
services. The function of marketing is to participate in social activities in order to represent
enterprise and assist organisation in enhancing their brand imager and gaining customer loyalty.
Marketing manager is responsible for advertising brand and selecting media or procedure for
making communication with consumers.
Generating awareness-The role of marketing is to generate awareness about organisation
products and services. They are responsible for delivering services and goods to potential
customer.
Higher sales-The marketing function is accountable for firm financial performance. The role of
marketing manager assist business unit in improving their performance and increasing sales.
Healthy competition-The marketing function assist firm in identifying and exploring various
opportunities in market. Marketing function facilitate healthy competition and allows company
to enter and grow in market. It encourages organisation to produce innovative products and
services. It also assists firm in selecting suitable market and analysing target for delivering
company product and services (Daft and Marcic,2010)
Determining future trends-Marketing function enables firm to analyse present and determine
future marketing trend. It allows business entity to produce goods and services according to
customer need and help them in fulfilling objective of cost reduction.
M 1 Roles and responsibility of marketing in context of business environment
Market research-The role of marketing function is to conduct market research in order to
support firm in identifying the needs and demands of people . Marketing personnel is
responsible for reliability and accuracy of data that are being provided by them. The role of
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Illustration 2: Roles and
Responsibility of Marketing Function
Source:(Marketing Function, 2017
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marketing is to identify various methods and techniques to attract more numbers of customers.
Marketing enables firm in determining and analysing the way for improving firm financial
performance and it assists organisation in maintaining their position in market. It provides
various information such as competition level, competitors strategies and strengths, innovative
idea, market situation etc. All this data can be used by organisation for gaining competitive
advantage (Boone and Kurtz,2013)
P 2 Roles and responsibility of marketing in context of wider organisation.
Plan and strategies-The role of marketing managers is to analysis market situation, frame and
implement various policies and strategies for enterprise. It is very essential for them to conduct
internal and external analysis before creating any plan. As this method would assist them in
developing suitable and effective marketing strategy. They are accountable for the results that
are been produced by marketing process and responsible for managing, organising marketing
activities. It also supports organisation in identifying and adopting effective pricing strategies
and fulfilling its marketing objective (Lewis and Gilman, 2013)
TASK 2
P3 Comparing the ways in which different organisation apply the marketing mix to marketing
planning process to achieve business objectives
There in contiguous increase in competition it is very essential for formulate suitable
marketing plan and strategy in order to win over various competitors in market. Mc Donald is
required to adopt effective media and path for promoting their products and services. It can use
suitable distribution channel for delivering quick services to its client. This will help
organisation in reaching wide number of customer and increasing market share. Ensuring
various elements of marketing mix in plan will support firm in gaining competitive advantage in
market (Lilien and De Bruyn, 2012)
Mc Donald verses KFC
Product- The Mc is planning to add more varieties of food in their menu. On the other hand KFC
is focussing on delivering good quality food at reasonable and quick services to its client.
Price- KFc is delivering foods at reasonable price. The organisation has adopted low price
strategy. Whereas Mc Donald has decided to categorised its product into two categories i.e.
brand core value and affordable product.
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Place:Mc Donald has number of retail outlet in various countries in order to allow customer to
reach organisation for buying products and services. On the other hand KFC has established its
branches in various big cities. The organisation has big food chain branches in big cities.
Promotion-Mc Donald has adopted line marketing technique for promoting its brand in market.
This method was used by MC Donald as it was facing difficulty in selecting target group and
selecting market for positioning their product. Children group is established as target for
delivering goods and services. Whereas as effective promotion strategies is being adopted by
KFC. The organisation has developed own website that has provided business entity an
opportunity to gain customer loyalty.
People-Mc Donald intends to provide satisfaction to its employees and then to its client. On the
other hand KFC has focus on providing their products and services to urban and rural people.
Physical evidence-Mc Donald has many physical and attractive stores in various countries.
While KFC has online presence that has supported firm in reaching wide range of customers
(Bahadir,Bharadwaj and Srivastava,2015)
M3 Evaluating the tactics applied by enterprise to demonstrate the ways organisational
objectives have been accomplished
The marketing objective of Mc Donald is to increase its market share and foster growth
process by meeting customer expectations. The organisation also have focus on fulfilling
stakeholder needs and demands. The Mc Donald has Established Smart targets in order to
evaluate the tactics. This has enabled business entity to measure its performance and take
effective action in order to make improvement in various process. Smart objectives stands for
specific, measurable, achievable, relevant and time based target. This method is used by Mc
Donald for demonstrating the way organisation has achieved its various goals and objectives.
Specific objectives- The Mc Donald has established target to deliver quality food and quick
services in professional way to its customers. For achieving this purpose manager in Mc
Donald's has organised training and this has supported firm in fulfilling goal of providing
effective and quick services to its client.
Measurable-The company has planned to measure time of service during peak period when there
are lots of customers. This has assisted firm in identifying their employees potential.
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Achievable-The Mc Donald intends to provide quality food at services within a minute to its
customer with single order.
Relevant-Mc has established target to increase its sales by 5 percent. This target is relevant as
organisation can fulfil it by formulating effective marketing strategy.
Time-Human resource manger in required to communicate various target to various stakeholders
so that goals can be achieved in time (Barrett and Weinstein, 2015)
TASK 3
P4 Basic marketing plan for Organisation
The following steps are included in basic marketing Plan.
Company overview- Mc Donald company is a leading food retail organisation in UK. The
enterprise is considered among worlds the largest food chain. The company got success under
the supervision of talented manager. Manger has provided the right direction to organisation and
has helped organisation in its growth. On the other hand talented and skilled employees has
encouraged business entity to expand its core business Activities. Due to this only Mc was able
to conduct its Successful business operations in international market.
Vision/Mission- Mission of Mc Donald is to become customer favourite restaurant organisation
intends to delight its client by delivering unmatched quality, services and maintaining cleanliness
The enterprise purpose is to provide valuable, effective and quick services to consumers. It
allows its guest to became a member of organisation. Business unit mission is to provide quality
and peaceful environment to people.
Mc Donald Vision is to become leading restaurant that provide fastest and good services
to its clients. Its vision also includes transforming customer perception about innovative
products and encouraging them to try new varieties of food (Chen and et.al., 2015)
Situation analysis
Internal analysis
Swot analysis can be used to identify strength, weaknesses, opportunity and threat.
Strength:Mc Donald has strong brand image.
It has many store Worldwide.
The organisation preferably has adopted
economies of scale in order to fulfil its
Weaknesses
Its strategy of market saturation has made
difficult for Mc Donald to expand its business.
Lack of innovation skills.
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objective of cost reduction strategy.
Business entity has high economic growth.
This has enabled enterprise to expand its core
business activities.
The company has high potentiostat of
increasing its revenue and sales. Business
entity is able to gain this capability due to its
brand image in market.
Mc Donalds effective marketing strategies and
Plan has enabled them to increase their market
share. Various other effective strategies has
allowed firm to explore and capture
opportunities.
Enterprise has high market share.
Food consistency.
Overseas expansion.
Ineffective marketing strategies.
Declining market share.
Slow and steady growth.
Weak revenue generation capacity.
Opportunities:
Mc Donald has opportunity to mark up its
online presence.
It can use advance technology for promoting
its products and services in market.
It has potential to plan market penetration.
Mc Donald can develop innovation skills and
can attract customer by producing various
varieties of food.
Organisation can introduce variety of foods in
Threat:
Mc Donald has great influence of economic
factors on its business operation.
Government policies and procedures regarding
industry.
Increasing competition.
Great influence and impact of social factors on
Mc Donald's profitability and growth.
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its menu.
Global expansion is another opportunity for
firm.
It can use advance technology for improving
quality of its product and delivering quick
services to customer.
Company can conduct joint venture with
international organisation and can expand its
food chain.
It has potential and opportunities to open its
branches in other countries.
Identifying competitors- KfC, Burger King, Pizza hut, international competitors are inc. Jack in
the box etc. These are the companies that can create stiff competition for firm.
Marketing objectives-The marketing objective of Mc Donald's is to gain customer loyalty by
delivering them quick and quality services. The other marketing objective of organisation is to
increase its sales and foster market growth.
Overall business objectives-The overall purpose of Mc Donald is to prove accessible, quick.
Products and services at reasonable price. Mc Donald's intends to improve its quality of food
items and add more variety of food in their menu. Organisation wants to cover whole target
market. It is planning an action for improving customer management system (Homburg,Jozić
and Kuehnl, 2015)
The primary organisational objectives include increasing profit and sales, generating
brand awareness, providing high returns to stakeholders etc.
Strategic objective-The Mc Donald strategy aims to focus on customers needs and demands. The
enterprise have emphasized on delivering effective and professional services to its client.
Target -Demographic market segmentation strategy has been adopted by Mc
Donald's .Organisation has selected children, youth and young urban people as their target.
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Strategies -Market penetration and product development strategy can be adopted by Mc Donald
for achieving is marketing objectives. This marketing strategy will enable firm to increase its
market share and allow them to expand their business. It provides enterprise an opportunity to
explore new market and to introduce its new goods into existing market.
Or product development strategy will allow business entity to attract more numbers of
customer by delivering them innovative products and services. It has enabled business entity to
make improvement and modification in existing goods. Mc Donald's can use advance
technology for producing innovative items.
The other strategy that can be adopted by firm is service development strategy. This
strategy has focus on delivering effective and quick services to its client.
It will allow business unit to promote is services and enables them to change consumer
perception about service being offered by business unit. It is required by company to conduct
market analyse and then formulate customer service strategies on the basis of customer's
feedback and complains.
Budget-The marketing budget is created by Mc Donald's manger in order to provide support to
marketing strategies. Mc Donald's have sufficient budget that can be used by comp-any for
formulating and implementing various strategies. Budget enables business unit to make effective
allocation and utilisation of resources. It provides business entity an opportunity to fulfil its
objective of cost reduction and allow organisation to eliminate unnecessary marketing cost.
Budget provides support to firm in increasing their profit margin and enhancing growth in
efficient and effective manner (Kumar, 2016)
M4 Developing detailed coherent evidence based marketing plan
Mc Donald have focus on its clients. The company is more concerned about market
situation and formulating effective marketing strategies as well as plan. It has been identified
that plan and strategies formulated and implemented by manager are suitable as well as effective
for achieving organisation goals. But is required by manger to adopt new strategies such as low
pricing strategy and should target specific audience in order to achieve desired marketing
outcome. Firm require motivation for developing new product. It is essential for firm to develop
strength for en trying new market. The company should identify and capture various
opportunities. It is significant for manager in Mc Donald's to make timely modification in
strategies and plan (Beckers,2015)
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