Report on McDonald's Market Essentials and Marketing Strategies

This report provides a comprehensive analysis of McDonald's marketing strategies, delving into the essential roles and responsibilities within its marketing function. It examines the impact of marketing on organizational growth and explores the application of marketing mix strategies to achieve business objectives. The report also details the formation of a marketing plan for McDonald's, providing insights into the company's approach to market analysis, distribution, promotion, pricing, and customer engagement. Furthermore, it discusses the interplay of marketing with other key functions like research and development, human resources, and finance. The report highlights the importance of adapting to market trends, utilizing social media, and understanding the needs of the target audience to maintain a competitive edge. The B2C and B2B aspects of McDonald's marketing are also discussed, emphasizing the significance of customer satisfaction and continuous product improvement.

Market Essentials

Table of Contents
INTRODUCTION...........................................................................................................................3
TASK 1............................................................................................................................................3
P1 Key roles and responsibilities of marketing function........................................................3
P2. Impact of marketing that lead to widen the organisation.................................................5
TASK 2............................................................................................................................................6
P3. Marketing Mix Strategies to achieve business objectives................................................6
TASK 3............................................................................................................................................9
P4. Formation of a marketing plan for an organisation. ........................................................9
CONCLUSION..............................................................................................................................11
REFERENCES..............................................................................................................................12

INTRODUCTION
Marketing involves formation of plans in the company to attain a platform in the market
place to stand out from its competitors and they need to also follow all the guidelines and laws of
the government and gain progress and success (Akbarimajd and Simzan, 2014). A good market
plan allows to improve the quality of product as desired by the new trends of the market. There
are many people required to design the organisation strategies for better performance and its
improvement. So basically the marketing essentials are needed for uplifting the firm from one
level to another. This report is basically explaining the market strategies of McDonald's, which is
a successful and biggest hamburger and fast food restaurant chain that is flourishing in more
than 100 countries of the world approximately. It was basically established around 1940 as a
barbecue chain by two brothers named Richard and Maurice McDonald's. The purpose of this
report is to analyse the importance of different roles and responsibilities of marketing strategies.
The marketing process is very important for expanding their business. Also in this report there is
explanation of the use of marketing mix plans for achieving businesses objectives.
TASK 1
P1 Key roles and responsibilities of marketing function
Marketing is basically creating opportunities by exchanging values through
communication skills. This seems to be a very tricky way to do marketing and providing
services to as much people as possible in the society (Andreea, 2012). Their main target is
customers and their action is basically required to satisfy customer's need. This is their first
priority and their second priority is to fulfil objectives of McDonald's and its profit
maximization. Marketings trends is very tricky and it requires creative diligence and large
number of people are involved in this field. And it proofs to be beneficial for industry as it helps
the company to satisfy with their expectation from the establishment.
Marketing consist of many process like promotional activities in which their job is to
promote the positive aspects of particular product by which there is huge selling of product in
the market. USP it is mostly used and successful advertising campaign which is used by this
company to achieve their particular objective.
Marketing concept is basically used in this firms to analyse the customer's need and
make design accordingly, then implement them to meet requirement of consumer. This type of

management process starts from the basic research and then analyse the society's needs and make
plans and implement all these in action. They develop the good relationship with the clients
(Ang and Weaver, 2015). Now a days social media is trending marketing areas with a high boom
but still there are people who are connected to each other on local terms. Marketing can engage
audience by targeting different age group people and reach to large audience and In future,
according to the upcoming trends, there will be very less people who will read the marketing
advertisements in magazines or newspapers. If there would be any pictures or visuals then that
me attract the customer a little bit. The mobile will hit in future trends and there will be more
demand for the wearable gadgets and big brands that will shift their focus on these small screens
smart gadgets. Roles and responsibilities of McDonald's are as follows:
Distribution:- It is a leading process in which the cited company decides to distribute
equal product to all parts of the world whether its national or international. The one who needs
the product should get it without any issue and it basically target the particular audience which
are willing to buy any specific type of product and provide them on accurate time. In this
activity the McDonald's set up the shops and place their product so the people should not
struggle to go long way for their items and it will easily reach them. Behind all these there is a
good master plan of the distribution, that is it helps a lot in better quality product and selling
aggregate.
Promotion:- It is a key of whole process to attract the customers to the product by
creating a strong foot of the product in market through advertising by various means such as a
billboard on the roadside so the people see and create a hint, distribute pamphlet, leaflets, and
use the social media like Facebook,twitter,you tube etc. and 2 minute attractive advertisement
on television with catching or easily grasping tag line that attains more attention in the market.
Pricing:- Deciding the price of the product is a very challenging task so before settle for
the price its better to do the market research and compare with the other product too. If company
keep the price too high then they might loose customers and if the price is low, then there would
be great loss. So there should be a balance between earning the profit and customer both.
Selling:- Selling is interconnected to the marketing (Bagloee, Asadi and Mohebbi, 2014).
As the number of selling is like record of feedback from the customers. If they find the product
to have a logical price and of good quality then customer would increase automatically. But still

promotion is also a key part for selling of any product in market. The target is to satisfy the
audience as in every aspect.
Market research:- It is very basic and initial before launching some product. McDonald's
have to observe the market trends like which kind of people will matter and what are they
basically expecting from the market. And the major question is who is the targeting audience.
There should be more creative unique product that have to make the customer choose our
product as compared to others and there should be components which make our product stand in
the competition.
Product and service management:- Once McDonald's set their target audience then its
easy to balance the services and quality of the product and basically their management will be
made in concern and preference of the audience, by which people will like the products more.
Finance:- Money attracts money. When we establish business its need to be a strong,
footing in the market to give the tough competition to other companies and attract more
customer. It needs a smart finance source like a bank loans, personal capital and etc.
P2. Impact of marketing that lead to widen the organisation.
Marketing essentials need to be properly implemented in the organisation because it has
major impacts on the performance of that company, which should not be ignored. It is used
basically to improve theirs quality (Bernanke, Antonovics and Frank, 2015). Increase their
customer base and getting close to their clients. By providing some measures like feedback,
which would help people to relate with the system and give their reactions about the quality and
services. With their reaction company can understand what are the needs of the customer and
whether they are satisfied with their services or not. It is necessary for McDonald's to analysing
the process of marketing in an effective manner for which this firm can use the PR Smith
SOSTAC framework under which 6 stages are included:
Situational analysis- Under this stage, it is necessary for management of McDonald's to
identify its existing position of firm. The situational analysis of McDonald's stated that it has a
better market position among all fast food restaurant.
Objective- In order to executing process of marketing successful, it is necessary for
business to develop many effective objectives which provide the work as guideline for all;
departments as well as staff members so from this outcomes will be good. Globally, McDonald's
has a good performance level.

Strategic planning- It is necessary for McDonald's company to develop an effective plan
for future with the help of making effective strategies. In context to this, McDonald's serve
better quality of food items as well as services to every person. For achieving organisation goals
on specific time period, management should formulate effective plans and implement by
including all employees.
Tactics- It refers to a detailed strategy under which proper evaluation of each technique is
necessary. Tactics is helpful in enabling all employees to perform their responsibilities and roles
in an effective manner.
Action- It is a most necessary thing in executing strategy. Action is regarded as a
necessary thing in context to gain some success. It is a responsibility of marketing manager to
explain all tactics in a proper manner.
Control- Managers plays a necessary role in an organisation. McDonald's has effective
control on each activities as well as operations of an organisation, so that outcomes will be
suitable. So, it is necessary that managers should coordinate with employees in doing business
activities.
The various roles of marketing in context to B2C and B2C. These both are given below
as above:
Business to business of McDonald's
In this, the primary responsibility of firm to conduct a market research and target new
consumers. It is necessary that firm should satisfy demands and needs of people through
providing better quality of food items. An organisation transform raw materials in to they
finished goods. After completion of production process, company takes helps from different
intermediaries like agents, wholesalers, retailers etc. McDonald's maintain its better relationship
with its suppliers so that from this production will not stop.
Business to consumer of McDonald's
McDonald's serve better quality of food items to customers. Under this, manager perch
suspect and determine prospect which will be transformed in customers who are ready to willing
to purchase products. McDonald's has many loyal customers because its provide qualitative food
items. Continuously, it makes changes in its products and make them attractive. It is a best way
to attracting customers.

Other Functions of McDonald's are given below as above:
Research and development and Marketing- It is a duty of research depart to conduct
research in an effective manner. R&D department develop new invention as well as innovation
in a business firm with the marketing department. It will be helpful in accomplishing goals of
firm in an effective manner. The research and development department is related with marketing
function because with the help of research, marketing department can know wants and needs of
consumers in an effective manner
Human Resource and marketing- It is a main part of an organisation. It controls all
activities and operations of an organisation. Under this, there is a need of marketing to
contributes of every department employees and then start to manufacture products. Human
resource department perform all organisational functions in a proper manner. It is a duty of the
Human resource department to hire trained manager of marketing and also some other workers
which can do better planning and provide more satisfaction to consumers related top company's
products and services.
Finance and marketing- IT is necessary for finance department to give essential funds to
the team of marketing so that they can introduce many campaigns as well as everts in order to
aware people about the products of company. The finance team of McDonald's apply necessary
funds to the marketing team so that they can do all marketing activities in an effective manner. It
is a responsibility of finance department to manage the money which will necessary in marketing
activities.
For an example- marketing function conducts some programmes as well as events in this
context it is important for finance department to develop an effective budget related to this.
For the company and its organisational functions to work well these are the steps:
Improvement in HR functioning: This process is needed desperately. With the use or
marketing strategy it helps the HR to get close to the clients and respond to their needs and
demands. All this makes the functioning of HR very smooth and effective.
Updation according to trends: The nature of the company should be such that it should
be very flexible and resistible according to changing technologies and ideas. The new trending
market should not influence the businesses of this company adversely. The marketing essentials
could help the agency by coping up with the current market rules and stand calmly and easily in
the difficult scenario (Schooleman, 2012).

Monitor competition: The responsibilities of the marketing essentials is to keep
checking the status of the company in the market place. If there is any drastic change in its
position, then instantly actions should be taken to improve its condition and performance.
Working towards making a brand: This is the major responsibility of marketing
strategy to improve the product to such an extent that it become the best and launch them in the
market in a way that every one gets attracted towards it. Once it is been liked by so many people,
then just by that product or service a brand name is created. And once the name is created, it
become easy for that company to carry out any promotion or sell their products in the market.
Maintaining the quality of products: Although the brand has been formed and the
company becomes established, there are still major responsibilities and duties of that company to
maintain their product values and services. If the quality is not up to the mark, then even after
establishing such a brand name, people will still stop coming to the market to buy that product
(Blank, 2015). Marketing essentials help the industry by bringing new and latest technologies
which are coming in the market to improve the company's status and performance. This plan of
marketing strategy help in improving the IT sector of the company.
Combining hands with marketing partners: Collaboration is useful step of marketing
essential to expand business of McDonald's. This is because in the businesses field there can be
lots of people like contributors, publishers, designers, journalist, consultants and so on. If the
company try to have healthy relationship with all these designated people, then working and
performance of the company will increase rapidly and it will work effectively. By doing this the
departments of this company will expand and increase its efficiency.
Innovative Plans: To effectively make the company to work for long run, there is a great
importance and requirement of new and innovative ideas to be established every now and then
according to the latest trends. Marketing helps in doing research of the market field and what are
the aspects of the current scenario. This will lead to development of research department and
progress of the company. The idea is to keep entertaining the customer by giving them surprises
and latest products. And refreshing them with new and innovative ideas in the market place.
Number of functions are performed by an enterprise in order to achieve its set goals and
objectives in an effective way. It is very important that effective channel of communication must
be used at workplace and there must be coordination among all activities of different department.
All functions of enterprise are interrelated with each other. For example there is relationship

between marketing and production department of firm because marketing department is the one
which collect information about the needs and requirements of customers, after that manager of
marketing department guide and give information to the manager of production department about
the features which must be there in a product to attract large number of customers and satisfy
their needs. Further, activities of marketing department and operations perform of marketing
department affect the decisions of finance department of firm. Finance department of company is
the one which make budgets and allocate resources to various departments as per their needs and
requirements. Promotional activities perform by marketing department affect the decisions taken
by finance department of firm. Overall there is interrelationship between various department and
function perform by enterprise.
TASK 2
P3. Marketing Mix Strategies to achieve business objectives.
Marketing mix plans of different firms require some proper processing and organisation.
It is an important factor for any establishment to achieve some goals and mark in the world.
These are the key points to success (Brodbelt, 2010).
Marketing elements of McDonald's: For selling any product in the market, this
company has to improve its quality prepare a strategy to launch their product in the market and
work on its promotional activity to bring that product in the lime light of the people. For all this
these marketing mix strategies is required to influence the working of organisation and bring
efficiency and effectiveness in its products and services. The company mentioned in this report is
McDonald's and we are comparing that with another organisation that is Cadbury. Product- Wide variety of products of all kind foods and beverages like, Big Mac, Quarter
Pounder with Cheese, hamburgers and, cheeseburgers, Filet-O-Fish, several chicken
sandwiches, wraps and French fries, Chicken Mc Nuggets. The company serves also
oatmeal, Mc Flurry desserts, salads, sundaes, shakes, soft serve cones, coffee, Mc Café
beverage, spies, soft drinks, and other beverages. McDonald has separate cooking areas
& Equipment's Care for customers sentiments towards Culture & religion. Kids are
entertained with the special offer 'Happy Meal' which contains a gift with it.

 Price-McDonald provides quite affordable products to the consumers. Even a middle
class family member can afford this brand. “Happy Price Menu” is heavily marketed.
Pricing starts from lower rates goes to the higher rates. McDonald uses significantly more
affordable prices,such as $_.99 acc. The psychological pricing. Its hard to decide pricing
with remaining the brand and its integrity. Policies which caters the costumers over the
countries like India. Place- McDonald have approximately 36,258 restaurants in 119 countries. All the
restaurants are located in prime location and available in almost every big cites. Convince
of the restaurants in different places covering all residential areas and malls. Airports,
colleges etc. McDonald believe to spread it not in the urban areas as well as the rural
areas too. Promotion- McDonald advertise their brand through Online, Radio, T.V,Cinema, News
Paper & magazines and various other Promotional modes like Merchandising, Point of
Sales Display, Door Drops, Loyalty Schemes, Direct mail etc. McDonald's main target
focus is children. They target children by Happy Meal with providing a gift along with
the meal. Apart from this, several schemes like lucky draws and scratch cards when an
order is placed on the various mean combos for winning prices (De Lima Filho, 2014). In
fact, the various economy meals and value meals also signal to the customer that buying
separate items results in greater value for money for the customer. Process- For McDonald's the transparent food producing to consumers that allows them
to see the hygiene of their of then food and judge. Customers can check the ingredients
used in their food. Spent so much money on market research e.g.- in 2016, Mc D spend
50 corers rupees on market research only. Use good method in Distribution and quality in
production technology. Eco friendly packaging system and recycling waste system. People- In McDonald's the quality, Philosophy, Hygiene, Services and values is the key
of earning creditability of its consumers. They Ensures the customers satisfaction at the
restaurants. Basic operation of restaurants is carried by Delivery Crew Members. They
award their employees with stars and gifts in order to motivate employees. Larger
decision roles is given to the employees by the company inspiring them to work
passionately. Stranded Uniforms and friendly nature with consumers.

 Physical evidence- Physical Appearance of a Restaurant impress the outsiders,
consumers and gives the idea of quality of the restaurant (Dietrich, 2014). McDonald
focuses on not only the hygiene and cleanness of the interior but also focus on attractive
interior and a proper decorum and the fast food joint maintenance. The staff members are
uniformed in proper way and speed quality and transparency of the stores.
Marketing elements of Cadbury: It is a British multinational company that is owned by
Mondelez International since around 2010. it seems to be the second largest confectionery
market in all across the world. They are mostly famous for their Dairy Milk Products that include
chocolates, Crème egg, and Box of Roses. Their franchise has expanded to more than 50
countries across the globe. Product- Cadbury is one of the top leading company in current scenario, that provides
large number of products distributed all over the country. Their main aim is to provide
better quality of products with different variations for every now and then which
basically helps the organisation to increase its productivity, customers and brand name.
Also while distribution of food items, there should be an extra care taken to see that no
cast, religion or creed is been affected by their processing of businesses. Price- For Cadbury, its price is very considerable and easily affordable in the market. It
can be seen that even poor or rural people can afford to buy these products for their
children. It is the most frequent product of the world, because it is very considerate and of
great taste. It maintains its quality and also the range of prices is in wide variety so every
one can afford to buy it (Ebert and Griffin, 2011). Promotion- In Cadbury, different methods are usually used for promotions, by using
AD's, Radios, hiring star cast to promote the brand on Television Channels just to reach
to even to the smallest city or lane of the country. Products of this company can be seen
even to the remotest locations possible because of its promotion techniques. Once proper
promotion is done, then it will attract a lot of customers and bring the name of the
company in lime lights. Process- For Cadbury firm the main focus of this company is on effective delivery of
products and items with good quality to the customer. Most of their products are
chocolates, boxes, dairy items which require packaging quality thus this is their main

focus to properly manage the packing of the products. This should be properly formulated
and worked upon. People- In cadbury firm, they are very particularly about hiring good and well suitable
staff and they focus on good employee relation. This brings the best outcome possible for
this company. Their main aim is to build proper relation with their customer as the above
mentioned company .
 Physical evidence- Cadbury firm is a trusted firm that is well established. Since it has
been established from long back and has made a confirm image on minds of people
through its trusted products and services at verified places, thus there is a trust and great
belief by the customers on this company to buy their products and avail their services.
TASK 3
P4. Formation of a marketing plan for an organisation.
For designing the marketing plan, firstly the company should be analysed properly. The
aims and objectives of the organisation. Its strengths and weaknesses. The internal and external
effects of the environment on that company and how does it cope up from its issues. All these
determine the right action of planning a market strategy for that organisation. McDonald's is
world's largest restaurant chain, that servers hamburgers, cheeseburgers, chicken products as well
as veg products, French fries, breakfast items, soft drinks, milkshakes and many more. There is
large consumer base of this company which is continuously expanding day by day.
Mission- Its vision is to be the first choice of consumers, better quality of food products,
cleanliness and value for money.
Vision- The main mission of McDonald's is to provide service restaurant experience and
provide best quality of products.
Objectives- The main objective of this company is to provide effective services and food
items to people so that they can attract more towards the firm. Its motive is to enhance profit
level.
Strategies- There are some different strategies which are developed through McDonald's
organisation so that they can deal with customers in an effective manner. McDonald's prepare
effective marketing strategies so that firm can take better and effective decisions in favour of
business. It is necessary for firm is to produce new range of goods.

SWOT Analysis-
Strengths Weaknesses Opportunities Threats
 Strong brand
name in all
over the world.
 Diversified
income
 Deals in many
products like
smoothies,
coffees etc.
 Negative
publicity.
 More turnover
of employees.
 It can upgrade
its menu.
 It can expnad
its plans
 Competition is
high.
 Low interest
rates.
 Customers are
very health
conscious.
Budget- For McDonald's the development of budget for the marketing plan is defined by
putting a control over the budget and managing activities of marketing plan.
Marketing budget
Particulars 1st year 2nd year 3rd year 4th year 5th year
Initial money 40000 13500 14000 25000 17500
Investment 21500 17200 18500 15700
Total 40000 35000 31200 43500 33200
Marketing
expenditures
Advertisement 8800 7600 6000 5800 6500

Sales promotion 2500 2500 4000 3500 8000
Direct marketing 6500 7000 2500 7300 2500
Total 17800 17100 12500 16600 17000
Available balance 22200 17900 18700 26900 16200
Monitoring and Control- It is necessary that manager should have control on each and
every activity of business. In context to this, managers of McDonald's require top be monitor the
budget plan in a suitable or proper manner.
Current marketing status: This company is serving in almost more than 100 countries
of the world. There is a standard menu which is followed by this firm to all the parts of the state.
And any change in the food item or quality will be circulated equally over all the franchisee it
has established (Griffin, Noble and Durmusoglu, 2014).
Understanding of market: If McDonald's needs to stand a good place in market, it has
to monitor its taste and quality of product. Because that is the most capturing thing for many
company to survive for long.
Defining goals of McDonald's: By determining its Strength and weaknesses of this
company, there can be a proper analysis of goals of the company. It has brand name which is
very influential and effective. It need not work very hard to promote their new products in the
market. In order to expends the business is establishment of McDonald's in various locations
worldwide in order to target wider range of customers that will contribute in higher profitability
of firm. As the people trust their organisation and their quality, they would easily buy them and
use them. People tend to get bored, so it is the responsibility of the company to change its factors
with the new improved factors. There can be various Since it has been such a great establishment
it do have many threats to be figured in their ways. Those threats are the pressure of maintaining
its position in the market for future times. To keep a check on whether the interest of the

customer to be still in favour of the company or not. This is defined by the company to achieve
all the target goals and aims of the company. The most important aim of this company that is
McDonald's is to provide the customer with best quality of food having high standards and in
quick possible time. Also all these provisions should be made with considerable cost price.
Strategies of this company to make a market plan: This company uses its high growth
planning to support the new ideology and plans of expanding this businesses. The basic strategic
development goal of this company is to promote communication among all the employees of
organisation in order to create a proper organisation goals. Development of various strategies in
order to establish McDonald's worldwide famous and promote the new concept of this company.
Planning a strategy for this company there is STP model which is required. This helps in
planning efficiently.
STP Model: The Segmentation, Targeting and Positioning approach is basically used in
Modern Marketing. The model is required to create marketing communication plans with the
help of marketers to develop and deliver products in good quality.
Segmentation is basically required for careful analysis of the products and improve them
in case of any changes required. If there are different sections of the products then to distinguish
between then and then operating them then the work become very easy and efficient. For this
company McDonald's, there is a range of products defined. (Johnson, 2011).
Targetting basically means to focus on the areas or regions that will be required to
promote the company performance or gain any advantage form the market (Krzak, 2012).
Positioning is defined as the location of establishing that market in any particular area.
This can be a problem for many companies, but for firm like McDonald's there is no such issue
regarding the position. (Marks, 2014).
Decide marketing budget: This involves continuous measurement of effectiveness of
marketing and plan developing corrective plan if required in order to enhance profitability of
McDonald's in market.
CONCLUSION
From the above report, it has been analysed that there is great impact of marketings in the
McDonald's to reach to a better position. Marketing is very important section of any businesses
to flourish in the real scenario, basically many strategies and objectives are required to make a
marketing strategy for the company. There is required role and responsibility of marketing

essentials in this organisation to achieve their aims and objectives. Also, it is important for a
company to expand its business to the level ahead than its original level. To implement
marketing strategies in McDonald's, there is marketing mix plan which includes 7P's that need to
be analysed and worked upon to expand the businesses and improve it. There is a proper analysis
of these strategies in this report.

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