McDonald's Marketing: Analysis, Planning, and Strategic Development

This report provides a comprehensive analysis of McDonald's marketing essentials, covering roles and responsibilities, the nature and concepts of marketing functions, and the interrelation of marketing with other departments within the organization. It delves into the 7Ps of the marketing mix, comparing McDonald's strategies with those of its competitor, Burger King. Furthermore, the report emphasizes the importance of a marketing plan, differentiating between marketing objectives, strategies, and plans. It culminates in the development of a marketing plan for launching a new product, green tea, within McDonald's, highlighting its potential health benefits. The analysis incorporates marketing concepts, the role of marketing in financing, research and development, selling, and promotion. It also explores the crucial relationships between marketing and human resources, research and development, production and operations, finance, information technology, and customer service, illustrating how these departments collaborate to achieve McDonald's objectives. The report also includes comparison of marketing mix of McDonald's and Burger King.

Marketing Essentials

INTRODUCTION
Marketing is a place where buyers and sellers purchase and sales of goods and services. It
is a process of developing, promoting, creating and distributing of products and services. In this
includes marketing mix, supply chain, demand & supply, competition, consumers etc. it is very
significant to evaluate those essentials to success and effective growth. In this report chosen
organisation is McDonald which is deals in fast food restaurants. It was founded by Maurice and
Richard McDonald's in May 15, 1940. Its products is burgers, French fries, chicken, soft drinks,
coffee, salads etc. In this report includes roles and responsibilities, nature and concepts of
marketing function(Dibb and Simkin, 2013). In this also include interrelation of marketing with
other departments of organisation. It has considered 7p's of marketing mix of McDonald's and its
competitors of burger king. At last considered importance of marketing plan and difference of
marketing objective, strategies and plan and developing the market plan in which launch new
product of McDonald's is green tea which is healthy for people.
TASK 1
P1. Roles and Responsibilities of Marketing Function
Market is a platform where purchaser and sellers are interact with each other in regarding
goods and services. It is a management and study of exchange relationships. Marketing is an
activity of making relationship with customers and satisfying them. Present-day marketing
tendency are essential attain sustainable success for any business. McDonald has many
competitors in industry such as Mars, Hershey's , etc. hence it is responsibility of marketing
manager to collect information and then perform operations according to external market. This
helps to maintain long term existence in industry.
Nature of marketing:
Marketing has many types of nature which are as follows:
Human activity: It is a human activity in which human wants and demand are fulfil by
human contribution and efforts. Marketing is a people action for people satisfaction.
Consumer-oriented: An organisation exist to fulfil human needs and wants, therefore
organisation should find out what the demands of consumers and manufacturing the goods and
service according to the desires of the consumers(Baines, Fill and Page, 2013) . McDonald also
sell their food items as per the taste of consumers.
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Art as well as science: In the technological sense, it is the art as well as science of
selecting target markets and fulfil consumers need through communicating, delivering and
creating superior consumer value.
Marketing concepts:
The marketing concept is a method that a business implement to fulfil the consumer
demands, maximize profits, beat the challengers etc. in this include five marketing concept
which are as follows:
(Source: Five Marketing Concept, 2018)
Production concept: This concept reflects that customers are prefer those products and
services that are inexpensive and widely available. Managers of McDonald focusing on attaining
high manufacturer efficiency.
Product concept: This concept reflects that customers will favour those goods that
offering the most innovative feature, performance and quality(Baker and Magnini, 2016) .
Managers of McDonald focusing on making qualitative goods and improving them time to time.
Selling concept: This concept reflects that idea that customers not purchase enough of
the company's goods unless it proceeds a large-scale promotion and selling effort. Managers of
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Illustration 1: Five Marketing Concept

MacDonald's concentrate on promoting the products for selling more and more goods to the
consumers.
Marketing concept: This concept reflects that attaining organisational objectives depends
on knowing the wants and needs of target place and delivering the better satisfaction to the
consumers more than its competitors. In this managers of this company undertakes “ customer
first” approach.
Social marketing concept: This concept reflects that marketing strategy must deliver
value to the consumers in a manner that improves and maintain the both society's and customer's
well-being(Clow and James, 2013) . In this concepts managers of McDonald's puts the society's
benefits on top before earnings.
Roles and responsibilities of marketing function:
Marketing plays an essential responsibilities for build the relationship between consumers
and organisation. There are many roles and responsibilities of marketing in the context of
McDonald's which are as follows:
Financing: It is an essential role of finance department as well as marketing to prepare a
finance plan for conducting selling activities. It is required to receive finance to bear production
expenses and other cost . Administrator of McDonald form a strategy to increase their funds
form various sources and reduce the expenditure of production with increasing more profits
Research and Development: Marketing research and development is an important duty
for the decision maker of an enterprises. It assist McDonald to find out advantage and
opportunities to better realise the wants of consumers. It also assist to analyse challenger
weakness and strength through which managers can make methods to secure their business with
existing consumers with effective improvement of their workers.
Selling: Manager of McDonald should decide selling criteria by determining the
consumers wants and area. Company has to concentrate on their goals and gain sales or profits
by personal communication with customers in respect to determine their taste and fulfil those
wants with supply them better services and quality products(Desai, 2013).
Promotion: Promotion refers to activities which are planned by managers of McDonald's
in order to communicate and create awareness among products and services to consumers. These
days, in confectionery industry, competition increase, so it is responsibility of manager to
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promote their brands. This is responsibility of marketing managers to plan promotional activities,
this helps to get positive impact on sales and revenues of McDonald's.
Role of marketing is increasing day by day because these days environmental changes are
taking place with rapid speed. Hence marketing manager has to analyse changes and then
implement changes in significant and relevant manner. McDonald's is the organisation which
deals in different parts of country and provides good quality products and services. As per
current market, there are many innovative approaches which helps to promote products and
services in market. Hence these strategies ahas to be farmed within specified budget and
according to targeted consumers. This helps to perform operations according to external market.
While as per analyse there will more use of digital and technological changes, so marketing
manager of McDonald's have to make implement it to working, so appropriate information can
be conveyed, this also helps in internal working within departments.
P2. Marketing inter relation with other departments
Marketing departments is an essential factor for an organisation because this division can
develop and expand their goods and services in the market and increase earnings of any
enterprise. Marketing department of MacDonald's also choose effective methods for increase
consumers towards their goods and services. This administrative division always think from the
costumer's aspect because MacDonald's want to fulfil all the demands of their consumers.
Marketing with human resource department: Human resource management is a function
in which include finding, recruitment, selection, development, employees relation, training,
benefits of employees health & safety, motivation, performance appraisal etc. In this, marketing
managers of McDonald's use the HR division to support them to recruit a assistant of marketing.
They help the marketing department with setting out a job, job description, candidate profile,
advertising the vacancy etc. they can assess and score application forms and can conduct the
interviews. Marketing department also use HR to conduct induction, training program etc. for
their new employees (Griffitts, 2016). HR department also have a strong communication factor
which is closely related to the marketing. For instance: McDonald's operates in different parts of
country, so there is requirement of marketing personnel so awareness about products and
services can be conveyed to consumers. There is requirement of some special skills which is
conveyed to HR manager, so appropriate candidate can be hired to improve performance of
overall organisation.
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Marketing with research and development: It is an engine within a business that is
generates innovations, new ideas and new goods and services. In McDonald's research and
development department must be driven according to the marketing concept. The demands of
customers and potential customers should be important to any new development in respect to
deliver goods and services that satisfy consumers wants. Marketing managers are negotiate with
engineers and researchers in respect to make sure that consumers demands are represented.
Production process can also be developed and researched based upon some components of
marketing mix. For instance: There is change in trends of consumer demand due to occasion of
festive seasons, competitors policies, then it is responsibility of R&D manager of McDonald's to
analyse market and then convey changes to marketing department, so they alter marketing
strategies.
Marketing with production and operations: Operations involve many other procedure
i.e. packaging, warehousing and distribution. Operation also involves manufacturing and
production(Lane, 2015). In production, products and services are made and generated. Marketers
of McDonald's need to sell their goods and services so they can take help from production
department to produce qualitative items and also produce goods and services according to
consumers demands so marketers can easily sell their products. For instance: there is change in
chocolate in the form of new addition, change in feature, etc. so in this case production
department of McDonald's has to convey these changes to get marketing department, so they can
advertise to consumers. Operations department provide information about requirement of various
department which is relevant for performing operations in synchronise and appropriate manner,
so aims and objectives of McDonald's are achieved.
Marketing department with finance department: This division manage all the financial
role of this organization. They make budgets, strategy and plan for all the activities. MacDonald
wants that all divisions are go with their allocated monetary system. They maintain the expenses
and cost of all function like advertisement cost, production cost, maintenances, sales cost and
some other cost. Marketing division need to perform with the financial department for funding
and monetary sources of advertisement. So, they increase sales volumes and build strong market
stocks. McDonald's wants to attract more consumers towards their stores and restaurants. In case
of McDonald's, there are different advertisement and promotional activities such as discounts,
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sponsorship, hoardings, etc. This can be done when finance department passes budget. This helps
to maintain cost and profit of McDonald's.
Marketing with Information Technology: In this considered components i.e. information
systems, computer software, programming language, computer hardware etc. Marketing
department of McDonald's concerned that how technology is utilised to treat content and
information such as how process it, how get information, how store information etc. IT
department can help by recognise the significance of websites, extranets and intranets to the
marketing department. An internet is the intrinsic website. Extranet is the internal website that is
increase the business from outside. They can use this technology to provide information about
goods and services to the consumers(Purvis, 2015). IT support the base of Customer
Relationship Management. McDonald's is the organisation which deals in different parts of
country, so IT department has to make efforts for creating proper communication channel which
helps in proper marketing strategies. This is significant for making changes so marketing can be
done in effective and signifiant manner.
Marketing with customer service department: This service takes the demands of the
consumers as the main driver. So, customer service function turns around a chain of activities
which are planed to help the exchange activity by making sure that consumers are satisfied.
Customers service provision of McDonald's also provide timely and speedy information about
developing and new consumers needs. Customer service department is closely link with
marketing because in case of negative feedback from customers customer service department of
McDonald's take corrective actions. Then it is responsibility of marketing manger to convey
corrective actions to consumers.
TASK2
P3. Comparison of two organisations regarding marketing mix to marketing planning process
Marketing mix
Marketing mix is tools of activity that is use by the company to promote its brand image
and product in the market(Kongstvedt, 2012). It is a collection of 7Ps such as price, product,
promotion, place, people, physical evidence and process. It is putting the right combination at
the right place with the reasonable price. Company use those methods at the time of preparation
and designing of process to attain business goals. It is a tools of marketing techniques which is
used by McDonald to achieve its marketing objectives.
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(Source: Marketing mix, 2018)
Difference between application of marketing components of McDonald and Burger king
MacDonald's Burger king
Product It mainly sells burgers,
breakfast, fries and
sandwiches, desserts & shakes,
snacks and sides, chicken,
drinks and salads(Nguyen and
Simkin, 2012). It provides
consumers with variety of
choice such as egg white
delight Mc-Muffin, hash
browns, egg Mc-Muffin,
hotcakes, quarter pounder with
It present new products or
developing the existing
products. Burger king offers
several products like
cheeseburgers, Onion rings
Fries, hamburgers,, Coffee,,
cookies, Shakes etc. Burger
king exercise this method of
marketing mix and concentrate
on their goods and services to
attain its objectives.
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Illustration 2: Marketing mix

cheese, hamburger, double
cheeseburger, vanilla cone,
vanilla shake, kiddie cone,
strawberry sundae, hot fudge
sundae, hot caramel sundae,
baked apple pie, Mc Cafe, Mc
Cafe chocolate shake etc. are
the products which offered by
the McDonald's(Rancati,
Gordini and Capatina, 2016).
Price Many companies adopt wide
range of techniques of pricing
to sell their gods and services
such as going rate, price
discrimination, cost plus
pricing, loss leader, value
pricing etc. McDonald's
provide goods and services at a
competitive value drive price
for the consumers. Prices are
fluctuate among different
MacDonald's restaurants in
order to a number of
components.
This restaurant exercise
competitive pricing policy
because there is advanced
rivalry from McDonald. It
has been closely valuation and
monitoring their pricing
techniques. There are several
users belong to various income
level so cost of products are
very flexible and easily
accessible from high to low
and low to high range.
Place Place means an field of
distribution of products and
services. McDonald form
various strategy and method of
distribution in various
countries. For example: in
Burger King has its dealership
and franchise mostly all over
the world. For example:,
Singapore, Oceania, South
Korea, Japan, Europe etc. It
develop its enterprise and
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several nation it offers home
delivery choice for increasing
profit and sales through which
business get success.
recently come in India.
Promotion There are various promotional
method adopt by McDonald to
gain sales and attain business
goals. For example: it uses,
newspaper, magazines,
television, internet, radios and
other media to convey with
consumers(Pike, 2015). Its
primary focus on children's
tiny toys which are presented
along with meal and also
offering discount coupon on
some products.
It consider respective ways of
information and
communication methods with
consumers. For example: print
media, radios, Advertising,
TV, news agencies etc. it is
helpful to alert consumers
about their goods and services
and gain sales which assist to
gaining more profit and attain
organisation's goals.
People There are too many employees
work in McDonald restaurants
in UK. For example: Almost
of restaurants are held by the
general businessmen.
McDonald expend very high
amount or quantity on training
and education of workers
because human resource are
the property and strength of
the company which assist to
attain its goals.
People define as to the users,
management, workers and
every other individual who are
including indirectly or directly
in this restaurant. Reputation
of company in the hands of
consumers. For example: help
of workers and users is
required to attain success.
Process It is a set of activities which is It is a techniques of providing
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performed in respect to attain
something. McDonald perform
various procedures from
produce goods to deliver it to
users. For example: making
food is an essential process in
the overall operation of
production that is only source
to attain its goals.
knowledgable services and
concentrate on consumer
segment which are spend its
mostly money in this
restaurant. It can also helpful
to attain set goals if services
are supply in time.
Physical evidence It defines the component of the
consumer's experience and
physical environment in
McDonald. For example: the
internal designs of McDonald
are attractive and the
restaurants is manage cleanly
and sanitary environment. It
create a positive effect on
consumers perspective and
assist to attain its business
goals.
This restaurant has its own
website BK.com. It render
information about business
such as product information,
video history, etc. For
example:
pamphlets ,brochures.
Role of marketing manager
In confectionery sector, there is much competition among organisations such as Mars,
nestle, etc. hence it is responsibility of marketing manager to analyse market and then take
corrective actions. Some of the role of marketing manager are as under-
 Marketing manager has to contact with production department, so in case of change in
products and services marketing strategies can be altered.
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