MGT302A Strategic Management: McDonald's Analysis Report

This report provides a comprehensive strategic analysis of McDonald's, examining its vision, mission, and historical performance. It evaluates both the internal and external environments, identifying strengths, weaknesses, opportunities, and threats. The analysis delves into key strategies, including expansion in developing countries and product diversification. Implementation challenges, such as political pressures and competition, are also addressed. The report concludes with an evaluation of strategic success, suggesting market development and product diversification as key actions for future growth, aiming to increase global opportunities by mitigating potential threats. The report is structured to provide a clear understanding of McDonald's strategic approach and its potential for future success in a competitive environment.

Introduction
I am ___________ studying ______. I am here to describe the process at MacDonald’s along
with its strategies and various internal and external processes. I will put in my best efforts to
summarize the study and put it in words for all of you to understand easily.
Statement to employees
As the CEO of the company, I want to state the fact that MacDonald’s has been an organization
of global standards. It looks after its employees and has the potential of developing their career.
It has certain academic programs for improving the hospitality works in the fast food industry.
Other than these, Macdonald’s also favours training for its employees. For this, MacDonald’s has
established training guidelines. These training guidelines are being followed for a month of
training and it helps the employees to understand the process better.
Summary of the process
Since, Macdonald’s has a very high virtue towards its employees. It has helped me as well. In the
due start of my career, it has helped me understand the process through its training modules that
taught me all the processes including the kitchen process so that I can handle anything at any
time. However, I felt the understanding of humility from its training was the most important part
of my life. I believe that the process healed me as a person and henceforth as a manager.
After that I gained certain qualifications of hospitality industry to make me suitable as an
employee. I learned a lot through my superiors and then converted my work as a mission towards
achieving success for the organization. My hard work has put me in the position of CEO. I loved
this process and want to ensure that every employee gets the same.

Analysis of 1 page info graphic
Vision/mission of organization
Vision of the McDonald
The vision statement for McDonald’s is –
“To move with velocity to drive profitable growth and become an even better McDonald’s
serving more customers delicious food each day around the world”.
Its vision is fantastically describing its goal. This vision can hence be termed as a desired future
position for the company.
Mission of the McDonald
The mission statement for MacDonald’s is –
“To be our customers’ favorite place and way to eat and drink.”
It aims to set company’s purpose along with deciding on its internal approaches and strategies
towards that approach. The mission statement hence defines the near and middle term objectives
for the organization.
These mission and vision statement will further open up the strategic understanding for both
internal and external approaches of McDonald.
Summary of historic performance
Even after being a famous brand globally, Macdonald’s has concentrated its approach towards its
market. It has products in limited quantity but with a high quality. It was founded in 1940. It
grew as an idea that was operational. Macdonald’s from the very start was very effective in its
operations. It has limited menu with high stress on quality.
Macdonald’s enjoys its product features and use them as the method of brand recognition.
Customers visit its outlets globally only due to its expensive quality of product and the amazing
brand that it is. To remain competitive, it should extend more towards its strategic objectives.

Currently, McDonald as an organization is very successful. Its operations are in more than 30000
outlets in approximately 199 countries. It is also one of the most successful franchisee model
being operated all around the world.
Evaluation of internal environment and external
environment
Evaluation of internal environment
At McDonald’s strategies that are being used internally are –
 Efforts should be made to maintain superior quality of all products.
 Centralized structure to operate all franchisees.
 Rigorous standards and training terms for all employees and franchisee managers.
Evaluation:
Due to these strategies, company has been able to get these internal strengths.
 Strong brand presence.
 Market diversification.
 Stand and centralized process.
 Efficiently maintained quality products.
These internal factors and strategies are the reason behind its actual success on all platforms
globally.
Evaluation of external environment
There are also strengths related to company’s global outage that relate to its policies affiliated
with external environment. These are –
 Growing health consciousness and demand for organic products.
 Changing customer habits and demands such as home delivery requirements.

 Opportunities for effectively operated global restaurants in various nations.
 Change in commodity prices.
 Changes in political situations creating issues of lawsuits.
McDonalds used all these in its favour and made these strategies for external environment.
 International market expansion.
 Home meal deliveries.
 Full adaptation to new practices such as organic food processing.
 New products and services.
 Growth of franchise restaurants.
 Market dominance.
 Rapid expansion.
 Increased advertising and marketing budgets.
These external environment strategies have been used to make sure that company operates
globally by utilizing all opportunities and sidelining all threats.
Description of key strategies and initiatives
The key strategies that McDonalds has used in the process are –
 Expansion in developing countries.
Developing countries have been the powerhouse of opportunities and hence creating a
base there will be productive. This is why, McDonalds applied this strategy.
 Market development operations in multiple developing nations of Africa, Middle
East and Asia.
There is seen to be a chance of development in some of the poorer countries of Asia,
Africa and Middle East. It can go the right way if the countries are into development of
new industries. New opportunities will be there in that case.
 Product diversification and launches of new products and services.

New products and services are the demand from new generations and hence it must be
done in a McDonald’s way.
Implementation challenges ahead
There are various threats that company may have in the future ahead. It may have to face the
pressure globally due to
 Decreased political mileage
 Increasing lawsuits
 Aggressive competition from other fast food outlets.
 Healthy lifestyle trends.
 New trends or regulations in the nations.
Measures of strategic success showing evaluation of
strategies
Company can start looking for market development and product development along with market
outreach in certain nations. It should also work to provide high quality of products using product
diversification. The company can thus demean its threats by applying new development
techniques. These are the possible actions it could take.
Conclusion
It is a very competitive environment. It has high operations abilities and effects its operations
towards decreasing competitiveness.
Through these analysis, the company aims to build new growth opportunities and remain intact
on its efficiency and quality towards high growth strategies. Through this, it will be able to
achieve more rated growth and increase its global opportunities by undermining all threats.