McDonald's Impact on UK Local Businesses: A Project Report

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Desklib provides past papers and solved assignments. This project analyzes McDonald's impact on UK local businesses.
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MANAGING A SUCCESSFUL BUSINESS PROJECT
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Table of Contents
PROJECT TITLE- HOW MACDONALD’S HAS BEEN IMPACTING THE BUSINESS ENVIRONMENT OF
THE LOCAL COMPANIES IN UK?.....................................................................................................2
AIM OF THE STUDY................................................................................................................ 3
THE OBJECTIVE OF THE STUDY...............................................................................................3
PROJECT DEFINITION............................................................................................................. 3
PROBLEM STATEMENT...........................................................................................................3
PROJECT STRATEGY................................................................................................................3
RATIONALE OF THE STUDY.....................................................................................................4
PROJECT COST AND TIME...................................................................................................... 4
RISK ASSOCIATED...................................................................................................................5
COMMUNICATION PLAN........................................................................................................5
RESOURCES INVOLVED.......................................................................................................... 5
PROJECT ASSUMPTIONS........................................................................................................ 6
WBS....................................................................................................................................... 7
GANTT CHART........................................................................................................................8
REFERENCES.................................................................................................................................10
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PROJECT TITLE- HOW MACDONALD’S HAS BEEN IMPACTING THE
BUSINESS ENVIRONMENT OF THE LOCAL COMPANIES IN UK?
Through globalisation, the countries can expand their business around the world but these
companies have a negative impact on the local companies. Just like many other multinational
companies MacDonald’s is also a multinational company that was founded in the 1940s in
America which serves fast food all over 117 countries. MacDonald’s came to the UK in 1974 and
now it has over 1250 restaurants in the UK. It has a huge impact on the functioning and
revenues for local companies, as the local restaurants are ignored when it comes to
MacDonald’s, MacDonald’s have been maintaining it's quality, taste with standardisation in all
its store around the world, hence creating a huge threat to the local restaurants that prevail in
the UK. After MacDonald's, there is a reduction in the customer base and revenues of local
restaurants. The reason also includes the popularity of MacDonald's worldwide and it's brand
image worldwide is so strong that all generations recognise the company by its logo and prefer
to go to MacDonald’s that going to the local restaurants.
As MacDonald’s have made burgers and fries whose taste has been the same in all of its stores
this has a huge effect on customer preferences. The local restaurants in competition to
MacDonald’s have made changes to their local meals which were their core competency.
Another factor that is important is the price of the meals is very much affordable and
satisfactory to fill an empty stomach, the weekly offers, monthly offers, combos and happy
meals are the key competencies that lead MacDonald’s to a huge success. MacDonald’s have
been expanding its stores through franchising and turning the local restaurants into MacDonald
stores. As these local stores who are not having that much of customer base and low market
share with no improvement in revenues and customers, they prefer to turn into a MacDonald
store through franchising.
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AIM OF THE STUDY
The main aim of the study is assessing the impact of MacDonald’s on the business environment
of local companies in the UK.
THE OBJECTIVE OF THE STUDY
To assess the impact of MacDonald’s on local companies.
To assess the decline in popularity of local companies due to operations of
MacDonald’s.
To assess the decline in revenues of local companies due to operations of MacDonald’s.
PROJECT DEFINITION
This project will involve a comprehensive study of impact of MacDonald’s in the fast food
industry. The main aim of the study is to find out the current situation of the local restaurants in
the market due to MacDonald’s. What are the challenges faced by the local companies.
PROBLEM STATEMENT
The research is done on the impact of MacDonald’s and other multinational companies on the
local companies of this sector, what the customer reviews and their preferences towards the
local and multinational companies.
PROJECT STRATEGY
The research will be conducted on the basis of project strategy that involves three parts-
Firstly for conceptualizing the impacts of MacDonald’s literature review and meta-
analysis needs to be done.
On the basis this literature review the analysis and measurement framework is planned.
The survey with its analysis on the impact of MacDonald’s on the local companies is
needs to be done.
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RATIONALE OF THE STUDY
This study is being conducted to know the effect of MacDonald’s on the local companies to
know all the related information before opening a restaurant in the local area. MacDonald’s is
one of the largest fast food chains in the world, and it has gained its goodwill by maintaining
good quality, good taste and standardization and through this it is affecting the business of the
local companies , so to find out the opportunities in the market that can be grabbed and the
threats from MacDonald’s and other competitors. The necessity to research is to find out the
scope for local restaurants in the market where MacDonald’s have its largest share of
customers, in 2009 MacDonald’s returned $58 billion to its shareholders (Annual Report,
McDonald’s, 2009) which prove of having a large share in the market. As MacDonald’s have the
unique policy of franchising and its 80% of the stores are franchised to the local people making
its share more prominent and overlapping to the local restaurants. Local restaurants have been
suppressed by these international brands like KFC, MacDonald’s and Subway as they provide
various varieties in the menu and simultaneously fulfilling the standards of food authority and
cleanliness authority, by this people tend to think the local restaurants provide.
Project scope - the study is to find the impact of MacDonald’s on the local companies of the UK.
The study would help the company to understand the current trends and preferences of
people. The opportunities and threats in the market that the company will be facing in future
will be discussed in the report (Kieckhäfer et al., 2017).
PROJECT COST AND TIME
To achieve the aforementioned aims and objectives the time period required will be of 15
weeks and estimated cost would be approximately £100 inclusive of all the costs. This includes
the cost of hiring a human resource for survey and questionnaire, the people who will analyse
the information and will generate the results. The cost will also include the subscription to the
analytical software required to do conduct research analysis.
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RISK ASSOCIATED
As the project is targeted to be finished within 15 weeks the risk associated here is that if the
time exceeds the time frame there will be an increase in the cost of research. The delay in the
research can create a burden of extra cost for the company as it has to provide for the human
resource for their extra days of research work.
COMMUNICATION PLAN
A project communication plan is a tool that helps to communicate with the clients, team and
stakeholders effectively on a project. It helps in setting up the guidelines about what
information is to be communicated to whom, who will be held responsible for and mainly to
communicate the needs of the project.
To execute the research communication with the different stakeholders is necessary and that
would be performed accordingly. There are various communication methods like mail, meeting,
discussion boards, status reports of analysis charts, to do lists, survey reports(Kim and de
der,2013).
RESOURCES INVOLVED
The study will need human and financial resources in order to complete the project timely
within the budget. The human resources will be needed to execute the research and its
implementation. There will be a requirement of human resource that is skilled and also the
people who have the knowledge of conducting a survey and some of them should have the
skills to analyse the information by using special software. They should know how to interpret
the results that are derived after the analysis. Software like SPSS can help in analysing the raw
data through various statistical tools of Annova, correlation, mean etc., stationery to conduct a
survey or the survey can be taken online through Google surveys. Capital or money required for
conducting the survey and study is the most important resource required.
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PROJECT ASSUMPTIONS-
Data collected through secondary data is appropriate.
Data collected through primary data or survey is appropriate and the people those are
being surveyed have responded truly in the survey.
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WBS
WBS (Work breakdown structure) is a key structure that helps to organise total work into
different manageable sections. As the company is planning to open its outlet it has to first study
the impact of MacDonald’s on the local market for that a study is to be conducted which will be
a 20 weeks task. This structure will help in organising the sections (Lee et al., 2010). The
structure is as follows-
1.
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IMPACT OF MACDONALDS ON LOCAL
BUSINESS
ESTABLISHING AIMS AND
OBJETIVES
1.BRAIN STROMING
2. FOCUS GROUP
3. DETERMINING AIMS
AND OBJETIVES
SECONDARY RESEARCH
1.DATACOLLECTION
2 .LITRATURE REVIEW
3. META ANALYSIS
PRIMARY RESEARCH
1.QUETIONAIRRE
(SURVEY)
2.DATA COLLECTION
3.QUANTITATIVE
ANALYSIS
RESULTS AND
IMPLICATIONS
1.EVALUATION
2. FINDINGS
3.IMPLICATION
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GANTT CHART
This chart was given by Henry L. Gantt in the year 1917. He was a social scientist and engineer.
This chart is very much helpful in making a project plan through a graphical representation of
schedules week wise that will be used in planning, organising and controlling with the track of
tasks to be done in respective weeks(Sharp et al., 2012).
Activities 1-2
week
3-4
Week
5-6
Week
7-8
Week
9-10
week
11-12
Week
13-14
week
15th
week
Brainstorming/focus
group
Identifying aims and
objectives
Secondary research
and data collection
Meta-analysis
Primary research
and data collection
Quantitative data
analysis
Establishing
outcomes
Recommendations
Evaluation
Gantt chart will help in identifying the impact of MacDonald’s on the local restaurants. At first,
the project will be initiated through the secondary research where the earlier researches on
this topic will be identified and studied, the results or the findings of these secondary
researches will be analysed with the activity of literature review. After this, the primary
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research will start in which the data is collected by conducting a survey of people and their
preferences. After the collection of data, the data is analysed by using tools of statistics
resulting with outcomes and these outcomes are analysed with providing recommendations
and suggestions on the result. The process of evaluation starts at the time of secondary data
collection and is continued until the end. The research will be concluded in 15 weeks.
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REFERENCES
BD, 2019. Impact of globalisation on small business. (Online) available at:
http://www.businessdictionary.com/article/583/impact-of-globalization-on-small-
businesses/ (Accessed on 5th March 2019).
Kieckhäfer, K., Wachter, K. and Spengler, T.S., 2017. Analyzing manufacturers' impact on
green products' market diffusion–the case of electric vehicles. Journal of Cleaner
Production, 162, pp.S11-S25.
Kim, J. and De Dear, R., 2013. Workspace satisfaction: The privacy-communication
trade-off in open-plan offices. Journal of Environmental Psychology, 36, pp.18-26.
Lee, J., Deng, W.Y., Lee, W.T., Lee, S.J., Hsu, K.H. and Ma, S.P., 2010. Integrating process
and work breakdown structure with the design structure matrix. simulation, 7, p.8.
Macdonalds, 2019. About MacDonald’s. (Online) available at:
https://www.mcdonalds.co.uk/ukhome/People/Franchising.html/why-mcdonalds.html
(Accessed on 5th March 2019).
OTL, 2018. Gantt chart. (Online) available at: https://www.officetimeline.com/make-
gantt-chart/excel (Accessed on 5th March 2019).
Sharp, N., Enzi, J., Fountoulakis, E., Lam, B. and Rabbior, M.C., International Business
Machines Corp, 2012. System and method for displaying Gantt charts with other project
management tools. U.S. Patent 8,245,153.
TT, 2019. Gantt chart. (Online) available at:
https://searchsoftwarequality.techtarget.com/definition/Gantt-chart (Accessed on 5th
March 2019).
UKE, 2019. Impact of globalization. (Online) available at:
https://www.ukessays.com/essays/commerce/globalization-and-impact-of-mcdonalds-
globalization-commerce-essay.php (Accessed on 5th March 2019).
UKE, 2019. Macdonald’s impact. (Online) available at:
https://www.ukessays.com/essays/marketing/business-environmental-analysis-of-
mcdonalds-marketing-essay.php (Accessed on 5th March 2019).
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WBDS, 2019. WBS. (Online) available at: https://www.workbreakdownstructure.com/
(Accessed on 5th March 2019).
Wrike, 2019. Introduction to a project plan. (Online) available at:
https://www.wrike.com/blog/foolproof-project-plan/ (Accessed on 5th March 2019).
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