Analyzing McDonald's Strategic Positioning in the UK Market

The assignment examines how McDonald's leverages its marketing strategies to maintain a strong brand presence in the fast-food industry. By analyzing advertisements, product innovations like the Big Mac ATM, and consumer engagement initiatives, students will assess the effectiveness of these tactics in shaping customer perceptions and driving sales. The study also includes examining McDonald's response to market trends, such as introducing all-day breakfasts and tailoring products for different demographics. Overall, this analysis aims to provide insights into how strategic marketing contributes to McDonald's sustained success.

Marketing Essentials

Table of Contents
INTRODUCTION...........................................................................................................................1
TASK 1............................................................................................................................................1
P1 Roles and responsibilities of the marketing function of Mc Donald.................................1
P2 Roles and responsibilities of marketing with other functional areas................................3
TASK 2............................................................................................................................................5
P3 Comparison of marketing mix of Mc Donald with Cadbury............................................5
TASK 3............................................................................................................................................6
P4 Basic marketing plan of Mc Donald.................................................................................6
CONCLUSION................................................................................................................................8
REFERENCES................................................................................................................................9

INTRODUCTION
Marketing is a mechanism through which products and services moves from
manufacturer to end consumers. This activity includes many intermediaries in between which
help in flow of goods from one place to another. Mc Donald is an American fast food chain, that
has its branches all over world (Dibb and Simkin, 2013). This chain served approx. 68 million
customers in approx. 120 countries. This study will provide reader about knowledge of
marketing mix of same company as well as about factors which influence promotion of product.
This report also put light upon marketing mix factor of company as well as its comparison with
other MNC industry. The process of selling and producing goods and services, help company to
reach its targets and business goals which were planned by firm to achieve in limited time.
TASK 1
P1 Roles and responsibilities of the marketing function of Mc Donald.
Marketing manager plays crucial role for every department of company. Marketing head
has to perform many activities in behalf of firm. Marketing sector serve coordination and
cooperation among departments. Sales division creates awareness about products and services of
company. It help in creating brand value in market area. Through above such activities
organisation is able to achieve its goals as well as business objectives. Some duties and
responsibilities of marketing department are:
Defining and managing brand: this sector help in creating value in market which will
directly influence upon market share of industry. It provide members about every basic
knowledge as for what they are and where they stands for in company.
Conducting campaign management: Head of sector is responsible for analysing sales
of each product of a company. An individual collect all related information and compare
expenses of each division (Dibb and Simkin, 2013). Budgets are provided to financial sector
according to which whole organization works.
Promote and market products: This department mainly focus upon advertising of
goods and services in markets through various promotional activities. It is all concern about
creating awareness among community. This has to make customer vision with up to date. Every
fresh goods has to be provided in new fresh market.
1

Provide content for website: Customers like to buy online products. So trade sector
provides information about product online that make buyers aware about merchandise. This
sector provides with every current data on website.
Conducting customer and market research : It ensures research and development of
commodity and services. As this help in render with knowledge that how company products are
perceived in market.
Overseeing outside vendors and agencies: This help in managing outside vendors
which includes print vendor, PR specialists, web provider etc.
Strategy development: Marketing manager is responsible for activities like increasing
market share, revenue as well as contributing in market growth and productivity. So senior
manager setting strategy for entity so that goals and objectives can be achieved (Wirtz, 2012).
Sales support: Cooperation and coordination between departments can make
improvement in sales performance as ensures high quality goods for customers. It also help
company to get registered in different portals which will attracts more ans more buyers.
Identifying potential market: With future and current trends they analysis market for
particular product. The market analysis is based on demographical factors like age, per capita
income, taste as well as preferences of particular area.
Budgeting: MacDonald marketing manager sets reasonable budgets for company these
budgets includes advertisement cost, expenses etc. which is im0portant for manage as as firm
should life under budgets made by departments (Pike, 2015).
Assessing outside factors: All such factors which impact organisational activities are
assessed by this department which directly save company from any losses. As these elements
present in environment are dynamic in nature so proper tack should be made to change
accordingly. As company need to focus on them so that it can run for long in market area.
Track trends and monitor competition: This is very important for companies growth
and development. By this firm will know its state and where it stands in industry (Malhotra,
Birks and Wills, 2013).
Get rid of repetitive task: As by making coordination between departments this may
avoid continual task among them which waste time of both company and of its members. As this
transmit information automatically between sales channel by which it help them to mange their
activity smoothly and properly.
2

Listening of customer needs: Buyers are considered as king of every venture, so firms
had to modify them according to their customers (Lamb, Hair and McDaniel, 2011). Because
they are only source form where company gains its profit. MacDonald has developed various
strategies to identify various needs of customer in order to bring efficiency in their processes and
product delivery.
All above points explains about duties and responsibilities of marketing department in an
organisation. This sectors provides benefit to all and ensures coordination and cooperation
among them which help in obtaining marketing goals and business objectives. Provides
promotional activities on different websites which will help buyers to purchase products online
of particular entity (Lancaster and Massingham, 2010).
P2 Roles and responsibilities of marketing with other functional areas.
Marketing departments has interrelation with other functional areas. As this division
provides coordination and cooperation between other sectors. It makes strategy for all functional
departments. Others areas includes functional, operational, human resource. As this division
insures that whole business works with customer point of view.
Functional department: The marketing department has to work closely with this sector
as to known budgets and work according to that. As all sectors has to work according to
allocated budgets by them. As all are equally important for company so profit is segregated
according to expenses made in particular area (Jones and Rowley, 2011). As marketing
departments concentrate on sales volume and busy in building market share whereas financial
division concentrate on cash flows of company.
Operational department: This sector collects information about current and future
trends of market. According to which research department will perform their activity as well as
they will produce product and will satisfy buyers. This also ensures that goods should be
designed as per reported by outsiders. As marketing department set deadline for them as per that
they offer those goods in market and create awareness about same (Papasolomou and
Melanthiou, 2012). Where as this sector as to ensure that any defected item has not been placed
in external areas that can directly impact on reputation of entity.
Human resource sector: As this division provides recruitment and training to workers
who work for sales department in manufacturing products through which sales targets are
achieved as well as which ensures smooth running of firm as well as will provide innovative
3

products weekly which will attract buyers on daily basis (Mihart, 2012). This sector creates team
team spirit among employees as well as in sales team to meet deadline of goods as soon as
possible. By HR motivation workers gives their full contribution and show full effectors in
behalf of industry as all are dependent upon workers then only whole process will work.
Inventory chain management: They are supplier for company who brings as well as
provide raw material to troupe and supply finished goods to end users. They act as intermediaries
for enterprise who comes in such activity. As every fellowship need to make them happy because
they stands puts very crucial position in company. This control in repetition of stock as cater data
from marketplace as which goods are in more demand and what goods are out of stock. So as per
given data marketing departments works. As firm produces various goods as some attract
pushers so that are more focused by company to manufacture (Desai, 2013).
Effect of competitors: Contest has increased day by day with coming of new entries in
environment. This influence others to be competitive in nature which directly shows changes in
goods and services of others. That is why sales head has to keep proper record of trends of
market. If firm will not make modification than it will led back in race and competitors will win
and will be rewarded by buyers.
Micro environmental factors: External atmosphere change without giving any pre
notice so entities need to be proactive in all aspects as this environment has dynamic behaviour
which continuously changes in no more time. This situation includes PESTEL – political,
economical , environmental, social, ecological , legal all such factors change with in few seconds
(Nguyen and Simkin, 2012). As with coming of small business they had deceases monopoly of
large corporation which had create more work load on big institution. They need to prepare
themselves hard to beat them.
Micro aspects: These includes internal sector of business such as company need to do
SWOT analysis this includes strength, weakness, opportunities, threat which provides with data
that how well firm is working as what steps it should take for its rivals.
TASK 2
P3 Comparison of marketing mix of Mc Donald with Cadbury.
In traditional times every company uses 4P's but now in recent time 3P's have been
introduced so it means there are 7P's that are included in marketing mix of industry. This concept
4

has provide extra knowledge with which detailed information can be developed for entity. This
retail chain provides its services all over world (Pai, 2010).
Marketing mix
elements
MacDonald Cadbury
Product Menu according to buyers need and
wants
Milk Products and packaged food for
sales
Price Premium pricing to deliver high
quality of products and services
Lower pricing
Place Company owned outlets in the
public reach areas and markets
Market distributors, grocery retailers
Promotions Print and electronic media
promotions
Targeted promotions for age groups
and for a particular time of period via
print and electronic media
People Energetic and talented people are
used by the company in their retail
outlets
Mainly shopkeepers and sellers are
the representative in front of the
customers to deals with them
Physical evidence A sparkling internal environment
attracts to customers towards its
Packaging of chocolates attracts to
chocolate lovers
Process Company provides a fresh food to
customers according to their orders
In the manufacturing they are having
automatic processing and for sales
they used sellers and distributors
Product: Its creates its menu according to buyers need and wants. Face to face market
research is done customer. In order to meet its targets business introduce new products on daily
basis. With introduction of new technology it starts to modify its items which attract large
customers of areas. It has acquired large area of market and with time has improved market
growth. On the other hand cad bury produces milk products to their customers.
Price: Buyers perceptions are modify with modification of prices of venture. As now
purchasers are smart as well as intelligent they can not be fooled by somebody as they know
5

what worth every goods contain with it so prices are to be efficiently set by organization to retain
their regular and new buyers (Swenson, Rhoads and Whitlark, 2014). It is leading is leading in
burger chain across world). Another company deliver its goods at low price but at same time
decreases its quantity.
Promotion: This strategy is given less importance in MacDonald as entity has huge
market share so enterprise is not wasting its money for creating awareness in market. As industry
main focus is on children as if small citizens are attracted seniors automatically comes for their
loved ones. As promotion takes place with in as they offers various scratch cards and lucky
draws for little ones as well as provides various combos to them. Is target market is India as
Indian love to eat sweets so its market share of India is much more than others.
Place: Location is such factor which sets sales range for industry. As this not only a area
it is distribution point for every firm so venture had to mange as per location. Outlets are placed
in crowded street so that it can be easily available to people (Hsu, 2011). Every centre of state is
chooses so that it can be easy for members and purchasers. This milk factory is present in more
than approx 200 countries. Its supply is in bulk and are widespread in world.
People: Employees are first attraction for every industry so company provided uniform to
their worker which reflect equality in all. All franchises shows happy environments which
automatically make customer happy. As other industry directly provide to retailer so training is
given to therm about how goods will be stored by them as well as these shop keepers provide
them shelf to display their stock.
Process: The institution process is well managed and transparent that is visible to all
buyers by which purchasers can be satisfied as they payers of render services. So it is managers
responsibility to take care of such things. The actual manufacture is not visible to buyers as Mc
Donald do. Manufacturing plants are far from area of consumption.
Physical evidence: As this point says that location which has been chosen for outlets. A
calm and smoothing environment should be used to force customer to buy your product. The
milk company try to tract those area where their stock can be easily sold to customer after
analysis of particular location physical existence is given to commodity. As they pay to person
who gives special place to their substance.
As above summary is about marketing mix of Mc Donald as well as of Cad bury through
this reader can understand that what factors make them different from each other as both are
6

MNC companies but us different strategy on which they are dissimilar from each other in all
aspects. 7P's of both same but uses are unique of such ventures (Hung, 2010). Both ventures had
hold customer from both side by taking much advantage of their need through which they had
flourished their business in vast areas. Multinational companies are building high growth through
which they had cover larger group of areas.
TASK 3
P4 Basic marketing plan of Mc Donald
Marketing plan is basically a document that briefs the important actions which are
required to be implemented so that a company can achieve its goals. It can be for a service, brand
or for a specific product line. It is basically for a particular period of time and can also be part of
all business plan. Marketing plan of any venture includes its target market, customers, channel of
distribution, promotional strategies, location and all aspects related to market area. Through this
they can also gain information about their enterprise because before developing it they have to
identify strengths and weakness which they have (Gamble and et. al., 2011). They also have to
find the opportunities and threats in their business. On the behalf of this they can prepare a plan,
which will help them in gaining organisational goals. This marketing structure is a process
through which goals as well as objective of entities are achieved. In the all process the first step
which is carried out is of analysing the environment. Evaluation of the business can be done
through SWOT analysis. Through marketing strategy they can know their target segment and if
thery want to attracft more customers it is necessary that they work on marketing mix. Marketing
mix is the 4Ps i.e., promotion, product, place and price. Aim of this is not only focuses on
strategy but to look at all the aspects and whatever loopholes are there should be terminated. It is
observed that most of the companies do SWOT analyses in order to better understand its internal
structure. They look for opportunities and work on those so that they can grow and expand their
business in bigger environment. Each department of the company is properly researched out and
it is important because before developing any strategy they should have a full fledge knowledge
of their working (Brooks and Simkin, 2012). Internal factors can easily be controlled and
moulded according to the needs of firm but there are some external areas which indirectly affects
their working and have little control over.
7

If they want to know what all external things effects their operations, they can do
PESTLE analysis. PESTLE analysis is all about knowing the external surrounding which include
political, economical, social, technological, legal and environmental factors.
Target Market: The plan will be targeting children and the countries where it does not
exist.
Company overview: It is essential for the company to enhance their marketing activities
and promotions which can help to the company to make a better change in the market position in
their targeted market. Competition in the food industry is growing day by day so it is essential to
make a changes in the promotional activities of MacDonald.
Situational analysis:
8

Source: Thumbs up for all day McDonald's breakfasts. 2017.
According to the above presented graph company has to promote their products in all of their
targeted markets which can help to them to make a better change in their sales and marketing.
Strategic objective of the Plan: The basic aim of the marketing plan is to satisfy the
customers through quality service and expanding its outlets. To increase the brand awarness
among non existing consumers. Will try to increase the sales by 30 percent.
There are various types of market opportunities which can be used by Mc Donald to prepare a
marketing plan for any brand. Below mentioned are some of them:-
9
Illustration 1: Products ratings by customers

 Product Development: This include bringing of a new product in the market or
modifying a current existing item. Through market research and by taking feedback of its
consumers McDonald can plan to introduce a new brand or food item in the market. With
creation of new product with some changes in it will benefit the customer (Illing and
Anders, 2016). For example; McDonald's brings a burger for the school children which is
veg burger and cheap. They are also introducing self service system in which customer
can put money in the machines and can collect their orders.
 Market Penetration: It refers to the expanding of the current market share of a current
product. Mc Donald can increase their market through introduction different strategies
which include modification in the price of the burgers or giving customer frequent
discounts.
 Market Development: Aim of this is to grow their business into new markets and attract
those people who are not part of their business. McDonald can make debut in those
countries where they see a big market, this will help them in increasing their revenues.
There are various nations where there is absence of multinational food companies.
Choosing African countries would be better option because people out there prefer fast,
so they can deliver them fast food in low price (Ogunmokun and Tang, 2012). They will
bring a promotional strategy to make it success in those area, through advertisement,
mails and various campaigns their will yield better results.
 Diversification: It is a strategy which has objective of entering a unknown market or
sector through developing a new market. This is a complicated strategy because
McDonald don't have am experience or knowledge of that segment and they also have no
idea about the success of the business in that area. They can add local flavours of that
nation or place to their burger. McDonald is capable of handling any situation because
they have flexible working style. So the newer market would not affect them much.
 Budget: A budget is here for the marketing plan which can help to the company to
conduct their activities and implement their marketing plan:
Marketing activities Amount
Advertisement 10000
Sales promotions 13000
10

Social media marketing 12000
Total 35000
They will put forward the plan to the finance department and they will allocate budget for the
new plan (Baker and et. al., 2016). Mc Donald marketing will receive half of the budget of the
total company budget.
CONCLUSION
From the above report it is concluded that, if a company has to grow and gain profit it has
to first analyse its market. Different roles and responsibilities of the marketing has to relate their
organisation function. Every firm uses different techniques and tools to their marketing plan.
They differentiate themselves on basis of their marketing mix and the objectives. McDonald
which is world's largest food restaurant chain is developing their marketing plan in order to
expand their business operation. They are trying to vow those people who are not part of their
business, so they grow their themselves in those countries where it does not have any outlet.
11

REFERENCES
Books and Journals
Baker, M.A and et. al., 2016. The evolution of services marketing, hospitality marketing and
building the constituency model for hospitality marketing. International Journal of
Contemporary Hospitality Management. 28(8). pp.1510-1534.
Brooks, N and Simkin, L., 2012. Judging marketing mix effectiveness. Marketing Intelligence &
Planning. 30(5). pp.494-514.
Desai, S.S., 2013. An analysis of the competitive marketing strategies of the hospitality industry
in UAE. IUP Journal of Management Research. 12(1). p.22.
Dibb, S and Simkin, L., 2013. Marketing essentials. Cengage Learning.
Gamble, J and et. al., 2011. The Marketing concept in the 21st century: A review of how
Marketing has been defined since the 1960s. The marketing review. 11(3). pp.227-248.
Hsu, W., 2011. The vocabulary thresholds of business textbooks and business research articles
for EFL learners. English for Specific Purposes. 30(4). pp.247-257.
Hung, J., 2010. Economic essentials of online publishing with associated trends and
patterns. Publishing Research Quarterly. 26(2). pp.79-95.
Illing, L and Anders, F., 2016. Human Resources Marketing and Recruiting: Essentials of
Executive Search. Handbook of Human Resources Management. pp.139-171.
Jones, R and Rowley, J., 2011. Entrepreneurial marketing in small businesses: A conceptual
exploration. International Small Business Journal. 29(1). pp.25-36.
Lamb, C.W., Hair, J.F and McDaniel, C., 2011. Essentials of marketing. Cengage Learning.
Lancaster, G and Massingham, L., 2010. Essentials of marketing management. Routledge.
Malhotra, N.K., Birks, D.F and Wills, P., 2013. Essentials of marketing research. Pearson.
Mihart, C., 2012. Impact of integrated marketing communication on consumer behaviour: effects
on consumer decision–making process. International Journal of Marketing
Studies. 4(2). p.121.
Nguyen, B and Simkin, L., 2012. Fairness quality: the role of fairness in a social and ethically
oriented marketing landscape. The Marketing Review. 12(4). pp.333-344.
Ogunmokun, G.O and Tang, E.C.H., 2012. The effect of strategic marketing planning behaviour
on the performance of small-to medium-sized firms. International Journal of
Management. 29(1). p.159.
Pai, M.H., 2010. The effect of customer orientation of salesperson on customer satisfaction and
sales performance-Moderating effects of customer’s personality (Doctoral dissertation.
National Sun Yat).
Papasolomou, I and Melanthiou, Y., 2012. Social media: Marketing public relations’ new best
friend. Journal of Promotion Management. 18(3). pp.319-328.
Pike, S., 2015. Destination Marketing: Essentials. Routledge.
Swenson, M.J., Rhoads, G.K and Whitlark, D.B., 2014. Startup marketing: Leveraging
leverage. The Journal of Applied Business and Economics. 16(6). p.56.
Wirtz, J., 2012. Essentials of services marketing. FT Press.
Online
McDonalds Is Debuting the Big Mac ATM. 2017. [Online]. Available through:
<http://1033uscountry.com/mcdonalds-is-debuting-the-big-mac-atm/>. [Accessed on 3rd
July 2017]
12