McDonald's SWOT Analysis: Opportunities, Threats, and Strategies

This report provides a SWOT (Strengths, Weaknesses, Opportunities, and Threats) analysis of McDonald's, a leading fast-food company. The analysis focuses on external factors, specifically identifying opportunities such as expanding into new markets like China and India, and adapting to changing consumer preferences. The report also highlights threats, including increasing health consciousness among consumers, intense competition, and the impact of government regulations. The analysis emphasizes the importance of understanding cultural and religious dietary requirements, such as Halal meat for Muslim consumers. The report uses references to support its analysis and provides a comprehensive overview of the external challenges and opportunities facing McDonald's.

Running head- SWOT Analysis
SWOT Analysis

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SWOT Analysis
Introduction
McDonald’s is a fast food company which was initially founded as a restaurant in 1940. It was
founded in San Bernardino, California, United States. It is the largest restaurant chain in the
world in terms of revenue (Meyer, 2015). It is operating in more than 100 countries, and it serves
almost 69 million consumers per day. McDonald's provides high-quality products and services to
its customers. The Headquarter is in Oak Brook, Illinois, United States.
SWOT Analysis
The external factors of SWOT analysis are opportunities and threats which we have to analyze
here.
Opportunities
McDonald's is operating in more than 100 countries, but still, it serves only 1% of the total world
population. The company has the opportunity to serve more customers worldwide as the
population of the world is increasing day by day. Apart from this, the younger generation prefers
to fast food. So, the company can target more customers worldwide. The company can expand its
business internationally as it is serving only in 100 countries (New, 2015). China and India is the
largest market in the world, so the company should tap these markets as well. The taste and
preference of the people are changing along with lifestyle so the company should meet the
changing requirement of the people through innovation. By doing this, the company can attract
more customers. The company can also tie up with the retailers as a joint venture to increase its
market and market share. It can also attract more customers by proving Wi-Fi at its retail stores.

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SWOT Analysis
Threats
In today work, one of the biggest threats is that the people are becoming more health-conscious,
and due to this they avoid fast foods which negatively impact the health of the people. The level
of competition in this industry is also a major threat to the company. The level of competition is
increasing day by day as the new players are entering into the same industry. The change in
government regulations in different countries are also a threat to the company, and the company
needs to follow the rules and regulations of the particular country in which it is operating (New,
2015). The taste and preference of the people of different culture, religion, and age group are
different. For example, Muslim community can eat only Halal meat. So, the company should
take care of it to avoid any issue or problem.

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SWOT Analysis
References
Meyer, P. (2015). McDonald’s Marketing Mix: 4Ps Analysis. Panmure Institute. October, 7.
New, S. (2015). McDonald’s and the challenges of a modern supply chain. Harvard Business
Review.