Taco Bell Corporation: Macro and Competitive Environment Analysis

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This report provides a macro and competitive analysis of the Taco Bell Corporation, examining various factors impacting its business environment. The macro analysis delves into political, economic, social, technological, environmental, and legal aspects, highlighting taxation policies, economic growth, social demographics, technological advancements, environmental policies, and data protection regulations. The competitive analysis assesses Taco Bell's current strategies, major competitors (McDonalds, KFC, Subway), capabilities (extensive outlet network, value meals, promotional partnerships), assumptions (digital marketing, healthy food offerings, differentiation), and future goals (sales and profit increase, international expansion, job creation, sustainability initiatives, and ingredient quality improvement). The report references several sources to support the analysis, offering a comprehensive overview of Taco Bell's position in the market.
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Running Head: TACO BELL CORPOARTION 1
TACO BELL CORPOARTION
MACRO AND COMPETITVE ANALYSIS
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TACO BELL CORPOARTION 2
Contents
Macro Analysis......................................................................................................................................3
Competitive Analysis.............................................................................................................................4
References.............................................................................................................................................6
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TACO BELL CORPOARTION 3
Macro Analysis
Basis Explanation
Political The political factors affecting the Taco Bell Corporation are taxation
policies prevailing throughout the western hemisphere. This resulted in
high amount of profits and the same time the costs on research and
development have also accelerated. Taco Bell Corporation has come under
global pressure to meet the international regulations.
There is a little change in Armed conflict and there are clues that state the
transition of government in near future (McClellan, et al 2019).
Economical Taco Bell can access the financial markets and there is easy liquidity
available in the market.
The economic performance grew above 9-11% due to increase in the
government expenditure.
Taco bell can use the infrastructure investments to penetrate the tier 2 and
tier 3 markets.
Increased liberalisation can help the organization to reach the offlimit areas.
Social For the technology and the sector of operations Taco Bell has sound
demographics.
A reflection of the increasing trend in the income inequality seems to be the
most prominent feature of the Taco Market.
The customers targeted by the Taco Bell are mostly associated with high
products and experiential services.
Technical There is a huge empowerment of the supply chain partners as the
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TACO BELL CORPOARTION 4
technology has reduced the time period of the product life cycle.
Taco bell needs to restructure the supply chain in order to bring in more
flexibility and to meet the needs of the customers.
In order to attract more payers in Research and Development, Taco Bell
needs to figure out high safeguard standards for IPR.
The latest technology must be availed in order to get an idea of the strategic
mind map of the competitors (Luo, Wang, Raithel & Zheng, 2015).
Environmental Taco Bell covers the environmental policies very well and therefore most
of the waste management units which are nearby the urban cities are
increasing.
Taco Bell has tie ups with Paris Climate Agreement
Legal Taco bell has invested in data protection software to adhere by the rules and
regulations of the Data protection law.
Employment as well as legal laws are also mandatory.
Competitive Analysis
Basis Explanation
Current strategy Major competitors include McDonalds, KFC, and Subway. The strategy the
company shall follow is to keep the prices low in U.S as well as
internationally. Due to competitive prices there is a rise due to inflation.
Secure the low prices for the inventory (Kraak, Englund, Misyak &
Serrano, 2017).
Capabilities 5800 outlets in U.S and 278 operating in EU. Value meals are introduced
specially with a tagline” Why pay more”. Tie up with the promotional
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TACO BELL CORPOARTION 5
partners and major sporting events.
Assumptions Ability to market the products through the digital marketing. The ability to
produce and deliver the healthy food. The differentiation strategy is what
keeps them capable of attracting the customers as it is assumed.
Future goals Increase the sales and the profit by 20%.
Open new restaurants overseas.
Create more job opportunities in U.S
Support the Taco Bell Foundation in enabling young people to pursue their
passions and dreams (Dominguez, 2015).
Reduce the CO2 emission by 11%
Make our food as crave able as ever with even simpler, higher quality
ingredients
Work to ensure all of our beef is sustainable.
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TACO BELL CORPOARTION 6
References
Dominguez, R. R. (2015). Run for the Border: The Taco Bell War. CTheory, 12-13.
Kraak, V. I., Englund, T., Misyak, S., & Serrano, E. L. (2017). A novel marketing mix and
choice architecture framework to nudge restaurant customers toward healthy food
environments to reduce obesity in the United States. Obesity reviews, 18(8), 852-868.
Luo, X., Wang, H., Raithel, S., & Zheng, Q. (2015). Corporate social performance, analyst
stock recommendations, and firm future returns. Strategic Management
Journal, 36(1), 123-136.
McClellan, A., Kanis, N., Guzman, E., Mercado, J., Mercado, J., & Iorio, G. (2019). U.S.
Patent Application No. 16/114,777.
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