Wednesday, October 30, 2019
Written report on Macdonalds Essay Example | Topics and Well Written Essays - 3500 words
Written report on Macdonalds - Essay Example From a strategic perspective, McDonaldââ¬â¢s is currently perusing an aggressive sales based strategy in new and emergent markets such as China, India, Russia and parts of South America. While McDonaldââ¬â¢s traditional markets such as the UK and US may be seen as saturated, the company has still managed to increase sales through organic growth with sales in 2010 increasing by 3.9% in the US and 4.4% in Europe compared to 6% figure seen in new and emergent markets for the company (McDonaldââ¬â¢s, 2010). In generating continued growth over the past eight years, the annual report (McDonaldââ¬â¢s, 2010) highlights the fact that a clear strategy has been set in the adaptation of a globalised marketing mix template to meet the needs of localised customer groups (Brassington and Pettit, 2006, Kottler et al, 2009). As such, for McDonaldââ¬â¢s this results in a business model with limited complexity and the associated costs of complexity, yet the ability to benefit from a localised marketing strategy. In addition the business has in recent years developed a clear model of communication in which three key stakeholders are included so as to ensure success of the businesses strategy at the aggregate level. Here the annual report (McDonaldââ¬â¢s, 2010) highlights franchisees, suppliers and employees as the key stakeholders of the business in carrying out the overall strategy of the business. A standard tool for analysing the key factors within the general level or macro environment is to use a PESTLE analysis (Jones and George, 2010, Johnson et al, 2008). The PESTLE analysis considers six key factors within the external macro level environment which may have an impact upon how a business later seeks to create a competitive advantage. Political factors in recent decades may be seen as aiding the McDonaldââ¬â¢s business model for large international expansion. Key political reforms
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