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What are McDonald's management strategies to be the best in the fast-food industry?

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Par   •  15 Septembre 2022  •  Étude de cas  •  553 Mots (3 Pages)  •  502 Vues

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Presentation de MacDonald’s

McDonald's is an American privately company that operates internationally. Offers burgers, fries, ice cream and many other products. It is a very large company with about 2 000 000 employees. Its head office is located in Chicago and the company work in the secondary sector with the mission of producing and selling fast food. McDonald's has financial resources, especially from (sales profits, shareholder contributions and franchisee deposits). Material resources include (furniture, infrastructure, machines etc.), human resources include (employees and co-workers) and immaterial resources include (patents, brand awareness and image).

Problematic

What are McDonald's management strategies to be the best in the fast-food industry?

Strategies of McDonald's

First of all, McDonald’s as implemented a strategy of establishment, indeed McDonald's is established in many countries and cities to offer its products to a maximum of customers and thus have more profit and be present everywhere.  

Secondly, McDonald's has implemented a differentiation strategy to differentiate itself from its competitors. Indeed, McDonald's innovates by creating new burgers to its customers, but also by creating new toys for children. This company offers all this to distinguish itself and thus attract more customers and therefore have more profit.  

Thirdly, McDonald's uses a targeting strategy. Indeed, McDonald's will target children in particular by offering the "Happy Meal" menu which is dedicated to children. In addition, this menu includes a toy or a book, which attracts children even more and forces parents to bring their children to McDonald's and therefore to consume.

Fourthly, McDonald's uses the integrity strategy to make the company more popular. McDonald's is trying to make itself more popular, especially with by becoming more ecological with straws and paper cups and the green logo. These changes have helped to improve the image of McDonald's and thus attract more potential customers and show them that this organization also cares about the environment.  

Finally, Mcdonald's uses these different strategies to be closer to its customers and attract more customers and therefore make more profit.

McDonald’s VS Flunch

The biggest French competitor of McDonald’s is Flunch.

However, if we compare flunch and McDonald's we can see that there is a big gap between these two organizations. Indeed, McDonald's is present in almost all countries, unlike Flunch which is only present in Europe for the moment. Flunch will therefore logically have fewer customers than McDonald's. Moreover, we can see that Flunch's turnover in 2018 is estimated at more than 757 million euros while McDonald's turnover is estimated at more than 21,000 billion dollars which is much higher than Flunch, So McDonald’s makes more sales than flunch.

But that's not all, if we compare the menus, we can see that McDonald's targets children with its "Happy Meal" menu and the toys it contains, while Flunch's children's menus are certainly cheaper than Mcdonald’s menus but they are much less attractive to children. This explains the difference in the number of customers present in restaurants between these 2 organizations.

To conclude in order for Flunch to become a real competitor for McDonald's, the company must first expand internationally to reach more customers and become much better known. Flunch could also do more advertising to make itself more popular, this company could also vary its menus to reach more age groups and thus attract more customers. All this would allow Flunch to climb higher in the fast-food industry.

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