final presentation and scenario analysis
TRANSCRIPT
Kimberly Foulkes
Lindsay Cohen
Heather Gibson Joey Paolini
Final Presentation and Scenario Analysis
MatthewMarynowicz
Agenda
• Background Info and Current Strategy
• What could happen to McDonalds?
• Major Scenario with Recommendations
• Implications of Recommendations
Background Information
First Canadian location in Richmond, BC
They serve 68 million customers daily
Current StrategyMcDonald’s vision is to be the world’s best quick service restaurant experience
Logistics, Operations, Marketing, Service, R&D, HRM, and Corporate Governance
Competitive Premise
Creates diversification while maintaining great customer service to make you come back for more.
Possible Scenarios
Workers Walking off the Job
McDonalds is a part-time and low-wage workforce, keeping our costs low
Issue a public apology and increase the minimum wage by 50 cents per hour
Tax on Unhealthy Food
Unhealthily fatty food will make McDonald’s too expensive and undesirable for consumer, and profits will decrease
Actively involved in athletic endeavors to give brand an athletic image
Tax on Unhealthy Food
Add campaign to portray McDonald’s food as wholesome supplier of food
Improve materials management
MGMT 4000 Scenario
It’s official. McDonald’s food has been considered as cancerous by multiple new studies. The US government, under extreme pressure by the public, decides to regulate the company’s activities. This is a huge hit to the company’s supply and sales, and of course, their brand, and revenue. What strategic options are available to McDonald’s? What recommendations do you make?
Alternative 1 – Switching Suppliers
Extremely expensive (short-term) process but will pay off in revenue increases and help rebuild brand perception
Causes loss of expertise Gain better management of the outsourced activity. Gain strategic optimization
Alternative 2 - Research
Difficult task to identify the cause
Start to simplify the menu
Continue re-branding
Alternative 3 – Media Campaign
Focus on improvements
Fixed the Issue
Marketing tactics and
social media
Recommendation
Honesty to customers
Switching suppliers
Advertise images/videos of McDonald’s execs eating McDonalds food
Future Strategic Direction
Health ConsciousDelivery McCafe
Health Conscious
Following trend without losing brand identity
Expand available options
Delivery
Necessary in order to keep up with competition
Online or app order placement
Meeting demands of busy consumers
Entering an additional market
Appeals to parents, students, and working people
McCafe Promotions!
Questions?