S.W.O.T AnalysisS.W.O.T AnalysisFor McDonald’sFor McDonald’s

By team 4…By team 4…

HistoryHistory

McDonalds was started by Richard and McDonalds was started by Richard and Maurice McDonald as a restaurant concept Maurice McDonald as a restaurant concept in San Bernardino, California on 15in San Bernardino, California on 15thth May,1940.May,1940.

Mr. Ray Kroc took over the rights from Mr. Ray Kroc took over the rights from McDonald brothers and founded The McDonald brothers and founded The McDonalds Corporation on 15McDonalds Corporation on 15thth April,1955 April,1955 in Des Plaines, Illinois.in Des Plaines, Illinois.

The Head Quarters of The McDonalds The Head Quarters of The McDonalds Corporation is at Oak brook, Illinois.Corporation is at Oak brook, Illinois.

Some interesting facts about Some interesting facts about McDonald's.McDonald's.

Ronald McDonald made his debut as its Ronald McDonald made his debut as its ambassador in the year 1953.ambassador in the year 1953.

The motto of the organization ,i.e., Quality, The motto of the organization ,i.e., Quality, Service, Cleanliness and Value [Q.S.C and Service, Cleanliness and Value [Q.S.C and V] was coined in the year 1957.V] was coined in the year 1957.

Currently McDonald's serves around 53 Currently McDonald's serves around 53 million people worldwide everyday.million people worldwide everyday.

Figures pertaining to McDonald’sFigures pertaining to McDonald’s

McDonald’s currently operates 31000 McDonald’s currently operates 31000 stores worldwide in 120 countries.stores worldwide in 120 countries.

It currently employs around 4,00,000 It currently employs around 4,00,000 employees worldwide.employees worldwide.

Revenue statistics For McDonald’s Revenue statistics For McDonald’s for FY 2009for FY 2009

Revenue worldwide :- US $ 22.6 Billions.Revenue worldwide :- US $ 22.6 Billions.[Rs.994 Crores][Rs.994 Crores]Operating Income :- US $ 6.51 Billions.Operating Income :- US $ 6.51 Billions.[Rs.286 Crores][Rs.286 Crores]Net Income :- US $ 4.31 Billions.[Rs.189 Net Income :- US $ 4.31 Billions.[Rs.189 Crores]Crores]Total Asset value :- US $ 29.2 Billions.Total Asset value :- US $ 29.2 Billions.[Rs.1284 Crores][Rs.1284 Crores]Total Equity :- US $ 13.2 Billions.[Rs.580 Total Equity :- US $ 13.2 Billions.[Rs.580 Crores] [NASDAQ and Dow Jones.]Crores] [NASDAQ and Dow Jones.]

Key People’s at McDonald’sKey People’s at McDonald’s

Mr. James. A. Skinner [Chairman and Mr. James. A. Skinner [Chairman and C.E.O]C.E.O]

Mr. Amit. Jatia [JV Partner, Mr. Amit. Jatia [JV Partner, McDonald’s India] (West and South)McDonald’s India] (West and South)

Mr. Vikram. Bakshi [JV Partner Mr. Vikram. Bakshi [JV Partner McDonald’s India] (North and East)McDonald’s India] (North and East)

McDonald’s IndiaMcDonald’s India

McDonald’s in India works on a Joint McDonald’s in India works on a Joint Venture agreements between the Venture agreements between the McDonald corporation and the Franchisee.McDonald corporation and the Franchisee.Connaught Plaza Restaurants Pvt. Ltd is Connaught Plaza Restaurants Pvt. Ltd is the franchisee partner for North and East the franchisee partner for North and East region.region.Hard Castle Restaurants Pvt. Ltd is the Hard Castle Restaurants Pvt. Ltd is the franchisee partner for West and South franchisee partner for West and South region.region.

Store Count in IndiaStore Count in India

McDonald’s opened its first store at McDonald’s opened its first store at Basant Lok, New Delhi on 11Basant Lok, New Delhi on 11thth October,1996.October,1996.Currently McDonald’s has 132 Currently McDonald’s has 132 restaurants in India of which 79 are restaurants in India of which 79 are in North and East and 53 are in West in North and East and 53 are in West and South.and South.Mumbai currently has 23 stores Mumbai currently has 23 stores across various locations.across various locations.

S.W.O.T Analysis of McDonald’sS.W.O.T Analysis of McDonald’sStrengthsStrengths

It has a strong global presence and is considered as a It has a strong global presence and is considered as a market leader in both Domestic as well as market leader in both Domestic as well as International market.International market.It uses economies of scale for reducing the cost as it It uses economies of scale for reducing the cost as it operates on a huge scale.operates on a huge scale.It is flexible with its products as it has started fully It is flexible with its products as it has started fully veg. products especially in India which are veg. products especially in India which are economically priced so as to cater to a larger economically priced so as to cater to a larger audience.audience.It is recognized as the world’s most recognized logos.It is recognized as the world’s most recognized logos.It has a standard set of Sop's that are followed It has a standard set of Sop's that are followed throughout their outlets worldwide.throughout their outlets worldwide.As a major brand can use Advertisements effectively As a major brand can use Advertisements effectively and efficiently to use.and efficiently to use.

S.W.O.T Analysis of McDonald’sS.W.O.T Analysis of McDonald’sWeaknessWeakness

Competition with the competitors in the fast food Competition with the competitors in the fast food section, resulting in low revenue.section, resulting in low revenue.High employee turnover at the stores.High employee turnover at the stores.Yet to accomplish going with the trend of organic Yet to accomplish going with the trend of organic an healthy food.an healthy food.Low shelf life of majority of products.Low shelf life of majority of products.Negative impact due to sheer size of organization Negative impact due to sheer size of organization ..

S.W.O.T Analysis of McDonald’sS.W.O.T Analysis of McDonald’sOpportunitiesOpportunities

It can adapt to the needs of the societies and It can adapt to the needs of the societies and undergo an innovative product line.undergo an innovative product line.It can research ways to include healthy products It can research ways to include healthy products in their menus across the world.in their menus across the world.It can upscale some of its restaurants locations to It can upscale some of its restaurants locations to attract more customers.attract more customers.It can use digital media as a new way of It can use digital media as a new way of advertising to cater to a larger target base.advertising to cater to a larger target base.Also can use text messaging updates to keep their Also can use text messaging updates to keep their guests informed about the location of outlets.guests informed about the location of outlets.

S.W.O.T Analysis of McDonald’sS.W.O.T Analysis of McDonald’sThreatsThreats

The current recession has negatively impacted The current recession has negatively impacted the organization even though they have a large the organization even though they have a large operations. This needs to be looked forward.operations. This needs to be looked forward.Foreign currency fluctuations are regarded to be Foreign currency fluctuations are regarded to be a major problem.a major problem.Health issues regarding fast food chain.Health issues regarding fast food chain.Emergence of new competitors in the fast food Emergence of new competitors in the fast food section a threat.section a threat.

BibliographyBibliography

History of McDonalds courtesy History of McDonalds courtesy Wikipedia.Wikipedia.

Revenue information and Indian Revenue information and Indian presence information courtesy presence information courtesy www.mcdonaldsindia.netwww.mcdonaldsindia.net

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