Swami Sarwanand Institute Of Management And Technology

AssignmentOn

McDonald’s SWOT Analysis

DATE-06.09.2010

Session-2010-11

SUBMITTED BY SUBMITTED TO

ASHISH AGGARWAL MISS POOJA KAPOOR (Student MBA III) (LECT. MIS)

ROLL NO.556

McDonald's was started as a drive-in restaurant by two brothers, Richard and Maurice McDonald in California, US in the year 1937. The business, which was generating $200,000 per annum in the 1940s, got a further boost with the emergence of a revolutionary concept called 'self-service.'

The brothers used assembly line procedures in their kitchen for mass production.

Prices were kept low. Speed, service and cleanliness became the critical success factors of the business. By mid-1950s, the restaurant's revenues had reached $350,000.

As word of their success spread, franchisees started showing interest. However,

At this point, Ray Kroc (Kroc), distributor for milkshake machines.Expressed interest in the business, and he finalized a deal with the McDonald brothers in 1954.

He established a franchising company, the McDonald System Inc. and appointed franchisees.

In 1961, he bought out the McDonald brothers' share for $2.7 million and changed the name of the company to McDonald's Corporation. In 1965, McDonald's went public...

Currently McDonald's operates in 121 countries & having more than 30000 restarunt and serving 53 Mn customers everyday

• McDonald's Entered India in 1996

• McDonald's India is a 50 – 50 JV partnership between MCDONALD’S CORPORATION (U.S.A) and two Indian businessman Amit Jatia and Vikram Bakshi

• Localisation:

DON’T OFFER ANY BEEF OR PORK ITEM IN INDIA

IN PRODUCT LIKE MCVEGGIE, PIZZA MCPUFF ETC.THEY USE SPICES FAVOURED BY INDIANS

SOFT SERVES AND MCSHAKES ARE EGGLESS

Actively Involver in many social activities likegi CHILD EDUCATION, PULSE POLIOiesetc.

• Key Milestones

1996 …the first McDonald’s restaurant opened on Oct. 13, at Basant Lok, Vasant Vihar, New Delhi. It was also the first restaurant in the world not serving beef on its menu

1997…the first Drive –Thru restaurant at Noida

1999…the first Mall location restaurant at Ansal Plaza – New Delhi

2000…the first highway restaurant at Mathura

2001…the first thematic restaurant at Connaught Place

2002…the first restaurant in a food court at 3C’s, Lajpat Nagar and the first restaurant at the Delhi Metro Station at Inter State Bus Terminus

STREANGTH

Brand Equity…world-wide

42% of US fast-food hamburger business

Consistency of food

Successful items: Fries, Happy Meal, Aloo tikki, Egg McMuffin, Promotions

Overseas market

Balance sheet position

WEAKNESS

Declining market share

Weak product development

Quality and taste of products

OPPORTUNITIES

International expansion

Only serving 1% of the world’s population

Growing dining-out market

Threats

Mature/overstored industry

Strength of competition

More health-conscious consumers

Fluctuation of foreign exchange rates; Economies

• They have a feedback And suggestion form available at each outlet.

• For the techno savy Customers they have a online Feed back form.

• All the upcoming product and related info are posted on there website-

www.McDonald's.com