It operates correspondingly through a chain of restaurants, company operated and franchised across the world. Michael Porter presented a framework for analyzing competitor. The key aspects that Porter discussed are Competitors objective, Competitors assumptions, Competitors strategy and his Capabilities. In simple terms one should analyze his competitor’s strengths and weaknesses to draft his own strategy. Although both the fast food giants belong to the same family, but have specialization in different nature of products served. McDonald’s are famous for their Hamburgers and other’s in the Burger family, while KFC specializes in fried chicken. Both the corporations have the same geographical reach in the world and strong brand recognition. To its added advantage McDonald’s is listed in the NYSE giving it room for more growth through access to an enormous fund pool (McDonald’s Official Website, 2011; Porter, 2004). Toady due to its rapid expansion McDonald’s have its presence in 119 countries with an employee base above 400,000 worldwide. KFC on the other hand has similar presence but with an employee base little above 25,000. It may be small in size but has been the most successful fried chicken chain in the world. Due to his excellence in chicken products it has not faced any social issues till date. Chicken is the most consumed protein in the world with none social or religious restrictions placed upon it. KFC has faced certain protests from animal rights groups. McDonald’s has also seen the same from these organisations. On the contrary McDonald’s apart from animal rights organisation have witnessed many social and religious obstacles throughout the world. McDonald’s specializes in Hamburgers, but the fact that it is completely banned in Islam, Muslims across the world refuse to eat it. Therefore the company has limited its product range in the Muslim world. Further McDonald’s has faced issues with Hindus especially in India who refuse to eat Meat on religious grounds. This again has forced McDonald’s to cut back its product range. None of these issues have been faced by KFC, and hence it has a steady and strong growth trend across the world (KFC Official Website, 2011). KFC is a private corporation and is not listed as McDonald’s; its financial results are unavailable. Still its magnificent power can be witnessed as it is present in almost similar capacity and has maintained its strength in the Fast Food sector all over the world. Based on McDonald’s capacity to capture such revenues and the pace of its expansion, due to exposure to a massive fund pool being listed at the NYSE, it can be said that McDonald’s have overpowered many Fast Food networks on the planet. It can be advocated that KFC’s policy of slow expansion or its ability to have its corporate presence in many countries without being listed, is in itself a remarkable achievement. There is a huge possibility that such policy might change and in a situation of a price war between the giants, KFC has definitely the ability to challenge McDonald’s on all fronts. McDonald’s should show resilience in drafting strategies for corporate expansion; as such moves require a lot of investments. In case of any turbulence in the economic environment or KFC’s idea to get listed materializes, it would ring alarms towards McDonald’s to have in its grip a lot of liquidity so should it be in a price war situation with KFC. As McDonald’
Cite this document
(“Competitor Analysis- Mcdonald's Research Paper Example | Topics and Well Written Essays - 1000 words”, n.d.)
Retrieved from https://studentshare.net/marketing/61308-mc-donald
(Competitor Analysis- Mcdonald'S Research Paper Example | Topics and Well Written Essays - 1000 Words)
“Competitor Analysis- Mcdonald'S Research Paper Example | Topics and Well Written Essays - 1000 Words”, n.d. https://studentshare.net/marketing/61308-mc-donald.
Cited: 0 times
Competitor Analysis – McDonald’s Name University Competition drives the market dynamics of an industry. Different strategies are to be effective in diversified market competition scenario. Business managers have an eager eye on the current and potential competition prevailing in the environment…
This is because the organization’s management has the opportunity of realizing its targets and the way the targets can be achieved. Analyzing the organization’s strengths, weaknesses, opportunities and threats gives any organization the go ahead about what must be done and when it has to be accomplished.
The organization has 32,737 stores worldwide. McDonald’s has been able to capitalize on the international market better than any other competitor in the industry. McDonalds has 17,236 international stores in 118 countries (Worldfranchising, 2011). McDonald’s has tremendous brand value.
The present report would analyse the business strategies of McDonald’s and suggest a set of plausible recommendations for the organization to maintain sustainability. 1.1 History Development and Growth McDonalds is one of the most renowned brands of the world with the brand being ranked as 10th in the list of most admired brands and the best in its product and service category in the Fortune’s list of top 100 most admired brands (CNN Money, 2011).
McDonald’s has been in business since 1955 (Encyclopedia, 2005). The success of the McDonald’s brand is based on getting as many customers to return to the store. McDonald’s serves nearly 64 million customers daily. To spread the McDonald’s brand the firm has penetrated as many countries as possible around the world.
The origin of the company traces back to 1937 when Patrick McDonald opened a small restaurant next to Monrovia Airport in California (Gilbert 2009). The restaurant basically sold the conventional foods that were sold by most restaurants in those days. These included hamburgers and orange juice.
However, the company has of late tried to maximize on its sales through global technology partnerships with retailers such as Home Depot. One of the initiatives taken by eBay has been the creation of websites
It also draws a competitive analysis to verify the company’s position in the industry by comparing with their competitors. The report elaborates the operation of Ford and also, reasons the fact that they could lower their debt.
The company, along with its
The company is using all major social networks effectively for the promotion of its products. This paper analyses the digital marketing strategies of McDonalds through social networks such as Facebook, Twitter, Instagram and YouTube.
McDonalds has an official
It is best known for its outstanding preparation of Fries, quarter pounder, chicken nuggets and big Mac among other products. The company has been able to put up a system that aligns the company, its suppliers and
3 pages (750 words)Research Paper
Got a tricky question? Receive an answer from students like you!Try us!
Let us find you another Research Paper on topic Competitor Analysis- Mcdonald's for FREE!