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Executive Summary

McDonalds is operating in the Informal Eating Out (IEO) segment (restaurant industry)
and though it is the top brand in the world, the year 2014 was difficult for the company. The
companys publicly traded name is MCD. In 2015, the company has 36,525 outlets worldwide
in 119 countries (MCD Annual Report 2015, 2016, p. 13) serving more than 70 million
customers on a daily basis (Mackey, 2014). McDonalds operates and franchises restaurants,
which provides a local menu of quality food and drinks sold at moderate cost. McDonald's
worldwide framework involves both Company-owned and franchised restaurants. The
relationship between the company and the independent franchises are of significant importance
for the McDonalds image and also to overall performance. More than 80% of McDonalds
restaurants globally are represented by franchised restaurants. Also, McDonalds is the top fourth
employer in the world, more than 1.9 million people work for McDonalds out of which 1.5
million works for its franchises (Taylor, 2015). McDonalds is also the biggest toy distributor
company in the world, since with every 5 th sale it includes a toy given with Happy meal
(Mackey, 2014).
McDonalds brand image has been negatively reported for unhealthy food and obesity
among its consumers. The company is taking initiatives to improvise its menu, quality of food
and the source of it. In a way, the company is also targeting different market segments and
consumer age groups by ads and promotions and creating an emotional bonding with the brand.
The company is taking initiatives to improvise its menu, quality of food and the source of it. In a
way, the company is also targeting different market segments and consumer age groups of ads
and promotions and creating an emotional bonding with the brand.
There appears to be a business opportunity for McDonalds to enter into university and
college campuses and provide catering service and serve thousands of students. There is a wide

Executive Summary

scope for the company and the target market is attractive with 7500 universities all over the U.S.
and generation Y. With the help of McDonalds brand image and pricing strategy, company can
grab this opportunity and can take a step further to make a contribution to the society.
McDonalds has got several strengths through which it can overcome the weaknesses, but
lacks in experience in this industry. McDonalds has got several opportunities to create an impact
and turn around the tables after entering this market by using its various strengths, however, it
will take the amount of time to give tough competition to existing players in this industry.
However, the company cannot do anything about the other prevailing threat of government and
university health safety regulations, but keep it competitive by serving its best and developing
healthier options. Company has developed some core competencies which are critical for its
success in new markets and cannot be easily copied.
McDonalds mission statement is Our mission is to be our customers' favorite place and
way to eat & drink. Were dedicated to being a great place for our people to work; to being a
strong, positive presence in your community; and to delivering the quality, service, cleanliness
and value our customers have come to expect from the Golden Arches a symbol thats trusted
around the world. (2010-2016 McDonald's, 2016).
As per the mission statement of the company, there are three main stakeholders which are
customers to whom the company is serving, employees who are working for the company and
suppliers who ensures to deliver quality product as per company standards. However, apart from
these there are other stakeholders as well like investors (shareholders) who are part of the
company, the community in which it operates and also the government since it has influence on
the company (Smithson, 2015). Fierce

Executive Summary

References
2010-2016 McDonald's. (2016). Corporate Career - Working Here. Retrieved March 22, 2016,
from http://www.aboutmcdonalds.com/:
http://www.aboutmcdonalds.com/mcd/corporate_careers/working_here.html
Mackey, M. (2014, October 21). 35 Astounding Facts About McDonalds. Retrieved March 23,
2016, from http://www.thefiscaltimes.com/:
http://www.thefiscaltimes.com/2014/10/21/35-Astounding-Facts-About-McDonald-s
MCD Annual Report 2015. (2016). McDonald's Corporation 2015 Annual Report. McDonald's
Corporation. Retrieved March 21, 2016, from
http://www.sec.gov/Archives/edgar/data/63908/000006390816000103/mcd1231201510k.
pdf
Smithson, N. (2015, October 05). McDonalds Stakeholders: A CSR Analysis. Retrieved April 17,
2016, from http://panmore.com/: http://panmore.com/mcdonalds-stakeholders-csranalysis
Taylor, H. (2015, June 17). Who is the worlds biggest employer? The answer might not be what
you expect. Retrieved March 21, 2016, from https://www.weforum.org/:
https://www.weforum.org/agenda/2015/06/worlds-10-biggest-employers/

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