McDonalds Business Analysis

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Since Richard and Maurice McDonald founded in 1948, McDonald's has grown from a small restaurant in California into one of the most recognized brands in the world with a chain of outlets that spans the globe. For over 50 years, McDonald's defined the fast food industry while indelibly etching its golden arches logo on the face of both American and global culture through such icons as character Ronald McDonald and the Big Mac sandwich. Millions of people started their very first jobs at McDonalds while even more began to have their eating habits redefined by the chain. Concepts like the drive-thru window were introduced along with the Happy Meal for children in order to provide a fast, affordable, and enjoyable dining. Ray Kroc, saleman that brung his marketing skill, that gave a new meaning to the business of fastfoods. He exploited McDonald successful and came up with a mix that spread throughtout the US.

Mcdonald's have more than 30,000 restaurants in over 119 countries. In 2002, they had served over a 16 billion customers and still counting. McDonald's Marks 4th Consecutive Year of Strong Global Comparable Sales. (www.mcdonalds.com) Global comparable sales rose 7.2% in December, on top of a 5.0% increase achieved for December 2005. Global comparable sales for the fourth quarter were at 6.3% and 5.7%, respectively. While in the US comparable sales – up 6.9% for the month, 5.9% for the fourth quarter and 5.2% for the year.

Franchise, it was until Ray Kroc seen that the key was in opening rapid expanision of the company. Today, there are over 70

SWOT ANALYSI...

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...think perhaps the biggest lesson from this study lies in avoiding tit for tat principle. Palm did not take every opportunity that came their way. They thoroughly analyzed each one and did not spread themselves too thin. Overall, I think this case study was very helpful. I believe I now understand the judo strategy much better. I also believe that if employed successfully, it can definitely be a strength to any small company.

References

Dess, G., Lumpkin, G., & Eisner, A. (2007) Strategic Management (3rd ed.). Boston: McGraw-Hill Irwin.

Yoffie, D., & Kwak, M. (2001). Mastering Strategic Movement at Palm. MIT Sloan Management Review, 43-1, 55-63.

Yahoo Finance, Edgar Online, Palm Inc. (PALM) (n.d.). Retrieved December 30, 2006, from < http://finance.yahoo.com/q/is?s=PALM&annual>.

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