Summary Of Mcdonalds And Starbucks

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Accolades and Missteps: The Branding Journey of McDonald’s and Starbucks The McDonald’s Story The McDonald’s story begins in 1937 in Pasadena, California. Richard and Maurice McDonald are the two brothers that conceptualized this assembly-lined style of a fast-food establishment, in a small drive-through restaurant (Vignali, 2001). Ray Kroc, in 1954, believed this idea would make a great franchising business; he negotiated with the McDonald brothers to allow him to have exclusive franchising rights within the United States (Vignali, 2001). Ray Kroc’s vision was to create an affordable restaurant where families could enjoy a good meal with their children. Today, the McDonalds restaurant is found in over 117 countries, and the business serves more than 60 million guests a day (Talpau & Boscor, 2011). The philosophy has stayed consistent; to ensure quality product, value, friendly service and cleanliness at any McDonald’s restaurant anywhere in …show more content…

McDonalds began with a plan to ensure a family affordable and fun atmosphere, but failed to make changes to the establishment in the continuum of the times. Although they claimed to be customer focused, McDonalds did not stay current with the needs of the customers; fortunately, when sales began to fall they revisited the original vision of the company and made changes to meet the needs of the customer through building décor, advertising and menu choices (Talpau & Boscor, 2011). Starbucks remained customer focused throughout their history; however, they fell short in respect to advertising (Kang, Adamy & Vranica, 2007). Starbucks believed that by staying low profile on the advertising they would have a stronger appeal because of word of mouth advertising. This worked in the beginning but as competition from establishments like McDonald’s began to offer similar products and upgraded environments, advertising became a higher focus (Kang, Adamy & Vranica,

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