Swot Analysis Of Mcdonalds

Submitted By segrek15
Words: 1696
Pages: 7
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I. Company Background
1. McDonald’s is located in over a hundred countries and in all seven continents. Some of the countries where the restaurants are located is Hong Kong, South Korea, Egypt, Turkey, Canada, United States, Brazil, Puerto Rico, France, Germany, New Zealand, China, Finland, and Denmark (Discover McDonald's Around the Globe).
2. McDonald’s business started in 1940, which makes the company seventy-four years old. McDonald’s currently employees “more than 1.8 million people” around the world (Discover McDonald's Around the Globe).
3. The fast food restaurant currently serves breakfast, which includes breakfast sandwiches, pancakes, hash browns, coffee and specialty coffee drinks. For lunch and dinner they have hamburgers, salad, chicken sandwiches, wraps, french fries, ice-cream, milkshakes and soft drinks. They offer a fast drive-thru or you can dine inside. Some McDonald locations offer a play area for children to play.
4. McDonald’s is socially responsible in multiple ways. The most known about is their “Ronald McDonald House Charities” (Ronald McDonald House Charities). All money that is donated from their customers is then used to help families with a place to stay when the family has a sick, hospitalized child. They offer different ways for people to become involved in the donation process and the most used is their “donation box” that is located “inside the restaurant or outside below the drive-thru window” (Ronald McDonald House Charities).
5. The overall ratings for McDonalds is ranked number six (n.p., McDonald's). The market capitalization is at “$99. 95 billion” (n.p., McDonald's). The price per earnings ratio as of February 14, 2014 is “$17.23” (Stocks). The current net profit margin is “5.5 billion” (The World's Biggest Public Companies). The total return on equity is “36.68%” and total debt to equity is “0.89 times” (Macroaxis).
II. Mission/Strategy/Goals/Objectives
1. McDonald’s mission “is to be our customers’ favorite place and way to eat and drink” (Mission and Corporate Values). McDonald’s values are based on their community, ethics, profits, improvements and “We place the customer experience at the core of all we do” and “We are committed to our people” (Mission and Corporate Values).
2. McDonald’s has a grand strategy that starts with growth. McDonald’s has continued to grow by expanding their business in over a hundred countries (Discover McDonald's Around the Globe). They have continued to franchise and is “a family of over 3,000 Owner/Operators” (U.S. Franchising). Their current stability strategy has changed over time. In different locations around the world the company serves different food to “accommodate their customers with different pallets” (Discover McDonald's Around the Globe). An example of their defensive strategy was when McDonald’s started their dollar menu. Other competitors also offer a “dollar menu” and with the “change in the economy” McDonald’s is maintaining the status quo by offering a “dollar menu” (Discover McDonald's Around the Globe).
3. The community of stakeholders would be the employees, owners and board of directors. There is no one owner of McDonalds, but the following is a list of some of the board of directors are as follows “Andrew J. McKenna,” “Susan E. Arnold,” and “Miles D. White” (Board Of Directors).
4. McDonald’s task environment is the customers, competitors, and suppliers. Some of their customers include myself and my family. Their competitors are other hamburger restaurants like Wendy’s, and Burger King. Suppliers that McDonald’s uses includes, “Keystone foods,” which is where the “McNuggets” come from (Meet the Suppliers). McDonald’s also gets their beef patties from “Lopez Foods” (Meet the Suppliers).
5. One force that affects McDonald’s is the hike in unemployment rates due to the economy not doing well for the past few years. Another example is political-legal. Years ago McDonalds was sued for their coffee “being too hot”
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