The Mcdonals Swot Analysis

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The McDonald’s Revitalization: Getting Getting Better, Not Just Bigger Eric Leininger Senior Vice President May 12, 2010 McDonald’s McDonald’s Stock Price $75 $60 $45 $30 $15 $0 1999 2000 2001 2002 Growth Growth From New Units vs. Comp Sales Global Sales Growth* 7.4% New Unit Sales Growth 6.1% Comp Sales Growth 3.4% 1.7% 1999 * In constant currencies 2000 2001 2002 Revitalization Strategy BETTER, BETTER, Not Not Just BIGGER Refocus Refocus on Brand McDonald’s Better, Not Just Bigger = Results Global Sales Growth* 8.1% 8.5% 7.8% 7.4% 6.8% 6.1% 4.9% 5.0% 5.6% 3.4% 1.7% 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 Comp Sales Growth * In constant currencies New Unit Sales Growth McDonald’s McDonald’s Stock Price $75 $60 McDonald’s Plan to Win $45 $30 $15 $0 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 Q1 2010 Operational Operational Excellence Financial Financial Discipline Marketing Marketing Leadership Restore Restore Relevance “My “My life has changed but McDonald’s McDonald’s has not changed with me” --McDonald’s customer, 2003 Restore Restore Relevance Rebuild Trust Quality Quality Children’s Well Being Rebalance Rebalance Global and Local Global Scale Local Relevance 5 Principles for Effective Principles Global Global Marketing 1. 1. Clear understanding of consumer similarities and differences across markets Consumer Framework: Consumer “Who, What, When, Where, Why” Consumer Needs 1 2 3 4 5 Consumer Groups 1 2 3 4 5 ..... ..... 2. 2. Identify business and brand building initiatives that “will travel” 24 Hours Salad Entree Cashless Snack-wrap Drive-thru McCafe 3. 3. Leverage

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