Mcdonald's Marketing Strategy

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McDonalds Marketing Mix McDonald’s new market entries Upon entry into markets that differ from their traditional western markets, McDonald’s have been especially careful in both their planning and execution. In order to gain market share when entering India, they teamed up with local partners in joint ventures (Kannan, 2014). In many emerging countries the local partners are invaluable for bringing knowledge on what the needs and possibilities of their markets are based on this knowledge McDonald’s has been willing to adapt. McDonald’s, as one of the pioneers in international expansion of fast-food chains, have brought not only the concept of hamburgers (or in some cases, fast-food) but also the concept of franchising to emerging markets.…show more content…
The company’s goal is to never be out of an item a customer orders, hence an effective distribution and supply chain management strategy has been crucial and is one of the reasons for its global success. McDonald’s supply chain is ranked number 2 in the world, second only to Amazon (University Alliance, 2015). The company does not own any distribution centers or factories, but rely on great communication and long relationships with its suppliers (University Alliance, 2015). One of McDonald’s main principles is to provide safe food and has built its reputation on serving safe food since 1955. This is being achieved by cooperating and engaging with producers and suppliers in the improvement of housing, health care and slaughter practices within their supply chain (Aboutmcdonalds,…show more content…
The company have stated that the volume of local chicken supply in South Africa does not meet the high demand of the industry which is why the branch has additionally started to import chicken (McDonald’s, 2015). There is no evidence of how McDonald’s controls the distribution system in varying markets. However, it is noted that the company collaborates with local and foreign actors within their supply chain allowing them to meet their requirements for ethics, environmental responsibility and economic viability (Aboutmcdonalds, 2015). Price Understanding the pricing strategy of a market is imperative to success in local markets. McDonald’s set their prices in accordance with purchasing power of consumer in their respective markets(Ferris, 2007). They also stay competitive by keeping their prices close other fast-food chains. An example of current comparative pricing between McDonald’s and KFC South Africa is shown below. Restaurant chain McDonald’s Kentucky Fried Chicken

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