McDonald’s is a fast-food firm based in America. Richard and Maurice McDonald founded this cafe in 1940 in San Bernardino, California, United States. They transformed the company into a burger stand later and then made the company an organization. The Golden Arches symbol was illustrated in 1953 at a region in Phoenix, Arizona.
Ray Kroc, a businessman, entered the company as an established operator in 1955 and began to purchase the network from the siblings of McDonald’s. The base camp of McDonald’s was located in Oak Brook, Illinois. The company shifted its worldwide headquarters to Chicago in mid-2018.
The total capital of McDonald’s now is $185 + bn. According to revenue, it is now the biggest eatery chain in the world. It was reported last time to be providing services to more than 69 million consumers every day in over 120 nations with over 39,000 openings.
McDonald’s is indeed popular for serving cheeseburgers, burgers, and French fries. There are also chicken recipes, sides, breakfast things, wraps, milkshakes, and confections on their menu. To change the taste of the consumers they have included mixed greens, smoothies, fish, and natural products in their menu.
The income of McDonald’s comes from leases and payments disbursed by the franchisees. As per the news of 2018, McDonald’s is the second-biggest private manager in the world along with 1.7 million representatives. We are going to write a case study on McDonald’s here.
The Startup History of McDonald
Richard and Maurice McDonald started the introductory MacDonald’s in 1940 at 1398 North E Street at West Fourteenth Street in San Bernardino, California. Ray Kroc modified the business of the siblings and made it modern.
McDonald’s prepared its meals on a supply belt and served them within 2 minutes. It is an outstanding cafe that included:
- Only burgers shakes, and fries are on the menu.
- There were no places or servers to attend to the consumers.
After the appearance of Ray Kroc, he was amazed to see the never-ending waiting queue of orders.
Though Ray Kroc tried to do many things but he did not get the desired success. Kroc cane to McDonakd’s for delivering an unusual order of 8 milkshake mixers for only one region. He thought why would a person like to make 40 milkshakes at a time? Hence he went to California McDonald’s to check the spot with his eyes.
There he saw that the burgers, shakes, and fries of the company are very demanding. Hence he understood that it was a great opportunity. He convinced the founders to take up a franchise model. The two siblings were not willing to expand their business as they were living comfortably and earning adequate money. But Ray persuaded them and went to work after doing this.
He took two most important steps for doing this:
- He opened 18 new outlets in the first year.
- He mortgaged his house when he was 52.
This made the company more successful. The company has now done the following:
- The company now serves more than 2.3 billion burgers every year.
- The company now serves more than 39000 restaurants in more than 120 countries.
- The company is now the 4th largest employer in the world.
- The company is the largest toy distributor in the world.
Though the company became successful due to Ray’s idea and the founders have not done fair with him. Kroc only got 2% of the profits. The founders are not happy with Ray and his scaling. Hence Ray purchased it for $2.7 mn and became the 100% owner of McDonald’s.
McDonald’s – Mascot/Logo
The first logo of McDonald’s was a cooking cap over a burger that was implied to be a Speedee. The golden arches became the mascot in 1962 and after that in 1965 the picture of jokester Ronald McDonald became the logo of the company for promoting the company among the kids.
On 13th September 1961, the founders applied for a trademark of another logo – a covering, twofold curved “M” image.
What is the Business Model And Market Strategy of McDonald’s?
There are more than 37000 outlets of McDonald’s and they are all located in more than 120 countries. McDonald’s is now supposed to be the largest food chain all over the world in terms of revenue.
McDonald’s – Target And Mission
The company strives its best to become the best eating spot for the clients. The company now aims to give strong review food at affordable prices to people all over the world.
How did McDonald’s Expand All Over the World?
The popular food chain expanded domestically as well as internationally. A franchise of the company was opened in Richmond, Richmond, British Columbia, Canada, in 1967. This is the first outlet of McDonald’s outside the U.S. By the 21st century the company opened more than 34,000 outlets. The company is now operating in over 115 nations and regions.
What is the Key to the Success of McDonald’s?
The key to the success of McDonald’s is McDonald’s strategy. The company concentrated on advertising, franchising, and persistent innovations which enabled it to create a unique strategy with a useful business model. They focused their advertisements by branding it as a fun spot to go for families.
How has McDonald’s Impacted the Food Industry?
According to analysts the greatest effect of McDonald’s on food has come in the shape of strict management over safety and quality which other restaurants and chains have duplicated and enhanced on.
Conclusion
We all know that McDonald’s is the leading company in the fast food industry. The company has implemented international policies very tactfully where they have also utilized localization and personalization procedures to adjust with the foreign nations along with retaining its American origin with the help of centralized methods. The organizational structure is incorporated with McDonald’s strategy which makes it unique from other opponents. The company indeed has weaknesses and threats, still, the strengths and scopes make it an outstanding company in the fast food market. Those who are looking for help may contact My Assignment Writing Help without any doubt.
FREQUENTLY ASKED QUESTIONS
- Who founded McDonald’s?
Richard McDonald and Maurice McDonald introduced McDonald’s on 15th April 1955 in California, United States.
- Who owns McDonald’s in India?
McDonald’s is a joint-venture firm in India that is supervised by two Indians- Amit Jatia (M.D. Hardcastle Restaurants Private Ltd) and Vikram Bakshi ( Connaught Plaza Restaurants Private Ltd).
- Who is the CEO of Mcdonald’s?
Since Nov 2019 the CEO of Mcdonald’s is Chris Kempczinski.
- When was the fast-food chain McDonald’s established?
Mcdonald’s was launched in 1940 in San Bernardino, California.
- What is the revenue of a Mcdonald’s franchise owner?
A franchise of McDonald’s earns nearly $150,000 per year.
