mcdonald case study
TRANSCRIPT
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ymt college of management no longer the great American meal
Presented By:
Anuranjan
ymt college of management
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ymt college of management McHistory McBrothers opened a drive-ins restaurant in 1937. Based upon self service concept. Designed their kitchen for mass production with assembly line procedure. Known for their speed, service & cleanliness. By the mid 1950s it recorded $ 350000 revenues.
ymt college of management
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ymt college of management McHistory Ray Kroc finalized a deal with McBrothers for franchisee and established McDonald system Inc. to appoint franchisees in 1955. In late 1990s Mcdonald experienced major problem in sales. In 2002; the board decided to oust present CEO & to bring back retired vice chairman Cantalupo to overcome the present situations.
ymt college of management
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ymt college of managementChanges in external environment:
Change in Consumer Preference: Eating at home
Health Conscious
Stiff Competition
Companys Image
Saturation of core markets
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ymt college of managementInternal Environment:
Poor Franchising Policy
Service and Quality compromised
Lack of Innovation
Unhappy Franchisees
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ymt college of managementFranchising Model: Problems
Unplanned Expansion
No Quality Control Measures
Centralized decision making
Concentrated in selected markets
Lack of customer service standard
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ymt college of managementFranchising still best if:
Planned properly
Quality control
Service standard defined
employees are trained properly
franchisees consulted and valued
evenly dispersed
ymt college of management
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ymt college of management
Cantalupos efforts: not enough
Our suggestions:
Rework on the menu
Expand in growing markets
Make efforts to change its image
Give customers what and as they want
Keep franchisees happy
ymt college of management
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ymt college of management
THANK YOU!
ymt college of management
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