PEST Analysis: Political………………… 5.Economic…………………… 6.Social…………………… 7.Technology………………… External Analysis– Porter’s Five Forces: 8.Barriers to entry………………………… 9. The Bargaining Power of Suppliers…………… 10.The Bargaining Power of Buyers……………… 11.

PEST Analysis: Political………………… 5.Economic…………………… 6.Social…………………… 7.Technology…………………
External Analysis– Porter’s Five Forces:
8.Barriers to entry…………………………
9. The Bargaining Power of Suppliers…………… 10.The Bargaining Power of Buyers……………… 11.

Competitive Rivalry………………
12.The Threat of Substitution……………… 13.Opportunities……………… 14.Threats…………………
15.Overall evaluation of the external 16.environment……
Internal Analysis:
17. Organizational strategy………………
18. Value chain analysis………………… 19.Strengths…………………… 20.Weaknesses………………
21.Market share……………………………… 22.Overall evaluation of the internal environment…………….
23. Key Success Factors……………… 24.Alternatives (Strategic Choice of Business Strategies and Corporate Strategies)
25. Criteria Matrix to Evaluate Alternatives …………………………….. 26.Recommendation………
27.Action Plan………
28.Contingency Plan ………………………

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2/18/2015 Euromonitor International Analysis
http://www.portal.euromonitor.com/portal/analysis/tab 1/4
McDonald’s Corp in Consumer Foodservice (USA)
Local Company Profile | 12 Nov 2014
STRATEGIC DIRECTION
McDonald’s is the leading fast food restaurant in the US, and has only widened its lead over the
competition in the past few years, despite seeing a slight decline in profit margins for the first quarter of
2014. The restaurant’s emphasis on quality has been showcased in the past few years, notably with the
introduction of the popular McCafe element. This effort to attract customers at all times of day,
particularly breakfast, is continuing, as the restaurant tests new pastries and even offered free coffee for
some of 2014.
KEY FACTS
Summary 1 McDonald’s Corp: Key Facts
Full name of company: McDonald’s Corp
Address: One McDonald’s Plaza, Oak Brook, IL 60523, USA
Tel: +1 (630) 623 5004
Fax: +1 (630) 623 5004
www: www.mcdonalds.com
Activities: Burger fast food
Source: Euromonitor International from company reports, company research, trade press, trade sources
Summary 2 McDonald’s Corp: Operational Indicators
2011 2012 2013
Net sales US$27,006 million US$27,567 million US$28,106 million
Net profit US$5,503 million US$5,464 million US$5,603 million
Number of employees 420,000 440,000 440,000
Source: Euromonitor International from company reports, company research, trade press, trade sources
COMPANY BACKGROUND
McDonald’s Corp, headquartered in Oak Brook, Illinois, US, is a publiclyheld
company and the
leading consumer foodservice company in the US. The company has over 34,500 global restaurants,
41% of which are located within the US. Despite this concentration in the company’s domestic market,
the brand is truly global in scope, operating in 119 countries.
In the US, McDonald’s operates entirely within burger fast food, serving the iconic Big Mac sandwich
alongside a wide variety of other options. Although it began as strictly a hamburger chain, the company
has since significantly diversified its menu, offering breakfast sandwiches, chicken sandwiches, chicken
nuggets, salads, desserts, coffeebased
beverages and, most recently, oatmeal, fruit smoothies and
snack wraps.
With over 14,267 US outlets (both companyand
franchiseowned),
McDonald’s has achieved a
widespread national footprint. In addition to a large number of standalone
outlets, McDonald’s units are
located within shopping centres, airports and travel plazas, among other alternative locations.
As the largest fast food chain in the US, McDonald’s became an early target for proponents of the
healthy food movement. As such, the brand received criticism for serving food that was perceived as
unhealthy in the midst of a rising national obesity epidemic, particularly after the release of the 2004
documentary, Super Size Me, in which the documenter ate nothing but McDonald’s for 30 days. In
response, McDonald’s became an early adopter in the growing national trend towards healthier menu
items in fast food. The company has publicly stated its commitment to promoting balanced, active
lifestyles and adding healthier menu options. McDonald’s was the first fast food brand to print nutritional
information on its packaging and has greatly expanded its offer of “better for you” menu items in recent
2/18/2015 Euromonitor International Analysis
http://www.portal.euromonitor.com/portal/analysis/tab 2/4
years, which include grilled chicken sandwiches, apple slices and premium salads. In 2011, the
company added to this list, launching Fruit and Maple Oatmeal and new flavours for its Real Fruit
Smoothies line. Still, as the brand maintains iconic status as the leader in American fast food, it
continues to face negative publicity and the possibility of future legislation as a result of rising obesity
rates. In 2012, McDonald’s also implemented calorie counts alongside menu boards nationwide, doing
so before being mandated by the healthcare reform law of 2010.

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