McDonald'sMcDonald's Corporation (NYSE: MCD) is one of the world's largest chain of hamburger fast food restaurants, serving nearly 47 million customers daily.[4] At one time it was the largest global restaurant chain, but it has since been surpassed by multi-brand operator Yum! Brands (KFC, Taco Bell and others) and sandwich chain Subway.

In addition to its signature restaurant chain, McDonald’s Corporation held a minority interest in Pret A Manger until 2008, was a major investor in the Chipotle Mexican Grill until 2006[5], and owned the restaurant chain Boston Market until 2007.[6]

A McDonald's restaurant is operated by either a franchisee, an affiliate, or the corporation itself. The corporation's revenues come from the rent, royalties and fees paid by the franchisees, as well as sales in company-operated restaurants. McDonald's revenues grew 27% over the three years ending in 2007 to $22.8 billion, and 9% growth in operating income to $3.9 billion.[7]

McDonald's primarily sells hamburgers, cheeseburgers, chicken products, french fries, breakfast items, soft drinks, milkshakes, and desserts. In response to obesity trends in Western nations and in the face of criticism over the healthiness of its products, the company has modified its menu to include healthier alternatives such as salads, wraps and fruit.

History

McDonald's Logo used from 1970's to early 2000s

History of McDonald's

The business began in 1940, with a restaurant opened by brothers Richard and Maurice McDonald in San Bernardino, California. Their introduction of the "Speedee Service System" in 1948 established the principles of the modern fast-food restaurant. The original mascot of McDonald's was a man with a chef's hat on top of a hamburger shaped head whose name was "Speedee." Speedee was eventually replaced with Ronald McDonald by 1967 when the company first filed a U.S. trademark on a clown shaped man having a puffed out costume legs.

McDonald's first filed for a U.S. trademark on the name McDonald's on May 4, 1961, with the description "Drive-In Restaurant Services", which continues to be renewed through the end of December 2009. In the same year, on September 13, 1961, the company filed a logo trademark on an overlapping, double arched "M" symbol. The overlapping double arched "M" symbol logo was temporarily disfavored by September 6, 1962, when a trademark was filed for a single arch,

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shaped over many of the early McDonald's restaurants in the early years. The modern double arched "M" symbol that continues to be in use today at McDonald's restaurants did not appear until November 18, 1968, when the company filed a U.S. trademark on the now famous symbol that continues to be in use through the end of the year 2009.[

The first McDonald's restaurants opened in the United States, Canada, Costa Rica, Panama, Japan, the Netherlands, Germany, Australia, France, El Salvador and Sweden, in order of openings.

The present corporation dates its founding to the opening of a franchised restaurant by Ray Kroc, in Des Plaines, Illinois, on April 15, 1955 , the ninth McDonald's restaurant overall. Kroc later purchased the McDonald brothers' equity in the company and led its worldwide expansion, and the company became listed on the public stock markets in 1965. Kroc was also noted for aggressive business practices, compelling the McDonald brothers to leave the fast food industry. The McDonald brothers and Kroc feuded over control of the business, as documented in both Kroc's autobiography and in the McDonald brothers' autobiography. The site of the McDonald brothers' original restaurant is now a monument.

With the expansion of McDonald's into many international markets, the company has become a symbol of globalization and the spread of the American way of life. Its prominence has also made it a frequent topic of public debates about obesity, corporate ethics and consumer responsibility.

Facts and figures

McDonald's restaurants are found in 119 countries and territories around the world and serve nearly 47 million customers each day. McDonald's operates over 31,000 restaurants worldwide, employing more than 1.5 million people. The company also operates other restaurant brands, such as Piles Café.

Focusing on its core brand, McDonald's began divesting itself of other chains it had acquired during the 1990s. The company owned a majority stake in Chipotle Mexican Grill until October 2006, when McDonald's fully divested from Chipotle through a stock exchange. Until December 2003, it also owned Donatos Pizza. On August 27, 2007, McDonald's sold Boston Market to Sun Capital Partners.

Types of restaurants

Most standalone McDonald's restaurants offer both counter service and drive-through service, with indoor and sometimes outdoor seating. Drive-Thru, Auto-Mac, Pay and Drive, or "McDrive" as it is known in many countries, often has separate stations for placing, paying for, and picking up orders, though the latter two steps are frequently combined; it was first introduced in Arizona in 1975, following the lead of other fast-food chains. In some countries, "McDrive" locations near highways offer no counter service or seating. In contrast, locations in high-density city neighborhoods often omit drive-through service. There are also a few locations, located mostly in downtown districts, that offer Walk-Thru service in place of Drive-Thru.

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Specially themed restaurants also exist, such as the "Solid Gold McDonald's," a 1950s rock-and-roll themed restaurant. In Victoria, British Columbia, there is also a McDonald's with a 24-carat (100%) gold chandelier and similar light fixtures.

To accommodate the current trend for high quality coffee and the popularity of coffee shops in general, McDonald's introduced McCafé, a café-style accompaniment to McDonald's restaurants in the style of Starbucks. McCafé is a concept created by McDonald's Australia, starting with Melbourne in 1993. Today, most McDonald's in Australia have McCafés located within the existing McDonald's restaurant. In Tasmania, there are McCafés in every store, with the rest of the states quickly following suit. After upgrading to the new McCafe look and feel, some Australian stores have noticed up to a 60% increase in sales. As of the end of 2003 there were over 600 McCafés worldwide.

Some locations are connected to gas stations/convenience stores, while others called McExpress have limited seating and/or menu or may be located in a shopping mall. Other McDonald's are located in Wal-Mart stores. McStop is a location targeted at truckers and travelers which may have services found at truck stops.

Playgrounds

Some McDonald's in suburban areas and certain cities feature large indoor or outdoor playgrounds. The first PlayPlace with the familiar crawl-tube design with ball pits and slides was introduced in 1987 in the USA, with many more being constructed soon after. Some PlayPlace playgrounds have been renovated into "R Gym" areas.

"R Gyms" are in-restaurant play areas that feature interactive game zones designed for children aged four to 11. They are equipped with stationary bicycles attached to video games, dance pads, basketball hoops, monkey bars, an obstacle course, and other games which emphasize physical activity.

The "R Gym" features the Toddler Zone, an active play environment with age-appropriate games that develop physical coordination and social skills; the Active Zone, designed for children aged four to eight that promotes physical fitness through fun play; the Sports Zone which features a series of sports-oriented activities to promote aerobic exercise for children aged nine to 11; the Parent Zone which features seating and provides a monitoring area for their children; and the Dining Area which allows families to eat.

Redesign

In 2006, McDonald's introduced its "Forever Young" brand by redesigning all of their restaurants, the first major redesign since the 1970s.

The design includes the traditional McDonald's yellow and red colors, but the red is muted to terra cotta, the yellow was turned golden for a more "sunny" look, and olive and sage green were also added. To warm up their look, the restaurants have less plastic and more brick and wood,

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with modern hanging lights to produce a softer glow. Contemporary art or framed photographs hang on the walls.

The exterior has golden awnings and a "swish brow" instead of the traditional double-slanted mansard roof.

The restaurants feature areas:

The "linger" zone offers armchairs, sofas, and free Wi-Fi connections. The "grab and go" zone features tall counters with bar stools for customers who eat alone;

plasma TVs offer them news and weather reports. The "flexible" zone is targeted toward families and have booths featuring fabric cushions with

colorful patterns and flexible seating. Different music targeted to each zone.

Branches in the United Kingdom have an even more contemporary look and feel to the stores, replacing the red with a deep British racing green and overall making the stores look more casual, similar to a Starbucks branch. Branches in Germany have also been redesigned to have a more contemporary style and green exterior. Additionally, in Germany, the traditional "golden arches" over red sign is being changed to "golden arches" over green.

Business model

McDonald's Corporation earns revenue as an investor in properties, a franchiser of restaurants, and an operator of restaurants. Approximately 15% of McDonald's restaurants are owned and operated by McDonald's Corporation directly. The remainder are operated by others through a variety of franchise agreements and joint ventures. The McDonald's Corporation's business model is slightly different from that of most other fast-food chains. In addition to ordinary franchise fees and marketing fees, which are calculated as a percentage of sales, McDonald's may also collect rent, which may also be calculated on the basis of sales. As a condition of many franchise agreements, which vary by contract, age, country, and location, the Corporation may own or lease the properties on which McDonald's franchises are located. In most, if not all cases, the franchisee does not own the location of its restaurants.

The UK business model is different, in that fewer than 30% of restaurants are franchised, with the majority under the ownership of the company. McDonald's trains its franchisees and others at Hamburger University in Oak Brook, Illinois.

In other countries, McDonald's restaurants are operated by joint ventures of McDonald's Corporation and other, local entities or governments.

As a matter of policy, McDonald's does not make direct sales of food or materials to franchisees, instead organizing the supply of food and materials to restaurants through approved third party logistics operators.

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According to Fast Food Nation by Eric Schlosser (2001), nearly one in eight workers in the U.S. have at some time been employed by McDonald's. (According to a news piece on Fox News this figure is one in ten.) The book also states that McDonald's is the largest private operator of playgrounds in the U.S., as well as the single largest purchaser of beef, pork, potatoes, and apples. The selection of meats McDonald's uses varies with the culture of the host country.

Shareholder dividends

McDonald's has increased shareholder dividends for 25 consecutive years making it one of the S&P 500 Dividend Aristocrats with the highest annual dividends of publicly traded companies in the fast food industry.

Controversies

As a prominent example of the rapid globalization of the American fast food industry, McDonald's is often the target of criticism for its menu, its expansion, and its business practices.

The McLibel Trial, also known as McDonald's Restaurants v Morris & Steel, is an example of this criticism. In 1990, activists from a small group known as London Greenpeace (no connection to the international group Greenpeace) distributed leaflets entitled What's wrong with McDonald's?, criticizing its environmental, health, and labor record. The corporation wrote to the group demanding they desist and apologize, and, when two of the activists refused to back down, sued them for libel in one of the longest cases in British civil law. A documentary film of the McLibel Trial has been shown in several countries.

The term "McJob" was added to Merriam-Webster's Collegiate Dictionary in 2003, over the objections of McDonald's. In an open letter to Merriam-Webster, Jim Cantalupo, former CEO of McDonald's, denounced the definition as a "slap in the face" to all restaurant employees, and stated that "a more appropriate definition of a 'McJob' might be 'teaches responsibility.'" Merriam-Webster responded that "we stand by the accuracy and appropriateness of our definition." McJob is defined by Merriam-Webster's Online Dictionary as "a low-paying job that requires little skill and provides little opportunity for advancement".

In 1999, French anti-globalisation activist José Bové vandalized a half-built McDonald's to protest against the introduction of fast food in the region.

In 2001, Eric Schlosser's book Fast Food Nation included criticism of the business practices of McDonald's. Among the critiques were allegations that McDonald's (along with other companies within the fast food industry) uses its political influence to increase its profits at the expense of people's health and the social conditions of its workers. The book also brought into question McDonald's advertisement techniques in which it targets children. While the book did mention other fast-food chains, it focused primarily on McDonald's.

In 2002, vegetarian groups, largely Hindu and Buddhist, successfully sued McDonald's for misrepresenting their French fries as vegetarian.

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Morgan Spurlock's 2004 documentary film Super Size Me said that McDonald's food was contributing to the epidemic of obesity in society, and that the company was failing to provide nutritional information about its food for its customers. Six weeks after the film premiered, McDonald's announced that it was eliminating the super size option, and was creating the adult happy meal.

The soya that is fed to McDonald’s chickens is supplied by agricultural giant Cargill and comes directly from Brazil. Greenpeace alleges that not only is soya destroying the Amazon rain forest in Brazil, but soya farmers are guilty of further crimes including slavery and the invasion of indigenous peoples’ lands. The allegation is that McDonald's, as a client of Cargill's, is complicit in these activities.

Arguments in defense

In response to public pressure, McDonald's has sought to include more healthy choices in its menu and has introduced a new slogan to its recruitment posters: "Not bad for a McJob". (The word McJob, first attested in the mid-1980s and later popularized by Canadian novelist Douglas Coupland in his book Generation X, has become a buzz word for low-paid, unskilled work with few prospects or benefits and little security.) McDonald's disputes the idea. In 2007, the company launched an advertising campaign with the slogan "Would you like a career with that?" on Irish television, outlining that their jobs have many prospects.

In a bid to tap into growing consumer interest in the provenance of food, the fast-food chain recently switched its supplier of both coffee beans and milk. UK chief executive Steve Easterbrook said: "British consumers are increasingly interested in the quality, sourcing and ethics of the food and drink they buy". McDonald's coffee is now brewed from beans taken from stocks that have been certified by the Rainforest Alliance, a conservation group. Similarly, milk supplies used for its hot drinks and milkshakes have been switched to organic sources which could account for 5% of the UK's organic milk output.

McDonald's announced on May 22, 2008 that, in the U.S. and Canada, it will be introducing cooking oil for its french fries that contains no trans fats. The company will use canola-based oil with corn and soy oils by year's end for its baked items, pies and cookies.

Environmental record

Discarded fast food packaging contributes to the urban litter problem in cities worldwide

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In April 2008, McDonald's announced that 11 of its Sheffield restaurants have been using a biomass trial that had cut its waste and carbon footprint by half in the area. In this trial, waste from the restaurants were collected by Veolia Environmental Services and used to produce energy at a power plant. McDonald's plans to expand this project, although the lack of biomass power plants in the U.S. will prevent this plan from becoming a national standard anytime soon. In addition, in Europe, McDonald's has been recycling vegetable grease by converting it to fuel for their diesel trucks.

Furthermore, McDonald's has been using a corn-based bioplastic to produce containers for some of their products. Although industries who use this product claim a carbon savings of 30% to 80%, a Guardian study shows otherwise. The results show that this type of plastic does not break down in landfills as efficiently as other conventional plastics. The extra energy it takes to recycle this plastic results in a higher output of greenhouse gases. Also, the plastics can contaminate waste streams, causing other recycled plastics to become unsaleable.

The U.S. Environmental Protection Agency has recognized McDonald's continuous effort to reduce solid waste by designing more efficient packaging and by promoting the use of recycled-content materials. McDonald's reports that they are committed towards environmental leadership by effectively managing electric energy, by conserving natural resources through recycling and reusing materials, and by addressing water management issues within the restaurant.

In an effort to reduce energy usage by 25% in its restaurants, McDonald's opened a prototype restaurant in Chicago in 2009 with the intention of using the model in its other restaurants throughout the world. Building on past efforts, specifically a restaurant it opened in Sweden in 2000 that was the first to intentionally incorporate green ideas, McDonald's designed the Chicago site to save energy by incorporating old and new ideas such as managing storm water, using skylights for more natural lighting and installing some partitions and tabletops made from recycled goods.

When McDonald’s received criticism for its environmental policies in the 1970s, it began to make substantial progress towards source reductions efforts. For instance, an “average meal” in the 1970s—a Big Mac, fries, and a drink—required 46 grams of packaging; today, it requires only 25 grams, allowing a 46% reduction. In addition, McDonald’s eliminated the need for intermediate containers for cola by having a delivery system that pumps syrup directly from the delivery truck into storage containers, saving two million pounds of packaging annually. Overall, weight reductions in packaging and products, as well as the increased usage of bulk packaging ultimately decreased packaging by 24 million pounds annually.

Legal cases

McDonald's has been involved in a number of lawsuits and other legal cases, most of which involved trademark disputes. The company has threatened many food businesses with legal action unless they drop the Mc or Mac from their trading name. In one noteworthy case, McDonald's sued a Scottish café owner called McDonald, even though the business in question dated back over a century (Sheriff Court Glasgow and Strathkelvin, November 21, 1952). On September 8, 2009, McDonald's Malaysian operations lost a lawsuit to prevent another restaurant

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calling itself McCurry. McDonald's lost in an appeal to Malaysia's highest court, the Federal Court.

It has also filed numerous defamation suits. For example, in the McLibel case, McDonald's sued two activists for distributing pamphlets attacking its environmental, labor and health records. After the longest trial in UK legal history, McDonald's won a technical victory for showing that some allegations were untrue. But it was a massive public relations disaster, since the judge also found that more than half of what was on the pamphlet was truthful, or were simply the opinions of the activists and therefore non-prosecutable.

McDonald's has defended itself in several cases involving workers' rights. In 2001 the company was fined £12,400 by British magistrates for illegally employing and over-working child labor in one of its London restaurants. This is thought to be one of the largest fines imposed on a company for breaking laws relating to child working conditions (R v 2002 EWCA Crim 1094). In April 2007 in Perth, Western Australia, McDonald's pleaded guilty to five charges relating to the employment of children under 15 in one of its outlets and was fined AU$8,000.

Possibly the most infamous legal case involving McDonald's was the 1994 decision in The McDonald's Coffee Case.

In a McDonald's American Idol figurine promotion, the figurine that represents "New Wave Nigel" wears something that closely resembles Devo’s Energy Dome, which was featured on the band's album cover, Freedom of Choice. In addition to the figurine's image, it also plays a tune that appears to be an altered version of Devo's song "Doctor Detroit." Devo copyrighted and trademarked the Energy Dome and is taking legal action against McDonald's.

Products

A McDonald's Big Mac combo meal served with French fries and Coca-Cola.

McDonald's predominantly sells hamburgers, various types of chicken sandwiches and products, French fries, soft drinks, breakfast items, and desserts. In most markets, McDonald's offers salads and vegetarian items, wraps and other localized fare. Portugal is the only country with McDonald's restaurants serving soup. This local deviation from the standard menu is a characteristic for which the chain is particularly known, and one which is employed either to abide by regional food taboos (such as the religious prohibition of beef consumption in India) or to make available foods with which the regional market is more familiar (such as the sale of

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McRice in Indonesia).

Headquarters

McDonald's Plaza, the headquarters of McDonald's

The McDonald's headquarters complex, McDonald's Plaza, is located in Oak Brook, Illinois. It sits on the site of the former headquarters and stabling area of Paul Butler, the founder of Oak Brook. McDonald's moved into the Oak Brook facility from an office within the Chicago Loop in 1971.

Advertising

McDonald's has for decades maintained an extensive advertising campaign. In addition to the usual media (television, radio, and newspaper), the company makes significant use of billboards and signage, sponsors sporting events ranging from Little League to the Olympic Games, and makes coolers of orange drink with their logo available for local events of all kinds. Nonetheless, television has always played a central role in the company's advertising strategy.

To date, McDonald's has used 23 different slogans in United States advertising, as well as a few other slogans for select countries and regions. At times, it has run into trouble with its campaigns.

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Global Operations

Countries with McDonald's stores

McDonald's has become emblematic of globalization, sometimes referred to as the "McDonaldization" of society. The Economist magazine uses the "Big Mac Index": the comparison of a Big Mac's cost in various world currencies can be used to informally judge these currencies' purchasing power parity. Scandinavian countries lead the Big Mac Index with four of the five most expensive Big Mac's. Norway has the most expensive Big Mac in the world as of July 2008, whilst the cheapest country is Malaysia.

Thomas Friedman once said that no country with a McDonald's had gone to war with another. However, the "Golden Arches Theory of Conflict Prevention" is not strictly true. Exceptions are the 1989 United States invasion of Panama, NATO's bombing of Serbia in 1999, the 2006 Lebanon War, and the 2008 South Ossetia War.

Some observers have suggested that the company should be given credit for increasing the standard of service in markets that it enters. A group of anthropologists in a study entitled Golden Arches East[60] looked at the impact McDonald's had on East Asia, and Hong Kong in particular. When it opened in Hong Kong in 1975, McDonald's was the first restaurant to consistently offer clean restrooms, driving customers to demand the same of other restaurants and institutions. McDonald's have recently taken to partnering up with Sinopec, China's second largest oil company, in the People's Republic of China, as it begins to take advantage of China's growing use of personal vehicles by opening numerous drive-thru restaurants.[61] McDonald's reached a deal with the French fine arts museum, the Louvre, to open a McDonald's restaurant and McCafé on its premises,by their underground entrance, in November 2009.

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Main McDonalds Menu

Big MacBig N TastyBig N Tasty w/ CheeseQuarter Pounder w/ CheeseDouble Quarter Pounder w/ CheeseCrispy ChickenChicken McGrillFilet-O-FishDouble CheeseburgerCheeseburgerHamburgerChicken McNuggets (4)Chicken McNuggets (6)Chicken McNuggets (9)McSalad Shaker Chef SaladMcSalad Shaker Garden SaladMcSalad Shaker Grilled Chicken Caeser Salad

 

Main McDonalds Side Dish Menu

Small French FriesMedium French FriesLarge French FriesSuper Size French Fries

 

Main McDonalds Breakfast Menu

Egg McMuffinSausage McMuffinSausage McMuffin w/ EggBacon, Egg & Cheese BiscuitSausage BiscuitSausage Biscuit w/ EggHam, Egg & Cheese BagelSreak, Egg & Cheese BagelSpanish Omelet BagelSausage Breakfast BurritoBig BreakfastDeluxe Big Breakfast

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Hotcakes & SausageApple Danish

 

McDonalds Dessert Menu

Baked ApplePieStawberry SundaeHot Fudge SundaeHot Caramel SundaeVanilla Reduced Fat Ice Cream ConeOreo McFlurryM & M McFlurryButterfinger McFlurryFruit n Yogurt ParfaitFruit n Yogurt Parfait - snack sizeMcDonaldland CookiesFresh Baked Cookies

 

McDonalds Beverage Menu

Thick n Creamy Shake - Vanilla, Chocolate or StrawberryCoca-Cola, Diet Coke or SpriteCoffeeTeaOrange Juice1% Milk

McDonald’s Fast food restaurants in India is more popular now, its popularity is growing at   fast rate. Currently McDonald’s is having largest network of restaurants in India in comparison to similar fast food chain like Domino Pizza.

If you go at any McDonald’s restaurant, you will find the same menu. The quality of food item will be always be superior. McDonald’s is maintaining the same quality across all the stores in the country. It have a single supply source for all the outlets in the country, so the end products is same throughout all outlets in India.

McDonald’s food menu is protected by patents, so it is very difficult to get similar food in quality and taste  from other restaurants.

Menu at McDonald’s is as follows

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(Menu and Price indicated is only for rough idea, they change there menu and pricing very very frequently in India because of various weather seasons). You will get actual price details at outlet only.

Veg Food Item-

McVeggie ~  Price is around Rs 40-50 McAloo Tikki ~  Rs 20–50 Paneer Salsa Wrap ~  Rs 20–50 Crispy Chinese ~  Rs 20–50 Veg McCurry Pan ~  Rs 20–50 Pizza McPuff – ( i forgot the price ) Large Fries ~ Rs.40- 50 Happy Meal ~ Rs.50-60 Combos  ~  Rs.30-Rs.70 Soft Drink ~ Rs.20

Non Veg Food Item

Chicken Maharaja Mac McChicken -  Rs 50- 55 Filet-O-Fish Chicken McGrill Chicken McCurry Pan

About McDonald's menu

Burgers

All beef patties are grilled, with seasonings, consisting primarily of salt and black pepper.

Big Mac: Along with the Quarter Pounder with cheese, this is one of the two McDonald's signature menu items. Introduced in 1968 as a response to the flagship burger at Big Boy restaurants. Two 1.6-ounce (45 g) (approx. uncooked weight) ground beef patties, special Big Mac sauce (similar to Thousand Island dressing), re-hydrated onions, two pickle slices, shredded iceburg lettuce, and cheese, on a toasted bun, with an additional middle bun (called a "club layer") separating both beef patties.

Quarter Pounder: Along with the Big Mac, this is one of the two McDonald's signature menu items. 4-ounce (113 g) (approx. uncooked weight) ground beef patty with ketchup, mustard, slivered onions, two pickle slices (many countries don't include pickles), and two slices of cheese. The Quarter Pounder was invented by Al Bernardin, a franchise owner and former McDonald's Vice President of product development, at his McDonald's in Fremont, California, in 1971.[1] In some markets unfamiliar with Imperial measurements (such as France), it is known as a Royal Cheese, or variants thereof, such

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as McRoyale [2]. Also available as the Double Quarter Pounder with Cheese, which includes another patty of the same proportions and a slice of cheese, or as a quad sandwich in parts of Australia.

Hamburger and cheeseburger: a 1.6-ounce (45 g) ground beef patty, with 0.125 ounces (3.5 g) ketchup, mustard, a single dill pickle, re-hydrated onions, on a toasted bun. At one time early in McDonald’s history, the pickle was removed from the sandwich [3]. Also sold as a double or triple, adding an extra pickle slice for each beef patty added. The double cheeseburger was originally offered as a promotional item in the 1950s, and was added to the regular menu in 1965. A triple burger and a bacon double cheeseburger are optional items and are not always available in all restaurants or markets. A green chile double cheeseburger with chile peppers is offered in New Mexico.

Double Cheeseburger has two 1.6-ounce (45 g) ground beef patties, with 0.125 ounces (3.5 g) ketchup, mustard, two slices of dill pickle, re-hydrated onions, and two pieces of cheese on a toasted bun.

McDouble, made its debut in 2009, similar to a Double Cheeseburger, but with just one slice of cheese.

The Big N' Tasty is a 4-ounce (113 g) beef patty with ketchup, mayonnaise with a grill flavoring, diced onions, two pickles, leaf lettuce, and a tomato slice, on a toasted bun. It was devised to resemble Burger King's Whopper sandwich.[4] It is also known as the Big Xtra in most of Canada; the McXtra in Québec, Canada; the McFeast Deluxe in Australia; the Big Tasty (without the 'N') in Brazil, Bulgaria, France, Germany (without ketchup), The Netherlands, Poland, Sweden, the United Kingdom; the Quarter Pounder Deluxe in South Africa; and the McNifica (a play on Spanish magnifica, 'wonderful') in Mexico and Latin America. However in many Latin American countries the McNifica and Big n Tasty are two different burgers where the McNifica does not have the special grill mayonnaise.

Angus Third Pounders - There are three sandwiches: the Angus Deluxe (American cheese, sliced red onions and sliced red tomatoes, iceberg lettuce, pickles, mustard, and mayonnaise); Angus Mushroom and Swiss (sautéed mushrooms, Swiss cheese and mayonnaise); and Angus Bacon and Cheese (bacon, American cheese, sliced red onions, mustard, ketchup and pickles). An Angus Chipotle BBQ Bacon sandwich was later added to the lineup. In Ontario it is the called the Angus Deluxe, with or without bacon, cheese, or both. Cheddar cheese is used on the Angus Deluxe in Canada instead of American cheese. In Australia and New Zealand, only two Angus burgers are sold; The Grand Angus (which is a clone of the Angus Deluxe) and the Mighty Angus (which resembles the Angus Cheese and Bacon, but with no pickles and mayonnaise and onion relish replacing the ketchup and mustard). Both sandwiches are on toasted sourdough buns.

In most European markets, a wrap called the Greek Mac is sold. It consists of two burger patties wrapped in a pita with yogurt sauce, tomato slices, iceberg lettuce and onions. The sandwich is offered in Belgium, Bulgaria, the Czech Republic, Cyprus, Poland, Portugal, Russia, Serbia (seasonal), Spain, and selected outlets in the United Kingdom.

In Australia and New Zealand, part of the Value Picks menu, are the Bacon Cheeseburger with BBQ sauce which is a burger with 10mL BBQ Sauce, A 10:1 beef patty, one slice of cheese and a rasher of bacon, also the BLT which is 15mL McChicken sauce, shredded lettuce, tomato and a rasher of bacon.

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Chicken, fish and pork

McChicken - A mildly spicy chicken sandwich. Made from 100% white meat chicken. mayonnaise, and shredded lettuce, on a toasted bun. It was introduced in 1980, then later removed, but then later reintroduced in 1988. In some markets it is not spicy, and in others a cajun spiced version is also offered. It still remains one of the biggest sellers, just behind the Big Mac.

Premium chicken sandwiches - The Classic is a rebranding of the Crispy Chicken and Chicken McGrill sandwiches, with mayonnaise, leaf lettuce, and a tomato slice. The Ranch BLT contains ranch sauce instead of mayonnaise and includes bacon. The Club is similar to the Classic with added bacon and a piece of Swiss cheese. In Latin America, there are the Classic, the Club, but instead of the BLT, a Honey-mustard chicken sandwich. All are served on a honey-wheat roll, with either a grilled or crispy chicken breast.

Southern Style Chicken Sandwich - A southern style chicken breast, on a steamed bun, dressed with butter and two pickles. Nearly identical to a Chick-fil-A chicken sandwich.

Snack Wrap - McDonald's version of a wrap made with white meat chicken breast (crispy or grilled), lettuce, shredded Cheddar cheese and Monterey Jack cheese, and a sauce (Spicy Buffalo, Ranch, Honey Mustard, Chipotle barbecue, or Salsa Roja, the breakfast sauce on the McSkillet), wrapped in a soft flour tortilla. Officially launched on July 1, 2006. Chipotle BBQ is the most recent flavor. Available in the United States, The Netherlands, United Kingdom, Canada, Australia and Brazil.[5][6][7] There is also a Mac Snack Wrap which features the fixings of the Big Mac, but without the bun and wrapped in a tortilla shell, and uses a half of a piece of quarter meat.[8]

Chicken Fajita - Chicken, cheese, red and green bell peppers, and diced onions in a flour tortilla. Comes with Picante sauce packets on request, which are available in mild and spicy. Available in only a few markets.

Chicken McNuggets - Introduced in 1980 as a replacement for the McChicken, these are small chicken chunks served with dipping sauces of Barbecue, Sweet n' Sour, Honey, and Hot Mustard. Available in 4, 6, 10 (originally 9), or 20 pieces. Up until 2003, they were a combination of liquified white and dark meat, now they are made with only liquified white meat.

Chicken Selects - McDonald's version of chicken strips. They were introduced since early-1998 and offered again as a permanent part of the menu in late-October 2003. They are sold in 3, 5, or 10 pieces sizes and include choices of spicy buffalo, creamy ranch, Honey Mustard, and Chipotle barbecue dipping sauces; sauce selections in the UK are smokey barbecue, sour cream and sweet chili sauce.[9] Sold in the United States, Canada, Israel and the UK. Available in Australia under the name Chicken McDippers.[10]

Filet-O-Fish - A whitefish fillet with tartar sauce and a half slice of cheese, on a steamed bun. It was introduced in Cincinnati in 1963 when it was discovered that many Roman Catholics chose to eat at Frisch's Big Boy on Fridays and during Lent, as it offered a fish sandwich so they could go without meat.[11] They were replaced with the Fish Filet Deluxe in 1996 and brought back in 1998 abiet a larger fish patty.

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The McRib

McRib - A sandwich featuring boneless pork smothered in barbecue sauce, diced onions, and pickles. First seen in test-market stores near interstate highways around Milwaukee and Madison, Wisconsin, in the late 1970s (along with early tests of personal-sized pizza) the McRib was more widely released in 1981, but later pulled from menu. Now released annually in the US as a limited time promotion. Since 2005, the McRib has reappeared in late October and stays on the menu for one month. This limited time marketing stategy was parodied on The Simpsons, with the "Krusty Burger Ribwich". The McRib was recently released in Canada as a promotional sandwich from March 18 through April 8, 2008. The McRib is presently on some European menus, e.g. Germany.[12]

Other products

McDonald's first introduced salads to its menu in 1985. Since that time, they have restructured their salad lines several times. In the U.S., the newest salad offerings are part of the McDonald's Premium line. First introduced in 2003, the Premium Salads all are a mixture of iceberg lettuce and a special lettuce assortment (romaine, etc.), with cherry tomatoes and different toppings to differentiate them; additionally all salads can be topped with warm grilled or crispy chicken. All of its salads are part of McDonald's move towards creating a healthier image.

The Happy Meal - McDonald's created the concept of a children's meal when it introduced the first Happy Meal in 1979. The meal includes an entrée, a side order, beverage and a toy. The toy is usually a product tie-in with a movie or popular television show.

o In the U.S., the entrée is a choice of hamburger, cheeseburger, or a four or six piece order of Chicken McNuggets; the sides are a choice of fries or sliced apple with caramel dip. Milk, chocolate milk, boxed apple juice, and the traditional soda are choices for drinks.

o In the UK, the entrée is a choice of hamburger, cheeseburger, four Chicken McNuggets, or three fish sticks; the sides are a choice of fries, carrot sticks or sliced apples and grapes. Milk, Minute Maid orange juice, apple and blackcurrant Robinsons Fruit Shoot, milkshakes, water and the traditional soda are the choices for drinks.

o In Australia, the entrée is a choice of hamburger, cheeseburger, three or six piece order of Chicken McNuggets or a crispy or seared Chicken Snack Wrap; the sides are a choice of french fries or apple slices. Thickshake, boxed chocolate milk, apple or water pop tops, orange juice, and the traditional soda are choices for drinks.

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McDonald's line of larger chicken sandwiches (The Classic, Club and Ranch BLT), which are part of the McDonald's Premium line were introduced in July 2005 as part of McDonald's menu revamp.

o The Classic includes Lettuce, Tomato, and Mayo.o The Club also has Lettuce Tomato and Mayo, but also comes with Swiss cheese

and bacon.o The Ranch BLT comes with a creamy ranch sauce, Bacon, Lettuce and Tomato.

All three can be chosen with either crispy or grilled chicken and all are served on a honey wheat roll.

Deli Choices is a line of deli-style sandwiches that are sold internationally. It is targeted at health-conscious customers and is available in Australia, Austria, Canada, Germany, New Zealand and Britain, and is testing in the United States. It is similar to the McHero sandwich, sold in parts of the United States.

McDonald's sells French fries as its primary side order. Until 1967, French fries were never frozen, but were cut on-site from potatoes and immediately fried. In international locations, they sell potato wedges, a type of French fry that is thick cut and wedge shaped and fried onion pieces that are similar to onion rings.

Many McDonald's locations in Wal-Mart stores offer freshly-popped popcorn and soft pretzels in addition to the normal menu.

McLobster - Some McDonald's restaurants in New England and the Canadian Maritimes offer lobster rolls as a seasonal menu item, called the McLobster.

McCrab - In response to the McLobster, McDonald's along the southern coast of the Delmarva peninsula (comprising parts of Delaware, Maryland and Virginia) developed the McCrab sandwich, a McDonald's version of the Chesapeake crabcake.

Poutine - In Quebec, a Canadian province, McDonald's also offers Poutine which consists of French fries and cheese curds, covered with brown sauce.[13]

Brownie Melt - similar to a Cinnamelt, it is a rich chocolate brownie with chocolate and white frosting.

McRice - Most McDonald's restaurants in countries in Asia serve the product due to customers demand. It is just normal rice.

Breakfast

From 1940 until 1972, McDonald's did not serve breakfast. McDonald's introduced breakfast foods for the first time in 1972.

Egg McMuffin

McDonald's primary breakfast offerings are breakfast sandwiches.

17

o McMuffins are McDonald's signature breakfast sandwich, first sold at select restaurants in 1972 as the Egg McMuffin, just 5 years before breakfast officially went into effect, it consists of a fried egg, Canadian Bacon, and American cheese on a toasted English muffin. Sausage or bacon McMuffins are also available.

o McDonald's offers a line of breakfast sandwiches: bagels, biscuits, and a special type of maple flavored pancake called McGriddles. All can all be ordered with sausage, ham or bacon, with an optional choice of cheese and/or egg. Regional meat offerings include fried chicken, steak and bacon.

o The McDonald's Hamdesal is a new breakfast sandwich which consist of a slice of ham on pandesal, which can be ordered plain, with eggs or with cheese. This sandwich is currently available in the Philippines.[14]

There are two styles of breakfast burritos available. The Sausage Burrito is made with a flour tortilla, sausage, shredded cheese, eggs, onions and peppers. The new McSkillet wrap adds potatoes and salsa. Chicken and steak variants of the McSkillet exists in limited areas[15] Outside the US, the breakfast burrito may be called a breakfast wrap.

Additional breakfast items include hotcakes; several breakfast platters with eggs, hash browns and meats or breads; a type of cinnamon roll called a Cinnamon Melt; and Danish. Biscuits and gravy are available in parts of the southern US.

Waffles with the maple syrup already baked in (similar to the McGriddle pancakes) were introduced in some markets in 1999.[citation needed]

Hawaiʻi and Guam McDonald's offers local breakfast items such as Spam, Portuguese sausage and fresh cut pineapple.

Beverages

(Varies regionally):

McDonald's primary soft drink supplier is the Coca-Cola Company, except in restaurants which fall under an overall contract with PepsiCo. For example: the Mall of America and the University of Maryland, College Park Student Union. In the US and Canada, Cadbury-Schweppes supplies Dr Pepper.

S&D Coffee, Gavina and Kraft supply McDonald's Premium Roast Coffee for McDonald's US restaurants besides the New England area. Green Mountain Coffee Roasters supplies Newman's Own branded coffee for McDonald's New England area restaurants.

Hot and iced tea (supplied by S&D Coffee in the US), hot chocolate, various juices and other regional beverages are available in various markets.

The McCafe is an umbrella term for lattes, espresso, iced coffee, hot chocolate, mocha, and other coffee drinks that are sold in several markets worldwide.

Milkshakes are available in all of McDonald's US and global markets(except for the Paraguayan branches). Permanent flavors are vanilla, strawberry, and chocolate; regional or seasonal flavors include Caramel, Coffee, Cherry, Eggnog (Limited Time Offer shake for Christmas), Banana, Pumpkin (during Halloween), Strawberry Banana, Mango Raspberry, Honeycomb, Arctic Orange (sherbet), Shamrock Shake (a green, spearmint Limited Time Offer shake for St. Patrick's Day), Chocolate Mint, and Rolo (available only in Canada and the UK. This flavoured milkshake was also available in the Republic

18

of Ireland during the summer of 2007 for a limited time only). In June 1975, 13 months before the celebration of the United States Bicentennial, McDonald's introduced a blueberry-flavored shake in order to advertise "Red, White, and Blueberry Shakes" for independence day celebrations, and lasting through August of that year. The run was repeated in summer 1976, but not since.

Beer of different brands (varies locally) is available at McDonald's in France, Germany, Spain, Portugal, Czech Republic, and Italy.

Irn-Bru is available in most Scottish McDonald's locations. McDonald's also offers 1% milk, 1% chocolate milk, and apple juice, most often as

replacements for fountain drinks in Happy Meals.

Desserts

A soft serve ice cream product is available in several forms, including sundaes, cones (either vanilla, chocolate (Most McDonalds have discontinued to sell it, due to it being an "optional" item) or chocolate-dipped), and as the primary ingredient in the McFlurry. As with many other formulations of soft serve, cellulose gum is utilized as an extender and thickener.[16]

o The McFlurry is a vanilla ice cream dessert that has pieces of candy, fruit or cookies mixed into it. The mixing blade for the dessert is actually a specially designed spoon with a hollow handle that attaches to the mixer spindle. The blade is used once then given to the customer to use to eat the product. Available in most of its markets.[17]

McDonaldland Cookies: McDonaldland cookies are traditionally available and are similar to animal crackers, except the shapes of the cookies are of Ronald McDonald, Grimace, Birdie the Early Bird, the Hamburglar, and the Fry Guys.

Freshly Baked cookies: "Freshly" baked cookies manufactured by Nestlé are available in some markets.

Pies: McDonald's pies are actually turnovers and come in a choice of apple, cherry and other seasonal or limited-time-only flavors such as pumpkin pie and haupia pie in Hawaii. In Canada, in the 1970s, blueberry was standard, as was the Great Fruit Pie. During some seasonal promotions, cherry and strawberry are an available pie flavor in Canada. Currently McDonald's is selling S'mores pie, for a limited time. In Thailand and Guam, Taro pie is featured occaisionaly. Other regional flavors include Coconut, Holiday, and Tuna (all in Guam as limited-time), and Corn in Japan. In Mexico, cheese pie is available all year round.

The Fruit and Yogurt Parfait - a mix of frozen strawberries and blueberries and vanilla yogurt, sold with a package of granola topping.

Smoothies are available in some locations, wild berry, strawberry banana, mango and strawberry flavors

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Discontinued menu items

McDogs - McDonald's version of hot dogs. Hulaburger: A Ray Kroc invention, it featured a slice of pineapple instead of meat.

Originally intended for Roman Catholics who were not allowed to eat meat on Fridays during Lent. It was test-marketed in 1963.[18]

McFeast: A hamburger with a slice of ham and cheese, in certain markets in the late 1970s. The name McFeast lives on though in the Nordic countries, where a McFeast has been served since the mid-1980s in Sweden and later introduced to the rest of the Nordic countries, the McFeast in Sweden contains a quarter pounder patty, lettuce, modified mayonnaise with lemon juice, onion and tomato. In the rest of the countries, the McFeast also contains ketchup, but not in Sweden. The same burger was sold under the name Mega Feast in New Zealand for several years during the 1990s, but has since been discontinued. The McFeast was sold in Australia until late 2009 and contained: mustard, ketchup, large onions, McChicken sauce, lettuce, 1 tomato slice, regular cheese and a 4:1 quarter pounder patty served in a Quarter Pounder/McChicken Bun.

McDLT: The McDLT (McDonald's Lettuce and Tomato) was sold in a novel form of packaging.[19] The McDLT was introduced in the fall of 1984 as the Lettuce and Tomato Special. The meat and bottom half of the bun were prepared separately from the lettuce, tomato, American cheese, pickles, sauces, and top half of the bun. Both were then packaged into a specially designed two-sided container. The consumer was then expected to finalize preparation of the sandwich by combining the hot and cool sides just prior to eating.

McChicken LT (McDonald's Chicken Lettuce and Tomato) was the chicken version of the McDLT featuring the same two-sided container as the McDLT except the packaging was yellow instead of white. It was introduced about the same time as the McDLT in the mid-1980s. The chicken was a grilled, unbreaded chicken breast placed on the heel of the bun in one of the compartments. The toppings were shredded lettuce, tomato and mayonnaise assembled on the top half of the bun in the other compartment. Cheese was an optional addition for an extra US$0.10. The grilled chicken breast was then basted with a brushing of melted butter. As with the McDLT, the consumer would finalize preparation of the sandwich by combining the hot and cool sides just prior to eating. The McChicken LT was discontinued in the Fall of 1987.

Beefsteak Sandwich - test-marketed in New York and other East Coast markets in 1980 and as far west as Chicago were part of a McDonald's "Dinner Menu", offered only after 4:00 p.m. The Beefsteak Sandwich was essentially an elongated hamburger of a different quality served on a short French roll, similar to a sub or hero roll. Packets of steak sauce (A1 sauce in Chicago) were available for the sandwich.

In 1993, McDonald's tested a bigger burger called the Mickey D in about 100 restaurants in the Midwest. Weighing in at 5.3 ounces, it was the largest burger on the menu, topping the Quarter Pounder and Big Mac, which weigh 3.2 ounces each. The Mickey D sold in test markets for US$2.29. It had a one-third-pound beef patty on a crusty roll, Cheddar cheese, diced tomatoes, red onions and a special spicy sauce. Testing of the Mickey D

20

began in early January 1993. It expanded nationwide during the summer of 1993 and was discontinued that fall.

Onion Nuggets - introduced at the same time as the Beefsteak Sandwich as the side item for the Dinner Menu. Onion Nuggets were chopped onions shaped into small solid pieces, dipped in batter and deep-fried.

McLean Deluxe - A lower-calorie Quarter Pounder-type sandwich (introduced in 1991). This item was otherwise identical to the Big N' Tasty and the McDLT.

Triple Ripple - A mixed cone with strawberry, vanilla, and chocolate, topped with a plastic top.[3]

Arch Deluxe - An attempt to produce a "luxury" hamburger, promoted by a high-profile advertising campaign (introduced in 1996). It featured a quarter-pound beef patty on a potato roll, with leaf lettuce, tomato, red onion, cheese, and a honey mustard-type sauce; peppered bacon was also offered for an extra charge.

Torta - In 2000, the company released their own version of tortas, a Mexican sandwich, in southern California on a trial basis.

McStuffin - a pocket sandwich available with various fillings. Chicken McGrill - Same as the Crispy Chicken, but with a marinated, grilled chicken

breast. Also replaced with a premium chicken sandwich in July 2005, but is still available in Canada and India.

McGrilled Chicken Classic - A sandwich featuring a grilled chicken breast portion that was produced before being replaced by the Grilled Chicken Deluxe/Chicken McGrill.

Spicy Chicken - Chicken breast with spicy breading introduced in 2006 McWraps - Chicken Caesar, Chicken and Garden Salad wraps served toasted in a thick

herb flat bread. Fried Roast Beef Sandwich - Inspired by a franchisee's version of an Arby's sandwich,

the sandwich failed due to the costs of getting roast beef slicers, no matter how many sandwiches they could sell, it would never turn a profit.[3]

Philly Cheesesteak - Slices of steak and Swiss cheese with onions. Served until August 2007 at Australian and American McDonald’s. This sandwich is still available in Canada, made with cheese spread instead of Swiss, and with green bell pepper.

Pizza / McPizza - McDonald's has also attempted pizza at various times, with an apple-pie–like McPizza and more conventional McDonald's Pizza. A line of personal-sized pizzas was first seen in the late 1970s in test-market stores near interstate highways around Milwaukee and Madison. In British Columbia, Alberta, Saskatchewan, Manitoba, Ontario, Quebec, Newfoundland & Labrador, Prince Edward Island, and Nova Scotia (c. 1992-1997), the pizza originally began as a family-sized pizza that was brought out to the table by an employee and placed on a raised rack in the centre of the table. Later it was scaled down to a personal-sized pizza. However, variations have found their way into some international markets such as India (the pie-like "Pizza McPuff"). McDonald's also test marketed a 14-inch, round, traditional-style pizza in Evansville, Indiana, and nearby Owensboro, Kentucky, in 1989.[20] By 1991, the McDonald's test markets for pizza had grown to over 500 McDonald's locations before the pizza test was placed on hold. [21]

Pizza is still sold at one McDonald's location in Orlando. Hot Dogs - In his 1977 autobiography CEO Ray Kroc prohibited the company from

selling hot dogs, regardless of potential demand, as he regarded them as unhygienic; however, hot dogs were introduced in 1995 at some Midwestern located stores (at the

21

option of the franchise-holder) as a summer item. UK stores sold hot dogs during the late nineties on the McChoice menu (later PoundSaver). Also, at least one American restaurant offered Oscar Mayer hot dogs at some time, notably in Bethel Park, Pennsylvania, and McDonald's locations at Toronto Metro Zoo and SkyDome in Toronto offered hot dogs until 1999. In Tokyo locations, hot dogs were available in 2001, and have been reintroduced for 2009, dubbed the "McHot Dog."

Bratwurst - For a few years during the 1990s, Johnsonville brand brats were sold in some US markets for a limited time each fall.

Corn dogs - For a brief time in 2001, Columbus, OH, area McDonald's offered a multi-pack of mini corn dogs without sticks.

Grilled Chicken Flatbread Sandwich - Grilled chicken strips, lettuce, tomato, grilled onions, pepper jack cheese, and a creamy herb sauce served wrapped in a heated flatbread. Served briefly in June 2002, and brought back in December 2002-January 2003.

Chicken Platter - A grilled chicken burger served with lettuce and tomato on the HotCakes tray.

Big 33 or McJordan Special - A quarter pound burger with bacon and special barbecue sauce named after basketball players Larry Bird and Michael Jordan, respectively.

Triple-Double Burger - A burger featuring 3 beef patties and 2 slices of cheese, served on the same 6 inch (15.2 cm) sesame seed roll as the McRib. This was sold under the names of local sports stars in at least five markets in the 1990s:

o The Jason Kidd Burger - Downtown Phoenix, Arizona, franchises had an Limited Time Offer burger named after NBA player Jason Kidd, while he played for the Phoenix Suns.

o Boselli Burger - Jacksonville, Florida, franchises also featured the Triple-Double Burger in 1998, named after Jacksonville Jaguars tackle Tony Boselli.[22]

o The Michael Dean Perry burger, for the then Cleveland Browns star.o The Rory Sparrow burger was sold in the Sacramento area. It was named after the

Sacramento Kings star.o The Hockey Hero burger, in Canada.

Beef Wennington - A burger solely offered in the Chicago area in 1998-1999, named after former Chicago Bulls player Bill Wennington. It featured a single patty topped with cheese, onions, barbecue sauce and a slice of Canadian bacon.[23]

Dinner Menu - After testing pasta in the South in 1989, McDonald's began testing a pasta-based menu at 40 units across Rochester, N.Y., in September 1991, including lasagna, fettuccine alfredo, and spaghetti with meatballs.[21] In the early 1990s, a new Dinner Menu was tested for 6–12 months at two locations in New York and Tennessee. It consisted of the above mentioned pizza but also included lasagna, spaghetti, fettuccine alfredo, and roasted chicken as entrees. The side dishes included mashed potatoes and gravy and a vegetable medley.[citation needed] For the dessert, it included a brownie à la mode.[citation needed]

Chicken Fajitas - The Chicken Fajitas consisted of a small soft tortilla, a grilled vegetable medley, and grilled chicken. The fajita was in the traditional thin wrapping paper and given that way. These are still available in British Columbia, Saskatchewan and Manitoba at certain locations and at all non-Walmart McDonald's in Ontario.

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Salad Shakers - A salad of lettuce, croutons and other vegetable in a tall dome shaped plastic container. Salad Shakers are still available in Brazil.

Daily Double - Similar to the double cheeseburger, however the toppings were different. The Daily Double was made with lettuce, tomato, slivered onions, and mayonnaise. It also had only one slice of cheese, rather than the two slices that are on the double cheeseburger.

Happy Meal Breakfast - The Happy Meal Breakfast was a meal that was smaller than the traditional breakfast that lasted from the 1980s to 2009. It was discontinued by advice of the Nutrition department at the Corporate Headquarters in Oak Brook, IL, because it wasn't made for kids and so forth. Still sold in Hong Kong.

Grilled Cheese Happy Meal - There was a Happy Meal introduced during the early part of the 2000s that contained a grilled cheese sandwich. It was discontinued the same summer it was released but is still sold in some Canadian markets.

Chicken Parmesan Sandwich - A chicken breast covered in bread crumbs and topped with tomato sauce and mozzarella on a toasted bun.

Mighty Wings - Deep fried spicy chicken wings, large and meaty. McDonald's began selling these in 1990 as an optional item and stopped selling them in 2003. Still sold in US Virgin Island of St Croix as of March 6, 2010.

Australia sold a limited edition burger called the "Double Beef and Cheese" which was like a double cheeseburger but with only one slice of cheese.

Australia sold a Lean Beef Burger which contained ketchup, onions, tatsoi lettuce, a slice of tomato, a slice of cheese, and a beef patty. It was discontinued in late 2009.

Australia sold a burger called the "Deluxe Cheeseburger" which was sold as part of their "Value Picks" selection. It contained McChicken Sauce, onions, iceburg lettuce, a slice of cheese, and one 10:1 beef patty. New Zealand also sold the Deluxe Cheeseburger. It was discontinued in late 2009.

Derby Burger - A single patty hamburger with American Cheese, lettuce, tomato, ketchup, mayonnaise, and bacon. It was a regional item sold in the mid-1990's in Louisville, Kentucky only during the spring to coincide with the Kentucky Derby. Discontinued in the early 2000s.

New Zealand periodically sold a burger called the 'Kiwi Burger', reflecting their national icon the Kiwi, during the '00s. The packaging had many classic kiwi quotes, kiwiana, and kiwi sporting icons.

Mc Donalds Calories - Fast Food Nutritional Facts & Menu Information

Food Description Servings Calories Fat (gms)

Carbs (gms)

Protein (gms)

McDonald'sBiscuit(Breads)

1 ea(3.0 oz)(84 gm)

290 15 34 5

McDonald'sBacon, Egg and Cheese Biscuit(Breakfast)

1 ea(5.5 oz)(157 gm)

540 34 35 18

23

McDonald'sBreakfast Burrito(Breakfast)

1 ea(4.1 oz)(117 gm)

320 20 21 13

McDonald'sEgg McMuffin(R)(Breakfast)

1 ea(4.8 oz)(136 gm)

290 12 27 17

McDonald'sHam, Egg and Cheese Bagel(Breakfast)

1 ea(n/a oz)(n/a gm)

550 23 58 26

Food Description Servings McDonalds Calories - Fast Food Nutritional Facts & Menu Information

Calories Fat (gms)

Carbs (gms)

Protein (gms)

McDonald'sHash Browns(Breakfast)

1 serv(1.9 oz)(53 gm)

130 8 14 1

McDonald'sHotcakes w/Margarine & Syrup(Breakfast)

1 serv(7.8 oz)(222 gm)

600 17 104 9

McDonald'sHotcakes, Plain(Breakfast)

1 serv(5.3 oz)(150 gm)

340 8 58 9

McDonald'sSausage Biscuit(Breakfast)

1 ea(4.5 oz)(127 gm)

470 31 35 11

McDonald'sSausage Biscuit w/Egg(Breakfast)

1 ea(6.3 oz)(178 gm)

550 37 35 18

Food Description Servings Calories Fat (gms)

Carbs (gms)

Protein (gms)

McDonald's 1 ea 360 23 26 13

24

Sausage McMuffin(R)(Breakfast)

(4.0 oz)(112 gm)

McDonald'sSausage McMuffin(R) w/Egg(Breakfast)

1 ea(5.9 oz)(166 gm)

440 28 27 19

McDonald'sSausage Patty(Breakfast)

1 serv(1.5 oz)(43 gm)

170 16 0 6

McDonald'sScrambled Eggs(Breakfast)

1 serv(3.6 oz)(102 gm)

160 11 1 13

McDonald'sSpanish Omelet Bagel(Breakfast)

1 ea(n/a oz)(n/a gm)

690 38 59 27

Food Description Servings Calories Fat (gms)

Carbs (gms)

Protein (gms)

McDonald'sSteak, Egg and Cheese Bagel(Breakfast)

1 ea(n/a oz)(n/a gm)

660 31 59 27

McDonald'sGrilled Chicken Flat Bread Sandwich(Chicken)

1 ea(n/a oz)(n/a gm)

540 24 56 28

McDonald'sGrilled Chicken Flat Bread Sandwich (no cheese)(Chicken)

1 ea(n/a oz)(n/a gm)

410 13 54 21

McDonald'sGrilled Chicken Flat Bread Sandwich (no cheese, no sauce)(Chicken)

1 ea(n/a oz)(n/a gm)

340 7 52 21

McDonald'sGrilled Chicken Flat Bread Sandwich (no sauce)(Chicken)

1 ea(n/a oz)(n/a gm)

460 16 53 28

Food Description Servings Calories Fat (gms)

Carbs (gms)

Protein (gms)

25

McDonald'sChicken McNuggets(R)(Chicken Dishes)

6 pc(3.7 oz)(106 gm)

290 17 20 15

McDonald'sChicken McNuggets(R)(Chicken Dishes)

4 pc(2.5 oz)(71 gm)

190 11 13 10

McDonald'sChicken McNuggets(R)(Chicken Dishes)

9 pc(5.6 oz)(159 gm)

430 25 29 23

McDonald'sBarbeque Sauce

(Condiments/Sauces)

1 pkt(1.0 oz)(28 gm)

45 0 10 0

McDonald'sCaesar(Condiments/Sauces)

1 pkt(n/a oz)(n/a gm)

160 14 7 2

Food Description Servings Calories Fat (gms)

Carbs (gms)

Protein (gms)

McDonald'sCroutons(Condiments/Sauces)

1 pkt(0.4 oz)(12 gm)

50 1 9 1

McDonald'sHoney(Condiments/Sauces)

1 pkt(0.5 oz)(14 gm)

45 0 12 0

McDonald'sHoney Mustard

(Condiments/Sauces)

1 pkt(0.5 oz)(14 gm)

50 4.5 3 0

McDonald'sHot Mustard(Condiments/Sauces)

1 pkt(1.0 oz)(28 gm)

60 3.5 7 1

McDonald'sLight Mayonnaise

(Condiments/Sauces)

1 pkt(0.4 oz)(12 gm)

40 4 1 0

Food Description Servings Calories Fat (gms)

Carbs (gms)

Protein (gms)

26

McDonald'sSweet 'N Sour Sauce(Condiments/Sauces)

1 pkt(1.0 oz)(28 gm)

50 0 11 0

McDonald'sBaked Apple Pie(Desserts)

1 ea(2.7 oz)(77 gm)

260 13 34 3

McDonald'sChocolate Chip Cookies(Desserts)

1 ea(1.2 oz)(35 gm)

170 10 22 2

McDonald'sMcDonaldland(R) Cookies(Desserts)

1 pkt(1.5 oz)(42 gm)

180 5 32 3

McDonald'sApple Bran Muffin, Low Fat(Donuts, Danish & Muffins)

1 ea(4.0 oz)(114 gm)

300 3 61 6

Food Description Servings Calories Fat (gms)

Carbs (gms)

Protein (gms)

McDonald'sApple Danish(Donuts, Danish & Muffins)

1 ea(3.7 oz)(105 gm)

340 15 47 5

McDonald'sCheese Danish(Donuts, Danish & Muffins)

1 ea(3.7 oz)(105 gm)

400 21 45 7

McDonald'sCinnamon Roll(Donuts, Danish & Muffins)

1 ea(3.4 oz)(95 gm)

390 18 50 6

McDonald'sEnglish Muffin(Donuts, Danish & Muffins)

1 ea(1.9 oz)(55 gm)

140 2 25 4

McDonald's1% Low Fat Milk(Drinks)

1 ea(8 oz)(226.8 gm)

100 2.5 13 8

Food Description Servings Calories Fat (gms)

Carbs (gms)

Protein (gms)

27

McDonald'sButterfinger(R) McFlurry(TM)(Drinks)

1 serv(12.3 oz)(348 gm)

620 22 90 16

McDonald'sChocolate Shake(Drinks)

1 ea(n/a oz)(n/a gm)

360 9 60 11

McDonald'sCoca-Cola Classic(R)(Drinks)

1 super(n/a oz)(n/a gm)

410 0 0 0

McDonald'sCoca-Cola Classic(R)(Drinks)

1 lrg(32 oz)(907.2 gm)

310 0 86 0

McDonald'sCoca-Cola Classic(R)(Drinks)

1 med(21 oz)(595.4 gm)

210 0 58 0

Food Description Servings Calories Fat (gms)

Carbs (gms)

Protein (gms)

McDonald'sCoca-Cola Classic(R)(Drinks)

1 sml(16 oz)(453.6 gm)

150 0 40 0

McDonald'sCoca-Cola Classic(R)(Drinks)

1 child(12 oz)(340.2 gm)

110 0 29 0

McDonald'sHi-C(R) Orange Drink(Drinks)

1 super(n/a oz)(n/a gm)

460 0 0 0

McDonald'sHi-C(R) Orange Drink(Drinks)

1 lrg(32 oz)(907.2 gm)

350 0 94 0

McDonald'sHi-C(R) Orange Drink(Drinks)

1 sml(16 oz)(453.6 gm)

160 0 44 0

Food Description Servings Calories Fat (gms)

Carbs (gms)

Protein (gms)

28

McDonald'sHi-C(R) Orange Drink(Drinks)

1 med(21 oz)(595.4 gm)

240 0 64 0

McDonald'sHi-C(R) Orange Drink(Drinks)

1 child(12 oz)(340.2 gm)

110 0 32 0

McDonald'sM&M(R) McFlurry(TM)(Drinks)

1 serv(12.3 oz)(348 gm)

630 23 90 16

McDonald'sNestle Crunch(R) McFlurry(TM)(Drinks)

1 serv(12.3 oz)(348 gm)

630 24 89 16

McDonald'sOrange Juice(Drinks)

1 ea(6 oz)(170.1 gm)

80 0 20 1

Food Description Servings Calories Fat (gms)

Carbs (gms)

Protein (gms)

McDonald'sOreo(R) McFlurry(TM)(Drinks)

1 serv(11.9 oz)(337 gm)

570 20 82 15

McDonald'sSprite(R)(Drinks)

1 sml(16 oz)(453.6 gm)

150 0 39 0

McDonald'sSprite(R)(Drinks)

1 med(21 oz)(595.4 gm)

210 0 56 0

McDonald'sSprite(R)(Drinks)

1 lrg(32 oz)(907.2 gm)

310 0 83 0

McDonald'sSprite(R)(Drinks)

1 child(12 oz)(340.2 gm)

110 0 28 0

Food Description Servings Calories Fat (gms)

Carbs (gms)

Protein (gms)

McDonald'sSprite(R)(Drinks)

1 super(n/a oz)(n/a gm)

410 0 0 0

McDonald's 1 serv 360 9 60 11

29

Strawberry Shake(Drinks)

(n/a oz)(n/a gm)

McDonald'sVanilla Shake(Drinks)

1 serv(n/a oz)(n/a gm)

360 9 59 11

McDonald'sdiet Coke(R)(Drinks)

1 super(n/a oz)(n/a gm)

5 0 0 0

McDonald'sdiet Coke(R)(Drinks)

1 lrg(32 oz)(907.2 gm)

0 0 0 0

Food Description Servings Calories Fat (gms)

Carbs (gms)

Protein (gms)

McDonald'sdiet Coke(R)(Drinks)

1 child(12 oz)(340.2 gm)

0 0 0 0

McDonald'sdiet Coke(R)(Drinks)

1 sml(16 oz)(453.6 gm)

0 0 0 0

McDonald'sdiet Coke(R)(Drinks)

1 med(21 oz)(595.4 gm)

0 0 0 0

McDonald'sArch Deluxe(R)(Hamburgers)

1 ea(8.4 oz)(239 gm)

550 31 39 28

McDonald'sArch Deluxe(R) w/Bacon(Hamburgers)

1 ea(8.7 oz)(247 gm)

590 34 39 32

Food Description Servings Calories Fat (gms)

Carbs (gms)

Protein (gms)

McDonald'sBig Mac(R)(Hamburgers)

1 ea(7.6 oz)(216 gm)

570 32 45 26

McDonald'sBig Xtra!(Hamburgers)

1 ea(n/a oz)(n/a gm)

710 46 51 24

McDonald'sBig Xtra! With Cheese(Hamburgers)

1 ea(n/a oz)(n/a gm)

810 55 52 29

McDonald'sCheeseburger

1 ea(4.3 oz)

320 13 35 16

30

(Hamburgers) (121 gm)McDonald'sHamburger(Hamburgers)

1 ea(3.8 oz)(107 gm)

270 9 35 13

Food Description Servings Calories Fat (gms)

Carbs (gms)

Protein (gms)

McDonald'sQuarter Pounder(R)(Hamburgers)

1 ea(6.1 oz)(172 gm)

430 21 37 23

McDonald'sQuarter Pounder(R) w/Cheese(Hamburgers)

1 ea(7.1 oz)(200 gm)

530 30 38 28

McDonald'sFruit 'n Yogurt Parfait(Ice Cream, Frozen Yogurt, Toppings)

1 ea(n/a oz)(n/a gm)

380 5 76 10

McDonald'sFruit 'n Yogurt Parfait(Ice Cream, Frozen Yogurt, Toppings)

(n/a oz)(n/a gm)

-2 n/a n/a n/a

McDonald'sFruit 'n Yogurt Parfait(Ice Cream, Frozen Yogurt, Toppings)

1 ea(n/a oz)(n/a gm)

380 5 76 10

Food Description Servings Calories Fat (gms)

Carbs (gms)

Protein (gms)

McDonald'sFruit 'n Yogurt Parfait (w/o granola)(Ice Cream, Frozen Yogurt, Toppings)

1 ea(n/a oz)(n/a gm)

280 4 53 8

McDonald'sFruit 'n Yogurt Parfait (w/o granola)(Ice Cream, Frozen Yogurt, Toppings)

1 ea(n/a oz)(n/a gm)

280 4 53 8

McDonald'sHot Caramel Sundae(Ice Cream, Frozen Yogurt, Toppings)

1 ea(6.4 oz)(182 gm)

360 10 61 7

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McDonald'sHot Fudge Sundae(Ice Cream, Frozen Yogurt, Toppings)

1 ea(6.3 oz)(179 gm)

340 12 52 8

McDonald'sNuts(Ice Cream, Frozen Yogurt, Toppings)

1 serv(0.2 oz)(7 gm)

40 3.5 2 2

Food Description Servings Calories Fat (gms)

Carbs (gms)

Protein (gms)

McDonald'sStrawberry Sundae(Ice Cream, Frozen Yogurt, Toppings)

1 ea(6.3 oz)(178 gm)

290 7 50 7

McDonald'sVanilla Reduced Fat Ice Cream Cone(Ice Cream, Frozen Yogurt, Toppings)

1 ea(3.2 oz)(90 gm)

150 4.5 23 4

McDonald'sFrench Fries(Potatoes)

1 sm(2.4 oz)(68 gm)

210 10 26 3

McDonald'sFrench Fries(Potatoes)

1 lrg(6.2 oz)(176 gm)

540 26 68 8

McDonald'sFrench Fries(Potatoes)

1 med(n/a oz)(n/a gm)

450 22 57 6

Food Description Servings Calories Fat (gms)

Carbs (gms)

Protein (gms)

McDonald'sFrench Fries, Super Size(R)(Potatoes)

1 super(n/a oz)(n/a gm)

610 29 77 9

McDonald'sHash Browns(Potatoes)

1 serv(1.9 oz)(53 gm)

130 8 14 1

McDonald'sHerb Vinaigrette, Fat Free(Salad Dressing)

1 pkt(n/a oz)(n/a gm)

50 0 11 0

McDonald'sRanch Dressing

1 pkt(n/a oz)

230 21 10 1

32

(Salad Dressing) (n/a gm)McDonald'sRed French Reduced Calorie Dressing(Salad Dressing)

1 pkt(n/a oz)(n/a gm)

160 8 23 0

Food Description Servings Calories Fat (gms)

Carbs (gms)

Protein (gms)

McDonald'sGarden Salad(Salads/Salad Bars)

1 serv(6.2 oz)(177 gm)

35 0 7 2

McDonald'sGrilled Chicken Salad Deluxe(Salads/Salad Bars)

1 serv(9.1 oz)(257 gm)

120 1.5 7 21

McDonald'sCrispy Chicken Deluxe(TM)(Sandwiches)

1 ea(7.9 oz)(223 gm)

500 25 43 26

McDonald'sFilet-O-Fish(R)(Sandwiches)

1 ea(5.5 oz)(156 gm)

470 26 45 15

McDonald'sGrilled Chicken Deluxe(TM)(Sandwiches)

1 ea(7.9 oz)(223 gm)

440 20 38 27

Food Description Servings Calories Fat (gms)

Carbs (gms)

Protein (gms)

McDonald'sGrilled Chicken Deluxe(TM), Plain w/o Mayo(Sandwiches)

1 ea(7.2 oz)(205 gm)

300 5 38 27

McDonalds Logo

33

With the phenomenon of ‘globalization’, companies have their eyes firmly fixed on global expansion. This expansion has caused the businesses to set up quality standards for proper branding and management of their products. That’s why the need to establish a proper and authentic trademark has never been so direly needed. A trademark is a guarantee of consistency and quality. It assures the customers that all the products bearing a specific trademark are of the same quality everywhere in the world. So when McDonalds expanded its business worldwide, it needed and employed a logo that ensured

their continued value in the restaurant business. McDonalds Corporation has become synonymous with fast food and has become one of the largest chains of fast food restaurants in the world. The McDonalds logo has become a symbol of international business expansion and has been termed as ‘part of Americanization and American cultural imperialism' as it is

closely identified with US. The famous Golden Arches in McDonalds logo represent style, significance and a strong corporate identity. It was created by Jim Schindler in 1962 and the idea was first introduced by Dick and Mac McDonald as arch shaped signs on the sides of their then ‘walk-up hamburger stand’. From an angle, those arches looked like the letter “M” and thus, were incorporated in the McDonalds logo as a merger of the two golden arches together. The “McDonald’s” name was later added to the McDonalds logo in 1968. While the physical arches were dropped out from all the restaurants’ building design, The Golden Arches have remained in the McDonalds logo, and have branded the company.

Golden ArchesThe Golden Arches (a phrase of diminishing usage) are the famous symbol of McDonald's, the global fast-food hamburger chain. Originally real arches that were part of the restaurant design, they were incorporated into the chain's logo in 1962, when the current Golden Arches logo resembled an "M" for "McDonald's".

HistoryThe McDonald's in Sedona, Arizona is the only one in the world with turquoise arches. They are not yellow because the city thought they would mesh poorly with the surrounding red rocks. The first color McDonald's offered was turquoise which the city accepted.

The arches were introduced in 1953, when Dick and Mac McDonald were building a new outlet in Phoenix, Arizona. Architect Stanley Meston designed a walk-up hamburger stand with red and white tiles and a distinctive sloped roof, but Dick McDonald, wanting more visual appeal,

34

sketched a pair of stylized yellow arches, one at each side. Meston accepted other changes but rejected the arches; in the end, sign-maker George Dexter was hired to construct the arches. [1]

When viewed from an angle, the design was reminiscent of the letter M. A sign out front incorporated yet a third yellow arch along with the chain's signature character, a chef named Speedee.

In 1962, seeking to upgrade its image, the company sought a new logo. Fred Turner sketched a stylized "V", but the company's head of engineering and design, Jim Schindler, extended the "V" into an "M" resembling a McDonald's store viewed from an angle, with a red isosceles trapezoid "roof" serving as background for lettering.

While McDonald's dropped the physical arches from nearly all of its restaurants in the 1960s, the Golden Arches have remained in the logo, and as a commonly understood term for the company. All McDonald's stores and commercials in Canada have a maple leaf in the middle of the Golden Arches.

A "retro" McDonald's in 2006

They have also been seen more broadly as a symbol of capitalism or globalization, since they are one of the more prominent American corporations that have become global in their reach (along with Coca-Cola and Nike).

35

The Golden Arches theory

McDonald's flagship location, known as the Rock N Roll McDonald's, in Chicago has an extra set of Golden Arches on its drive through.

The Lexus and the Olive Tree, Thomas L. Friedman proposed The Golden Arches Theory of Conflict Prevention, observing that no two countries with a McDonald's franchise had ever gone to war with one another, a version of the democratic peace theory. The argument goes that when a country has reached an economic development where it has a middle class strong enough to support a McDonalds network, it will not be interested in fighting wars anymore. Shortly after the book was published, the NATO bombing of Serbia proved the theory wrong, though in a later edition Friedman argued that this exception proved the rule: the war ended quickly, he argued, partly because the Serbian population did not want to lose their place in a global system "symbolised by McDonald's" (Friedman 2000: 252–253). It should be noted that Friedman framed this theory in terms of McDonald's Golden Arches "with tongue slightly in cheek" (Friedman 2005). Recently, Friedman has updated the theory with the Dell Theory of Conflict Prevention (Friedman 2005). In 1998, McDonald's host countries India and Pakistan fought a border war over Kashmir. While not a full scale war, both countries flaunted their nuclear capabilities. At least two wars between McDonald's hosting nations have occurred since the NATO bombing of Serbia: the 2006 war between Israel and Lebanon; and the 2008 conflict between Georgia and Russia over South Ossetia.

36

Phenomenal Growth in the 1960s and 1970s :

In the early 1960s, McDonald's really began to take off. The growth in U.S. automobile use that

came with suburbanization contributed heavily to McDonald's success. In 1961 Kroc bought out

the McDonald brothers for $2.7 million, aiming at making McDonald's the number one fast-food

chain in the country.

In 1965 McDonald's Corporation went public. Common shares were offered at $22.50 per

share; by the end of the first day's trading the price had shot up to $30. A block of 100 shares

purchased for $2,250 in 1965 was worth, after 12 stock splits (increasing the number of shares to

74,360), about $1.8 million by the end of 2003. In 1985 McDonald's Corporation became one of

the 30 companies that make up the Dow Jones Industrial Average.

McDonald's success in the 1960s was in large part due to the company's skillful marketing and

flexible response to customer demand. In 1965 the Filet-o-Fish sandwich, billed as "the fish that

catches people," was introduced in McDonald's restaurants. The new item had originally met

with disapproval from Kroc, but after its successful test marketing, he eventually agreed to add

it. Another item that Kroc had backed a year previously, a burger with a slice of pineapple and a

slice of cheese, known as a "hulaburger," had flopped. The market was not quite ready for Kroc's

taste; the hulaburger's tenure on the McDonald's menu board was short. In 1968 the now

legendary Big Mac made its debut, and in 1969 McDonald's sold its five billionth hamburger. A

year later, as it launched the "You Deserve a Break Today" advertising campaign, McDonald's

restaurants had reached all 50 states.

In 1968 McDonald's opened its 1,000th restaurant, and Fred Turner became the company's

president and chief administrative officer. Kroc became chairman and remained CEO until 1973.

Turner had originally intended to open a McDonald's franchise, but when he had problems with

his backers over a location, he went to work as a grillman for Kroc in 1956. As operations vice-

president, Turner helped new franchisees get their stores up and running. He was constantly

looking for new ways to perfect the McDonald's system, experimenting, for example, to

determine the maximum number of hamburger patties one could stack in a box without

squashing them and pointing out that seconds could be saved if McDonald's used buns that were

37

presliced all the way through and were not stuck together in the package. Such attention to detail

was one reason for the company's extraordinary success.

McDonald's spectacular growth continued in the 1970s. Americans were more on-the-go than

ever, and fast service was a priority. In 1972 the company passed $1 billion in annual sales; by

1976, McDonald's had served 20 billion hamburgers, and systemwide sales exceeded $3 billion.

McDonald's introduced breakfast fast food by introducing egg McMuffin in 1973 when market

research indicated that a quick breakfast would be welcomed by consumers. Five years later the

company added a full breakfast line to the menu, and by 1987 one-fourth of all breakfasts eaten

out in the United States came from McDonald's restaurants. Kroc was a firm believer in giving

"something back into the community where you do business." In 1974 McDonald's acted upon

that philosophy in an original way by opening the first Ronald McDonald House, in Philadelphia,

to provide a "home away from home" for the families of children in nearby hospitals. Twelve

years after this first house opened, 100 similar Ronald McDonald Houses were in operation

across the United States.

In 1975 McDonald's opened its first drive-thru window in Oklahoma City. This service gave

Americans a fast, convenient way to procure a quick meal. The company's goal was to provide

service in 50 seconds or less. Drive-thru sales eventually accounted for more than half of

McDonald's system wide sales. Meantime, the Happy Meal, a combo meal for children featuring

a toy, was added to the menu in 1979.

Surviving the 1980s "Burger Wars":

In the late 1970s competition from other hamburger chains such as Burger King and Wendy's

began to intensify. Experts believed that the fast-food industry had gotten as big as it ever would,

so the companies began to battle fiercely for market share. A period of aggressive advertising

campaigns and price slashing in the early 1980s became known as the "burger wars." Burger

King suggested that customers "have it their way"; Wendy's offered itself as the "fresh

alternative" and asked of other restaurants, "where's the beef?" But McDonald's sales and market

share continued to grow. Consumers seemed to like the taste and consistency of McDonald's

best.

38

During the 1980s McDonald's further diversified its menu to suit changing consumer tastes.

Chicken McNuggets were introduced in 1983, and by the end of the year McDonald's was the

second largest retailer of chicken in the world. In 1987 ready-to-eat salads were introduced to

lure more health-conscious consumers. The 1980s were the fastest-paced decade yet. Efficiency,

combined with an expanded menu, continued to draw customers. McDonald's, already

entrenched in the suburbs, began to focus on urban centers and introduced new architectural

styles. Although McDonald's restaurants no longer looked identical, the company made sure

food quality and service remained constant.

Despite experts' claims that the fast-food industry was saturated, McDonald's continued to

expand. The first generation raised on restaurant food had grown up. Eating out had become a

habit rather than a break in the routine, and McDonald's relentless marketing continued to

improve sales. Innovative promotions, such as the "when the U.S. wins, you win" giveaways

during the Olympic Games in 1988, were a huge success. In 1982 Michael R. Quinlan became

president of McDonald's Corporation and Fred Turner became chairman. Quinlan, who took over

as CEO in 1987, had started at McDonald's in the mailroom in 1963, and gradually worked his

way up. The first McDonald's CEO to hold an M.B.A. degree, Quinlan was regarded by his

colleagues as a shrewd competitor. In his first year as CEO the company opened 600 new

restaurants.

McDonald's growth in the United States was mirrored by its stunning growth abroad. By 1991,

37 percent of system wide sales came from restaurants outside the United States. McDonald's

opened its first foreign restaurant in British Columbia, Canada, in 1967. By the early 1990s the

company had established itself in 58 foreign countries and operated more than 3,600 restaurants

outside the United States, through wholly owned subsidiaries, joint ventures, and franchise

agreements. Its strongest foreign markets were Japan, Canada, Germany, Great Britain,

Australia, and France.

In the mid-1980s, McDonald's, like other traditional employers of teenagers, was faced with a

shortage of labor in the United States. The company met this challenge by being the first to

entice retirees back into the workforce. McDonald's placed great emphasis on effective training.

It opened its Hamburger University in 1961 to train franchisees and corporate decision-makers.

39

By 1990, more than 40,000 people had received "Bachelor of Hamburgerology" degrees from the

80-acre Oak Brook, Illinois, facility. The corporation opened a Hamburger University in Tokyo

in 1971, in Munich in 1975, and in London in 1982. Braille menus were first introduced in 1979,

and picture menus in 1988. In March 1992 Braille and picture menus were reintroduced to

acknowledge the 37 million Americans with vision, speech, or hearing impairments.

Quinlan continued to experiment with new technology and to research new markets to keep

McDonald's in front of its competition. Clamshell fryers, which cooked both sides of a

hamburger simultaneously, were tested. New locations such as hospitals and military bases were

tapped as sites for new restaurants. In response to the increase in microwave oven usage,

McDonald's, whose name is the single most advertised brand name in the world, stepped up

advertising and promotional expenditures stressing that its taste was superior to quick-packaged

foods.

Mc Recycle USA began in 1990 and included a commitment to purchase at least $100 million

worth of recycled products annually for use in construction, remodeling, and equipping

restaurants. Chairs, table bases, table tops, eating counters, table columns, waste receptacles,

corrugated cartons, packaging, and washroom tissue were all made from recycled products.

McDonald's worked with the U.S. Environmental Defense Fund to develop a comprehensive

solid waste reduction program. Wrapping burgers in paper rather than plastic led to a 90 percent

reduction in the wrapping material waste stream.

1990s Growing Pains :

It took McDonald's 33 years to open its first 10,000 restaurants--the 10,000th unit opened in

April 1988. Incredibly, the company reached the 20,000-restaurant mark in only eight more

years, in mid-1996. By the end of 1997 the total had surpassed 23,000--by that time McDonald's

was opening 2,000 new restaurants each year--an average of one every five hours.

Much of the growth of the 1990s came outside the United States, with international units

increasing from about 3,600 in 1991 to more than 11,000 by 1998. The number of countries with

McDonald's outlets nearly doubled from 59 in 1991 to 114 in late 1998. In 1993 a new region

was added to the empire when the first McDonald's in the Middle East opened in Tel Aviv,

40

Israel. As the company entered new markets, it showed increasing flexibility with respect to local

food preferences and customs. In Israel, for example, the first kosher McDonald's opened in a

Jerusalem suburb in 1995. In Arab countries the restaurant chain used "Halal" menus, which

complied with Islamic laws for food preparation. In 1996 McDonald's entered India for the first

time, where it offered a Big Mac made with lamb called the Maharaja Mac. That same year the

first Mc Ski-Thru opened in Lindvallen, Sweden.

Overall, the company derived increasing percentages of its revenue and income from outside

the United States. In 1992 about two-thirds of system wide sales came out of U.S. McDonald's,

but by 1997 that figure was down to about 51 percent. Similarly, the operating income numbers

showed a reduction from about 60 percent derived from the United States in 1992 to 42.5 percent

in 1997.

In the United States, where the number of units grew from 9,000 in 1991 to 12,500 in 1997--an

increase of about 40 percent--the growth was perhaps excessive. Although the additional units

increased market share in some markets, a number of franchisees complained that new units

were cannibalizing sales from existing ones. Same-store sales for outlets open for more than one

year were flat in the mid-1990s, a reflection of both the greater number of units and the mature

nature of the U.S. market.

It did not help that the company made several notable blunders in the United States in the

1990s. The McLean Deluxe sandwich, which featured a 91 percent fat-free beef patty, was

introduced in 1991, never really caught on, and was dropped from the menu in 1996. Several

other 1990s-debuted menu items--including fried chicken, pasta, fajitas, and pizza--failed as

well. The "grown-up" (and pricey) Arch Deluxe sandwich and the Deluxe Line were launched in

1996 in a $200 million campaign to gain the business of more adults, but were bombs. The

following spring brought a 55-cent Big Mac promotion, which many customers either rejected

outright or were confused by because the burgers had to be purchased with full-priced fries and a

drink. The promotion embittered still more franchisees, whose complaints led to its withdrawal.

In July 1997 McDonald's fired its main ad agency--Leo Burnett, a 15-year McDonald's partner--

after the nostalgic "My McDonald's" campaign proved a failure. A seemingly weakened

McDonald's was the object of a Burger King offensive when the rival fast-food maker launched

41

the Big King sandwich, a Big Mac clone. Meanwhile, internal taste tests revealed that customers

preferred the fare at Wendy's and Burger King.

In response to these difficulties, McDonald's drastically cut back on its U.S. expansion--in

contrast to the 1,130 units opened in 1995, only about 400 new McDonald's were built in 1997.

Plans to open hundreds of smaller restaurants in Wal-Marts and gasoline stations were

abandoned because test sites did not meet targeted goals. Reacting to complaints from

franchisees about poor communication with the corporation and excess bureaucracy, the head of

McDonald's U.S.A. (Jack Greenberg, who had assumed the position in October 1996)

reorganized the unit into five autonomous geographic divisions. The aim was to bring

management and decision-making closer to franchisees and customers.

On the marketing side, McDonald's scored big in 1997 with a Teenie Beanie Baby promotion

in which about 80 million of the toys/collectibles were gobbled up virtually overnight. The chain

received some bad publicity, however, when it was discovered that a number of customers

purchased Happy Meals just to get the toys and threw the food away. For a similar spring 1998

Teenie Beanie giveaway, the company altered the promotion to allow patrons to buy menu items

other than kids' meals. McDonald's also began to benefit from a ten-year global marketing

alliance signed with Disney in 1996. Initial Disney movies promoted by McDonald's included

101 Dalmatians, Flubber, Mulan, Armageddon, and A Bug's Life. Perhaps the most important

marketing move came in the later months of 1997 when McDonald's named BDD Needham as

its new lead ad agency. Needham had been the company's agency in the 1970s and was

responsible for the hugely successful "You Deserve a Break Today" campaign. Late in 1997

McDonald's launched the Needham-designed "Did Somebody Say McDonald's?" campaign,

which appeared to be an improvement over its predecessors.

A Failed Turnaround: Late 1990s and Early 2000s :

Following the difficulties of the early and mid-1990s, several moves in 1998 seemed to indicate

a reinvigorated McDonald's. In February the company for the first time took a stake in another

fast-food chain when it purchased a minority interest in the 16-unit, Colorado-based Chipotle

Mexican Grill chain. The following month came the announcement that McDonald's would

42

improve the taste of several sandwiches and introduce several new menu items; McFlurry

desserts--developed by a Canadian franchisee--proved popular when launched in the United

States in the summer of 1998. McDonald's that same month said that it would overhaul its food

preparation system in every U.S. restaurant. The new just-in-time system, dubbed "Made for

You," was in development for a number of years and aimed to deliver to customers "fresher,

hotter food"; enable patrons to receive special-order sandwiches (a perk long offered by rivals

Burger King and Wendy's); and allow new menu items to be more easily introduced thanks to

the system's enhanced flexibility. The expensive changeover was expected to cost about $25,000

per restaurant, with McDonald's offering to pay for about half of the cost; the company planned

to provide about $190 million in financial assistance to its franchisees before implementation

was completed by year-end 1999.

In May 1998 Greenberg was named president and CEO of McDonald's Corporation, with

Quinlan remaining chairman; at the same time Alan D. Feldman, who had joined the company

only four years earlier from Pizza Hut, replaced Greenberg as president of McDonald's U.S.A.--

an unusual move for a company whose executives typically were long-timers. The following

month brought another first--McDonald's first job cuts--as the company said it would eliminate

525 employees from its headquarters staff, a cut of about 23 percent. In the second quarter of

1998 McDonald's took a $160 million charge in relation to the cuts. As a result, the company, for

the first time since it went public in 1965, recorded a decrease in net income, from $1.64 billion

in 1997 to $1.55 billion in 1998.

McDonald's followed up its investment in Chipotle with several more moves beyond the burger

business. In March 1999 the company bought Aroma Café, a U.K. chain of 23 upscale coffee and

sandwich shops. In July of that year McDonald's added Donatos Pizza Inc., a midwestern chain

of 143 pizzerias based in Columbus, Ohio. Donatos had 1997 revenues of $120 million. Also in

1999, McDonald's 25,000th unit opened, Greenberg took on the additional post of chairman, and

Jim Cantalupo was named company president. Cantalupo, who had joined the company as

controller in 1974 and later became head of McDonald's International, had been vice-chairman, a

position he retained. In May 2000 McDonald's completed its largest acquisition yet, buying the

bankrupt Boston Market chain for $173.5 million in cash and debt. At the time, there were more

than 850 Boston Market outlets, which specialized in home-style meals, with rotisserie chicken

43

the lead menu item. Revenue at Boston Market during 1999 totaled $670 million. McDonald's

rounded out its acquisition spree in early 2001 by buying a 33 percent stake in Pret A Manger, an

upscale urban-based chain specializing in ready-to-eat sandwiches made on the premises. There

were more than 110 Pret shops in the United Kingdom and several more in New York City. Also

during 2001, McDonald's sold off Aroma Café and took its McDonald's Japan affiliate public,

selling a minority stake through an initial public offering. As it was exploring new avenues of

growth, however, McDonald's core hamburger chain had become plagued by problems. Most

prominently, the Made for You system backfired. Although many franchisees believed that it

succeeded in improving the quality of the food, it also increased service times and proved labor-

intensive. Some franchisees also complained that the actual cost of implementing the system ran

much higher than the corporation had estimated, a charge that McDonald's contested. In any

case, there was no question that Made for You failed to reverse the chain's sluggish sales.

Growth in sales at stores open more than a year (known as same-store sales) fell in both 2000

and 2001. Late in 2001 the company launched a restructuring involving the elimination of about

850 positions, 700 of which were in the United States, and some store closings.

There were further black eyes as well. McDonald's was sued in 2001 after it was revealed that

for flavoring purposes a small amount of beef extract was being added to the vegetable oil used

to cook the french fries. The company had cooked its fries in beef tallow until 1990, when it

began claiming in ads that it used 100 percent vegetable oil. McDonald's soon apologized for any

"confusion" that had been caused by its use of the beef flavoring, and in mid-2002 it reached a

settlement in the litigation, agreeing to donate $10 million to Hindu, vegetarian, and other

affected groups. Also in 2001, further embarrassment came when 51 people were charged with

conspiring to rig McDonald's game promotions over the course of several years. It was revealed

that $24 million of winning McDonald's game tickets had been stolen as part of the scam.

McDonald's was not implicated in the scheme, which centered on a worker at an outside

company that had administered the promotions.

McDonald's also had to increasingly battle its public image as a purveyor of fatty, unhealthful

food. Consumers began filing lawsuits contending that years of eating at McDonald's had made

them overweight. McDonald's responded by introducing low-calorie menu items and switching

to a more healthful cooking oil for its french fries. McDonald's franchises overseas became a

44

favorite target of people and groups expressing anti-American and/or antiglobalization

sentiments. In August 1999 a group of protesters led by farmer José Bové destroyed a half-built

McDonald's restaurant in Millau, France. In 2002 Bové, who gained fame from the incident,

served a three-month jail sentence for the act, which he said was in protest against U.S. trade

protectionism. McDonald's was also one of three multinational corporations (along with

Starbucks Corporation and Nike, Inc.) whose outlets in Seattle were attacked in late 1999 by

some of the more aggressive protesters against a World Trade Organization (WTO) meeting

taking place there. In the early 2000s McDonald's pulled out of several countries, including

Bolivia and two Middle Eastern nations, at least in part because of the negative regard with

which the brand was held in some areas.

Early in 2002 Cantalupo retired after 28 years of service. Sales remained lackluster that year,

and in October the company attempted to revive U.S. sales through the introduction of a low-cost

Dollar Menu. In December 2002, after this latest initiative to reignite sales growth failed--and

also after profits fell in seven of the previous eight quarters--Greenberg announced that he would

resign at the end of the year. Cantalupo came out of retirement to become chairman and CEO at

the beginning of 2003.

Launching of Revitalization Plan Under New Leadership in 2003 :

Cantalupo started his tenure by announcing a major restructuring that involved the closure of

more than 700 restaurants (mostly in the United States and Japan), the elimination of 600 jobs,

and charges of $853 million. The charges resulted in a fourth-quarter 2002 loss of $343.8

million--the first quarterly loss in McDonald's 38 years as a public company. The new CEO also

shifted away from the company's traditional reliance on growth through the opening of new units

to a focus on gaining more sales from existing units. To that end, several new menu items were

successfully launched, including entree salads, McGriddles breakfast sandwiches (which used

pancakes in place of bread), and white-meat Chicken McNuggets. Some outlets began test-

marketing fruits and vegetables as Happy Meal options. Backing up the new products was the

launch in September 2003 of an MTV-style advertising campaign featuring the new tag line, "I'm

lovin' it." This was the first global campaign in McDonald's history, as the new slogan was to be

used in advertising in more than 100 countries. It also proved to be the first truly successful ad

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campaign in years; sales began rebounding, helped also by improvements in service. In

December 2003, for instance, same-store sales increased 7.3 percent. Same-store sales rose 2.4

percent for the entire year, after falling 2.1 percent in 2002. In December 2003 McDonald's

announced that it would further its focus on its core hamburger business by downsizing its other

ventures. The company said that it would sell Donatos back to that chain's founder. In addition, it

would discontinue development of non-McDonald's brands outside of the United States. This

included Boston Market outlets in Canada and Australia and Donatos units in Germany.

McDonald's kept its minority investment in Pret A Manger, but McDonald's Japan was slated to

close its Pret units there. These moves would enable the company to concentrate its international

efforts on the McDonald's chain, while reducing the non-hamburger brands in the United States

to Chipotle and Boston Market, both of which were operating in the black.

McDonald's continued to curtail store openings in 2004 and to concentrate on building

business at existing restaurants. Much of the more than $1.5 billion budgeted for capital

expenditures in 2004 was slated to be used to remodel existing restaurants. McDonald's also

aimed to pay down debt by $400 million to $700 million and to return approximately $1 billion

to shareholders through dividends and share repurchases. Cantalupo also set several long-term

goals, such as sustaining annual systemwide sales and revenue growth rates of 3 to 5 percent. In

a move to both simplify the menu and make its offerings less fattening, McDonald's announced

in March 2004 that it would phase out Super Size french fries and soft drinks by the end of the

year.

Principal Subsidiaries: McDonald's Deutschland, Inc.; McDonald's Restaurant Operations Inc.;

McG Development Co.; Chipotle Mexican Grill, Inc.; Boston Market Corporation; McDonald's

Franchise GmbH (Austria); McDonald's Australia Limited; McDonald's France, S.A.; MDC

Inmobiliaria de Mexico S.A. de C.V.; McDonald's Restaurants Pte., Ltd. (Singapore);

Restaurantes McDonald's S.A. (Spain); McKim Company Ltd. (South Korea); Shin Mac

Company Ltd. (South Korea); McDonald's Nederland B.V. (Netherlands); Moscow-McDonald's

(Canada); McDonald's Restaurants Limited (U.K.).

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Principal Competitors: Burger King Corporation; Wendy's International, Inc.; CKE

Restaurants, Inc.; Jack in the Box Inc.; Sonic Corporation; Checkers Drive-In Restaurants, Inc.;

White Castle System, Inc.; Whataburger, Inc.; YUM! Brands, Inc.; Doctor's Associates Inc.

McDonald's rolls out new lifestyle campaign:NEW YORK - Shifting the spotlight from french fries to fruit, McDonald's Corp. launched a new worldwide initiative Tuesday promoting healthy living — the latest effort by the world's largest restaurant chain to combat criticism of its food and business.

The "It's what I eat and what I do ... I'm lovin' it" campaign includes television ads, new packaging, an updated Web site and a fresh series of Ronald McDonald videos teaching children how to eat well and stay active.

"We will use our size and strength to set an example," said Chief Executive Officer Jim Skinner, who declined to put a price tag on the campaign.

The TV spots, which will be rolled out over the next couple of months in different languages around the world, feature kid-friendly images such as snowboarding, jump-roping fruits and veggies and tennis stars Venus and Serena Williams. Hockey player Wayne Gretzky and speed skater Bonnie Blair will also spread the word.

McDonald's has pushed to convey a healthier image amid mounting criticism — not to mention obesity lawsuits — claiming fast food is not nutritious and has contributed to America's weight problem. The Oak Brook, Ill.-based company was also the target of the 2004 documentary "Super Size Me," which focused on the health decline of filmmaker Morgan Spurlock during an all-McDonald's diet.

The company introduced entree-sized salads in U.S. restaurants in spring 2003 and in Europe in 2004. McDonald's also ran a promotion for adult Happy Meals featuring salad, bottled water and a pedometer, added a fresh fruit option to its kids' Happy Meals and began heavily promoting milk.

This year, McDonald's plans to introduce new salads to their menus. Also, with trans-fatty acids regarded as the latest obesity culprit, McDonald's will keep working to remove transfats from foods, including french fries.

Last month, McDonald's Corp. settled an $8.5 million lawsuit accusing the company of failing to inform consumers of delays in a plan to reduce fat in the cooking oil used for its popular french fries and other foods.

Some critics doubt the new campaign will have much effect on public health, and instead see it as a public relations counter-attack.

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"I think it's just window dressing designed to promote a more cuddly feeling towards the company than to really change their core business practices," said Michael F. Jacobson, executive director of Center for Science in the Public Interest.

Business Model:

Franchise Model – Only 15% of the total number of restaurants are owned by the

Company. The remaining 85% is operated by franchisees. The company follows a

comprehensive framework of training and monitoring of its franchises to ensure that they

adhere to the Quality, Service, Cleanliness and Value propositions offered by the

company to its customers.

Product Consistency – By developing a sophisticated supplier networked operation and

distribution system, the company has been able to achieve consistent product taste and

quality across geographies.

Act like a retailer and think like a brand – McDonald’s focuses not only on delivering

sales for the immediate present, but also protecting its long term brand reputation.

McDonalds Marketing Mix (5 P’s) :

After segmenting the market, finding the target segment and positioning itself, each company

needs to come up with an offer. The 5 P’s used by McDonalds are:

Product

Place

Price

Promotion

People

Product: How should the company design, manufacture the product so that it enhances the

customer experience?

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Product is the physical product or service offered to the consumer. Product includes certain

aspects such as packaging, guarantee, looks etc. This includes both the tangible and the non-

tangible aspects of the product and service.

McDonalds has intentionally kept its product depth and product width limited. McDonalds

studied the behaviour of the Indian customer and provided a totally different menu as compared

to its International offering. It dropped ham, beef and mutton burgers from the menu. India is the

only country where McDonalds serve vegetarian menu. Even the sauces and cheese used in India

are 100% vegetarian. McDonalds continuously innovates its products according to the

changing preferences and tastes of its customers. The recent example is the introduction of the

Chicken Maharaja Mac.

McDonalds bring with it a globally reputed brand, world class food quality and excellent

customer specific product features.

Place: Where should be the product be available and the role of distribution channels?

The place mainly consists of the distribution channels. It is important so that the product is

available to the customer at the right place, at the right time and in the right quantity. Nearly

50% of U.S.A is within a 3 minute drive from a McDonald’s outlet.

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There is a certain degree of fun and happiness that a customer feels each time he dines at

McDonalds. There are certain value propositions that McDonalds offer to its customers based

on their needs. McDonalds offers hygienic environment, good ambience and great service.

Now McDonalds have also started giving internet facility at their centres and they have been

playing music through radio instead of the normal music. There are certain dedicated areas

for children where they can play while their parents can have some quality time together.

Price: What should be the pricing strategy?

Pricing includes the list price, the discount functions available, the financing options available

etc. It should also take into the consideration the probable reaction from the competitor to the

pricing strategy. This is the most important part of the marketing mix as this is the only part

which generates revenue. All the other three are expenses incurred. The price must take into

consideration the appropriate demand-supply equation.

McDonald’s came up with a very catchy punch line “Aap ke zamane mein ,baap ke zamane ke

daam”. This was to attract the middle and lower class consumers and the effect can clearly be

seen in the consumer base McDonalds has now.

McDonalds has certain value pricing and bundling strategies such as happy meal, combo

meal, family meal etc to increase overall sales volumes.

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Promotion: What is the suitable strategy and channels for promotion of the product?

The various promotion channels being used by McDonald’s to effectively communicate the

product information are given above. A clear understanding of the customer value helps decide

whether the cost of promotion is worth spending.

There are three main objectives of advertising for McDonald’s are to make people aware of an

item, feel positive about it and remember it. The right message has to be communicated to the

right audience through the right media. McDonald’s does its promotion through television,

hoardings and bus shelters. They use print ads and the television programmes are also an

important marketing medium for promotion.

Some of the most famous marketing campaigns of McDonald’s are:

“You Deserve a break today, so get up and get away- To McDonald’s”

“Aap ke zamane mein ,baap ke zamane ke daam”.

“Food, Folks, and Fun”

“I’m loving it”.

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People: How to converge the benefits of internal and external marketing?

McDonald’s understands the value of both its employees and its customers. It understands the

fact that a happy employee can serve well and result in a happy customer.

McDonald continuously does Internal Marketing. This is important as it must precede external

marketing. This includes hiring, training and motivating able employees. This way they serve

customers well and the final result is a happy customer.

The level of importance has changed to be in the following order (the more important people are

at the top):

Customers

Front line employees

Middle level managers

Front line managers

The punch line “I’m loving it” is an attempt to show that the employees are loving their work at

McDonalds and will love to serve the customers.

McDonald’s in India :

McDonald’s entered India in 1996. McDonald’s India has a joint venture with Connaught Plaza

Restaurants and Hard Castle Restaurants. Connaught Plaza Restaurants manages operations in

North India whereas Hard Castle Restaurants operates restaurants in Western India. Apart from

opening outlets in the major metros, the company is now expanding to Tier 2 cities like Pune and

Jaipur.

Challenges in Entering Indian Markets :

Regiocentricism: Re-engineering the menu - McDonald’s has continually adapted

to the customer’s tastes, value systems, lifestyle, language and perception. Globally

McDonald’s was known for its hamburgers, beef and pork burgers. Most Indians are

barred by religion not to consume beef or pork. To survive, the company had to be

responsive to the Indian sensitivities. So McDonald’s came up with chicken, lamb

and fish burgers to suite the Indian palate.

The vegetarian customer – India has a huge population of vegetarians. To cater to

this customer segment, the company came up with a completely new line of

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vegetarian items like McVeggie burger and McAlooTikki. The separation of

vegetarian and non-vegetarian sections is maintained throughout the various stages.

Segmentation, Targeting and Positioning :

McDonald’s uses demographic segmentation strategy with age as the parameter. The main target

segments are children, youth and the young urban family.

71%

59%52%

0%10%20%30%40%50%60%70%80%

Biscuits Burgers & Pizzas Fruit Juices

% of kids who influence what FMCG brand their family buys

As shown above, kids reign supreme in FMCG purchase related to food products. So to attract

children McDonalds has Happy Meal with which toys ranging from hot wheels to various Walt

Disney characters are given (the latest in this range is the toys of the movie Madagascar). For

this, they have a tie-up with Walt Disney. At several outlets, it also provides special facilities like

‘Play Place’ where children can play arcade games, air hockey, etc. This strategy is aimed at

making McDonald’s a fun place to eat. This also helps McDonald’s to attract the young urban

families wanting to spend some quality time while their children have fun at the outlet. To target

the teenagers, McDonald’s has priced several products aggressively, keeping in mind the price

sensitivity of this target customer. In addition, facilities like Wi-Fi are also provided to attract

students to the outlets like the one at Vile Parle in Mumbai.

“Mc Donald’s mein hai kuch baat” projects McDonald’s as a place for the whole family to

enjoy. When McDonald’s entered in India it was mainly perceived as targeting the urban upper

class people. Today it positions itself as an affordable place to eat without compromising on the

quality of food, service and hygiene. The outlet ambience and mild background music highlight

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the comfort that McDonald’s promises in slogans like “You deserve a Break Today” & “Feed

your inner child”. This commitment of quality of food and service in a clean, hygienic and

relaxing atmosphere has ensured that McDonald’s maintains a positive relationship with the

customers.

Customer Perception and Customer Expectation :

Customer perception is a key factor affecting a product’s success. Many potentially

revolutionary products have failed simply because of their inability to build a healthy perception

about themselves in the customers’ minds. McDonalds being an internationally renowned brand

brings with it certain expectations for the customers.

Customers expect it to be an ambient, hygienic and a little sophisticated brand that respects their

values. The customer’s expect the brand to enhance their self-image. Customer responses

obtained at the Vile Parle, Mumbai outlet confirmed the fact that they connect strongly with the

brand. However, fulfilling some of the customer expectations like a broader product variety

provide McDonald’s a great scope for improvement.

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Target Segment What is McDonald’s for me?

A Family with children A treat to children, a fun place to be for the children.

Urban customer on the move Great taste, quick service without affecting the work schedule

Teenager Hangout with friends, but keep it affordable.

What You Can and Can't Get at McDonalds India...

Now who doesn't know McDonald's? That unmistakable red logo with its golden-yellow arches of the 'M' is a familiar sign to the world of fast food eaters in a lot of countries around the world...and India is no stranger to it. But for most Westerners, to whom McDonald's may signify the familiar taste of the Big Mac or the Double Cheese Beef Burger, the McDonalds Menu in India may come as a bit of a surprise. Among other differences, the first thing an outsider will notice is that the signature snack and probably

the most recognizable symbol of this Fast Food Giant is nowhere to be found in an Indian McDonald's....I'm talking about the Hamburger! You heard me right- No Hamburgers. That's not to say the Indian McDonald outlets don't sell patties on buns...it's just that...

There's No Beef or Pork in Any McDonald's in India...

While India is one of the biggest markets in the World, it is also the only Country in the World, where McDonald's doesn't serve any beef or pork in any form, in ANY of their 123 outlets (and counting) across the country!

Instead of ground beef and pork patties, the McDonald's Menu in India features Indian burgers that are 100 percent vegetarian - burger look-a-likes of potatoes, peas, and carrots, with a little Indian spice thrown in. So what most Indian kids grow up to know as a hamburger, isn't really a hamburger.

Diets in India have been impacted by the many different religions in India for centuries now. Hindus don't eat beef. Hindu believers consider the cow scared and holy, so harming a cow...let alone eating its meat is considered a grave sin. Since a majority of the population are followers of Hinduism, there is no beef on the McDonalds' menu in India. Hindu's and Muslims (also a prominent religion in India), don't eat pork, so the McDonalds Corporation in India is quick to point out on their website (mcdonaldsinindia.com) that not only is there no beef, there is no pork or pork byproducts in any McDonalds restaurant in India.

That's not to say that McDonald's doesn't serve any non-vegetarian products in their Indian restaurants. They do serve chicken burgers and still have the one Fish Burger...but if you're a meat eater..then you'll be outnumbered with their vegetarian options.

What You Can Order at McDonald's in India...The international menus of McDonald's offer some interesting and varied menu items, not found in the United States or any other countries with the food chain. With almost most half the menu, if not most of it vegetarian at McDonald's in India, it makes a good choice for diners who want some healthy options - whether or not you are vegetarian!

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Here's a glimpse of what you can order at McDonald's in India:

The Vegetarian Fare at McDonalds India:

- McVeggie:The McVeggie sandwich starts with the oh-so-familiar sesame seed bun. In between the bread, you'll find a vegetarian patty that is made from peas, carrots, green beans, red bell pepper, potatoes, onions, rice, and seasoning. This vegetarian burger is garnished with lettuce, and has mayonnaise made without eggs spread thickly on the bread.

- McAloo TikkiPotatoes (aloo in Hindi) are a popular filling food item in India. McDonald's in India's McAloo Tikki sandwich includes a patty made out of potatoes, peas, and spices. It also includes tomato slices, onions, and vegetarian mayonnaise.

- Paneer Salsa Wrap:Paneer is referred to as cottage cheese in India. McDonald's Paneer Salsa Wrap starts with a small slab of paneer that has been dredged in a coating that is a cross between Mexican and Cajun in flavor. It is fried and the paneer patty is wrapped in flatbread and topped with a salad mixture that includes lettuce, red cabbage and celery and then is finished off with vegetarian mayonnaise, salsa and cheddar cheese.

- Crispy Chinese:McDonald's in India's Crispy Chinese sandwich is crispy, but very China. It's more an Indianized Chinese. Nevertheless, this vegetarian patty is topped with a creamy Schezwan sauce and lettuce which makes it a nice addition to the Indian vegetarian menu.

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- Veg McCurry Pan:If you are in the mood for something similar to pizza, but don't want a tomato-based sauce, McDonald's Veg McCurry Pan is a good choice. It starts with a rectangular shaped crust that is topped with a creamy sauce (made without eggs), and vegetables including broccoli, baby corn, mushrooms and red bell pepper. It is then baked until the crust is crisp and the toppings are hot and bubbly.

- Pizza McPuff:The vegetarian Pizza McPuff also starts with a rectangular shaped crust, but instead of a creamy sauce is flavored with a tomato-based sauce and then is topped with carrots, beans, bell peppers, onions, peas and mozzarella cheese.

The Non-Vegetarian Fare at McDonalds India:

- Chicken Maharaja Mac:The Indian version of the Big Mac at McDonalds in India, is the Chicken Maharaja Mac sandwich which is made with 2 grilled chicken patties and is topped with onions, tomatoes, cheese and a spicy mayonnaise.

- McChicken:The McChicken in India is almost the same as its cousin by the same name in other McDonalds around the world. It contains one breaded and fried chicken patty and is topped with lettuce and vegetarian mayonnaise. It is similar in size (but not taste) to the spicy chicken sandwich on the dollar menu at McDonalds restaurants in the U.S.

- Filet-O-Fish:The Filet-O-Fish sandwich at McDonalds in India is the only sandwich item on the menu that is exactly the same as the Filet-O-Fish sandwich

you might eat at a McDonalds in the U.S.

- Chicken McGrill:The Chicken McGrill sandwich starts off with a thin grilled chicken patty that is embellished with cilantro mayonnaise, onions and tomatoes

and is served on a toasted bun.

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- Chicken McCurry Pan:Chicken McCurry Pan is the same as its vegetarian version. It starts off with a rectangle of dough and is topped with a tomato-curry sauce, spiced with thyme, basil, and oregano. It is finished off with chicken, bell peppers, and cheese and is baked till crisp and bubbly.

Apart from these specials that appear mainly in the Indian McDonald's here there are a couple of things that are exactly the same in India as what you would consume at a McDonalds in the U.S. or anywhere else. And that's McDonald's famous fries, shakes, and soft-serve ice-cream, both sundaes and cones. And of course soft drinks are available as well!

The McDonald’s Experience:

Marketing in a services industry is becoming an increasingly complex challenge. The paradigms

of service marketing demand a passionate understanding of customer expectations and

perceptions, and linking them to product design & delivery as well as operational planning. This

is where McDonald’s has excelled due to its ability to successfully integrate the customer’s

perspective in its products and operations in a comprehensive manner. The revamped menu in

India is an example of McDonald’s strategy of integrating the customer’s perspective in its

products. And, the operational integration is evident from McDonald’s emphasis on its suppliers

as its customers as well as its treatment of its consumers as co-producers of services.

The ultimate aim of Service Marketing is not just to become a Service Leader but to create a

Service Brand. The Service Delivery Process is the key to achieving this aim of Service

Marketing.

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Core Product

Supplementary Process

Service Delivery Process

During the Service Delivery Process, each moment of interaction between the firm and the

customer, called “Moments of Truth”, helps understand the opportunities that a firm has to win

or lose the customer. For example, these “moments of truth” are created for McDonald’s every

time the guard at the McDonald’s outlet meets the customer, every time an attendant takes down

the order from the customer waiting in the queue, every time the cashier interacts with the

customer, every time the attendant helps the customer guided the customer towards the table,

every time the attendant cleans the table, etc.

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Managing these “moments of truth” is a great challenge in Service Marketing especially due to

customer’s involvement as a co-producer of services (e.g. McDonald’s self-service concept

wherein the customer not only collects the order but also cleans the table after consuming the

food). However, McDonald's has been able to create a great experience for its customers by

understanding the nature of the entire Service Delivery Process and the various stages in the

process that are exposed to the customers. Transparency in the processes at its outlet has helped

McDonald’s bring the back office in its outlet at the front so that the customer is able to know

the operations and provide feedback on service design improvements.

Internal Customer Focus is equally important as External Customer Orientation in order to win

these “moments of truth”. McDonald’s focus on its People and their service delivery methods

therefore plays a very important role in creating a successful Service Brand. The quality and the

consistency of the service delivered by McDonald’s have been greatly enhanced by the

combination of the factors mentioned above. This has helped McDonald’s become Service

Leader and a successful Service Brand. This is evident from the fact that very few of its

customers opt for take-home parcels or home deliveries while most of them prefer to eat at the

outlet and enjoy the McDonald’s experience.

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Customer

Service Provider Service Delivery Points

“Moments Of Truth” – The Service

Mc Donaldizing the Suppliers :

McDonald’s has changed the nature of not only the food service industry but also the food

processing industry as well. McDonald’s realized that the battle between fast food chains would

increasingly be one of efficiency of supply, lower cost production and greater desire to innovate.

It pioneered with innovative and sophisticated food distribution and packaging systems when the

traditional food processors were unwilling or unable to supply food items that McDonald’s

demanded. They achieved amazing consistency by devoting more attention than anyone else to

field service and training at store level. Production was concentrated in huge plants devoted

exclusively to McDonald’s. McDonald’s also started with tiny suppliers and grew with them

displaying great loyalty.

Nowhere is the supplier loyalty more evident than in development of new, improved products.

Some of McDonald’s classic food items like Filet-o-Fish, French Fries, Chicken Nuggets etc. are

results of supplier innovation. Interestingly, it took KFC more than three years before in finally

introduced its own version of chicken nuggets. Thus supplier technological expertise had given

McDonald’s a product which was not a mere marketing innovation but a technical one.

McDonald’s attempted to squeeze labour out of the stores by moving more preparation back into

the processing plant, creating the opportunity to develop unique products based on suppliers’

processing skills. For the first time, McDonald’s suppliers became the focal point of new

product development. This converted the fast-food industry’s most fragmented distributed

system into more efficient one which helped McDonald’s reduce its inventory and manage costs

effectively.

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Importance of PLC in McDonalds :

The requirements of customers change over time and thus the product offering has to be changed

accordingly. What is the fashion today may be out of market within few weeks. Thus continuous

innovation is required.

To counter these changes McDonalds has continuously introduced new products and has phased

out the old ones which were at the decline stage of their PLC. The introduction is timed such that

the new product does not cannibalize the product already in the maturity or growth stage. Thus

the secret lies in getting profits with different products in the different stages of the PLC.

A perfect example of revitalising a product in decline phase

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The French Fries have been an important part of the McDonalds menu worldwide. But now it

was in the stage of decline and was actually not generating proper return. In an attempt to

revitalize it, a new variant was introduced namely Shake Shake Fries. This is being served with

chatpata spice mix which has resulted in increase in the sales of French Fries and has elevated it

from to the decline stage. This is used to delay the decline of a well established product which

has the potential of generating further revenue.

Competitors Analysis :

McDonald’s has been a leading fast-foods outlet in Vile Parle. But the outlet understudy has

other competitors eating away into its market share. In addition to its traditional rivals—KFC,

Dominos, Pizza Hut—the firm encounters new challenges. Jumbo King competes using a back-

to-basics approach of quickly serving up burgers for time-pressed consumers. On the higher end,

the KFC has become potent competitor in the quick service field, taking away customers from

McDonald’s. Perhaps in the new environment, fast, convenient service is no longer enough to

distinguish the firm. At this time, a new critical success factor may be emerging: the need to

create a rich, satisfying experience for consumers. This brings us to service and experience

based competition which McDonald’s can use for competitive advantage against Jumbo King.

Keeping in mind the demographics of the area, McDonald’s has Wi-Fi enabled the outlet to cater

to the student community. It is for this overall “Food, Fun & Folks” experience that customers

pay a premium over the other competitors.

Competition also reduces product lifecycle; inducing firms to revise their products

portfolios and to revisit their product market to understand changing needs, expectations and

perception of different market segments. The new McBreakfast would be introduced between 6

to 11 am as a pilot project. This would open up a whole new revenue stream for McDonald’s by

tapping into the student and working population by providing a healthy and wholesome

breakfast. This shows how demographic shift can affect the demand for products and services.

McDonald’s has anticipated these changes to maintain its competitive edge.

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Two Dimensional Perceptual Mapping :

SWOT Analysis

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McDonald's Marketing Strategy:

    McDonald’s is the world’s largest fast-food restaurant chain. It has more than 30,000

restaurants in over 100 countries. Over one billion more customers were served in 2007 than in

2006. Although net income was down by $1.1 billion in 2007, McDonald’s sales were up 6.8%,

and revenue was a record high of $23 billion. “The unique business relationship among the

company, its franchisees and suppliers (collectively referred to as the System) has been key to

McDonald’s success over the years. The business model enables McDonald’s to play an integral

role in the communities we serve and consistently deliver relevant restaurant experiences to

customers.” (McDonald's, 2008, 25).

McDonald’s overall strategic plan is called Plan to Win. Their focus is not so much on being the

biggest fast-food restaurant chain, rather it is more focused on being the best fast-food restaurant

chain. McDonald’s “strategic alignment behind this plan has created better McDonald’s

experiences through the execution of multiple initiatives surrounding the five factors of

exceptional customer experiences – people, products, place, price and promotion” (McDonald's,

2008, 25). McDonald’s also incorporates geographical strategic plans. In the U.S., McDonald’s

strategic plan continues to focus on breakfast, chicken, beverages and convenience. These are the

core areas in the United States. McDonald’s has launched the Southern Style Chicken Biscuit for

breakfast and the Southern Style Chicken Sandwich for lunch and dinner. In the beverage

business, McDonald’s starting introducing new hot specialty coffee offerings on a market-by-

market basis. In Europe, McDonald’s uses a tiered menu approach. This menu features premium

selections, classic menu, and everyday affordable offerings. They also “complement these with

new products and limited-time food promotions” (McDonald's, 26). In the Asia-Pacific, Middle

East, and Africa markets, McDonald’s strategic plan is focused around convenience, breakfast,

core menu extensions and value. With McDonald’s overall strategic plan and its geographical

strategic plan, the company should start to see more positive financial results.

McDonald’s incorporates several organizational strategies. Some of the organizational strategies

consist of better restaurant operations, placing the customer first, menu variety and beverage

choice, convenience and daypart expansion, and ongoing restaurant reinvestment. McDonald’s

plans to “continue to drive success in 2008 and beyond by leveraging key consumer insights and

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our global experience, while relying on our strengths in developing, testing and implementing

initiatives surrounding our global business drivers of convenience, branded affordability, daypart

expansion and menu variety” (McDonald's, 2008, 25). One of the ways McDonald’s can obtain a

positive net income is to maximize efficiency in its restaurant operations while at the same time

placing the customer first. With strategic focus on menu variety and beverage choice,

McDonald’s is hoping for increased sales and guest counts. With their convenience and daypart

expansion initiative, McDonald’s is hoping to increase efficiency in its drive-thru pick up

window, and the company is staying open later for those late-nighters who want a quick bite to

eat. McDonald’s also has locally owned and operated restaurants which “are at the core of their

competitive advantage and makes them not just a global brand but a locally relevant one”

(McDonald's, 27). They are in the process of remodeling and upgrading its franchises. The

company is also opening up McCafe’s “with the expectation that the gourmet coffee shop would

move it closer to its goal of doubling sales at existing U.S. restaurants over the next decade”

(Peter & Donnelly, Jr., 2007, 253). A couple other organizational strategies are branded

affordability, and the development of their employees starting with recruitment and training and

leading all the up to leadership and management.

McDonald’s strategic plan is influencing their marketing efforts by building better brand

transparency. They want their image to be recognized globally. They are enhancing the

customer’s experience. “Across their markets, they are making is easier for customers to enjoy a

great McDonald’s experience. They are introducing drive-thrus to the increasingly mobile

populations in China and Russia, while in the U.S. and Canada, greater drive-thru efficiency and

double drive-thru lanes enable them to serve even more customers quickly” (McDonald's, 2008,

13). In Germany, McDonald’s has a reimaging program that includes adding about 100 McCafes.

They are also installing new kitchen operating systems so that they can continue to deliver high

food quality. McDonald’s has already renovated about 10,000 restaurants world wide. They want

their restaurants to be an expression of their brand. The company is also delivering greater value

to the customer with new menu selections. “By serving a locally relevant balance of new

products, premium salads and sandwiches, classic menu favorites and everyday affordable

offerings around the world, they create value for customers and satisfy their demand for choice

and variety” (McDonald's, 15). Types of marketing mix that McDonald’s use to achieve their

marketing goals are longer operating hours, everyday value meals, and optimizing efficiency in

66

the drive-thru. McDonald’s also uses marketing campaigns. In 2007, McDonald’s used the Shrek

movie to give children a choice between milk, fruit, or vegetables as part of their Happy Meal. In

addition to their commitment with children, McDonald’s is building their brand image “with

innovated marketing transporting ideas across borders and using i’m lovin’ it to deepen their

connection with customers who love their food and the unique McDonald’s experience”

(McDonald's, 2008, 17). In the 2008 Olympics held in Beijing, McDonalds offered the Beijing

Burger, Carmel and Banana Sundae, and Rice Sticks. They featured nine Olympic and

Paralympic athletes on their packaging. In Australia, McDonald’s held a marketing campaign

where the people could decide what name to give its new hamburger. The name that won was

Backyard Burger. With marketing campaigns like these, McDonald’s is trying to create a better

brand image. Other organizational and marketing strategies are “creating stronger bonds of trust

by being accessible and maintaining an open dialogue with customers and key stakeholders”

(McDonald's, 2008, 27). The company is reinvesting approximately $1.9 billion into their

restaurants primarily to reimage existing restaurants and build new ones. McDonald’s is also

moving towards a more heavily franchised, less capital-intensive business model. Although in

some countries, such as China, this is not permissible due to governmental laws. With

McDonald’s growing global brand image and its emphasis on the five factors of exceptional

customer service, this should help them increase sales and net income. With the initiative of

remodeling and upgrading existing franchises, this will give the customer a more pleasant and

friendly place to dine out at. With McDonald’s marketing campaign for the 2008 Olympics, they

were an integral part of the games and this only enhanced McDonald’s brand image in a positive

way. With the recruitment and training initiatives for current employees or future prospects, this

will allow McDonald’s to achieve less of an already high turnover ratio.

McDonalds Business Analysis:

'In the 1990s managers will be judged on their ability to identify, cultivate, and exploit the core

competencies that make growth possible - indeed, they'll have to rethink the concept of the

corporation it self.' Organizations do not exist in vacuum. They operate within a competitive

industrial environment. Analyzing its competitors not only enables an organization to identify its

own strengths and weaknesses but also help to identify opportunities for and threats to the

67

organization from its industrial environment. SWOT analysis is a systematic analysis of these

factors and the strategy that reflects the best match between them.

Let us analyze these principals in relation to the core competence of McDonalds, one of the

largest food chain companies in the world. Let us first start with the strengths and the positive

aspects which define the performance of this company. How can we define the company’s

strengths? Strength is a distinctive competence that gives the firm a comparative advantage in the

market place. For instance financial resources, image, market leadership and buyer supplier

relations etc McDonalds is the no: 1 fast food chain stores with a 40 million customers visiting it

per day. It has over 30,000 branches in 120 countries. It derives 80% of its revenues from eight

countries like Canada, Brazil, Germany, France, Japan, UK, Australia and US. The greatest

strength was creating an image in the minds of the people and introducing them to the fast food

culture. Delivery speed, customer care and cleanliness are the core strengths on which these

stores expanded. They created a corporate symbol and their advertisement campaigns were

highly successful in establishing the brand image and logo in the minds of the millions. Two

main competitors generally identified with McDonalds are the Burger King and the KFC.

McDonalds marketing strategy is concerned with the internal resources, external environment

and its basic competencies along with its share holders.

McDonald’s product value is also its greatest strengths. Customers know what to expect

when they walk into a McDonalds store. It gives great emphasis to human resources by

satisfying both the customer and the employees. Next is the innovation aspect wherein new

products line up to catch up with the new trends and tastes of the people. Its diversity into other

new business ventures can also be considered as its strengths.

How effective are these strengths to the company in the long run? McDonalds today is not that

amendable as it was during its inception. What are the driving factors which results in its present

decline in terms of sales and services? To analyze this factor we have to look at the weaknesses

part of the companies business and marketing strategy. What can generally be termed as a

weakness of a company? The same factors which were considered as strengths also become a

weakness if it impedes the overall performance of the company.

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Customer trends change and so does their choices. People are generally tired of the same brands

that they had been using over the years, so when they do not see the expected innovation they

migrate to new brands. Moreover people see McDonalds every where and this over exposure

might also be a reason for abstinence. Moreover maintaining the standards of such a huge chain

becomes feasible and when there is lack of quality service in one store it effects the whole brand.

The secret of any marketing strategy is to reach the target audience. And here again the target

audience should be chosen carefully. In the case of McDonalds as projected in its ads, the

targeted audiences were the kids. Demographics and customer financial and psychological

aspects define a business concerns success. Health conscious women and senior citizen comprise

the major population but kids soon grow out to become adults. Recent law suits and

documentaries resulted in the companies recent innovation and a major change related to health

related product ranges and this switch over as per the needs of today’s trend and needs has

increased the lost popularity of McDonalds a bit.

All the above factors point out the external strengths and weaknesses. There are also internal

factors which affect the performance and overall benefits the company stands to enjoy. Kids

based marketing strategy which was earlier a weakness has changed since 2003. Now more

teenagers and adults rule the McDonalds ad world. The research and develop which lacked

earlier is also looked into and the brand quality is being defined with various research and

development options today. McDonald at one stage started concentrating on expansion and

growing big that it missed out on key factors like quality maintenance and R&D.One major

threat to any brand is its relationship between the management and the franchise dealers.

Organization strength is the back bone of any concern and when that starts shaking the whole

system will collapse. But slowing McDonald is recovering from all these weaknesses as its brand

managers can easily communicate, compare and improve their services through the latest

technological developments wherein they can use the internet to motivate, compare and improve

upon other centers performances.

The overall analysis of all the external and internal strengths and weaknesses on this company

should be linked in order to draft a sustainable plan for the companies’ further improvement. For

any improvement or expansion the internal resources must be readily available. And thus

analyzing this aspect can lead to a modified strategy to suit its vision. Keeping in mind the

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available resources the planner should think globally. Hence making use of all the core

competencies the firm can definitely sustain in the competitive market.The change in the top

managerial level has creating a new wave in its performance and major changes have been

implemented to retain and sustain the brand quality and innovation. As the new CEO rightly

quotes,

“The world has changed. Our customers have changed. We have to change too." James R.

Cantaloupe, Chairman and CEO, McDonald's, 2003Now let us analyze the sustainable

competitive advantage of the company. What is sustainable competitive advantage? How can it

be related to McDonalds? SCA is the advantage a company has which is difficult or impossible

for other companies to possess or break through. It can either be the brand, dynamic customer

care, cost structure or its patent. Whatever the advantage in order to be considered as sustainable

it should either be proprietary or distinctive. Other than this three different aspects that help in

SCA are,

• The managerial and organizational process should share a good integration and coordination.

The much needed ‘value’ is created thereby as everyone strives to work for a common goal. The

organization should learn and bring about changes according to the need of the hour and should

always be flexible to changes in the environment such as customer trends, legal or government

restriction and developments in the technology. McDonalds is presently concentrating on this

advantage by concentrating on organizational behavior and managerial expertise. Previously this

advantage was ignored as the organization was more into expansion of its outlets over the globe

than strengthening its core advantage. As the result the revenue did not see much of a change

while newer outlets were open. The company suffered a massive loss first time since their

inceptions which further lead to the change in the managerial heads.

• Technological, structural and financial assets of a company are excellent market position which

helps in the SCA. McDonalds no doubt is abundant with such aspects like structure, technology

and finance. To identify and implement these assets in the proper direction towards the

improvement of the company is all that is needed. After 2003 the company has really started to

concentrate on its greatest advantages.

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• Most of all the greatest advantage is the vision or the dream with which the company was

started. Sustaining this dream over the years is any companies’ greatest advantage. A brand

usually revolves around this vision sustaining this vision and working in lieu with it is a great

SCA. McDonalds was started out to help people who had very little time to cook or was too busy

to get into a proper restaurant. The vision was to provide quick service, cheap products and

quality satisfaction. Keeping this vision in mind the company which slackened a bit because of

incompetent franchise holders is being weeded and new and better people are put in this place as

the torch bearers of the company sustaining and living the vision.

To sum it all up SCA means implementing the best value based strategy using all the

advantages which are unique to the company and that which cannot be copied or replicated by

other competitors. The importance of this SCA can be evident by the reply the great investment

guru Warren Buffet gave when asked about how he evaluates his investment portfolio. He

simply answered ‘sustainable competitive advantage’. Hence based on the dynamic integrated

and intelligent human resources can always be the only dependable and sustainable

SCA.Outsourcing boom or doom in today’s business environment

Today everything is outsourced from employee appointment to finance and customer care. No

organization is best enough to handle all kinds of work. Moreover concentrating on every detail

is not possible with a big concern especially like McDonalds. But great care should be taken not

to outsource the core competences of the company. General advantages of outsourcing are cheap

service, knowledge of markets offshore, flexible resources, speedy operations, expansion in

supplier relationship etc. most of all the company can concentrate on its core competencies and

outsource rest of its operation. Recently McDonald has tested its drive through order facility.

Wherein it makes sure that the order placed with the outlet is accurate. The order taken by the

outsourced company is reverted back to the home restaurant. These call center has a digital

camera which clicks the vehicle you drive through and the delivery man back home can integrate

the order and the person who placed it using the image of the car. Outsourcing thus helps in the

increase of the external suppliers and fills up the difficulties faced because of the lack of the

latest technologies and other innovations.What started of as a success story with McDonalds had

to face a number of risks, competitions and major set backs. What makes it still strong and

ranked among the top business concerns is its core competences and the sustainable competitive

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advantages both internal and external. Of course keeping up with the changing times the

company has also set foot in outsourcing but the point to keep in mind here is not to be driven

away by this outsourcing mania. This company has started to revert back to its golden glory

recently because of large scale revamping of its organizational and structural changes being

implemented.

List of countries with McDonald's franchisesThis is a listing of countries with McDonald's franchises, followed by countries without any. McDonald's is the largest chain of fast food restaurants in the world.[1] It has a total of more than 31,000 outlets worldwide.[2]

Countries with McDonald's stores

Badge issued to celebrate the opening of the first McDonald's in Belarus, which by the company's calculation was its 100th country

Edition of location

Country Date Year Comments# of currently operating outlets

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01  United States May 15 1940At The Airdrome building, San Bernardino, California.

13,381 (source: May 2009)

02  Canada June 1 1967Outlet opens in Richmond, British Columbia.

1,400 (source: March 2007)

03  Puerto RicoNovember 10

1967First McDonald's in Latin America and in the Caribbean.

04 U.S. Virgin

IslandsSeptember 4

1970

05  Costa RicaDecember 28

1970

06  Guam June 10 1971First outlet in Oceania and first outlet outside North America.

07  Japan July 20 1971

With the opening of an outlet in Tokyo, the company established a presence in Asia for the first time.

3,598 (source: 2004)

08  Netherlands August 21 1971The first McDonald's in Europe.

220 (source: 2009)

09  PanamaSeptember 1

1971 37 (source: 2009)

10  GermanyNovember 22

1971

First outlet in West Germany, outlets in the New Länder (former GDR) opened in 1991.

1,343 (source: 2009)

11  Australia May 30 1971 With the opening of an 701 (source: 2004)

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outlet in the Sydney suburb of Yagoona the company established a presence on the third new continent in the span of six months.

730 (source: 2006)

12  France June 30 1972

First outlet in Créteil in 1972 even though McDonalds officially recognizes the first outlet in Strasbourg in 1979

1,134 (source: December 2008)

13  El Salvador July 20 197211 (source: Sept 2009)

14  SwedenOctober 23

1973First outlet in Scandinavia.

230 (source: December 2009)

15  Guatemala June 6 1974 38 (source: 2007)

16 Netherlands

AntillesAugust 16 1974

17  EnglandOctober 12

1974First outlet in the United Kingdom.

1,250 (United Kingdom wide, 784 company owned, 465 franchised, source: 2006)

18 Hong Kong January 8 1975First outlet opened in Paterson Street, Causeway Bay, Hong Kong Island.[3]

200(source:2009)[3]

177(source: 2004)

19  Bahamas August 4 1975

20  New Zealand June 7 1976 149 (source: 2004)

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21  SwitzerlandOctober 20

1976 119 (source: 2004)

22  Ireland May 9 197779 (source: February 2009)

23  Austria July 21 1977 148 (source: 2004)

24  Belgium March 21 1978 64 (source: 2004)

25  BrazilFebruary 13

1979

With the opening of an outlet in Rio de Janeiro the company established a presence on the continent of South America for the first time.

560 (source: 2009)

26  SingaporeOctober 20

1979At Liat Towers, Orchard Road.

121 (source: 2004)

27  Spain March 10 1981 276 (source: 2004)

28  Denmark April 15 198183 (source: December 2009)

29  PhilippinesSeptember 27

1981 235 (source: 2004)

30  Malaysia April 29 1982McDonald's available in the first Muslim country.

194 (source: 2009)139 (source: 2004)

31  NorwayNovember 18

198368 (source: December 2009)

32  Taiwan January 28 1984Some consider this the first outlet in China PR due to political reasons.

338 (source: 2004)

33  Andorra June 29 1984 3 (source: 2009)

75

34  WalesDecember 3

1984

1,250 (United Kingdom wide, 784 company owned, 465 franchised, source: 2006)

35  FinlandDecember 14

1984 93 (source: 2004)

36  ThailandFebruary 23

1985 88 (source: 2004)

37  Aruba April 4 1985

38  Luxembourg July 17 1985 7 (source: 2009)

39  Venezuela August 31 1985 140 (source: 2009)

40  ItalyOctober 15

1985 392 (source: 2009)

41  MexicoOctober 29

1985367 (source***: 2009)

42  Cuba April 24 1986

Available only in Guantanamo Bay and inaccessible to Cuban citizens.

1 (source: 2009)

43  TurkeyOctober 24

1986First outlet in the Greater Middle East.

133 (source: 2004)

44  ArgentinaNovember 24

1986 187 (source: 2009)

45  Macau April 11 1987

46  Scotland November 23

1987 1,250 (United Kingdom wide, 784 company owned, 465

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franchised, source: 2006)

47  Serbia March 24 1988 First outlet in Serbia.

48  South Korea March 29 1988 243 (source: 2004)

49  Hungary April 13 1988 76 (source: 2004)

50 Soviet

Union/  RussiaJanuary 31 1990 First outlet in Russia. 235 (source: 2009)

51  China October 8 1990 First outlet in Shenzhen. 660 (December 2007)

52  ChileNovember 19

1990 69 (source: 2009)

53  IndonesiaFebruary 23

1991 75 (source: 2004)

54  Portugal May 23 1991 91 (source: 2004)

55Northern

IrelandOctober 14

1991

With a opening of a outlet in Belfast, McDonald's was now available UK-wide.

1,250 (United Kingdom wide, 784 company owned, 465 franchised, source: 2006)

56  GreeceNovember 12

1991 48 (source: 2004)

57  UruguayNovember 18

1991

58  MartiniqueDecember 16

1991

59 Czechoslova

kiaMarch 20 1992

First outlet in Czech Republic.

77

60  Guadeloupe April 8 1992

61  Poland June 17 1992 225 (source: 2009)

62  MonacoNovember 20

1992

63  BruneiDecember 12

1992 1 (source: 2004)

64  MoroccoDecember 18

1992

With the opening of an outlet in Casablanca the company had expanded into Africa and had a presence on all continents except Antarctica.

65 Northern

MarianasMarch 18 1993

66  IcelandSeptember 3

1993Closed down in October 2009, see #Former locations

0 (source: 2009)

67  IsraelOctober 14

1993131 (source: December 2007)

68  SloveniaDecember 2

1993 16 (source: 2009)

69  Saudi ArabiaDecember 8

1993 60 (source: 2009)

70  Botswana May 13 1994

71  Kuwait June 15 1994 37 (source: 2007)

72 New

CaledoniaJuly 26 1994

78

73  Oman July 30 1994 9 (December 2009)

74  EgyptOctober 20

1994 50 (source 2003)

75  BulgariaDecember 10

1994 19 (source: 2005)

76  BahrainDecember 15

1994 8 (source: 2004)

77  LatviaDecember 15

1994 First outlet in the Baltics.

78 United Arab

EmiratesDecember 21

1994

79  Estonia April 29 19957 (source: December 2009)

80  Romania June 16 1995 50 (source: 2009)

81  Malta July 7 19958 (7 in Malta, 1 in Gozo) (source: 2009)

82  Colombia July 14 199578 (source: November 2009)

83  SlovakiaOctober 14

1995 10 (source: 2004)

84  South AfricaNovember 11

1995 129 (source: 2009)

85  QatarDecember 13

1995 7 (source: 2003)

86  HondurasDecember 14

1995

79

87  Saint MartinDecember 15

1995

88  Croatia February 2 1996 16 (source: 2009)

89 Western

SamoaMarch 2 1996

90  Fiji Islands May 1 1996 3 (source: 2001)

91  Liechtenstein May 3 1996 1 (source: 2009)

92  Lithuania May 31 1996 6 (source: 2002)

93  Cyprus June 12 1996 13 (source: 2004)

94  IndiaOctober 13

1996 46 (source: 2007)

95  PeruOctober 18

1996 22 (source: 2009)

96  JordanNovember 7

1996

97  ParaguayNovember 21

1996 6 (source: 2009)

98 Dominican

RepublicNovember 30

1996

99 French

PolynesiaDecember 10

1996 First outlet in Tahiti.

100  BelarusDecember 10

1996

The company claimed this as McDonald's "100th country" although this calculation included many non-sovereign territories.

80

101  Ukraine May 28 1997 57 (source: 2007)

102  Yemen August 22 1997

103 Republic of

MacedoniaSeptember 6

1997 6 (scource: 2010)

104  Ecuador October 9 1997 10 (source: 2007)

105  RéunionDecember 14

1997

106  Isle of ManDecember 15

1997

107  SurinameDecember 18

1997

108  Moldova April 30 1998

109  Nicaragua July 11 1998

McDonald's outlets ceased operation during the Nicaraguan civil war and re-established a presence in 1998 after an absence of two decades.

5 (source: March 2010)

110  LebanonSeptember 18

1998

111  PakistanSeptember 19

1998 25 (source: 2005)

112  Sri LankaOctober 16

1998

113  Georgia February 5 1999 First outlet in Tbilisi.

114  San Marino July 6 1999

81

115  Gibraltar August 13 1999

116  AzerbaijanNovember 6

1999

117 French

GuianaFebruary 22

2000

118 American

SamoaSeptember 29

2000

119  Mauritius July 4 2001One location in Port Louis.

1 (source: 2010)

120  Mayotte May 1 2003

121  Montenegro June 1 2004

122  Algeria June 1 2006

123  Kenya July 1 2006 One location in Nairobi. 1 (source: 2009)

124  Iraq August 10 2006One location in Baghdad, but there is a knockoff called MaDonal.

1 (source: 2006)

Former locationsOne of the three McDonald's restaurants in Iceland before their closing

1. (1985-1995) Bermuda [1] - government influence2. (1994 - two days) Iran3. (1996 - six months) Barbados [2] - slow sales4. (1997-2002) Bolivia [3] - closed due to slow sales and cost5. (1997-2003) Trinidad and Tobago [4]6. (1995-2005) Jamaica [5]7. (1993-2009) Iceland [6] - Closed down by Icelandic affiliate Lyst ehf citing prohibitive

costs of importing foreign foodstuffs as required by McDonald's. Its former McDonald's outlets will be re-branded as its own chain of Metro restaurants offering similar service and menus with domestically produced ingredients.

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Countries without McDonald's locations

compared the United States Department of State's list of independent states to a list of franchises on the McDonald's website, and derived that the following countries don't have McDonald's locations.[7]

LATIN AMERICA AND THE CARIBBEAN (15 out of 35 countries)

Antigua and Barbuda, Barbados, Belize, Bolivia, Bermuda, Dominica, Grenada, Guyana, Haiti, Jamaica, Saint Kitts and Nevis, Saint Lucia, Saint Barthélemy, Saint Vincent and the Grenadines and Trinidad and Tobago

In addition there is a McDonald's restaurant in the Guantanamo Bay Naval Base, land leased from Cuba that hosts a US Naval facility.

NORTH AMERICA (1 out of 23 countries)

Greenland

EUROPE (5 out of 46 countries)

Albania, Armenia, Bosnia and Herzegovina, Iceland, and the Vatican City.

THE MIDDLE EAST AND NORTH AFRICA (5 out of 19 countries)

Iran, Libya, Syria, Tunisia, and Western Sahara.

ASIA (18 out of 46 countries)

Afghanistan, Bangladesh, Bhutan, Burma (also known as Myanmar), Cambodia, Kazakhstan, Kyrgyzstan, Laos, Maldives, Mongolia, Nepal, North Korea, Palestine, Tajikistan, Timor-Leste, Turkmenistan, Uzbekistan and Vietnam

SUB-SAHARAN AFRICA (46 out of 53 countries)

Angola, Benin, Burkina Faso, Burundi, Cameroon, Cape Verde, Central African Republic, Chad, Comoros, Republic of the Congo, Democratic Republic of the Congo, Côte d'Ivoire, Djibouti, Equatorial Guinea, Eritrea, Ethiopia, Gabon, Gambia, Ghana, Guinea, Guinea-Bissau, Lesotho, Liberia, Madagascar, Malawi, Mali, Mauritania, Mozambique, Namibia, Niger, Nigeria, Rwanda, São Tomé and Príncipe, Senegal, Seychelles, Sierra Leone, Somalia, Sudan, Swaziland, Tanzania, Togo, Uganda, Zambia, and Zimbabwe

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ANTARCTICA (15 claims, territories, and island territories)

Adélie Land, Antártica, Argentine Antarctica, Australian Antarctic Territory, British Antarctic Territory, Queen Maud Land, Peter I Island, Ross Dependency, Brazilian Antarctica, Marie Byrd Land, New Swabia, Bouvet Island, French Southern Territories, Heard Island and McDonald Islands, South Georgia and the South Sandwich Islands

OCEANIA (11 out of 15 countries)

Kiribati, Cook Islands, Marshall Islands, Micronesia, Nauru, Palau, Papua New Guinea, Solomon Islands, Tonga, Tuvalu and Vanuatu

Regions, Territories, and Republics without McDonald's locations

EUROPE (4 disputed regions, territories, and republics)

Northern Cyprus, South Ossetia, Transnistria, and Kosovo

ASIA (1 republic)

Nagorno-Karabakh Republic

Expandings with McDonald's OpeningsContinent Location City Date Year

North America  United States San Bernardino May 15 1940

Caribbean  Puerto Rico San Juan November 10 1967

Oceania  Australia Sydney May 30 1971

Asia  Japan  Tokyo July 20 1971

Europe  Netherlands Amsterdam August 21 1971

South America  Brazil  Rio de Janeiro February 13 1979

Africa  Morocco Casablanca December 18 1992

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Requirements to Open a McDonald’s Franchise:

What are the requirements to open a McDonald's franchise? If you qualify to open a McDonald's franchise and are willing to invest your time and money it can be a very financially rewarding and life-changing experience.

Facts about the McDonald's Franchise SystemMcDonald's has been a franchising company since 1955 and has relied on its franchisees to play a major role in the system's success. McDonald's remains committed to franchising as a predominant way of doing business. Today, the McDonald's franchise is the leading global foodservice retailer with more than 30,000 restaurants, located in more than 100 countries.

If you are considering buying a McDonald's franchise you will most likely buy an existing franchise restaurant. Most franchisees enter the system by purchasing an existing restaurant, either from McDonald's or from a McDonald's franchisee. A very small number of new operators enter the system by purchasing a new restaurant.

Financial Requirements and Start-Up Costs to Open a McDonald'sAn initial down payment is required when you purchase a new restaurant (40% of the total cost) or an existing restaurant (25% of the total cost). The down payment must come from non-borrowed personal resources, which include cash on hand; securities, bonds, and debentures; vested profit sharing (net of taxes); and business or real estate equity, exclusive of your personal residence.

Since the total cost varies from restaurant to restaurant, the minimum amount for a down payment will vary. Generally, you need a minimum of $300,000 of non-borrowed personal resources to be considered to open a McDonald's franchise. Individuals with additional funds may be better prepared for additional or multi-restaurant opportunities which McDOnald's encourages.

Other Requirements to Open a McDonald's

Significant business experience - Individuals who have demonstrated successful ownership or management of multiple business units or have managed multiple departments.

Rapid growth - Individuals who possess the capability to grow rapidly with McDonald's. Business plan - The ability to develop and execute a business plan. Manage finances well - Ability to manage finances including a thorough understanding

of business financial statements. Good management skills - Commitment to personally manage the day-to-day operations

of the restaurant business. Training - Willingness to complete a comprehensive world class training program and

become proficient in all aspects of operating a McDonald's restaurant business.

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Exceptional customer experience - The capability to effectively manage an organization that recruits, trains, and motivates restaurant employees who deliver an exceptional customer experience.

Good credit history - An acceptable credit history

Ongoing Fees to McDonald'sDuring the term of the franchise, you pay McDonald’s the following fees:

Service fee- A monthly fee based upon the restaurant’s sales performance (currently a service fee of 4.0% of monthly sales).

Rent - A monthly base rent or percentage rent that is a percentage of monthly sales. McDonald's usually owns the property and also acts as the landlord.

List of McDonald's ad programs This is a list of promotions by McDonald's restaurants through various time points.

Slogans

Here is a partial list of slogans:

Arabia

احبه انا (I'm loving it) (2003-present) مأكوالتنا جودة تعرف (Check our food quality) (2006-present)

Australia

You deserve a Break Today (May 30, 1971-1975) We got it all for you (1975-1980) You deserve a Break Today (1980-1984) Love a Burger, Love a McDonald's (1981) It's a Good Time for the Great Taste (1984-1988) McDonald's is cooking ... breakfast! (1987-1992, breakfast) The Good Time, Great Taste of McDonald's (1988-1992) It's MacTime (1992) It's MacTime Now (1992) It's MacTime Again (1994) MacTime Rocks On (1994, Featured David Essex's song Rock On) Only McDonald's (1998) Mac your Day (2000) Big McDonalds (2001) Feed your inner child (2005)

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Hand in hand with Australia (2006-current) Bacon bacon bacon (2007, bacon menu) I'm Lovin' it!" (2003-current) It's a Little Bit Fancy. (2009, used for the "M Selections" line of products)

Philippines

It's A Good Time for the Great Taste. (1984-1988) The Good Time, Great Taste of McDonald's. (1988-1994) Ulitin Ang Sarap! (1994-1997) Kita Kits sa McDo (1997-2004) Love ko 'to (2004-present) Love ko' 5 (2004-present, orientation videos)

Austria

McDonald's ist einfach gut Everytime a good time (1999-2003) I'm lovin' it (2003-present)

Brazil

É um bom momento para o delicioso sabor do McDonald's (1984-1994) Gostoso como a vida deve ser (1994-2003) Amo Muito Tudo Isso (2003- present)

Canada

English

The closest thing to home (1967-1969) McDonald's is your kind of place (1967-1971) You deserve a break today (1971-1975) Enjoy the best food at McDonald's (1973, concurrent with 1971 slogan) We do it all for you (also known as You, you're the one) (1975-1979) Nobody can do it like McDonald's can (1979-1980) You deserve a break today (1980-1983) Nobody makes your day like McDonald's can (1980-1983) That's My McDonald's (1981, concurrent with 1980 slogans) Never Nasty, Your Dog Will Be Happy (1981 - 1982) We cook it all for you at McDonald's (1982, concurrent with 1980 slogans) McDonald's and you (1983-1984) It's a good time for the great taste of McDonald's (1984-1988) It's Mac Tonight (1985, Mac Tonight advertising) McDonald's is your place to be (1986) The good time, great taste of McDonald's (1988-1990) There's nothing quite like a McDonald's (1988-1990)

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You Deserve A Break Today (1989-1990, concurrent with 1988 slogan) Food, folks and fun (1990-1991) McDonald's Today (1991-1992) What you want is what you get (1992-1995) Do you believe in magic? (1993-1997, Happy Meal advertising) Have you had your break today? (1995-1997) My McDonald's (1997) Did somebody say McDonald's? (1997-2000) We love to see you smile (2000-2003) Put a Smile On (2000-2003) Smile (2001-2003) There's a little McDonald's in everyone (2002-2003) I'm lovin' it (2003 - present) It's what I eat and what I do (2005) What we're made of (2008-present)

French

Moi J'm McDonald (1971-2003)[5]

C’est ça que j’m[6] (2003-)

Chile

Un Momento Especial, Cada Dia (1999-2003) Me Encanta Todo Eso (2003-present) Me Encanta (2003-present, secondary)

El Salvador

Me Encanta (Jul. 20, 1972-present) ¡McDonald's Está Chivisimo! (2009-present)

Finland

I'm lovin' it (Dec. 14, 1984-present)

France

Ca se passe comme ca chez MacDonald's (1985-2003) C'est Tout Ce Que J'aime (2003-present) Venez comme vous êtes (late-November 2008-present)

Germany

Das etwas andere Restaurant (The somewhat different restaurant - 1971) Essen mit Spaß (Eating with fun - 1978) Gut, dass es McDonald's gibt (It's good that McDonald's exists - 1982)

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Der Platz, wo Du gern bist, weil man gut isst (The place where you like to be because you eat well - 1987)

McDonald's ist einfach gut (McDonald's is simply good - 1991) Every time a good time (1999) Ich liebe es (I'm lovin' it - 2003)

Honduras

Me encanta (1995-present)

Hong Kong

Nobody can do it like McDonald's can (1979-1984) Good Times and Great Tastes (1984-1985) It's a good time for the great taste of McDonald's (1984-1988) Good time, great taste (that's why this is our place) (1988-1993) Only McDonald's (1993-1995) Every time a good time (1999-2003) I'm lovin' it (2003-present)

Iceland

I'm lovin' it (2003-2009)

India

I'm lovin' it (Oct. 13, 1996-present)

Israel

I'm lovin' it (Oct. 14, 1993-present)

Jamaica

I'm lovin' it (2003-2005)

New Zealand

McDonald's for breakfast, it's a great start to your day (1990's) McDonald's for breakfast, it will be a great weekend (1990's, on weekends) It's Mac Time (late 1990s) That's our tucker (1990's & 2005) Make every time a good time (early 2000s) The Curnel?? No thanks! That chickens for the birds, so try our Sandwich Chicken with

mayonnaise, and take a bite on the wild side, with the crisp taste you enjoy. (Fall 2000) Proud to be part of the change (2006 - Present)

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I'm lovin' it (2003 to present)

Netherlands

Ze zei meneer tegen me.(she called me Sir!) Je mag hier met je handjes eten (You can eat with your hands here!) Gek op Mac (Crazy about Mac) McDonalds is altijd goed (McDonalds is always good) Everytime a good time I'm lovin' it (2003 - present)

Paraguay

Me encanta! (1996-present)

Puerto Rico

La cosa más cercana a casa (1967) De McDonald's es el tipo de lugar (1967-1971) Te mereces un descanso hoy (1971-1975) Disfruta de la mejor comida en McDonald's (1973, concurrent with 1971 slogan) Lo hacemos todo para usted (also known as Tu, eres el uno) (1975-1979) Nadie puede hacerlo como McDonald's puede (1979-1980) Te mereces un descanso hoy (1980-1983) Nadie hace que su día como McDonald's puede (1980-1983) Nos cocinar todo para usted en McDonald's (1982) De McDonald's y Guste (1983-1984) Es un que momento para el gran sabor de McDonald's (1984-1988) Es Mac Esta noche (1985) De McDonald's es el lugar para estar (1986) Que momento, que sabor (1988-1990) No hay nada como un McDonald's (1988-1990) Que se merece el día de hoy (1989-1990, concurrent with 1988 slogans) Alimentación, amigos y diversión (1990-1991) Hoy de McDonald's (1991-1992) Lo que queremos es lo que obtienes (1992-1995) ¿Crees en la magia? (1993-1997, Cajita Feliz advertising) ¿Ha tenido su día de hoy? (1995-1997) Mi McDonald's (1997) ¿C Alguien decir McDonald's? (1997-2000) Que gusto verte sonreír (2000-2003) Pon una sonrisa en (2000-2003) Sonríe (2002-2003) Me Encanta (2003-present) Lo que estamos hechos de (2008-present)

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Russia

Великие моменты каждый день в McDonald's (1990-2002) Великие моменты в McDonald's (2002-2003) Bот что я люблю (2003-present) I'm lovin' it (2003-present, secondary)

South Africa

Make every day a McDonald's day (1994)

Spain

Sabemos lo que te gusta (1998-2003) I'm lovin' it (2003-present)

Sweden

It's a Good Time for the Great Taste (1984) The Good Time, Great Taste of McDonald's (1988) Kom till McDonald's - vi ger mer (1993) (Come to McDonald's - We give more) Livet har sina goda stunder (1995) (Life has it´s good moments) Every Time a Good Time (1999-2003) Gotta Get My Taste (2003) i'm lovin' it (2003-present)

Turkey

McDonald's Gibisi Yok! (1995-present) İşte Bunu Seviyorum (2003-present)

UK

You'll enjoy the difference (1974) There's a difference at McDonald's You'll Enjoy (1974-1986) It's a Good Time for the Great Taste (1986-1988) At McDonald's we've got time for you (1985-1988) A Visit To McDonald's Makes Your Day (1988-1992) There's nothing quite like a McDonald's (1992-1997) Enjoy more (1997-2001) Only McDonald's (2001-2003) Things that make you go MMMMMM! (2002-2003) i'm lovin' it (2003-present) It's What I eat and what I do The Sign of a Good Burger (2006) Make Up Your Own Mind (2006) Oh! Burger (2007)

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That's what makes McDonald's (2008-present) That's McDonald's...and then some (2009-present) (this phrase was voted #2 most irritating

piece of British advertising likely to deter custom after the Moonpig.com cards jingle in an independent March 09 survey by RM)

That's McDonald's...but cozy (Used for the Winter Menu in 2009) That's McDonald's...with Yee-Hah! (Used for the Tastes of America series in 2009) That's McDonald's...but Summery (Summer 2009) That's McDonald's...but Merrier (Used for the Festive Menu in 2009) There's a McDonald's for everyone (2009-present)

Ukraine

Великі моменти в McDonald's. (1997-2003) Я це люблю (2003-present)

Uruguay

Me Encanta! (1991-present)

US

Lets eat out! (1960-1965) Look for the Golden Arches! (1960-1967) The closest thing to home (1966-1969) McDonald's is your kind of place (1967-1971) You deserve a break today (1971-1975) Enjoy the best food at McDonald's (1973, concurrent with 1971 slogan) We do it all for you (also known as You, you're the one) (1975-1979)[7]

Nobody can do it like McDonald's can (1979-1980) You deserve a break today (1980-1983) Nobody makes your day like McDonald's can (1980-1983) That's My McDonald's (1981, concurrent with 1980 slogans) We cook it all for you at McDonald's (1982, concurrent with 1980 slogans) McDonald's and you (1983-April 15, 1984) It's a good time for the great taste of McDonald's (April 16, 1984-Spring 1988) 30 years of good times and great taste (1985, 30th anniversary) It's Mac Tonight (1985, Mac Tonight advertising) McDonald's is your place to be (1986, also used by NBC between 1990 and 1992 as NBC is the

place to be) The good time, great taste of McDonald's (Spring 1988-May 10, 1990) You Deserve A Break Today (1989-1990, concurrent with 1988 slogan) Food, folks and fun (May 11, 1990-March 18, 1991) McDonald's Today (March 19, 1991-March 16, 1992) What you want is what you get (March 17, 1992-1995) Do you believe in magic? (1993-1997, Ronald McDonald and Happy Meal McDonald's ads) Have you had your break today? (1995-1997) One Two Three Four... Bigmag burger! (1997)

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My McDonald's (1997) Did somebody say McDonald's? (1997-Summer 2000) We love to see you smile (Summer 2000-2003) Put a Smile On (2000-2003) Smile (2001-2003) I'm lovin' it (2003-present) It's what I eat and what I do (2005, combined with 2003 slogan to make It's what I eat and what

I do...I'm lovin' it) What we're made of (2008-present)

Jingles

Perhaps the best-known slogan was "You deserve a break today" (a song sometimes incorrectly attributed to a young Barry Manilow[8], who did include it in his "Very Strange Medley" of product theme songs) in fact, written by jingle singer/song writer Kenny Karen. In the accompanying TV commercial,[1] there was almost no mention of food. Instead, the ad featured an all-male McDonald's cleaning crew, singing after-hours about their individual tasks, and emphasizing that "at McDonald's it's clean!" just before launching into the almost operatic chorus: "You deserve a break today / So get up and get away / To McDonald's!" Another well known jingle was the "McDonald's is your kind of place / It's such a happy place / Hap, hap, hap, happy place..." from 1967, sung to the tune of "Down by the Riverside".[2] This jingle was parodied by many older kids at the time when it aired.The Big Mac's song (1975)-

“ Two all beef patties, special sauce, lettuce, cheese, pickles, onions all on a sesame seed bun ”

McDonald's and you jingle (1983)-

“ McDonald's and you. McDonald's and you. Sharing the good times like good neighbors do. McDonald's and you, and you, and you! McDonald's and you. McDonald's and you. There's only one McDonald's and there's only one you. You! Together, McDonald's and you!

”McDonald's menu song (1988)-

The McDonald's $1,000,000 Menu Song was an instant-win promotion created as part of an advertising campaign, which ran from 1988 to early 1989. As the name suggests, the song, which was a remake of Reunion's 1974 hit single "Life Is a Rock (But the Radio Rolled Me)", incorporates all of the items (at that time) on the McDonald's menu: sandwiches, other lunch/dinner items, breakfast items, dessert items, and drinks, in that order.

Flexi discs containing the song were attached to advertising sheets. On most versions of the recording, the singers were not able to recite the song perfectly from start to finish; when the singers made a mistake, the record was over. If the singer was able to complete the song, the record was a $1,000,000 instant winner.

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80,000,000 records were distributed, and only one of them was a winner.[9] The promotion was won by Salem, Virginia resident Charlene Price, who used the money to purchase the convenience store where she worked.[10]

It began as follows:

“ Big Mac, Mc DLT, a Quarter-Pounder with some cheese, Filet-O-Fish, a hamburger, a cheeseburger, a Happy Meal. McNuggets, tasty golden french fries, regular or larger size, and salads: chef or garden, or a chicken salad oriental. Big Big Breakfast, Egg McMuffin, hot hot cakes, and sausage. Maybe biscuits, bacon, egg and cheese, a sausage, danish, hash browns too. And for dessert hot apple pies, and sundaes three varieties, a soft-serve cone, three kinds of shakes, and chocolatey chip cookies. And to drink a Coca-Cola, Diet Coke, and orange drink, A Sprite and coffee, decaf too, A lowfat milk, also an orange juice. I love McDonald's, good time great taste, and I get this all at one place... ”

Good Time, Great Taste jingle (1988)-

“ Good Time, Great Taste. That's why this is our place! The Good Time, Great Taste of McDonald's. ”

McDonald's today jingle (1992)-

“ What you want is what you get at McDonald's today. ”i'm lovin' it jingle (2003)-

“ ba-da-ba-ba-ba... i'm lovin' it. ”

Case study:

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McDonald's Case Study

Introduction:

McDonald’s, the long-time leader in the fast-food wars, faced a crossroads in the early 1990s.

Domestically, sales and revenues were flattening as competitors encroached on its domain. In

addition to its traditional rivals—Burger King, Wendy’s, and Taco Bell—the firm encountered

new challenges. Sonic and Rally’s competed using a back-to-basics approach of quickly serving

up burgers, just burgers, for time-pressed consumers. On the higher end, Olive Garden and

Chili’s had become potent competitors in the quick service field, taking dollars away from

McDonald’s, which was firmly entrenched in the fast-food arena and hadn’t done anything with

its dinner menus to accommodate families looking for a more upscale dining experience.

  While these competitive wars were being fought, McDonald’s was gathering flak from

environmentalists who decried all the litter and solid waste its restaurants generated each day. To

counter some of the criticism, McDonald’s partnered with the Environmental Defense Fund

(EDF) to explore new ways to make its operations more friendly to the environment.

Facts :

McDonald’s roots go back to the early 1940s when two brothers opened a burger restaurant that

relied on standardized preparation to maintain quality—the Speedee Service System. So

impressed was Ray Kroc with the brothers’ approach that he became their national franchise

agent, relying on the company’s proven operating system to maintain quality and consistency.

Over the next few decades, McDonald’s used controlled experimentation to maintain the

McDonald’s experience, all the while expanding the menu to appeal to a broader range of

consumers. For example, in June 1976, McDonald’s introduced a breakfast menu as a way to

more fully utilize the physical plant. In 1980, the company rolled out Chicken McNuggets.

Despite these innovations, McDonald’s tremendous growth could only continue for so long. Its

average annual return on equity was 25.2% between 1965 and 1991. But the company found its

sales per unit slowing between 1990 and 1991. In addition, McDonald’s share of the quick

service market fell from 18.7% in 1985 to 16.6% in 1991. Plus growth in the quick service

market was projected to only keep pace with inflation in the 1990s.

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  McDonald’s faced heightening competition on several fronts. First, its traditional rivals—

Burger King, Wendy’s, and Taco Bell—were eating into its margins through promotions and

value pricing strategies. Taking a leaf from McDonald’s own playbook, Sonic and Rally’s were

using a very limited menu approach to attract time-strapped consumers. Finally, Chili’s and

Olive Garden were appealing to diners looking for something a little more enticing that the

familiar Golden Arches for their families.

 In the late 1980s, McDonald’s began recognizing the importance of maintaining an ecologically

correct posture with the public, which was becoming more concerned about the environment. For

example, in 1989, 53% of respondents in one survey revealed that they had not bought a product

because they didn’t know what effect the packaging would have on the environment. Closer to

home, a 1990 study showed that each McDonald’s generated 238 pounds of on-premise solid

waste per day.

It’s no surprise, then, that McDonald’s sought a way to reduce its solid waste while providing a

more environmentally acceptable face to the public. Beginning in 1989, it partnered with the

Environmental Defense Fund, a leading organization devoted to protecting the environment, to

seek ways to ease the company’s environmental burden on the landscape. Together, EDF and

McDonald’s considered its impact on a wide range of stakeholders—customers, suppliers,

franchisees, and the environment. The company gave its franchisees much autonomy in finding

ways to eliminate environmental blight. The company’s hope was that from these divergent

approaches, it stood a greater chance of finding solutions with broad applicability than if it had

tried to pursue a one-size-fits-all approach from the outset. Some of the environmentally inspired

solutions that came out of the collaboration with EDF were the: Introduction of brown paper

bags with a considerable percentage of recycled content. Solicitation of suppliers to produce

corrugated boxes with more recycled content, which had the twin effect of reducing solid waste

and building a market for recycled products.

Abandonment of polystyrene clamshell containers to hold sandwiches in favor of new paper-

based wraps that combined tissue, polyethylene, and paper to keep food warm and prevent

leakage.

Analysis :

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McDonald’s Sustained Prosperity:

The secret of McDonald’s success is its willingness to innovate, even while striving to achieve

consistency in the operation of its many outlets. For example, its breakfast menu, salads, Chicken

McNuggets, and the McLean Deluxe sandwich were all examples of how the company tried to

appeal to a wider range of consumers.The company has also made convenience its watchword,

not only through how fast it serves customers, but also in the location of its outlets. Freestanding

restaurants are positioned so that you are never more than a few minutes away by foot in the city

or by car in the suburbs. Plus McDonald’s is tucking restaurants into schools, stores, and more.

Key Threats:

The key threats to McDonald’s domestically are the lack of growth opportunities. The market is

well saturated, and it would difficult to achieve double-digit growth. Other concerns are a

newfound emphasis on healthier eating. Most of McDonald’s most popular fare probably in

some small way contributes to the increasing incidence of cancer, heart disease, and diabetes

among the population.

  But I feel the key threat to McDonald’s continued success is its very ubiquity. Because

McDonald’s are everywhere, the dining experience is never special. And as Baby Boomers age

and become more affluent, it is likely that they will leave behind their fast-food ways, if only to

step up to moderately priced restaurants like Olive Garden, Bennigans, and Pizzeria Uno. These

chains have the added advantage of serving higher-margin alcoholic drinks. McDonald’s,

meanwhile, has to continually battle Burger King and Wendy’s, which leads to an erosion of

margins for everyone. Even alliances with toy manufacturers, while popular with consumers, do

little for the bottom line because the cost to run these promotions can be quite expensive.

Responding to Burger King’s October 1 Announcement

The October 1 announcement from Burger King that it would begin offering table service is

not much of a threat at all. You can try to dress up fast food, but it’s still fast food. I couldn’t

imagine this being a potent draw for consumers. McDonald’s best course is to ignore this

development as irrelevant. As the market leader, McDonald’s does not need to respond to every

competitor’s initiative. Indeed, doing so would have the effect of making McDonald’s look

reactive and less like a leader.

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The advantage of not responding to Burger King’s initiative is that the company can preserve its

resources for other marketing thrusts that may provide a bigger payoff. The disadvantage of not

responding to Burger King’s initiative is that you allow the firm to establish itself in a unique

way in the minds of consumers—that of a fast-food restaurant that provides sit-down service.

But again, is this inherent contradiction of fast-food fare and upscale dining experience likely to

resonate with consumers? I would say no. If Burger King’s initiative does prove popular with

consumers—as evidenced by expanding sales and market share—McDonald’s would be forced

into catch-up mode. But I think that this is a risk that the company should be willing to take.

Promoting Flexibility Through Its Operating Strategy:

The key thing that McDonald’s operations strategy has to support is experimentation. Now

somewhat long in the tooth, McDonald’s needs a breakthrough that will provide new avenues of

growth. It has a long history of such experimentation, which has resulted in some new profit

centers like Chicken McNuggets and the breakfast menu. Some later turn out to be duds like the

McLean Deluxe, but inevitably experimentation in limited outlets offers McDonald’s a way to

retain its key strengths—quality and consistency—while continuing to evolve for new palates

and pocket books.

McDonald’s and the Environmental Defense Fund

In some ways, partnering with the Environmental Defense Fund was a masterstroke. It brought

both respectability and valued expertise to its environmental efforts. It also provided a primetime

venue for EDF to make a difference. Any successes, even if only incremental improvements,

would have major ramifications because of the sheer size of McDonald’s operations.

McDonald’s should continue its partnership with EDF. With ecology a growing concern among

consumers, it makes sense to be a good corporate citizen and get all the public relations

accolades that go along with such an alliance. It also pays off in the bottom line by reducing

shipping costs for supplies as well as garbage removal fees.

  McDonald’s would do well to stay in the vanguard of corporations who have become

environmentally aware. If it tries to shirk its responsibilities, it can foresee a public relations

nightmare in the making. But if it does manage to come up with some breakthroughs through its

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collaboration with EDF, it can score a tremendous amount of goodwill with the public, which

may even provide a halo effect to mitigate any other PR troubles. How far should McDonald’s

go on environmental issues?  There is definitely a public relations benefit in being seen as an

environmental leader, and the collaboration with EDF goes a long way in making that happen.

Still McDonald’s has had a lot of success in giving its franchises some latitude in developing

new solutions.

  The line in the sand in determining how far McDonald’s should go with its environmental

efforts is determined by the cost of the initiative relative to the hard-dollar benefits and harder-

to-quantify public relations buzz it gets from being in the forefront on environmental issues. The

bottom line is that environmental efforts can’t detract the company from its primary mission of

providing consistent quality to consumers. If environmental efforts start to be a drag on the

company’s future profits, it’s time to ease up. Ideally environmental initiatives should pay for

themselves by reducing other kinds of costs.

Dealing With the Product Range Explosion:

McDonald’s had done well with a fairly limited product range. But falling per unit sales is a

danger sign for the firm. With competitors gaining ground on McDonald’s, it may indicate a

need to refresh its product line. Perhaps the best way to do that is by rotating in a couple highly

promoted new menu items. This would have the effect of enlivening the product menu, without

the need to go head to head with competitors on price.

  This slackening of per unit sales might also indicate that McDonald’s critical success factors

have changed. Perhaps in the new environment, fast, convenient service is no longer enough to

distinguish the firm. At this time, a new critical success factor may be emerging: the need to

create a rich, satisfying experience for dinner consumers. To maintain consistency in new

products as it expands the product line, McDonald’s must rely on test marketing new menu items

in pilot locations. This approach will let the firm identify which items are likely to prove popular

with consumers while ensuring that the company can deliver new products with consistent

quality nationwide. McDonald’s already has a history of doing this so it will not require major

changes to its operations strategy—at least initially. If the product line-up gets too large, then the

task of maintaining quality becomes exponentially harder. The trick is to consider how to

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eliminate some of the existing menu items when you introduce new ones, while making sure the

staff is fully trained in how to execute these products successfully.

  Because McDonald’s has pretty well saturated the U.S. market, it’s only real opportunities for

growth lie abroad, where the competition is not so cutthroat or by introducing new restaurant

concepts under brands other than McDonald’s. After all, McDonald’s is known for fast food. It’s

not really a pleasant dining experience, just a cheap and convenient one. I feel that McDonald’s

has reached the point of diminishing returns with the McDonald’s brand and now needs to roll

out new types of restaurants.

  Indeed, McDonald’s has the opportunity to apply its core competencies—scrupulous adherence

to quality standards and continual promotion of experimentation—in new venues. Imagine, if

you will, McDonald’s opening a new casual dining restaurant under the name of Splendor. It

could then franchise that concept nationwide and get some of the dollars from consumers who

have grown past fast food. But its fastidious approach to operations would ensure that consumers

everywhere would experience the same dining experience—a tremendous advantage for

consumers who don’t want to be surprised with a bad meal. McDonald’s could try a number of

concepts simultaneous in different parts of the country. Those that seemed promising could be

rolled out further. The duds could be left to die quickly. While this will be an expensive

undertaking, it holds the potential to unleash new areas of growth in a maturing market.

Ratings:

Questionnaire

1- Minimum

10-Maximum

100

5- Average

How is the ambience at Mc Donald’s? _______________

How is the quality at Mc Donald’s? __________________

Are stores of Mc Donald’s at Hyderabad are sufficient________

How is the accessibility of Mc Donald’s?_______________

How is the quantity given by mc Donald’s?_____________

How are the services provided by mc Donald’s?_________

Is price worth to the quantity provided?_______________

Mc Donald’s offers are attractive?____________________

The items provided by Mc Donald’s are fresh? ____________

Is home delivery good?__________________________

Analysis of questionnaire and data interpretation:

Mc D KFC

Ambience 59 44

Quality 76 58

No. of stores 54 49

Accessibility 37 33

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Quantity 54 55

Service 77 78

Price 80 59

Offers 67 88

Items 55 33

Home delivery 30 20

1 2 3 4 5 6 7 8 9 100

10

20

30

40

50

60

70

80

90

100

MC DKFC

Data interpretation for questionnaire:

Mc DAmbience 59Quality 76No. of stores 54Accessibility 37Quantity 54Service 77

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Price 80Offers 67Items 55Home delivery 30

12%

24% 3

5%4

7%

59%

611%

713%

815%

916%

1018%

Data interpretation

McDonald’s Info:

What is their field of operation?

McDonald's is the largest food service company in the world. The company regards itself as the leading global food service retailer. With more than 30,000 restaurants serving more than 47 million people each day in 121 countries it is hard to argue! In 1974 McDonald's opened its first restaurant in the UK. As of 31 December 2001, McDonald's and its franchisees operated over 1,184 restaurants in the UK.

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What are their main products?

McDonald's menu concentrates on five main ingredients: beef, chicken, bread, potatoes and milk, which account for £255 million of food expenditure. The company's main menu lists its basic food offering: the Big Mac, which still exists as a major seller; other standard product names come from the McDonald's convention of adding a 'Mc' to a particular item. So, a chicken sandwich becomes a 'McChicken' sandwich and chicken nuggets become chicken 'McNuggets'. This idea has been extended to their dessert range, with the creation of the 'McFlurry' ice cream.

What are their main brands?

In 1997, McDonald's was recognised as the world's leading brand by Interbrand (http://www.interbrand.com). Since then the brand has 'slipped' to 8th in 2003. The long-established 'Big Mac' product, introduced in 1968, has also attained brand name status. The company's own 'cartoon' character, Ronald McDonald, tries to embody the firm's image as 'fun' and 'caring'.

Where is their UK head office?

McDonald's Restaurants Ltd.11 - 59 High RoadEast FinchleyLondon N2 8AW

When did the company start?

McDonald's originated in California, USA. In 1954, Ray Kroc became a franchisee of the McDonald brothers (Dick and Mac) and began opening new restaurants, buying all the rights to the McDonald's concept in 1961 for $2.7 million.

Who are its shareholders?

In the UK, McDonald's Restaurants Ltd is the identity of McDonald's Corporation. The company does not offer its shares for general sale nor are its shares listed on the UK Stock Exchange. However, the company does register its accounts at Companies House.

What is the company structure?

McDonald's are structured along functional lines. Their Chief Executive oversees five major areas of activity:

Operations (equipment and franchising) Development (property and construction) Finance (supply chain and new product development) Marketing (sales marketing)

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Human Resources (customer services, personnel, hygiene and safety)

How do franchises work?

The UK had more than 400 restaurants run by more than 200 franchisees at the end of 2001. This represented just over 35% of McDonald's total UK restaurants. Nearly one half of these franchised restaurants are run by former employees of McDonald's.

To set up a franchise with McDonald's costs at least £200,000. Potential franchisees need to contribute at least a quarter of this sum. Partnerships are not allowed to set up a McDonald's franchise.

Would-be franchisees have to sign a franchise agreement with the firm. This gives them the right to operate a specific McDonald's restaurant, at a single address, for a period of 20 years.

Under the franchise agreement, the company agrees to provide the McDonald's trademarks, restaurant decor, signage and equipment layout. In addition, the franchisee can use the recipes for the firm's products, their stock control, accounts systems, method of operation, and marketing.

What is its mission statement?

McDonald's aim to be the UK's best fast service restaurant experience.

Who are their major competitors?

In the UK, the main competition comes from Burger King, but in the USA, competitors also include Wendy's, Taco Bell and Subway

A look at a key feature of McDonald's business

McDonald's has an extremely strong image, but its iconic status guarantees that for all the positive news about the company, there is bound to be a downside. Regarded globally as a representation of US culture and values, McDonald's is often 'first in the firing line' for any anti-American sentiment as in the following cases:

In June 2002, a French farmer, Jose Bove, began a jail sentence for destroying a half-built McDonald's restaurant. Bove was sentenced for three months for the act which he said was in protest against US trade protectionism.

In August 2002, McDonald's became caught up in a row over the name of a new product. Their decision to name a new burger 'McAfrika' sparked protests. Demonstrators called the decision insensitive, when millions of people in Africa are threatened with starvation. The company started advertising in the Norwegian capital, Oslo, promoting the new burger, which the company claimed has a taste of Africa.

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The company has tried in recent years to fend off health concerns associated with fast food consumption. It has made considerable efforts to stress the positive aspects of the ingredients it uses in its products, stating that:

Its meat comes from farms that can guarantee the origin of its cattle and poultry. It uses only free range eggs. It has promised that it will not use ingredients from genetically-modified sources whilst

there is consumer alarm over this new food technology.

But sometimes it can make mistakes:

In June 2002 the company agreed to pay a $10m settlement to Hindus living in the United States. The group started legal action against the fast-food restaurateurs after the company failed to make clear that it had used beef flavouring in its French fries. Sources were quoted as saying that the company "sincerely apologises to Hindus, vegetarians and others" for incorrectly describing fries and hash browns sold in the US as vegetarian.

Can I have some financial information about the company?

The following is a five year analysis of the number of McDonald's UK retail outlets and their pre-tax profits:

  1997 1998 1999 2000 2001

No of restaurants 836 928 1016 1117 1184

Pre-tax profit (£m) 100.2 82.3 127.9 137.5 141.4

What is the company's vision for growth?

McDonald's presence in the UK has grown at a rapid rate in the last twenty-five years. The following graph illustrates this well:

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What is McDonald's policy on ensuring best quality product?

McDonald's menu concentrates on five main ingredients: beef, chicken, bread, potatoes and milk. Recognising the importance of the supply chain in maintaining quality, McDonald's aims to create long-term relationships with a limited number of supplier partners. Suppliers are usually keen to ensure that they can meet McDonald's required standards. Continued orders mean that suppliers can be confident of survival and growth.

McDonald's are keen to stress that their standards are based on quality, value and cleanliness. They say that they have in place stringent quality assurance and food safety programmes. They also claim that they know where all product ingredients come from. This would enable the company to control every link in its supply chain.

Food safety is clearly very important to the company. This is understandable when you consider how reputations can be seriously damaged when things go wrong. Their emphasis on safety and origin of ingredients highlights the efforts McDonald's make to allay fears among the general public over nutrition and modern farming methods.

What sort of people work for the firm?

Restaurant staff Restaurant management Office staff Franchisees' staff

44,000 3000 500 25,000

McDonald's Employment Levels 2001

Total employees (not including franchisees' staff) = 47,500 57% of staff are male 43% of staff are female Two-thirds of hourly paid staff are aged between 16 and 20 years of age

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90% of staff work for 35 hours per week or less

Do they have an equal opportunities policy?

McDonald's policy has the following aims:

high recruitment standards local sourcing of staff where possible the skills, talents and performance of staff matter; gender, marital status, disability, race,

colour, nationality or ethnic origin do not providing a safe and secure working environment staff should have opportunities for training and development jobs with the company should include career opportunities there should be challenges and rewards staff pay should reflect performance there should be good communication with staff the education of staff matters

The company introduced the post of Diversity Development Manager in 1997.

McDonald's is a member of the Employers' Forum on Age.

The overall percentage of women in restaurant management is 37%. Women represent 24% of the company's middle to senior management. There is one female UK director.

Can you give me an example of human resource management at the company?

McDonald's places emphasis on the training and development of its employees. They aim to provide career opportunities for people to achieve their potential. The firm offers both full and part-time career opportunities, which helps staff to combine work with family or educational commitments.

Job progression is used to encourage employees who got their first job in the company to progress to management positions. These promotions are based on the performance of the staff member. Over 40% of McDonald's managers started as hourly-paid staff members in the restaurants. Over half of the company's middle and senior managers have moved up from restaurant-based positions.

By how much has their workforce grown over recent years?

In 1997, McDonald's employed 42,982 staff in 836 restaurants in the UK.

By 2001, their UK workforce had risen to 47,735 (an 11.1% increase) in 1,184 outlets (a 41.6% increase).

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How are McDonald's employees motivated?

The company's hourly paid staff enjoy the following benefits:

Free Meal Allowance Paid Holidays (4 weeks per annum) Free Life Assurance (value dependent upon service) Private Health Care (for employees aged 19+ with 3 years service) Sponsorship Programme Stock Purchase Scheme Employee Discount Card Service Awards (at 3, 5, 10, 15, 20 and 25 years service) Stakeholder Pension

Are there any other examples of the company suffering from bad publicity?

The infamous 'McLibel' trial during the late 1990s is believed to have caused serious damage to McDonald's public image in the UK and abroad. The bad press was caused when two unemployed Greenpeace campaigners were sued for libel (written statements which are damaging to reputations) by McDonald's for distributing leaflets entitled 'What's Wrong With McDonald's?' The leaflet made claims that the firm adopted environmentally harmful processes and did not care about customers' nutrition, among other things. Although the couple were found to have libelled McDonald's, the leaflet they were passing around was found to be true when it claimed that the firm:

Paid low wages to its workers Was responsible for cruelty to some of the animals used in its foods Exploited children in advertising campaigns

Perhaps the most negative impact on the company was caused by the fact that McDonald's:

Appeared to use the libel laws as a form of censorship Employed highly paid lawyers to fight their case, when the campaigners represented

themselves Broke the record for the longest libel case in English legal history (314 days)

What is McDonald's brand positioning?

McDonald's has placed considerable emphasis on enhancing its brand positioning through sponsorship of events and sports.

It was one of eight corporate sponsors of the Millennium Dome Experience, investing £8 million in the Dome's community programme and learning experience.

It has been a major sponsor of international football, including the World Cup since 1994 and the Champions League from 1996 to 2000.

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It has sponsored British athletics since 1993, notably the McDonald's Young Athletes' League, training 11 to 17 year olds.

It has sponsored Child Safety Week since 1994.

Can you give me some information about a recent marketing campaign?

In September 2003, McDonald's announced a sponsorship deal involving the pop star Justin Timberlake. He will appear in five advertisements throughout the English-speaking world, promoting the company's products. The company also will sponsor the singer's world tour, but refuse to say how much they are paying him although some experts suggest it's in the region of $6 million (£3.6 million). The marketing campaign will be entitled 'I'm Lovin' It' and the associated tour of 35 European cities is entitled the "McDonald's Presents Justin Timberlake 'Justified' World Tour 'lovin' it' live".

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Conclusion:

From the above project it was a great destiny for me to get a project on Mc Donald’s. It was a great experience to gain knowledge about the most famous fast food Restaurant. This project might be useful not only for me but gave a blue print from which I would be self employed and provide employment to some people by starting a new organization on my own. Gaining knowledge about this organization helped me to complete my project in great manner.

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