Business Strategy

A Competitive Profile Matrix (CPM) was developed to assess the performance and strategies of McDonalds, Burger King Holdings, and Yum Brand Inc. CPM is used to determine the strength and weaknesses in relation to the McDonalds strategic position (David, 2011). Critical success factors are assigned with a weighted value in order for management to compare competing firms with McDonald’s strengths and weakness. The review of the CPM is designed to aid management in decision-making and look for areas of success and improvement in the company’s strategic plan (David, 2011).

McDonald’s is a successful franchise that employs a “plan to win “ strategy that is comprised of the five P’s. The five Ps consist of people, product, place, price and promotion (David, 2011). According to most numbers McDonalds Corporation towers over the completion in many critical success factor categories. However, in order to continue to be successful the company must be able to self assess and determine it’s strengths and weakness’ in comparison to its competitors.

According to CPM, McDonalds does a great job in the advertising department is comparison to the other companies. Advertising and promotion of product is one of the strategic areas that McDonald’s performs very well. The CPM shows that McDonalds is a front-runner in quality food and service. McDonalds provides customers with quality cuts of meats, utilizes fresh produce from local suppliers and dairy products are put thru quality control procedures through the entire supply process (McDonalds, 2014).

Additionally, the CPM illustrates that McDonalds is financially sound and is way above its competitors in the financial position critical success factor. McDonald’s holds a market cap of over $59.8 billion while its competitors Yum! Has a market cap of $16.3 billion and Burger king has only $2.46 billion in market capital (David, 2011).

McDonalds is the leader in global expansion. McDonalds that has...