Swot Mcd

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Category: Business and Industry

Date Submitted: 11/15/2015 08:30 AM

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SWOT Analysis

McDonald's

Strengths

Weaknesses

1. Size: Its the largest food market share in the world and the second largest outlet operator with more than 34,000 outlets in 119 countries.

2. Recognition of the brand: the brand name is established deeply in the food industry and is valued at $40 billion

3. Adapting to local food menus: It has been recognized in various diverse communities for being able to adapt to local tastes.

4. Partnerships: It offers various popular brands like Heinz ketchup, Coca cola etc in its restaurants.

5. Successfully reaches the target population daily: mainly focuses on young children (by offering toys with meals).

1. Unhealthy food: Maximum food items in the menu are very unhealthy.

2. Negative publicity: heavily criticized for providing unhealthy food, mostly stimulating to obesity. This is damaging the brand image to a great extent. Other examples include: using pink slime, burgers not decomposing for more than 90 days etc.

3. High employee turnover and the Mac job: the job requires low skills and employees are paid low and is often seen in a negative way by the employees. This gives rise to lower performance and higher employee turnover, increasing training costs and add up to the total costs.

4. Low differentiation: Not significantly different from other fast food chains because the menu is commonly used by various others.

5. Lack of job satisfaction for employees: Employees don't have any breaks for Thanksgiving or Christmas and receive no extra payment for that, hence, many are discouraged to work.

Opportunities

Threats

1. Home delivery: An option of home delivery can be exploited to increase its reach to customers.

2. Increasing the number of healthy food choices: As there is a great demand for healthier food, it can increase the number of healthy items on the menu.

3. Full adaptation of its new practices: There has been a better image of McDonald's from when they...