Halor

Introduction

For any business, becoming and staying the market leader is a huge task, even for household names such as McDonald's. Keeping ahead involves continuous hard work to enhance the reputation of the brand, coupled with product innovation based on detailed market research that indicates how to please customers.

McDonald's has built its success around a formula of providing a range of standardized high quality products quickly and cheaply. The McDonald's concept was originally developed in the USA, but is truly global with over 25,000 restaurants in more than 114 countries.

Today, many people live busy lives and place great importance on convenience when buying and paying for goods and services. They are attracted by modern, quick service products such as drive-in car washes, mobile phones and ready meals. For many people (though not all), this emphasis on instant service is a winning formula, particularly for younger people and young families. However, research indicates that modern consumers of all ages are seeking experiences that are more individualized than in the past. McDonald's is developing new concepts and products that provide a more personal experience while still giving excellent value for money.

Competitive Environment

For businesses to understand adequately the nature of the competition they face, they must define their market accurately. This involves recognising a broad base of competitors. McDonald's has thousands of competitors, each seeking a share of the market. McDonald's recognises that it is up against not only other large burger and chicken chains but also independently owned fish and chips shops and other eat-in or take-out establishments. A company like McDonald's therefore, has to develop competitive strategies that differentiate it from its rivals.

All organisations need to be in touch with their business environment in order to make sure that what they do fits with customer expectations. These expectations change over...