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Get Homework/Assignment Done Homeworkping.com Homework Help https://www.homeworkping.com / Research Paper help https://www.homeworkping.com / Online Tutoring https://www.homeworkping.com / click here for freelancing tutoring sites PESTEL Framework: Political: The international operations of McDonald’s are highly influenced by the individual state policies enforced by each government.

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Homework Help https://www.homeworkping.com/

Research Paper helphttps://www.homeworkping.com/

Online Tutoringhttps://www.homeworkping.com/

click here for freelancing tutoring sites

PESTEL Framework:

Political:

The international operations of McDonald’s are highly influenced by the individual state policies enforced by each government.

Economic:

McDonald’s has the tendency to experience hardship in instances where the economy of the respective states is hit by inflation and changes in the exchange rates.

Market leader. Very high target market. Low cost and more incomes. The rate at which the economy of that particular state grows determines

the purchasing power of the consumers in that country.

Technological

Advanced technology development.

Social:

Working within many social groups. Increase employments.

Quality standards.

External Audit:

Opportunities Threats1. Growing health trends among

consumers

2. Globalization, expansion in other countries (especially in China & India).

3. Diversification and acquisition of other quick-service restaurants.

4. Growth of the fast-food industry.5. Worldwide deregulation.6. Low cost menu that will attract the

customers.7. Freebies and discounts.

1. Health professionals and consumer activists accuse McDonald's of contributing to the country’s health issue of high cholesterol, heart attacks, diabetes, and obesity.

2. The relationship between corporate level McDonald's and its franchise dealers.

3. McDonald’s competitors threatened market share of the company both internationally and domestically.

4. Anti-American sentiments.5. Global recession and fluctuating

foreign currencies.6. Fast-food chain industry is

expected to struggle to meet the expectations of the customers towards health and environmental issues.

2

Environmental: Quality packing. Local manufacture using foreign supplies.

Legal:

Legislation for product. Sustained logo.

CPM-Competitive Profile Matrix

  McDonald's Burger King Yum Brands Wendy'sCritical Success Factors

Weight Rating Weighted Score

Rating Weighted Score

Rating Weighted Score

Rating Weighted Score

Price 0.15 4 0.60 3 0.45 3 0.45 3 0.45Financial Position

0.08 4 0.32 3 0.32 3 0.24 2 0.16

Consumer Loyalty

0.10 4 0.40 3 0.40 3 0.30 2 0.20

Advertising 0.10 3 0.30 3 0.30 4 0.40 2 0.20Product Quality 0.10 4 0.40 3 0.40 4 0.40 2 0.20Innovation 0.15 3 0.45 3 0.45 3 0.45 2 0.30Market Share 0.10 4 0.40 2 0.20 3 0.30 2 0.20Management 0.07 4 0.28 3 0.21 3 0.21 3 0.21Global Expansion

0.15 4 0.60 2 0.30 3 0.45 1 0.15

Total 1   3.75   3.03   3.20   2.07

3

External Factor Evaluation (EFE) Matrix

Key External Factors Weight Rating Weighted ScoreOpportunitiesGrowing health trends among consumers

0.08 3 0.24

Globalization, expansion in other countries (especially in China & India).

0.12 4 0.48

Diversification and acquisition of other quick-service restaurants.

.04 3 0.12

Growth of the fast-food industry. .10 3 0.30

Worldwide deregulation .04 2 0.08

Low cost menu that will attract the customers. .08 2 0.16

Freebies and discounts. .08 1 0.08

ThreatsHealth professionals and consumer activists accuse McDonald's of contributing to the country’s health issue of high cholesterol, heart attacks, diabetes, and obesity.

0.10 3 0.30

The relationship between corporate level McDonald's and its franchise dealers.

0.09 3 0.27

McDonald’s competitors threatened market share of the company both internationally and domestically.

0.12 4 0.48

Anti-American sentiments. .07 2 .14

Global recession and fluctuating foreign currencies.

.04 3 .12

Fast-food chain industry is expected to struggle to meet the expectations of the customers towards health and environmental issues.

.04 2 .08

Total 1.00 2.85

4

Internal Factor Evaluation (IFE) Matrix

Key Internal Factors Weight Rating Weighted ScoreStrengthsStrong brand name, image and reputation.

0.12 4 0.48

Large market share. 0.10 4 0.40

Strong global presence. 0.04 3 0.12

Specialized training for managers known as the Hamburger University.

0.04 3 0.12

McDonalds Plan to Win focuses on people, products, place, price and promotion

0.12 4 0.48

Strong financial performance and position.

0.08 4 0.32

Introduction of new products. 0.06 4 0.24Customer focus (centric). 0.06 4 0.24Strong performance in the global marketplace.

0.08 4 0.32

WeaknessesUnhealthy food image. 0.08 1 0.08High Staff Turnover including Top management

0.04 1 0.10

Customer losses due to fierce competition.

0.04 1 0.04

Legal actions related to health issues; use of trans fat & beef oil.

0.04 2 0.08

McDonald's uses HCFC-22 to make polystyrene that is contributing to ozone depletion.

0.04 2 0.08

Ignoring breakfast from the menu.

0.06 1 0.06

Total 1.00 3.16

5

SWOT MatrixStrengths Weaknesses

1. Strong brand name, image and

reputation.

2. Large market share.

3. Strong global presence.

4. Specialized training for managers

known as the Hamburger

University.

5. McDonalds Plan to Win focuses on

people, products, place, price and

promotion.

6. Strong financial performance and

position.

7. Introduction of new products.

8. Customer focus (centric).

9. Strong performance in the global

marketplace.

1. Unhealthy food image.

2. High Staff Turnover including

Top management.

3. Customer losses due to fierce

competition.

4. Legal actions related to health

issues; use of trans fat & beef

oil.

5. Uses HCFC-22 to make

polystyrene that is

contributing to ozone

depletion.

6. Ignoring breakfast from the

menu.

Opportunities S-O Strategies W-O Strategies

6

1. Growing health trends among consumers.

8. Globalization, expansion in other countries (especially in China & India).

9. Diversification and acquisition of other quick-service restaurants.

10. Growth of the fast-food industry.

11. Worldwide deregulation.12. Low cost menu that will

attract the customers.13. Freebies and discounts.

1. Focus on Plan to win to attract customers and expansion in other countries (S5, O2, O6).2. Expansion in market share by more investments in Asia (S2, O2).

1. Minimize customers losses by provide low cost menu and discounts (W3, O6, O7).

Threats S-T Strategies W-T Strategies1. Health professionals and

consumer activists accuse McDonald's of contributing to the country’s health issue of high cholesterol, heart attacks, diabetes, and obesity.

2. The relationship between corporate level McDonald's and its franchise dealers.

3. McDonald’s competitors threatened market share of the company both internationally and domestically.

4. Anti-American sentiments.5. Global recession and

fluctuating foreign currencies.

6. Fast-food chain industry is expected to struggle to meet the expectations of the customers towards health and environmental issues.

1. More control on franchise dealers to maintain McDonald's reputation and quality (S1, T2).

2. Provide new product and keep innovation (S7, T3).

1. Applying 0 grams Trans fat in all worldwide McDonald's (W1, W4, O1).

2. Transfer from HCFC-22 to HFC (hydrofluorocarbon)-free (W5, T6)

SPACE Matrix

Financial Strength Rating Environmental Stability Rating

7

Return on investment 4 Rate of inflation -3Leverage 4 Demand Changes -3Net Income 6 Price Elasticity of demand -1EPS 5 Competitive pressure -3ROE 5 Barriers to entry new markets -3Cash Flow 4 Risk involved in business -2Average 4.67 Average -2.5    Y-axis 2.17Competitive Advantage Rating Industry Strength RatingMarket share -1.00 Growth potential 5Product Quality -1.00 Financial stability 5Customer Loyalty -1.00 Ease of entry new markets 4Control over other parties -2.00 Resources utilization 4

Profit potential 5  Demand variability 3 Average -1.25 Average 4.33    X-axis 3.08

Directional vector point is :( 3.08, 2.17)

Grand Strategy Matrix

8

Conservative Aggressive

CompetitiveDefensive

FS

ISCA

ES

The Boston Consulting Group (BCG) Matrix

The Internal-External (IE) Matrix

9

Quadrant II Quadrant I

Quadrant IVQuadrant III

Rapid Market Growth

Strong Competitive

Position

WeakCompetitive

Position

Slow Market Growth

Question Marks

Cash Cows Dogs

Relative Market Share Position

IndustrySales

GrowthRate

Stars MCD

The IFE Total Weighted Score

Strong Average Weak 3.0 to 4.0 2.0 to 2.99 1.0 to 1.99

High3.0 to 3.99

Medium2.0 to2.99

Low1.0 to 1.99

The Quantitative Strategic Planning Matrix(QSPM)

Strategy 1

Expand further in Asia by adding 500 restaurants

Strategy 2

Applying 0 grams Trans fat in all worldwide McDonald's restaurants

Key Internal Factors Weight AS TAS AS TAS

Strengths Strong brand name, image and reputation 0.12 4 0.48 4 0.48

Large market share 0.10 4 0.40 2 0.20

Strong global presence 0.04 4 0.12 2 0.08

Specialized training for managers known as the Hamburger University

0.04 - - - -

McDonalds Plan to Win focuses on people, 0.12 4 0.48 4 0.48

10

I III II

IV V VI

VII VIII IX

McDonald'sThe EFE

Total Weighted

Score

products, place, price and promotionStrong financial performance and position 0.08 4 0.32 4 0.32

Introduction of new products 0.06 - - - -

Customer focus (centric) 0.06 1 0.06 4 0.24

Strong performance in the global marketplace0.08 3 0.24 1 0.08

Weaknesses

Unhealthy food image 0.08 1 0.08 4 0.32High Staff Turnover including Top management

0.10 - - - -

Customer losses due to fierce competition 0.04 3 0.12 1 0.04Legal actions related to health issues; use of trans fat & beef oil

0.04 1 0.04 4 0.16

Uses HCFC-22 to make polystyrene that is contributing to ozone depletion

0.04 - - - -

SUBTOTAL 1.00 2.34 2.40

Strategy 1

Expand further in Asia by adding 500 restaurants

Strategy 2

Applying 0 grams Trans fat in all worldwide McDonald's restaurants

Key External Factors Weight AS TAS AS TAS

OpportunitiesGrowing health trends among consumers 0.08 1 0.08 4 0.32

Globalization, expansion in other countries (especially in China & India)

0.12 4 0.48 1 0.12

Diversification and acquisition of other quick-service restaurants

0.04 - - - -

Growth of the fast-food industry 0.10 4 0.40 4 0.40

Worldwide deregulation 0.04 4 0.16 1 0.04

Low cost menu that will attract the customers 0.08 - - - -

Freebies and discounts 0.08 - - - -

Threats

Health professionals and consumer activists accuse McDonald's of contributing to the country’s health

0.10 1 0.10 4 0.40

11

issue of high cholesterol, heart attacks, diabetes, and obesityThe relationship between corporate level McDonald's and its franchise dealers

0.09 4 0.36 1 0.09

McDonald’s competitors threatened market share of the company both internationally and domestically

0.12 4 0.48 4 0.48

Anti-American sentiments 0.07 - - - -Global recession and fluctuating foreign currencies 0.04 - - - -Fast-food chain industry is expected to struggle to meet the expectations of the customers towards health and environmental issues

0.04 1 0.04 4 0.16

SUBTOTAL 1.00 2.10 2.01SUM TOTAL ATTRACTIVENESS SCORE 4.44 4.41

Recommendations

Expand further into Asia markets over a 2-year period by adding 500 restaurants per year at a cost of $4 billion annually, and applying 0 grams Trans fat in all worldwide McDonald's restaurants.

Introduction:

McDonald's Corporation is the world's largest chain of fast food restaurants, serving nearly 47 million customers daily through more than 31,000 restaurants

12

in 119 countries worldwide. McDonald’s sells various fast food items and soft drinks including, burgers, chicken, salads, fries, and ice cream. Many McDonald's restaurants have included a playground for children and advertising geared toward children, and some have been redesigned in a more 'natural' style, with a particular emphasis on comfort: introducing lounge areas and fireplaces, and eliminating hard plastic chairs and tables.

Each McDonald's restaurant is operated by a franchisee, an affiliate, or the corporation itself. The corporations' 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.1

History analysis:

The business began in 1940, with a restaurant opened by brothers Dick and Mac 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 in 1963.

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.

With the expansion of McDonald's into many international markets, the company has become a symbol of globalization and the spread of the

1 http://en.wikipedia.org. 13

American way of life. Its prominence has also made it a frequent topic of public debates about obesity, corporate ethics and consumer responsibility.2

Vision

To be the best and leading fast food provider around the globe

Mission

McDonald's brand mission is to be our customers' favorite place and way to eat, and improve our operations to provide the most delicious fast food that meet our customers' expectations.

Values

Our values summarized in "Q.S.C. & V.". Provide good quality, services to customer. Have a cleanliness environment when customer enjoys their meal. The value of food product makes every customer is smiling.

The Five Forces Framework

2 http://en.wikipedia.org. 14

Suppliers

Substitutes

Buyers

Potential entrants

Competitive rivalry

The Threat of Entrants

Large established companies with strong brand identities such as McDonald’s BKC, YUM, and WEN do make it more difficult to enter and succeed within the marketplace; new entrants find that they are faced with price competition from existing chain restaurants.

Bargaining Power of Buyers

Low bargaining power of buyers.

Bargaining power of suppliers

Bargaining power of suppliers within the fast food industry would be relatively small, unless the main ingredient of the product is not readily available.Threat of Substitutes

This could range from a competitive fast food restaurant to family restaurant to a home cooked meal.

15

Competitive Rivalry The strength of competition in this industry is very high; the main rivals are BKC, YUM, and WEN. They compete with international, national, regional, local, retailers of food products (restaurants, quick service, pizza, coffee shops, and supermarkets).

PESTEL Framework:

Political:

The international operations of McDonald’s are highly influenced by the individual state policies enforced by each government.

Economic:

McDonald’s has the tendency to experience hardship in instances where the economy of the respective states is hit by inflation and changes in the exchange rates.

Market leader. Very high target market. Low cost and more incomes. The rate at which the economy of that particular state grows determines

the purchasing power of the consumers in that country.

Technological

Advanced technology development. Quality standards.

External Audit:

16

Social:

Working within many social groups. Increase employments.

Environmental: Quality packing. Local manufacture using foreign supplies.

Legal:

Legislation for product. Sustained logo.

Opportunities Threats14. Growing health trends among

consumers

15. Globalization, expansion in other countries (especially in China & India).

16. Diversification and acquisition of other quick-service restaurants.

17. Growth of the fast-food industry.18. Worldwide deregulation.19. Low cost menu that will attract the

customers.20. Freebies and discounts.

7. Health professionals and consumer activists accuse McDonald's of contributing to the country’s health issue of high cholesterol, heart attacks, diabetes, and obesity.

8. The relationship between corporate level McDonald's and its franchise dealers.

9. McDonald’s competitors threatened market share of the company both internationally and domestically.

10. Anti-American sentiments.11. Global recession and fluctuating

foreign currencies.12. Fast-food chain industry is

expected to struggle to meet the expectations of the customers towards health and environmental issues.

CPM-Competitive Profile Matrix

  McDonald's Burger King Yum Brands Wendy'sCritical Success Factors

Weight Rating Weighted Score

Rating Weighted Score

Rating Weighted Score

Rating Weighted Score

Price 0.15 4 0.60 3 0.45 3 0.45 3 0.45Financial Position

0.08 4 0.32 3 0.32 3 0.24 2 0.16

Consumer Loyalty

0.10 4 0.40 3 0.40 3 0.30 2 0.20

Advertising 0.10 3 0.30 3 0.30 4 0.40 2 0.20Product Quality 0.10 4 0.40 3 0.40 4 0.40 2 0.20Innovation 0.15 3 0.45 3 0.45 3 0.45 2 0.30Market Share 0.10 4 0.40 2 0.20 3 0.30 2 0.20Management 0.07 4 0.28 3 0.21 3 0.21 3 0.21

17

Global Expansion

0.15 4 0.60 2 0.30 3 0.45 1 0.15

Total 1   3.75   3.03   3.20   2.07

External Factor Evaluation (EFE) Matrix

Key External Factors Weight Rating Weighted ScoreOpportunitiesGrowing health trends among consumers

0.08 3 0.24

Globalization, expansion in other countries (especially in China & India).

0.12 4 0.48

Diversification and acquisition of other quick-service restaurants.

.04 3 0.12

Growth of the fast-food industry. .10 3 0.30

18

Worldwide deregulation .04 2 0.08

Low cost menu that will attract the customers. .08 2 0.16

Freebies and discounts. .08 1 0.08

ThreatsHealth professionals and consumer activists accuse McDonald's of contributing to the country’s health issue of high cholesterol, heart attacks, diabetes, and obesity.

0.10 3 0.30

The relationship between corporate level McDonald's and its franchise dealers.

0.09 3 0.27

McDonald’s competitors threatened market share of the company both internationally and domestically.

0.12 4 0.48

Anti-American sentiments. .07 2 .14

Global recession and fluctuating foreign currencies.

.04 3 .12

Fast-food chain industry is expected to struggle to meet the expectations of the customers towards health and environmental issues.

.04 2 .08

Total 1.00 2.85

Internal Factor Evaluation (IFE) Matrix

19

Key Internal Factors Weight Rating Weighted ScoreStrengthsStrong brand name, image and reputation.

0.12 4 0.48

Large market share. 0.10 4 0.40

Strong global presence. 0.04 3 0.12

Specialized training for managers known as the Hamburger University.

0.04 3 0.12

McDonalds Plan to Win focuses on people, products, place, price and promotion

0.12 4 0.48

Strong financial performance and position.

0.08 4 0.32

Introduction of new products. 0.06 4 0.24Customer focus (centric). 0.06 4 0.24Strong performance in the global marketplace.

0.08 4 0.32

WeaknessesUnhealthy food image. 0.08 1 0.08High Staff Turnover including Top management

0.04 1 0.10

Customer losses due to fierce competition.

0.04 1 0.04

Legal actions related to health issues; use of trans fat & beef oil.

0.04 2 0.08

McDonald's uses HCFC-22 to make polystyrene that is contributing to ozone depletion.

0.04 2 0.08

Ignoring breakfast from the menu.

0.06 1 0.06

Total 1.00 3.16

SWOT MatrixStrengths Weaknesses

20

10. Strong brand name, image and

reputation.

11. Large market share.

12. Strong global presence.

13. Specialized training for managers

known as the Hamburger

University.

14. McDonalds Plan to Win focuses on

people, products, place, price and

promotion.

15. Strong financial performance and

position.

16. Introduction of new products.

17. Customer focus (centric).

18. Strong performance in the global

marketplace.

7. Unhealthy food image.

8. High Staff Turnover including

Top management.

9. Customer losses due to fierce

competition.

10. Legal actions related to health

issues; use of trans fat & beef

oil.

11. Uses HCFC-22 to make

polystyrene that is

contributing to ozone

depletion.

12. Ignoring breakfast from the

menu.

Opportunities S-O Strategies W-O Strategies2. Growing health trends

among consumers.

21. Globalization, expansion in other countries (especially in China & India).

22. Diversification and acquisition of other quick-service restaurants.

23. Growth of the fast-food industry.

24. Worldwide deregulation.25. Low cost menu that will

attract the customers.26. Freebies and discounts.

1. Focus on Plan to win to attract customers and expansion in other countries (S5, O2, O6).2. Expansion in market share by more investments in Asia (S2, O2).

2. Minimize customers losses by provide low cost menu and discounts (W3, O6, O7).

Threats S-T Strategies W-T Strategies7. Health professionals and

consumer activists accuse 3. More control on franchise dealers

to maintain McDonald's reputation 3. Applying 0 grams Trans fat in

all worldwide McDonald's

21

McDonald's of contributing to the country’s health issue of high cholesterol, heart attacks, diabetes, and obesity.

8. The relationship between corporate level McDonald's and its franchise dealers.

9. McDonald’s competitors threatened market share of the company both internationally and domestically.

10. Anti-American sentiments.11. Global recession and

fluctuating foreign currencies.

12. Fast-food chain industry is expected to struggle to meet the expectations of the customers towards health and environmental issues.

and quality (S1, T2). 4. Provide new product and keep

innovation (S7, T3).

(W1, W4, O1).4. Transfer from HCFC-22 to

HFC (hydrofluorocarbon)-free (W5, T6)

SPACE Matrix

Financial Strength Rating Environmental Stability RatingReturn on investment 4 Rate of inflation -3Leverage 4 Demand Changes -3Net Income 6 Price Elasticity of demand -1EPS 5 Competitive pressure -3ROE 5 Barriers to entry new markets -3Cash Flow 4 Risk involved in business -2Average 4.67 Average -2.5    Y-axis 2.17Competitive Advantage Rating Industry Strength RatingMarket share -1.00 Growth potential 5Product Quality -1.00 Financial stability 5Customer Loyalty -1.00 Ease of entry new markets 4Control over other parties -2.00 Resources utilization 4

Profit potential 5  Demand variability 3 Average -1.25 Average 4.33    X-axis 3.08

Directional vector point is :( 3.08, 2.17)

22

Grand Strategy Matrix

The Boston Consulting Group (BCG) Matrix

23

Conservative Aggressive

CompetitiveDefensive

FS

ISCA

ES

Quadrant II Quadrant I

Quadrant IVQuadrant III

Rapid Market Growth

Strong Competitive

Position

WeakCompetitive

Position

Slow Market Growth

The Internal-External (IE) Matrix

Strong Average Weak 3.0 to 4.0 2.0 to 2.99 1.0 to 1.99

High3.0 to 3.99

Medium2.0 to2.99

Low1.0 to 1.99

The Quantitative Strategic Planning Matrix

24

Question Marks

Cash Cows Dogs

Relative Market Share Position

IndustrySales

GrowthRate

Stars MCD

I III II

IV V VI

VII VIII IX

McDonald's

The IFE Total Weighted Score

The EFE Total

Weighted Score

(QSPM)

Strategy 1

Expand further in Asia by adding 500 restaurants

Strategy 2

Applying 0 grams Trans fat in all worldwide McDonald's restaurants

Key Internal Factors Weight AS TAS AS TAS

Strengths Strong brand name, image and reputation 0.12 4 0.48 4 0.48

Large market share 0.10 4 0.40 2 0.20

Strong global presence 0.04 4 0.12 2 0.08

Specialized training for managers known as the Hamburger University

0.04 - - - -

McDonalds Plan to Win focuses on people, products, place, price and promotion

0.12 4 0.48 4 0.48

Strong financial performance and position 0.08 4 0.32 4 0.32

Introduction of new products 0.06 - - - -

Customer focus (centric) 0.06 1 0.06 4 0.24

Strong performance in the global marketplace0.08 3 0.24 1 0.08

Weaknesses

Unhealthy food image 0.08 1 0.08 4 0.32High Staff Turnover including Top management

0.10 - - - -

Customer losses due to fierce competition 0.04 3 0.12 1 0.04Legal actions related to health issues; use of trans fat & beef oil

0.04 1 0.04 4 0.16

Uses HCFC-22 to make polystyrene that is contributing to ozone depletion

0.04 - - - -

SUBTOTAL 1.00 2.34 2.40

25

Strategy 1

Expand further in Asia by adding 500 restaurants

Strategy 2

Applying 0 grams Trans fat in all worldwide McDonald's restaurants

Key External Factors Weight AS TAS AS TAS

OpportunitiesGrowing health trends among consumers 0.08 1 0.08 4 0.32

Globalization, expansion in other countries (especially in China & India)

0.12 4 0.48 1 0.12

Diversification and acquisition of other quick-service restaurants

0.04 - - - -

Growth of the fast-food industry 0.10 4 0.40 4 0.40

Worldwide deregulation 0.04 4 0.16 1 0.04

Low cost menu that will attract the customers 0.08 - - - -

Freebies and discounts 0.08 - - - -

Threats

Health professionals and consumer activists accuse McDonald's of contributing to the country’s health issue of high cholesterol, heart attacks, diabetes, and obesity

0.10 1 0.10 4 0.40

The relationship between corporate level McDonald's and its franchise dealers

0.09 4 0.36 1 0.09

McDonald’s competitors threatened market share of the company both internationally and domestically

0.12 4 0.48 4 0.48

Anti-American sentiments 0.07 - - - -Global recession and fluctuating foreign currencies 0.04 - - - -Fast-food chain industry is expected to struggle to meet the expectations of the customers towards health and environmental issues

0.04 1 0.04 4 0.16

SUBTOTAL 1.00 2.10 2.01SUM TOTAL ATTRACTIVENESS SCORE 4.44 4.41

26

Recommendations

Expand further into Asia markets over a 2-year period by adding 500 restaurants per year at a cost of $4 billion annually, and applying 0 grams Trans fat in all worldwide McDonald's restaurants.

27