NAME: Pankaj Kumar

NAME OF COLLAGE: Pailan college of management and technology,Kolkata

COURSE: BCA

A study on McDonald’s

Welcome ToThe World Of McDonald’s

ABSTRACT SUMMARY

McDonald’s Corporation is a “Centralized, International company”, which competes in the fast food industry supplying hamburgers, french fries and other consumable items using standardization, heavy expansion and branding as the driving force. McDonald’s operates in over 121 countries and has over 30,000 restaurants worldwide.

This project covers the following topics:The introduction.History of the company. Strategic planning of the company . Marketing strategies and many more.

It also covers about the Positioning strategy like how company sets its positive position and in the minds of consumers. It also tells about logo, Slogans and about the target market of this product.

At the last the conclusion about the whole marketing process of the company.I have also given the reference of those websites which provides me relevant material and the recommendations about this project.

INDEXSL. NO. TITLE PAGE NO.1. INTRODUCTION

Introduction.History.Objectives of the study.Scope of the study.Research Methodology. Limitation of the study.

5-14

2. CONCEPTUALFRAMEWORK/INTERNATIONAL SCENARIOGoing International.Target Market(and customer profile)Marketing strategies.Marketing mix –Place,Promotion and People.List of Products.

15-24

3. DATA ANALYSIS AND FINDINGSSwot Analysis.Survey Response Analysis.Findings. Consumer Research. Product Research. Pricing Research. Advertising Research. Performance Result. Annual Profit And Share. McDonald’s in World Map. Demand Graph. Progression.

25-33

4. CONCLUSION AND RECOMMADATION 34-355. BIBLIOGRAPHY 36

INTRODUCTION• McDonald’s is a large corporation in the fast food

industry. • They have been around since 1955 when Ray Kroc

started the chain of McDonalds. They have been growing ever since.

• The majority of the restaurants are owned through franchises.

• They employ 447,000 people. • They have over 3,200 restaurants in over 119

countries. • The majority of the McDonald’s franchises are

owned by individual franchises. • Serves the world some of its favorite foods - World

Famous French Fries, Big Mac, Quarter Pounder, Chicken McNuggets and Egg McMuffin.

• The McDonalds Brand is one of the most well known Brands in the world.

One’s upon a timeWhen I

was Baby

.

As word of their success spread, franchisees started showing interest. However, the franchising system failed because the

McDonald's was started as a drive-in restaurant by two brothers, Richard and Maurice McDonald in California, US in the year 1937. The business, which was generating $200,000 per annum in the 1940s, got a further boost with the emergence of a revolutionary concept called 'self-service.' The brothers used assembly line

procedures in their kitchen for mass production. Prices were kept low. Speed, service and cleanliness became the critical success factors of the business. By mid-1950s, the restaurant's revenues had reached $350,000.

HISTORY

• At this point, Ray Kroc (Kroc), distributor for milkshake machines expressed interest in the business, and he finalized a deal with the McDonald brothers in 1954.

• He established a franchising company, the McDonald System Inc. and appointed franchisees.

• In 1961, he bought out the McDonald brothers' share for $2.7 million and changed the name of the company to McDonald's Corporation. In 1965, McDonald's went public.

• Currently McDonald's operates in 121 countries & having more than 30000 restarunt and serving 53 Million customers everyday.

McDonald’s History

• Entered in India 1996

• McDonald's India is a 50 – 50 JV partnership between MCDONALD’S CORPORATION (U.S.A) and two Indian businessman Amit Jatia and Vikram Bakshi

• Localisation: DON’T OFFER ANY BEEF OR PORK ITEM IN

INDIA IN PRODUCT LIKE MCVEGGIE, PIZZA

MCPUFF ETC.THEY USE SPICES FAVOURED BY INDIANS

SOFT SERVES AND MCSHAKES ARE EGGLESS

• Actively Involver in many social activities likegi CHILD EDUCATION, PULSE POLIOiesetc.

McDonald’s History in INDIA

• 1996 …the first McDonald’s restaurant opened on Oct. 13, at Basant Lok, Vasant Vihar, New Delhi. It was also the first restaurant in the world not serving beef on its menu

• 1997 …the first Drive –Through restaurant at Noida • 1999 …the first Mall location restaurant at Ansal Plaza

– New Delhi • 2000…the first highway restaurant at Mathura • 2001…the first thematic restaurant at Connaught Place• 2002…the first restaurant in a food court at 3C’s, Lajpat

Nagar and the first restaurant at the Delhi Metro Station at Inter State Bus Terminus

History in India

OBJECTIVES OF THE STUDY

The main objective of the study are mcdonald’s and its products and also to know the perception of customers regarding the company and its product.

The study aims to help build strong concept and view about the company –McDonald’s. Moreover, it provides a source of information on the latest food market developments and trends

that can be useful for a number of individuals and organizations, including importers and retailers, in every countries.

It covers the main issues related to production and marketing of fast food products of McDonald’s including its market outlets, logistics, certification and standards.

The specific aims of the study are to: Analyze the current situation of the company-McDonald’s and its products that is served across

globe. Provide estimates of development for present and future market scenario. Identify market opportunities for its products in developed and developing countries. Define strategy oppurtunites for the company.The key point of the study is: PEOPLE: Achieve a competitive advantage through people who are high calibre,

effective, well motivated and feel part of the McDonald’s team in delivering the company’s goals.

Restaurant Excellence: Focus on consistent delivery of quality, service and cleanliness through excellence in restaurants.

Operating Structure: Optimize restaurant performance through the selection of the most appropriate operating, management and ownership structures.

As learning is a human activity and is as natural, as breathing. Despite of the fact that learning is all pervasive in our lives, psychologists do not agree on how learning takes place. How individuals learn is a matter of interest to marketers. They want to teach consumer in their roles as their roles as consumers. They want consumers to learn about their products, product attributes, potential consumers benefit, how to use, maintain or even dispose of the product and new ways of behaving that will satisfy not only the consumer’s needs, but the marketer’s objectives.

This study focuses on McDonald’s and it’s food which is served.

The scope of my study restricts itself to the analysis of consumer preferences, perception and consumption of McDonald’s products. The scope of my study is also restricts itself to KOLKATA region only.

SCOPE OF THE STUDY

RESEARCH METHODOLOGY It is well known fact that the most important step in marketing research process is to define the problem. Choose for investigation because a problem well defined is half solved. That was the reason that at most care was taken while defining various parameters of the problem. After giving through brain storming session, objectives were selected and the set on the base of these objectives. A questionnaire was designed. Major emphasis of which was gathering new ideas or insight so as to determine and bind out solution to the problems.

Research included gathering both Primary and Secondary data. Primary data : is the first hand data, which are selected a fresh and thus happen to be original in character. There was no primary data colllected.Secondary data :are those which has been collected by some one else and which already have been passed through statistical process. Secondary data has been taken from internet,library,newspaper,magazines and companies web sites.

RESEARCH APPROACH The research approach was used survey method which is a widely used method for data

collection and best suited for descriptive type of research survey includes research instrument like questionnaire which can be structured and unstructured.Target population is well identified and various methods like personal interviews and telephone interviews are employed.

SAMPLING UNIT It gives the target population that will be sampled. This research was carried in KOLKATA

There were approximately100 respondents.

DATA COMPLETION AND ANALYSIS After the data has been collected, it was tabulated and findings of the project were presented followed by analysis and interpretation to reach certain conclusions.

DATA SOURCE

LIMITATIONSResearch work was carried out in KOLKATAonly and the finding may not be applicable to the other parts of the country because of social and cultural differences.

The sample was collected using connivance-sampling techniques. As such result may not give an exact representation of the population.

Shortage of time is also reason for incomprehensiveness.

The views of the people are biased therefore it doesn’t reflect true picture.

CONCEPTUAL FRAMEWORK/INTERNATIONAL SCENARIO

GOING INTERNATIONAL

The first McDonald’s Drive-Thru opened in Sierra Vista, Arizona in 1975.Happy Meals were added to McDonald’s menu in 1979.

McDonald’s launched the new worldwide Balanced Active Lifestyles public awareness campaign in 2005.

McDonald’s celebrated its 50th Anniversary on April 15, 2005.

• 1971 -McDonalds really starts going global.Asian: Tokyo Ginza District, JapanEuropean: Netherlands, Munich,

Germany

• 1967 - Canada & Puerto Rico (first restaurants outside the U.S.)

• 1971 - Tokyo, Japan, Amsterdam, Netherlands & Sydney, Australia

• 1979 - Rio de Janeiro, Brazil• 1990 - Moscow, Russia & China

Target Market (and Customer Profile)Kids - 3 to 7 years

Happy Meal (healthier choice) with free toys

Families - Weekend outings or mealsDrive-Thru, Takeaways, McDelivery, Happy Meal

Students - Primary, Secondary, JC, Poly, Uni (a place tohang out or study)

Student Meals, outlets at SP, NYP, NUS and NTU, 24-Hour

Café goers - for quieter ambience, a place to relax orread or even business entertainments

McCafe

Working Adults - seek convenience meals; “grab and go”Drive-Thru, Takeaways, McDelivery, 24-Hour

Product

PRODUCTMcDonaldland Concept:

McDonaldland-themed PlaygroundMcDonaldland Membership CardMcDonaldland Exclusive Line of Kids Wear

MARKETING STRATEGIES

Membership Card:Targeted at kids below 12 yearsMembership Fees-S$10 per year.Register at any McDonaldsoutlets in IndiaRegister online,

I Love Children

I Have Gifts For them,

They Can play Games also

Marketing Mix

Place

McDonald's opened its doors in India in October 1996. Ever since then, family restaurants in Mumbai, Delhi, Pune, Ahmedabad, Vadodara, Ludhiana, kolkata,Jaipur, Noida Faridabad, Doraha, Manesar and Gurgaon have proceeded to demonstrate.

Promotion

PROMOTIONBanners

Outside McDonaldland outlets to create awarenessRoadshows

a max. of 3 roadshows a month around Singapore (near

shopping malls or MRT stations) to create awareness andencourage membership sign ups

Public Relation - sponsorship of Kids CentralMembership perks and benefitsBundling offers to spur buying behaviourLaunch McDonaldland concept on Children’s Day (everyChildren’s Day is our birthday)

72

Pepole

• Each outlet is headed by a Restaurant Manager . He is responsible for the daily operation and customer interaction.

• Delivery Crew Member carries basic operation of a restaurant. Ensures customer satisfaction at the restaurants.

• In order to motivate there employees they give them stars as per their performance.

BurgersAll beef patties are seasoned, consisting primarily of salt and black pepper.

Big N’ Tasty: The Big N' Tasty consists of a seasoned quarter-pound beef patty with ketchup, mayonnaise, slivered onions, two dill pickle slices, leaf lettuce, and one tomato slice on a sesame seed bun.

Quarter Pounder: Along with the Big Mac, this is one of the two McDonald's signature menu items. 4-ounce of ground beef patty with ketchup, mustard, slivered onions, two gherkin slices, and two slices of cheese.

Hamburger and Cheeseburger: A 45 g ground beef patty, with ketchup, mustard, a single dill pickle, re-hydrated onions, on a toasted bun. Also sold as a double or triple, adding an extra pickle slice for each beef patty added

Double Cheeseburger: It has two 45 g ground beef patties, with ketchup, mustard, two slices of dill pickle, re-hydrated onions, and two pieces of cheese on a toasted bun.

McDouble: It similar to a Double Cheeseburger, but with just one slice of cheese. It was reintroduced as a permanent dollar-menu item in December 2008.

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

McFeast: A hamburger with lettuce, tomato, and mayonnaise, the McFeast contains a quarter pounder patty, lettuce, and modified mayonnaise with lemon juice, ketchup, onion and tomato.

LIST OF PRODUCTS

Chicken Fajita: Chicken, cheese, red and green bell peppers, and diced onions in a flour tortilla. Comes with Picante sauce packets on request, which is available in mild and spicy.

Chicken Selects: McDonald's version of chicken strips. They 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 chilli sauce.

Filet-O-Fish: It is a whitefish fillet with tartar sauce and a half slice of cheese, on a steamed bun.

McRib: It is a sandwich featuring boneless pork with barbecue sauce, slivered onions, and pickles.

McArabia: There are two versions of the McArabia: Grilled chicken and grilled kofta (beef with spices). Both are served with lettuce, tomatoes, onions, and garlic mayonnaise in addition to two small patties of grilled chicken or kofta, all wrapped in an Arabic style pita bread. The McArabia has been very well received throughout the Middle East. Chicken McBites: They are Popcorn chicken breast with "home-style seasoning”. Dipping sauces include ranch, Sweet n' Sour, Tangy BBQ, Chipotle BBQ, and Honey Mustard.

Fish McBites: Similar to the Chicken McBites, these are small pieces of flaky whitefish dipped in batter and fried until golden brown, and served with tartar sauce for dipping.

Salads and side orders McDonald's first introduced salads to its menu in 1985. The Premium Salads all are a mixture of iceberg lettuce and a special lettuce assortment, 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.

McDonald's sells French fries as its primary side order. They also sell potato wedges, a type of French fry that is thick cut and wedge shaped, fried onion pieces and onion rings.

LIST OF PRODUCTS

DATA ANALYSIS AND FINDINGS

SWOT ANALYSISStrengths•McDonald’s holds a very strong brand name worldwide.•They have large partnerships with other companies that provide them with their desired products; this increases the goodwill of the company.•McDonald’s is one of the most reputed firms who are socially responsible.•Loyal employees & management & customer are their biggest strength.•McDonald’s makes sure that cultural & regional barriers are kept in mind while providing food to different countries.•Clean environment and play areas for children where they can enjoy their time.

Weakness •The weakness that hits the list of employee turnover rate. Every year many of their employees are fired out of the restaurant.•McDonalds mostly advertises products and food items that targets children.•Health conscious people often complain that they do not provide us with the organic and healthy food. This becomes their weakness when they get in the complaints.•They also face quality issue at times. This affects the business as they are running the outlet worldwide, if one franchise gets affected others also get a bad name.

SURVEY RESPONSE ANALYSIS

Frequency of visits made to fast food centers

EverydayAlternate daysWeekendsOnce in a monthOnce every three months

Fast food chain visited the mostSubway

Mac-Donald's

KFC

Pizza Hut

Burger King

Favourite product at Mac-donald’s

Big Mac BurgerMac VeggieBig Mac Chicken BurgerMaharaj MacMac Fileto Fish Time of the day prefered

to eat at Macdonald’sMorning NoonEveningNight

SURVEY RESPONSE ANALYSIS

Main problem faced at McDonald’s

Long queuesWrong ordersHygienic prob-lemsOther problemsNo problems

The unique selling prepositions of MacDonald’s

Product varietyHygieneAmbienceQuick serviceLocationOther

SURVEY RESPONSE ANALYSIS

70%

30%

If there was a discount in McDonald’s , you think you would be more likely to buy

it?

yesNo

Factor of Preferring McDonald’s

SURVEY RESPONSE ANALYSIS

The System This is the first thing that makes McDonald's so successful, by having an effective and efficient system in place, which exploits the minimum wage labour available, in the form of young teenagers who are just looking to make some cash or pick up fundamental job skills.   Convenience

The second reason why McDonald's is so popular is because it's everywhere. There a McDonald's at every corner of the map, at every major shopping centre, district, highway, freeway, every place which attracts even, remotely more than 10 people, will have a McDonald's restaurant not too far from them. McDonald's is having the best Real Estate locations around the world which makes it so popular around the globe. Likability and Familiarity The Golden Arches, the Big M. Ronald McDonald, happiness and fun; all these are the associations with McDonald’s which makes it so familiar by being so familiar to all age groups and to everybody. The Menu

McDonald's has one of the most diverse menus, targeting all ages from little kids to old pensioners, and everyone else in between. There's Big Macs for the big kids and junior burgers for the little. The menu's versatility is accentuated when they introduced the "healthy tick" concept, which target those people who wants to watch what they eat (even though it doesn't make sense to go to a fast food restaurant to eat healthy).

Consistency The last reason is, McDonald's is so successful because of its consistency. The expectations that we have about everything surrounding the store are fulfilled in almost every store nationwide, worldwide. So everybody knows what they're getting into before they come to McDonald's, and by being so consistent, it has a solid reputation to uphold.

The Top Five Reason Why McDonald’s is so Popular

FINDINGS•CONSUMER RESEARCH:

Consumer research deals with consumer and their problems and solutions to the problem. In this I came to know about the consumers need and expecting levels regarding products and ascertainable levels of consumer satisfaction.

•PRODUCT RESEARCH: Under product research I came to know about the modification which consumers wants as to the quality, packing, shape, color, and quantity etc of their favorite product of McDonald’s.

•PRICING RESEARCH: This includes ability to consume, to pay for the product, how much

a person can spend on his/her favorate product. In this I have tried to find out consumer’s price expectations and reactions.

•ADVERTISING RESEARCH:Under this I have conclude that whether the advertisement appeals the

consumer or not. This also includes evaluating and selecting the proper media-mix and meaning advertisement effectiveness.

FINDINGS

A map showing every continent with at least one McDonald's

restaurant

Demand Graph Of McDonald’s

Year wise progression

FINDINGS

CONCLUSION AND RECOMMENDATION

What started as a simple food stand on Huntington drive, California in 1937, through the ages have become a billion Dollar corporation and the world’s second largest fast-food chain. When analysed, one would understand that McDonald’s had a stable growth in the past years.

The credits of building it into one of world’s largest fast food operation can be given to Ray Kroc who took over McDonald’s from its establishers, modernised and expanded it to suit the contemporary trend. Today McDonald’s has a net worth of $15.15 billion.

Through this project report and market survey we saw the how McDonald’s was formed, its history and the present position. We also its list of various products offered and the corporate profile. Through the marketing mix, we saw how they make use of their product, price, place, promotion mixes. SWOT analysis showed us the strengths and weakness of McDonald’s as well as the opportunities and threats they have got. The consolidated financial statement showed us the financial position of the corporation as of 2011. The questionnaire survey provided us with a clear picture of the needs, want and expectations of the consumers of the fast food market in general and McDonald’s in particular. The respondents also rated the services provided by the corporation. At last we also saw the top five reasons that make McDonald’s so popular.

I gladly hope that this project has met its aim.

Let me conclude by quoting this quote by Ray Kroc "Perfection is very difficult to achieve, and perfection was what I wanted in McDonald's. Everything else was secondary for me." Thank You!!

conclusion

RECOMMENDATION

Company should concentrate more on television for advertisement, as mostly people get attracted through television only.

It should concentrate on the taste and its quality.

They need to maintain high standards and should be careful that there products remains good and is not effected by insects.

They also fixed their products price that all kinds of consumers can afford it.

Customer’s complaints should be welcomed & handled effectively. A quick response to customers complaint can bring a positive impact on part of business firms.

•www.google.com•www.wikipedia.org•www.macdonalds.com•www.slideshare.net•www.scribd.com•www.marketing91.com•www.infobarrel.com•www.aboutmacdonalds.com•answers.yahoo.com•talkfinanceonline.com

BIBLIOGRAPHY

BYE BYE SEE U AT McDonald’S