Apple Swot Analysis

Company background Name McDonalds Corporation Industries served Restaurants, solid sustenance Geographic areas served Worldwide Headquarters U. S. Current CEO Don Thompson tax revenue $ 27. 56 billion (2012) Profit $ 5. 46 billion (2012) Employees 1,800,000 (2013) Main Competitors Burger nance Worldwide,Inc. , Yum Brand Inc. , Subway, Wendys Company. McDonalds is the worlds leading prompt pabulum eating house chain with more(prenominal) than 34,000 topical anaesthetic restaurants serving nearly 69 one million million million people in 119 countries each day.More than 80% of McDonalds restaurants worldwide are owned and operated by independent topical anaesthetic franchisees. Strengths 1. Largest stead unfaltering(a) nutrition market share in the world. McDonalds is the largest devalued food restaurant chain in terms of total world gross revenue (8%). It is the second largest outlet operator with more than 34,000 outlets, serving 69 million consumers every day in 119 countries. 2. Brand recognition valued at $40 million. Companys shuffle is the most recognized brand in fast food industry and is valued at $40 billion. McDonalds is also famous by the Ronald McDonald clown. . $2 billion publicize budget. McDonalds spends on advertising more than the next 4 fast food restaurant chains combined. 4. Loc wholey adapted food wags. The fast food chain is operating in many diverse cultures where tastes in food are extremely different than those of US or European consumers. Thus ability to adapt to local tastes is one of McDonalds strengths. 5. compact with best brands. McDonalds twirls only most popular brands in its restaurants, such(prenominal) as Coca Cola, Dannon Yogurt, Heinz ketchup and others. . More than 80% of restaurants are owned by independent franchisees. Therefore, McDonalds can focus more on perfecting its serving system and marketing campaigns. 7. Children targeting. The company successfully targets very unsalted children through of fering playgrounds, toys with its meals and advertisements. Weaknesses 1. Negative publicity. McDonalds is heavily criticized for offering pathologic food to its clients, stimulating obesity and strong marketing focus on very young children. 2. Un kempt food menu.Although McDonalds tries to introduce fitter choices in its menu, the menu is more often than not formed of unhealthy meals and drinks. Such menu offering prompts protests by organizations that fight obesity and hence, decreases McDonalds popularity. 3. Mac melody and high employee turnover. Mac Job is a low paid and a low skilled job, which is often seen negatively by its employees. This results in get off performance and high employee turnover, which growths training cost and add to overall costs of McDonalds. 4. Low differentiation.McDonalds is no longer able to substantially nock itself from other fast food chains (at least not teeming to gain some market share) and opts to compete by price preferably than by ad ditional features. Opportunities 1. Increasing essential for healthier food. While demand for healthier food increases, McDonalds could introduce more healthy food choices in its menu and reverse its weakness into strength. McDonalds is trying to secure such an opportunity and soon plans to open only vegetarian restaurant in India. 2.Home meal delivery. McDonalds could exploit an opportunity of delivering food to home and increase its reach to customers. 3. Full adaptation of its new practices. McDonalds has redesigned its logo and restaurant design in 2006. In addition, it has introduced some new practices. In a result, remodeled restaurants comport seen 8-9% higher than average market growth. McDonalds should finish remodeling all of the restaurants and adapt the best practices in them as soon as possible. 4. changing customer habits and new customer groups.Changing customer habits represent new call for that must be met by businesses. So far, McDonalds has been successful in introducing its McCafe, McExpress and McStop restaurants to meet the changing customer habits and the needs of previously untapped customer groups. Threats 1. Saturated fast food markets in the developed economies. The fast food market in the developed countries is already overcrowded by so many fast food restaurant chains and this already proves to be a threat to McDonalds as it barely grew through 2012. 2. Trend towards healthy eating.Due to government and various organizations attempts to fight obesity, people are becoming more conscious of eating healthy food rather than what McDonalds has to offer in its menu. 3. Local fast food restaurant chains. Local fast food restaurants can often offer a more local approach to serving food and menu that exactly represents local tastes. Although McDonalds does a great job in adapting its own menu to local tastes, the rising number of local fast food chains and their dishonor meal prices is a threat to McDonalds. 4. Currency fluctuations. McDonalds receives a character of its income from foreign operations.The profits that are sent back to US have to be converted into dollars and may be affected by the flip rates, especially when the dollar is appreciating against other currencies. In 2012, McDonalds profit was largely affected by appreciating dollar. Lawsuits against McDonalds. McDonalds has already been sued for many times and befuddled quite a few lawsuits. Lawsuits are expensive as they take up time and money. And as McDonalds continues to operate more or slight the same way, there is high probability for more expensive lawsuits to come. References 8. The radical York Times (2012).How McDonalds Came Back Bigger Than Ever. uncommitted at http//www. nytimes. com/2012/05/06/ mag/how-mcdonalds-came-back-bigger-than-ever. html? pagewanted=2_r=0ref=mcdonaldscorporation 9. McDonalds Investors (2013). Company profile. Available at http//www. aboutmcdonalds. com/mcd/investors/company_profile. html 10. Wikipedia (20 13). McDonalds. Available at http//en. wikipedia. org/wiki/McDonalds 11. United States Securities and Exchange representation (2012). 10-K Form McDonalds Corporation. Available at http//sec. gov/Archives/edgar/data/63908/000119312511046701/d10k. htm