SWOT Analysis Of McDonalds Samples †MyAssignmenthelp.com

Question: Discuss about the SWOT Analysis Of McDonalds. Answer: Introduction Strategic management plays a vital role in the success of any business. Effective management strategies adopted by organizations lead to dynamic growth of the business (Hill, Jones Schilling, 2014). This report throws light on one such strategy. The strategy selected is SWOT analysis. The idea behind conducting a SWOT analysis for any business is to gain a deeper insight about the businesss internal as well as external environment. This report lays emphasis on the SWOT of McDonalds which is a leading name in the fast-food industry. Strengths One of the biggest strength of the McDonalds is its strong brand name. The wide presence of the business across 80 countries has enabled McDonalds to cater to a large number of customers on a daily basis. McDonalds competitive pricing strategy assists the firm in ensuring that it is affordable to a massive customer segment. McDonalds is a financial fit firm and this aspect of the business helps them in managing unforeseen risks. Another strength of the brand is its ability to target a wide customer segment (Armstrong Kotler, 2015). McDonalds target market includes youth between the age of 15-38 years, working professionals who are looking for a quick snack, school and college students who prefer inexpensive snack option and lastly families with children are also targeted by McDonalds happy meal offering. Weaknesses One of the biggest weaknesses of McDonalds is the limited offerings of their menu. Currently, their menu is limited to burgers, fries and beverages. They have put efforts in expanding the menu, however, most of their outlets offer a limited product line (Meyer, 2015). McDonalds also lacks innovation advertisement which plays a vital role in attracting new customers. Opportunities Owing to the increasing health consciousness of the people today, McDonalds must introduce healthier eating options. This could include whole wheat burgers, lactose free, gluten free and vegan products. McDonalds must also enhance its social media presence and work upon creating more user generated content to enhance brand equity in the market. Social media marketing could also be used to enhance customer interaction and build a deeper relationship. McDonalds could also increase the number of outlets which are open 24 hours a day. This would cater to the increasing population of people who work on night shifts as well as students who study at night. Threats Increasing number of fast-food joints has increased an overall competition in the industry. Burger King, KFC, Five Guys Burgers and Wendys are all leading names in the industry. Moreover, the unorganized part of this industry has also added to the competition faced by the firm. Growing health consciousness among people has made them averse to fast-food chains and reduced overall consumption in the industry. Conclusion Strategic management helps businesses in ensuring that the business is effectively managed. McDonalds is a global brand and a perfect example of efficient strategic management. SWOT analysis of McDonalds has presented with the companys internal environment (strengths and weaknesses) as well as external environment (opportunities and threats) (Rothaermel, 2015). Such an analysis helps in a providing a better understanding of the businesss present situation and prospects of future growth. References Armstrong, G., Kotler, P., Harker, M. and Brennan, R., (2015).Marketing: an introduction. United Kingdom. Pearson Education. Hill, C.W., Jones, G.R. and Schilling, M.A., (2014).Strategic management: theory: an integrated approach. United States. Cengage Learning. Meyer, P., (2015). McDonalds Marketing Mix: 4Ps Analysis.Panmore Institute. October,7. Rothaermel, F.T., (2015).Strategic management. United States. McGraw-Hill Education.