MacDonald's and Its Critics Essay Example | Topics and Well Written Essays - 1250 words

MacDonalds and Its Critics - Essay ExampleThe follow implemented various promotional planning in order to increase competency of the company (McDonalds Restaurants Limited, 2008). The company is also known as the Penny Cost business. It usually mover to mesh cost and on the separate side, to increase sales. McDonalds implementation of penny cost in their marketing strategies helped increasing the sales and favourableness of the company. Presently, the company is dealing with 30,000 restaurants all over the world (McDonalds, 2011). The main aim of this paper is to recognize the militant advantages attained by McDonalds through the implementation of effectives strategies link up to marketing, human resource as well as other organizational aspects. The discussion of the paper further emphasize on the evaluation of sustainable growth, profitability and the rapid growth achieved by the company through its performance over the past years. The Key Strategic Decision of McDonalds Establ ishment of Competitive Advantages To rack up competitive advantages, McDonalds has implemented various strategic decisions into practice. Competitive advantages are known as the reward gained over the competitors by contributing towards customer determine and perceptions along with other fundamental aspects of business management. Competitive advantages tend to mark the performance level of a firm in a highly competitive market that can be gained through the generic strategies as proposed by Michael Porter, i.e. cost leadership, differentiation and focus (Porter, 1998). McDonalds adopted the theory of expansion to tenderize customers with highly efficient services. Their main level was to attain customer satisfaction and also attain competency through expansion. McDonalds executed various strategies in order to expand the business and attain sustainable growth through competitive advantages. In 1940s Ray Kroc started the business with milk shakes and few other items. In 1968, wh en Mr. Turner was the president of the company, he implemented changes in its organizational structure. Regional offices were established, in different countries and market regions. At that time quality control was not quite significant in the fast food industry, but McDonalds implemented the quality control strategies which assist to improve the companys brand image (Bartone & Wells, 2009). McDonalds provided high quality services to its customers and planned the business structure in a systematic order and attractive manner. McDonalds implemented strategic alliances which majorly intended differentiating the products, increasing the sales along with the profit. McDonalds also introduced happy meal chart, which included novel recipes. The execution of this procedure attracted new customers. The company also focused on increasing its sales with an addition of 1,200 restaurants in its worldwide chain (Bartone & Wells, 2009). All these factors, such as expansion of target market area , customer base and increase in the customer satisfaction along with increased sales rewarded the company with greater competitive advantages. Sustainable reaping McDonalds implemented strategic plan such as differentiation, and quality control. This assisted the company to gain competency and long term profitability in the market. McDonalds executed differentiation of the products, as these strategies were expected to help gaining higher profit along with increasing