Swot Analysis – Mcdonald’s Corporation Essay
SWOT Analysis of McDonalds Corporation By Angela B. Strengths 1) Brand recognition 2) Economic risk spread globally 3) Specialized Training and Career Path 4) Tech – analysis, supply chain, customer access 5) Sensitive to cultural diversity in global market Weaknesses 1) Market saturation, especially in USA 2) Consumer consciousness of unhealthy menu 3) High employee turnover including managers 4) Excessive debt 5) Sell-off by franchisees due to increased fees Opportunities 1) Expansion into emerging markets/economies 2) Organic menu response to growing demand 3) Diversification and Acquisition: a. ew concept QSRs ;amp; fast casual 4) Increased vertical integration 5) Exploit new technologies Threats 1) Expensive new regulations 2) Loss of competitive edge 3) Currency exchange and trade policies 4) Changes in demographics 5) Global increase of litigation against company| High Probability/High Impact 1) Economic risk spread globally 2) Tech – analysis, supply chain, customer access 3) Sensitive to cultural diversity in global market 4) Expansion into emerging markets/economies 5) Exploit new technologiesLow Probability/High Impact 1) Consumer consciousness of unhealthy menu 2) Sell-off by franchisees due to increased fees 3) Diversification and Acquisitions: a. New concept QSRs ;amp; fast casual 4) Increased vertical integration 5) Loss of competitive edge High Probability/Low Impact 1) Brand recognition 2) Specialized Training and Career Path 3) Market saturation, especially in the USA 4) High employee turnover, including managers 5) Change in demographics Low Probability/Low Impact 1) Excessive debt 2) Organic menu response to rowing demand 3) Expensive new regulations 4) Currency exchange and trade policies 5) Global increase of litigation against company| Recommendations based on SWOT Analysis Based upon the research conducted, it is recommended that McDonalds Corporation’s “Strategy to Win” include the following steps which incorporate all items listed in the High Probability/High Impact section above: 1) Conduct research into emerging markets for purpose of expansion into these areas, especially Asia.
) This research should include a strong focus on the Company’s sensitivity to cultural diversity within the emerging market. 3) Within the expansion into emerging markets, the Company should leverage new technologies to streamline supply chain, analyze new market demographics, energy efficiency, and to enhance customer engagement.