Marketing Strategy Of Mcdonald's Pricing Strategy

In order to analyse what extent Tesco U.K’s performance is attributa-ble towards industry characteristics, Porter’s five forces are broken up into competition, potential of new entrants, power of suppliers, power of customers and the threat of sub-stitute products. Below is an image of Porters 5-forces in relation to the U.K supermarket industry. 1. Rivalry amongst competitors The intensive rivalry in the U.K’s grocery sector is remarkably high.

Bargaining Power of Buyers The level of bargaining power of buyers is moderate because one of the reason is Coles does not have much competitors to compete with. Their Consumers can switch brand easily because they are very sensitive to price and will compare and choose the cheapest alternative. However, the Federal Government and ACCC has set a restriction to lower down the competition barriers to allow new competitors to enter the market which will widen consumers choice and lead to increase of bargaining power of buyer level to high. Threat of Substitutes The level of threat of substitutes is high, this means that Coles has a lot of indirect competitors such as farmers’ markets, specialist grocery stores and convenience stores. These indirect competitors posed a serious threat to Coles.

The price of raw materials is high with low consumer switching cost. However, the increasing demand for healthy and organic food is creating openings for smaller competitors to enter and hide from the pricing

As a community it’s our duty to understand how global market corporation use advertisement to sell. In the first place, I looked for an interesting admeasurement in the internet. Out of nowhere I decide to choose McDonald website because they have a lot of views from consumers. McDonald website focus in logos to transmit their advertisement on facts, percentages and a lot of words and information.

The factory style restaurants had positive and negative sides. The positives were fast, good-tasting food. However, the negatives were much more prevalent. McDonalds became a chain restaurant that appeared all over the United States. The owners wanted their food to taste the same at all locations.

Also, the organisational structure communicate to the customers for example charities like Macmillan use social media to express adverts and to expose their message to the general public .this helps create a cross platform campaign. They also use advertising on TV and the internet to gain attraction with their adverts that create acknowledgement and interest in the charities

The Similarities and Differences of McDonald’s and Wendy’s Corporate America has taken a stranglehold on American nutrition and eating habits. McDonald’s food has dominance over the market with its cost effectiveness and availability. In contrast, Wendy’s has superior products with higher prices. While these fast-food giants have a massive place in America, they have their similarities and differences. Wendy’s and McDonald’s demonstrate these traits in cost, diversity, and quality.

For the business-level, Trader Joe’s adopted a differentiation focus strategy. According to our textbook with this strategy, Trader Joe’s seeks to differentiate in its target market. They rely on providing better service than broad-based competitors. Specifically, they focus on the special needs of the buyer in other segments (Dess, Page 159). Joe’s differentiates its self from other grocers by providing a unique shopping experience fortified with their private label goods and great service from their crew members.

As people have issues about Mcdonalds’ low food quality toward people’s health. However, there is another important area that we have to consider seriously about is how its system, so-called “Mcdonaldization”has influenced and continuously effecting our society. From the article “McJobs: Mcdonaldization and the Workplace” by George Ritzer, he distributes the idea of how Mcdonaldized system has changed our society into scripted and “programmized” places (Ritzer 1998:140). He has specifically analyzed the McJobs’( job that has been Mcdonaldized) into four elements,which is its efficiency, calculation, prediction and control. As the nature of the world is made of a full of colors, diverse opinions of people naturally exist toward the term

However, public health policies increasingly discouraged consumers from eating fast food such as from McDonald’s, with links to high cholesterol and obesity problems as seen from its country-of-origin, the US. Nonetheless, this threat can be an opportunity for McDonald’s to improve the healthfulness of its food and tap on the huge potential market. Economic changes around the world affect McDonald’s industry and environment given its transnational nature. McDonald’s largest market, the American economy, experienced stable but slow

D) Marketing Plan (4Ps) Marketing Mix (4Ps) • Product – Divide product into three categories for different market o High-end function, design, and price – to target high-end group. The function will feature the highest potential such as child protection lock, built-in coffee and toaster maker, rotisserie, new technology

6.1 Marketing Mix Marketing mix is a set of controllable marketing tactics used by business to promote their product and achieve its marketing objectives. (L. Lake, 15 June 2017) Marketing mix is also called the 4Ps which consist of Promotion, Place, Product and Price. (M. J. Baker, 2001, p.54) 6.1.1 Product

STRATEGIC MANAGEMENT CASE STUDY: MCDONALD’S CORPORATION 1. INTRODUCTION McDonald’s Corporation is the world’s leading fast food restaurant chain with more than 34,000 local restaurants serving approximately 69 million people in 119 countries each day. More than 80% of McDonald’s restaurants worldwide are owned and operated by independent local franchisees. Its revenues come from the rent, royalties, and fees paid by the franchisees, as well as sales in company-operated restaurants (McDonald’s, n.d.).

The age factor used by the target market of McDonalds is a family with dual income that does not have the time to prepare their food for their children, the workers who are having lunch and teens. Besides that, according to Schroder and McEachern (2005), global target market fast-food industry account for 79 percent is at age 17-25. The income factor used by McDonald target customers are upper-middle and lower income consumers. The Mac value offered by McDonalds will attract lower class customers to upper-middle customers. McDonald 's lunch meal RM5.95 has improved the product as it is attractive to upper-middle and even lower customers.

With this strategy, it gives customer the awareness and urge to buy in view of their low pricing as compared to other competitors. For example, KFC Zinger Double Down set priced at RM 9.95 with includes two pieces of meat while McDonald Spicy Mc Deluxe Burger set at RM 9.45 with includes only one piece