McDonald’s Competitive Strategy

Term Paper, 2013

9 Pages, Grade: A


McDonald’s Competitive Strategy

Executive Summary

McDonald created a global advisory council which is entrusted with the duty of providing recommendations on nutrition. McDonald’s has spearheaded a program to introduce healthy food for some customers. Customers can select hamburgers or salads depending upon their needs and requirements. Additionally, apples can be selected for children when parents purchase Happy Meals. McDonald’s products are filled with nutritional information which offers better choices and autonomy to customers. McDonald’s aggressive business strategy is based upon the premise that its restaurants should be located at strategic locations. Burger King’s management is dynamic because it always seeks to utilize the power of new media as a means of ensuring that organizational targets are attained in an effectual manner. Burger King has strived to harness the power of social media to launch new products, track customer feedback, and respond to complaints. Burger King is also successful because of its innovative products like its Whopper. French Toast Sticks, Caesar salads, veggie burgers, and others are examples of innovative products that are offered to customer segments. Burger King has always had a limited menu but it has focused on niche markets. The development of a comprehensive supply chain management system means that KFC can control the power of its suppliers. It trains suppliers so that the adequate standards of hygiene and safety can be maintained. Additionally, it has a monitoring and auditing mechanism to ensure that suppliers comply with the organizational standards and requirements. KFC’s training program for its workforce is based upon imparting technical, managerial, and communication skills.


Competitive advantage is determined by the presence of smart and prudent goals. Business organizations need to have strong strategies that leverage their key strengths as a means of attaining economies of scale. The business strategy of the organization should be based upon operational efficiencies. Additionally, successful organizations strive to create an environment where they are able to achieve their critical targets through dynamic business processes and functions. Organizations need to have the ability to successfully deploy strategies that can take advantage of new opportunities. Additionally, they must be able to respond to complex situations in an efficient and effective manner. McDonald’s is an industry leader in the fast food industry. Its key competitive advantages have included nutrition, convenience, affordability, innovation, quality, hygiene, and value added services. The success of the organization has been its ability to leverage its key strengths so that it can overcome weaknesses. The long term profitability of McDonald’s will depend upon its ability to embrace change. It needs to improve operational efficiencies to reduce costs. It should integrate technology as a means of ensuring that its key standards can be attainable. Burger King and KFC are two competitors of the organization. Burger King has been successful because it has been able to focus on product diversification, reliable customer services, and continuous innovation. KFC has been successful because of its emphasis on quality food along with huge restaurants that provide considerable excellence to its customers.

Company Profiles

McDonald’s is one of the leading firms that is operating in the fast food industry. It has been successful because of its cheap food. It has offered nutritional value while raising awareness about health. Additionally, it has expanded into different markets through the use of innovative and creative strategies. Burger King has also been a major player in the fast food industry. Its success is its ability to target niche markets in a proficient manner. Kentucky Fried Chicken (KFC) is renowned for its recipes including the famous fried chicken. The organization expands rapidly in international markets while offering quality food at affordable rates.


Excerpt out of 9 pages


McDonald’s Competitive Strategy
University of South Australia
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ISBN (eBook)
ISBN (Book)
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mcdonald’s, competitive, strategy
Quote paper
Angela Amor (Author), 2013, McDonald’s Competitive Strategy, Munich, GRIN Verlag,


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