need report based on submitted documents
Need 20 -25 pages
- Identify the key problems and issues in the case study.
Problems :
1. McD placed itself in the middle with overall-cost leadership and broad differentiation to please everyone. They lost focus on existing business.
2. Bussiness/Marketing strategy unable to provide well-perceived customer experience, did not engage customer’s expectationa and feedback
Case Synopsis: [
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McDonald’s had announced on January 28, 2015, that Don Thompson would retire as president and chief executive at the end of February. He would be replaced by Steve Easterbrook, the firm’s chief branding officer. The abrupt exit came after the world’s largest restaurant chain posted one of its worst financial performances in years.
This was frustrating to many analysts, because McDonald’s had managed to show consistent growth in performance up to 2013, riding a surge in operating profits and stock price for almost a decade. Most of this could be attributed to the “Plan to Win,” which was first outlined by James R. Cantalupo, who had come out of retirement to guide McDonald’s after overexpansion had caused the chain to lose focus. The core of the plan was to increase sales at existing locations by improving the menu, refurbishing the outlets, and extending hours.
Despite management changes, McDonald’s had remained committed to pushing on various aspects of this plan. The chain had continued to expand its menu over the years, with more sandwiches and salads. It also started to add snacks and drinks, two of the few areas where restaurant sales had still been growing in spite of the economic downturn. Its addition of specialty coffee, ice-cold frappes, and fruit smoothies in its newly added McCafes had helped boost the average spent by each customer and lured customers to its outlets for snacks during slower parts of the day.
Nevertheless, McDonald’s was aware that it was facing a rapidly fragmenting market, where consumers were looking for healthier and even more exotic foods. The chain was facing tougher competition from Burger King and Wendy’s, both of which had been adding to their menus and remodeling their outlets. McDonald’s had also lost ground with Millennials who were increasingly drawn to new designer burger outlets such as Five Guys and Shake Shack. At the same time, McDonald’s was also losing customers to fast-casual chains, such as Chipotle Mexican Grill and Panera Bread, which offered customized ordering and fresh ingredients. Many analysts therefore believed that the chain had to continue to work on its turnaround strategy in order to meet these challenges.
The prevailing belief was that when restaurants started to slide, it really took a lot to turn them around. Would McDonald’s be the exception? With the recent addition of the McCafe coffee line, fruit-based smoothies, and healthier offerings across the menu, McDonald’s was stretching its brand beyond its traditional money-making burgers and fries. Would this allow McDonald’s to successfully compete against all its rivals, since, especially in America, people just love their burgers?
Discussion Questions:
1. What are the current forces in the external environment that might affect McDonald’s strategy?
2. What source of competitive advantage does McDonald’s have, and is that position supported by its value chain and other internal resources?
3. What other strategies could McDonald’s formulated to achieve a competitive advantage?
Problems :
1. McD placed itself in the middle with overall-cost leadership and broad differentiation to please everyone. They lost focus on existing business.
2. Bussiness/Marketing strategy unable to provide well-perceived customer experience, did not engage customer’s expectationa and feedback
For point-1 reference below:
For point-2 reference below
https://www.slideshare.net/mobile/mobileyouth/how-to-fix-a-broken-brand-mcdonalds-case-study-2015
Point-1 is our main focus…70%
Point-2 is secondary issue…30
CASE ANALYSIS
“An analysis of a project, campaign or company that identifies a situation, recommended solutions, implementation actions and identification of those factors that contributed to failure or success.”
Introduction
· Identify the key problems and issues in the case study.
· Formulate and include a CASE STUDY statement, summarizing the outcome of your analysis in 1–2 sentences.
Background
· Set the scene: background information, relevant facts, and the most important issues.
· Demonstrate that you have researched the problems in this case study.
Evaluation of the Case
· Outline the various pieces of the case study that you are focusing on.
· Evaluate these pieces by discussing what is working and what is not working.
· State why these parts of the case study are or are not working well.
Proposed Solution/Changes
· Provide specific and realistic solution(s) or changes needed.
· Explain why this solution was chosen.
· Support this solution with solid evidence, such as:
· Concepts from class (text readings, discussions, lectures)
· Outside research
· Personal experience (anecdotes)
Conclusions
· In bullet form (better option)
Recommendations
· Determine and discuss specific strategies for accomplishing the proposed solution.
· If applicable, recommend further action to resolve some of the issues.