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The purpose of this research report was to assess McDonald's globalization strategy. We examined McDonald's strategy across six dimensions: menu, promotion, trademarks, restaurants, employees, and service. We also compared the company's performance across these six dimensions in 10 different countries: Saudi Arabia, France, the United Kingdom, Greece, Brazil, Indonesia, India, China, Japan, and New Zealand to measure McDonald's success in capitalizing on globalization and localization. As discussed in this report, McDonald's is a global brand through its worldwide standards and training operations, but the company is also local, with its franchising to local entrepreneurs, locally sourcing food, and targeting specific local consumer market demands. McDonald's is an excellent example of blending global with local -- an organization that has globalized very successfully. This passage will compare McDonald's marketing strategy to determine how well it capitalizes on both globalization and localization. McDonald's always offers its core menu no matter where one goes on the globe. However, the menu will also include a variety of items catering to local preferences and unique cultural tastes. Part of McDonalds global success is its ability to localize and adapt to changing consumer demands. McDonalds seems willing to continue expanding both menus and markets, adapting to cultural tastes and pricing standards as well as cultural standards of health and quality. McDonalds marketing strategy is to brand globally and think locally. An aspect of its global branding is its choice of partners. McDonalds allies itself with major universally recognized brands. Another way McDonalds brands globally and thinks locally is its sponsorship of a variety of global and national sporting events. McDonalds also brands globally through global and local community involvement. McDonalds marketing strategies vary by country and cultural values. McDonalds globally markets itself as a neighborhood restaurant; locally, this marketing strategy can translate into different campaigns targeting the specific cultural values of consumers. McDonalds has adapted their trademark logo to reflect consumer demand. McDonalds golden arches that look like an "M" on a field of red are a globally recognized trade logo, but internationally, McDonalds franchises have differentiated this logo. McDonalds also adapted their standard male mascot to fit cultural preferences. A distinguishing feature of McDonalds is its global practice of comprehensively training its employees, franchisees, and suppliers in food safety, hygiene, and food preparation procedures. And McDonalds goes even further, by offering its managers the chance to train at Hamburger University. The secret to McDonalds global success is that it realized early that it wasn't just selling burgers, it was selling the Mcdonalds experience through globalization, its ability to brand globally, but this locally.

Operation Management, Management Studies

  • Category:- Operation Management
  • Reference No.:- M92022678

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