International Journal of Business and Management Essay Example for Free

International Journal of Business and Management Essay As one of the most successful fast food chain in the world, throughout the development of McDonald’s, we could easily identify many successful business strategy implementations. In this paper, I will discuss some critical business strategies, which linked to the company’s structure and external environment. This paper is organized as follows: In the first section, I will give brief introduction to the success of McDonald’s. In the second section, I will analyze some particular strategies used by McDonald’s and how these strategies are suitable to their business structure. I will then analyze why McDonald’s choose these strategies in response to the changing external environment. Finally, I will summarize the approaches used by McDonald’s to achieve their strategic goals. Keywords: Strategy, McDonald’s structure Introduction McDonald’s, originated in California, USA, 1954, has become one of the most recognized and respected brands in the world. The success achieved includes that they have established more than 30,000 franchising stores in 119 countries, serving more than 47 million people each day, and generating about $15 billions revenues annually. McDonald’s also continuously enhances its brand imagine through different social activities and the sponsorship of special events and sports i.e. as a major sponsor of the world cup since 1994 and the Champions League football in England from 1996 to 2000.(www.McDonalds.com) How can McDonald’s achieve such success? There are many formulating strategies, which we could use for our analysis of their recipe of success such as Porter’s competitive strategies model, which includes differentiation and low-cost leadership; or Miles and Snow’s ‘strategy typology’, which defined prospector, defender, analyzer, and reactor strategy. Obviously, it is extremely important for McDonald’s to choose the most appropriate strategy to be successful. From my personal point view, to be an Analyzer is the most suitable strategic position for them to develop their business as a whole especially when they facing an extreme complex continuously changing world. As Miles and Snow defined that â€Å"The analyzer tries to maintain a stable business while innovating on the periphery. It seems to lie midway between the prospector and the defender. Some products will be targeted toward stable environment in which an efficiency strategy designed to keep current customers is used. Others will be targeted toward new, mor e dynamic environment, where growth is possible.† (Richard L.Daft) It is also very important to consider how McDonald’s applies these strategies and how their strategies interact with their business structure and the external environment. 1. How McDonald’s business structure influences its strategy? The McDonald’s business structure is based upon a geographic structure. When log on their website, you will be asked to choose the country that you are interested in. Actually, McDonald’s divided its operations into five geographical divisions. (www.McDonalds.com) International Journal of Business and Management November, 2008 As shown in above pie charts that around 65% of McDonald’s restaurants and approximately 75% of its revenues are generated in the United State and Europe. So, to McDonald’s, the most important strategic approach for maintaining its leading position is to keep their major markets at the same time expanding their business into the other emerging markets. However, different consumer groups in different countries may have very different tastes and/or requirements. So each full functional geographic unit of McDonald’s was required to wholly response for producing and marketing its products in that region. Through this regional structure, McDonald’s could not only satisfy the local consumers’ needs in different geographical areas but also pursuing ‘maximum local development’. Actually they produce and market slightly different types of products in different areas, and they even have different prices. As Jim Skinner, the vice-chairmen of McDonald’s illustrated that ‘if you are looking for a command center with one push button that operate our restaurant in every corner of the world, you won’t find it’. However, their philosophy of QSCV-quality, service, cleanliness and value is same for everywhere. And McDonald’s targets the similar consumer segments that need fast service, affordable price and good standard hygiene. So their main products are similar in most countries, where they provided service, including beef, chicken, bread potatoes and milk. As the consumers in different countries having different foods requirements, McDonald’s keep launching new products for their regional consumers. In this case China and France can be very good examples. 2. McDonald’s in China: In 1990, McDonald’s opened their first store in shenzhen (near HongKong). But before they actually started their business, McDonald’s had already carried out 5 years business research and all sorts of information gathering such as the income level of the Chinese people, the kind of foods they enjoy etc. Moreover, their re-design of the counter, chairs and desks also reflected their considerations of the height and body shape of Chinese people. They made lots of efforts to promote their American burgers, and wanted to repeat the same success in China market as they has done elsewhere. Unfortunately, they are not as successful as KFC, their biggest rival, in China now. There are lots of reasons to explain it, one important issue which has once been ignored by McDonald’s is that Chinese people are more prefer chicken dishes than beef burgers, which are their main products. After identified this problem, McDonald’s has tried to adapt more Chinese tastes by adding more chicken meals into their menu for attracting more customers.(Chinese website) 3. McDonald’s in France: In France, where customers has been resentful of the fast-food chain’s incursion, McDonald’s has boosted it sales by remodeling restaurants i.e. hardwood floors, wood-beam ceilings, comfortable armchairs, and also by adding new menu items such as espresso, brioche and more upscale sandwiches. Actually they have successfully responded to the preferences of the local area. (Richard L.Daft) In the other countries the situation is the same. For example, in Canada, McDonald’s has introduced new Canadian feature breakfast. In Belgium, the McCicken Premiere has been added to the menu. Although McDonald’s has been regarded as the ultimate example of standardization for the world market. 4. How the strategy is influenced by external environment? The external environment can be divided into several sectors. In this section, I will only discuss two important parts: competitors, social concept (healthy problem) and uncertainty situation, which can greatly influence McDonald’s strategies. Then at the last part of this section, I will discuss one particular strategy they used which served for their future development purpose. Competitor: It’s unlikely that McDonald’s can always be No.1. In an annual consumer satisfaction survey, McDonald’s has been scored dead last among fast-food restaurants since 1992. In the fourth quarter of 2002, McDonald’s disclosed its first-ever quarterly loss, one reason why McDonald’s is struggling is that the consumers began to switch to its competitors, such as Burger King, Wendy’s, and Subway. These companies emphasized on offering fresher, hotter, high-quality foods at lower price with faster service. On the other hand, McDonald’s decided to close 719 poorly performing restaurants around world. All of these simply proved that McDonald’s might no longer be competitive in the fast-food market. And if McDonald’s cannot adapt external environment change, they might be gradually diminished and even replaced by other competitors. In order to keep their market share, increasing sales and profits. McDonald’s has to respond to the threat of competitors. In 2003, McDonald’s offered the McGriddles sandwiches in the US and the Canada feature breakfast. Meanwhile, McChicken Premiere and a zesty chicken have been introduced in the UK, France, Italy and Belgium. McDonald’s was trying to satisfy customer’s desire for premium products at affordable prices. Furthermore, McDonald’s is providing more choice with respond to offer ‘ Happy Meal’ to keep the children. For example, Happy meal now including chicken selects, and no-sugar –add fruit drink (juice and low-fat drink) and also to produce McDonald’s coffee which appeals to adult. Those products have been made to attract existing customer and develop new customers.(www.McDonalds) Moreover, in addition to the innovative menu, McDonald’s is also rebuilding and even relocating some of their restaurants to make the environment more attractive. At the same time, McDonald’s is differentiating itself by creating 73 Vol. 3, No. 11 International Journal of Business and Management more relevant experiences such as allowing the customers to access the Internet with the wireless technology platform. This innovative way not only attracts the teenagers, but also perfectly fitting the modern professionals’ requirements. Social problem –healthy issue With the economic development, people’s living standards have increased dramatically these years. People are becoming more concerned about their health issues. It cannot be denied that McDonald’s has attempted to make itself more convenience for the people. However, people also believe that such kinds of fast food are not good for their health. The world health organization‘s report presented that those food not only can cause the obesity of children, but also is part of the reason of causing cancer. Healthy issues became the biggest stumbling block to the development of McDonald’s. Customers were switching to healthier offering, such as Subway’s sandwiches, or KFC’s mashed potato instead of fried potato. McDonald’s has responded to this healthy trend. In order to compete, McDonald’s has added salads and other lighter options into their menu. If a mother comes in, she is not only buy the happy meal for her children, she will also be likely to buy herself a meal too .the lighter options also encourage existing customers to come back more often, because there is a greater variety of choices. Focus on Children No matter how different the tastes and the local needs are, McDonald’s has paid considerable attention to the children in every country. They built ‘happy land’ for them, offering fantastic â€Å"happy meals† with novelty toys to them. Furthermore, McDonald’s has just launched computers with games that were designed to inspire the children’s imagination at the same time shape their personal characteristics. There are three main reasons for McDonald’s to focus on the children: (1) Children are one of the biggest consumers groups to McDonald’s. And McDonald’s has been regarded, as their favorite place to go .The brand culture â€Å"happiness† is known by children. (2) McDonald’s believe that focusing on children can build the stable business, and will provide the best engine to encourage the whole family to come to McDonald’s. For example, one happy meal for a child only cost $ 5 but McDonald’s can produce more new products in addition to happy meal to offer the whole family. (3) By Building a brand loyalty with the children, McDonald’s more likely to be successfully today and in the future. In my opinion, McDonald’s is not just selling the happy meal to children; it is selling the American culture to the children – the enjoyable individual life. Actually this strategy with focused children segment is fully worked for their future development purpose. Whatever how the environment changes this strategy can always develop future generation customers’ loyalty. And the â€Å"happy children† can also bring in the whole â€Å"happy families†. Conclusion To sum up, there is a strong possibility that if the company fails to recognize the new competitions, shifting of consumer interests, and the social trends or innovative technologies, it will loose its market share. Previously, McDonald’s emphasis on adding new restaurants for near 5 years, more than 50% of increase in new restaurants opened. Unfortunately, there was only 2% of increase in the sale of the food. So, in the year 2003 McDonald’s decided to change its focus on increasing sales at existing restaurant and reduced capital spending which allows for a sizeable amount of cash be returned to shareholder. For achieving their objectives, the McDonald’s strategy should be attract more new customers, encourage existing customers to visit McDonald’s more often, build brand loyalty and, ultimately, create enduring profitable growth for the company. References Edstrà ¶m. A., Galbraith, J.R. (1977). Transfer of managers as a coordination and control strategy in multinational organizations. Administrative Science Quarterly, 22, June, 248-263. Egelhoff, W.G. (1984). Patterns of control in U.S., U.K. and European multinational corporations. Journal of International Business Studies, Fall, 73-83 Fatehi, K. (1996). International Management, New Jersey: Prentice Hall. Geringer, J.M. Hebert, L. (1989). Control and performance of international joint ventures. Journal of International Business Studies, Summer, 235-253 Hodgetts, R.M., Luthans, F. (1994). International Management, New York: McGraw-Hi Richard L.Daft,(2005).Organization Theory and Design, 8th edition, Thomson ,south-western(Chapter 10) Mead, R. (1994). International Management. Cross Cultural Dimensions, Oxford: Blackwell. http://baike.baidu.com/view/4676.htm

Shakespeares Macbeth - The Tragic Hero :: Macbeth essays

Macbeth: Macbeth The Tragic Hero The most recent meaning of the word Tragic Hero as defined by Microsoft Works dictionary is "A hero of noble stature whose fortunes are reversed as a result of weakness." Many characters in the play were affected by tragedy for a number of reasons, but without argue, Macbeth and his reverse of fortunes are due to his own actions, and the rest of the cast were merely victims of this. Macbeth's action's lead to his very nemises. From the beginning of the play this tragedy of his was manifested through forces beyond human; the supernatural if you will. These forces were that of the witches. The next factor in determining his fate was his own decision's and action's. Lady Macbeth is the second reason for Macbeth's tragedy; without her support in aiding his decision, Macbeth would have never had the strength to lie, scheme, and destroy to such extremes. The last, and most devastating to Macbeth, was his cripled conscious which made him act out of selfeshness and lust. The sequence of these factors were most defenitely provoked by the evilness and twisted nature of the witches, for if it weren't for their influence, then Macbeth would have never turned his desires into reality. At the very beginning of the play Macbeth is nothing but a general fighting for his country. His fellow fighter's admire Macbeth, for in their eyes, and even in the eyes of the highest of authority, his nobility and couragousness is looked up to. His success for his acheivement is rewarded, and his confidence is made stronger because of this. But this is only the beginning, and soon these good fortunes will come to a tragic end. The audience is then introduced to a group of witches. Three witches who appear as wicked and repulsive. They seem to signify all that is wrong and corrupt. Macbeth's over- confident attitude is the first characteristic the witches detect, and they take advantage of this trait to make his life as miserable as they possibly can. He encounters the witches in Act1, scene1, and from this point he is now a step closer to realising what his future holds... so he thinks. The witches first address Macbeth as king, and Banguo as one "Lesser than Macbeth."(1.2.65) Infact, Macbeth isn't king, never the less, the witches insist in prophecising that he is and will be. The witches are already planting seeds of persuation into his head which are made to bloom into tragedy. These destructive and manipulative forces the witches have power over alter his viewpoints about his values and

Food Intake 3 Days

During my three day food intake I discovered that I only consumed 88 grams of protein. In these three meals I spent almost 40 dollars and I was short almost 100 grams of protein required for my weight. Four slices of pizza, and two double cheeseburgers produced the most protein. Oatmeal, beer, and coffee only counted for less than 10 grams. All six items consumed over the 3 day stretch accounted for carbohydrates. The items ranged from 10g to 100g of carbs. The only item with enough lipids was the McDonald’s oatmeal. The rest of the meals were relatively low. I need to make better planning to include more lipids into my health plan. According to the recommendation of the DRI and compared to my intake of protein, carbs, and lipid I failed to meet 100% percent of the minimum standards. I was less than 50% DRI for most of the nutrients. In fact only one out of the 35 nutrients only surpassed or reached 50%. I personally think that I need to consume more meals with adequate healthy nutrients. I would need to add more vegetables, fruits, and oils to my diet so I can achieve my goals. My calorie DRI was almost 4,000 and I just consumed 18% or almost 700 calories. I almost did good with carbohydrates meeting my DRI, but with protein I was at 17%, and with fat total I was at 33%. I was surprised that the numbers were not even close to my expectations. I understand that during these three days I didn’t meet my required DRI because I changed my diet for this assignment. I tried to limit my food intake and changed from healthy food to fast food, but nonetheless during some days this is what I have consumed during some occasions. It demonstrated that I was not anywhere near be healthy. I will need to increase my protein intake achieve my gym goals. If I was to eat little protein the muscle mass would turn to stored fat and have low energy. If I was to lose weight and I would stop exercising my fat would come back to the same level as before. For example my protein intake should be 62 grams according to my weight, but I didn’t consume any. I am very displeased to say that my fiber intake was at 0% percent. I did not consume any fruit or vegetables. When I was ordering my fast food I could have add vegetables and fruit to my pizza, oatmeal, but I didn’t. During my average day I would eat plenty of fruits such as apples, bananas, and oranges to cover my six meals. I would also eat vegetables in salads or with main meals. My favorite vegetable is spinach which is a great source of fiber. I try to stay away from fibers such as breads and such. According to the iprofile eating bananas and apples also produce great amounts of fibers which cover me in the fiber intake. Insufficient or excessive amounts of proteins, carbohydrates, fats, or fiber contribute a lot my health and illnesses. To induce rapid weight loss the easiest way to do it is to eliminate carbohydrates for many people who are in a diet. Without carbohydrates people will be more moody because it loses serotonin. If I was to drink fruit juice instead of whole fruits I would lose all of the fiber. For example to produce 8oz of apple juice I would need 3-4 apples producing about 15grams of fiber, but all the fiber is taken out when its mixed into juice. Any fruit juice that will replace soda pop or you retain the skin or pulp than is ok too. Consumers just need to be careful when they are shopping for fruit juice. Sometime is better to juice it at home because the sugar level will be lower and you will still maintain all the nutrients. The more I read about nutrition the more I get interested about maintain myself healthy be eating healthy and rigorous training. This iprofile has opened my eyes to understand the nutrients I’m lacking or I am over consuming

A Gap Year After High School - 1391 Words

Hong-Ho Yang Mr. Hoague AP Lit and Comp, Period 6 11 December 2015 A Gap Year after High School It is very common for many high school seniors to apply for colleges during senior year as going to college seems to be the thing that all seniors are supposed to plan on doing. However, some students have worked hard throughout the course of high school and may be exhausted from all the hard work they have put in during high school. A fatigued student going into a higher level of education will only lead to the negative consequences as he or she is no longer capable of learning at the best efficiency. A gap year system is currently introduced by many universities and is used prevalently in the United States. It allows students to take a year†¦show more content†¦Robert Clagett, a former dean of admissions at Middlebury College and former senior admissions officer at Harvard College stats that â€Å"students end up â€Å"reinventing† themselves during their gap year, discovering where their true interests and talents lie.† (Clagett) A student who studied at Harvard University experienced a gap year off and was able to explore her insights for her personal interests. During her gap year of, she â€Å"toured South America with an ice-skating company and later took a trip to Russia.† (Harvard University) She gained a deeper understanding of the world relating to her major and carrier that she is pursuing. Students can remove â€Å"themselves from the lock-step mentality that can too often characterize the high school experience† (Clagett) during the gap year. With the opportunity an time given by the gap year, students tend to be more certain about the direction that they are heading and are willing to work harder as they already acknowledge