Instruction:

Make a template of McDonald’s SWOT Analysis using the provided

informations. Identify each if it is a strength, a weakness, an opportunity or
a threat for the company and plot it.

Strong brand name, image and reputation

McDonalds has built up huge brand equity. It is the no 1 fast food
company by sales, with more than 31,000 restaurants serving
burgers and fries in almost 120 countries. The image of McDonalds is
recognized everywhere. This brand is in top ten of the most powerful
brand names in the world with Coca-Cola, Nokia or GM.

Specialized training for managers

McDonalds is very serious on training managers. This company has
its own program to train managers the most professionally, which is
called Hamburger University. As a result, McDonalds has many good
managers who can help company development well.

Unbalance meals
Although McDonalds tries to update its menu by healthy criteria,
McDonald’s meals are still unbalance. For example, there are many
dishes with chicken (both grilled and fried), bacon, beef, rib or egg.
Besides, just several dishes are salad with vegetable and fruit.

Unhealthy food image

McDonald’s has been impacted by negative press like the
documentary “Supersize Me” by Morgan Spurlock in which he
contributed our society’s obesity to McDonald’s and other fast food
chains. In fact, each McDonalds dishes provides large amount of
calories but not too much nutrition.

Growing health trend among the customers

Although people concern about how McDonalds influence badly on
their health, it is also a chance for McDonalds. This company can
develop new products, specifically fresh burger or healthy dessert.
Diverse tastes and needs of customers
Customer’s tastes now become more diverse. As a result, they
require new format of service in order to satisfy them. McDonalds,
with new format of business such as McCafe, it can attract new
segment of customer; for instance civil service, who prefer coffee as
well as want to use Wi-Fi to work when drink coffee.

Intensity competitors
Along with the development of fast food industry, there are many new
fast food brand enter to the market. It is nothing to say if there is no
strong brand which can compete with McDonalds.

Economic recession
The company’s revenue streams are diversified, but depending on
the length of this “recession”, they will inevitably be negatively
impacted by the trickledown effect. Recession or down turn in
economy may affect the retailer sales, as household budgets tighten
reducing spend and number of visitors.

ANSWER: McDonald’s SWOT Analysis