INSTITUTE OF MANAGEMENT, NIRMA UNIVERSITY

COURSE: MBA-FT (2022-24)

SUBJECT: MARKETING MANAGEMENT 1

INDIVIDUAL ASSIGNMENT 1: COMPARATIVE RESPONSE MATRIX

SUBMITTED TO: PROFESSOR DR. PRABHAT K. YADAV

SUBMITTED BY: PATEL MEETKUMAR MUKESHBHAI

ROLL NO.: 221221

SECTION: B

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 INDEX

TOPIC NO. TOPIC PAGE NO.

1 INTRODUCTION TO COMPARITIVE RESPOSE MATRIX 3-4
2 INTRODUCTION TO BRANDS 5-7
3 Cpp (PRICE V/S PRICE) 8-9
4 Cqq (QUALITY V/S QUALITY) 10-11
5 Caa (ADVERTISEMENT V/S ADVERTISEMENT) 12-15
6 Cpq (PRICE V/S QUALITY) 16
7 Cpa (PRICE V/S ADVERTISEMENT) 17
8 Cqp (QUALITY V/S PRICE) 18
9 Cqa (QUALITY V/S ADVERTISEMENT) 19-20
10 Cap (ADVERTISEMENT V/S PRICE) 21
11 Caq (ADVERTISEMENT V/S QUALITY) 22-23
12 REFERENCE 24

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 INTRODUCTION TO COMPARATIVE MATRIX
Now a das global market is highly COMPARATIVE and easy access of information makes it
more comparative. Getting information of your competitors is not only effective strategy but
it becomes a necessity. There are so many ways in which company can give comparative edge
to their competitors and one such important way is comparative analysis of different
parameters.

Comparative analysis is a process of comparing items with each other and finding similarities
and differences among them.

Companies conduct comparative analysis to examine the different processes, marketing

strategies, account strategies, emerging opportunities in technology and other domains etc.

Comparative analysis is conduct to understand the problems effectively & for getting answer
of relevant questions.

To conduct successful comparative analysis companies should:

Develop lists of similarities and differences

Highlight both sides

Include variables

Regularly conduct analysis of competitors, sales, stock performance, profitability, inventory,

financial position etc.

COMPARATIVE MATRIX ANALYSIS

Company A Action
Price Quality Advertising
Company B Price Cpp Cqp Cap
Reaction Quality Cpq Cqq Caq
Advertising Cpa Cqa Caa
Total 1.0 1.0 1.0

(P – Price, Q- Quality, A- Advertisement)

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The given diagram illustrates the different parameters of the Comparative Response Matrix. The
actions of Company A are represented in the vertical column while the reactions of Company B are
represented in the horizontal column. The 9 different parameters (Cpp, Cpq, Cpa, Cqp, Cqq, Cqa, Cap,
Caq, Caa) represent the probability of Company B’s reaction to a move by Company A. For example,
the Cpp parameter shows the probability of company B responding with a change in product price
when Company A has changed its product price. This is applicable for a change in all the 3 parameters
i.e. Price, Quality and Advertising. Once the matrix is prepared the reactions of competitors can be
reviewed and appropriate marketing strategies can be applied Therefore all the nine parameters
mentioned in the table signify the responses taken by company B against the actions taken by
company A.

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 Brand Of Interest
McDonald’s & Burger King

McDonald’s corporation which is commonly known as McDonald’s started by Richard

& Maurice McDonald on May 15, 1940 as a restaurant in San Bernardino, California of
USA. They started a “Drive-in restaurant service” by introducing Speedee Service
System in 1948. Initially they provided large range of food products but later they
revamped their menu to limited food items like Hamburgers, Potato chips(Later they
named it French Fries),Drinks & Milk shakes. In 1954 they purchased appliances for
their restaurant from Ray Crock who was an salesman. Out of the curiosity Ray Crock
visited their restaurant and their he saw long queue for food and all the customer got
their food very quickly after ordering it. Ray Crock impressed by it and invited
McDonald's brother at their home for dinner. After that Ray Crock put the idea of
franchise model to McDonald's brother and they agreed with Ray Crock’s idea. Ray
Crock became franchise agent for McDonald's brother. In the year 1955 Ray Crock
launched McDonald's system incorporation & in 1961 he paid $2.7 million to
McDonald's brother & bought them.

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Keith J. Kramer & Matthew Burns founded Burger King as a insta-Burger King in at
JacksonvillenFlorida in 1953.They started BUeger King after visiting McDonald's outlet. They
named it Insta-BUrgeer King because they used “insta machines” in their first restaurent and
after that they used machine called “Insta-Broiler” in their all outlets.The comapany changed
its ownership several times due to varous reasons and it changed Its higher level employees
many times.

Year Owner Acquired & Merger

1959 Keith J. Kramer & James McLamore & David R.

Matthew Burns Edgerton

1967 James McLamore & David R. Pillsbury’s Company

Edgerton

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1989 James McLamore & David R. Grand Metropolitan+ The Walt
Edgerton Disney Company

1997 Grand Metropolitan+ The Grand Metropolitan+ The Walt

Walt Disney Company Disney Company + Guinness =
Diageo PLC.

2002 Diageo PLC. TPG Capital

2006 TPG Capital TPG Capital + Initial public
offering
2010 TPG Capital + Initial public 3G Capital
offering
2012 3G Capital 3G Capital + Justice Holdings Ltd.
2014 3G Capital + Justice Holdings 3G Capital + Justice Holdings Ltd.
Ltd. + Tim Horton (Merged with Tim
Horton with the back support
Berkshire Hathway)

Recently Burger King shuts down its roughly 800 outlets in Russia due to Russia’s invasion of
Ukrain.

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 COMPARATIVE PARAMETER 1 (Price v/s Price)
There is always a tough competitin between Global Chains of Fast Food insdustry.Here is
comparision of pricing between McDonald’s & Burger King.

McDonald's

McDonald's offer various food items like from 47 Rupees McAloo Tikki Burger to 913 Rupees
McSpicy Chicken + American Cheese Supreme + McChicken + Chicken Maharaja + 3 Fries Larg.

Here is the Price Menu of McDonald's.

In reaction to Burger King’s price reduction in Double cheeseburger, McDonald's is also

preparing to drop the price of its double cheeseburger.They are doing so to retain customers
and keep them loyal to the company although they are making comparitively less profit &
that’s why Global food chains are able to cope up in this unstable environment of economy.

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Burger King

Burger King offer various various fast food items from 55 Rupees Crispy Veg to 833 Rupees 2
Crispy Chicken Supreme + 2 Grill + 2 Fries + Spicy Sticks + 4 Pepsi.

Here is the Price Menu of Burger King.

Recently, Burger king dropped its Double cheeseburger price from $1.99 to 0.99 cents
although size of the burger is 30% more than McDonald's double cheese burger to attract
more customer.Probably Burger King making comparitively less profit although they have
reduced the price.

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 COMPARATIVE PARAMETER 2 (QUALITY V/S QUALITY)

Overall, Burger King provide tasty burgers and meals where as McDonald's offer
comparitively healthier option of different Fast Food items.People prefers McDonald's fries
more as compare to Burger King fries as it is good in taste as well very well processed as
compare to Burger King.

McDonald Fries

McDonald's fries are made of British premium potatoes.McDonald's fries are mainly known
for its consistent quality taste.McDonald's fries are golden and crispy from outside and soft
from inside.McDonald's provide fries in four different category and each category of fries
have different weight and calories.

CATEGORY WEIGHT CALORIES

Kids serving 31 Grams 100
Small 71 Grams 229
Medium 117 Grams 378
Large 154 Grams 498

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Burger King

Burger King fries are available in different styles like spiral fries, waffle fries, curly fries &
regular fries. Burger King mainly use Canola oil or Soyabean oil . They also add some natural
colours and ingredients like rice flour and modified potato.Burger King is not as consistent as
McDonald’s in keeping their taste. Over the years they keeps on changing the taste of their
fries and advertising it. Burger King’s fries are also available in different categories.

CATEGORY WEIGHT CALORIES

Small 74 Grams 207
Medium 117 Grams 328
Large 160 Grams 448

From above both the table we can clearly observe that McDonald's fries have more calories
as compare to Burger King’s fries but anything in not extreme is totally fine so people prefer
taste over health effects.

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COMPARATIVE PARAMETER 3 (ADVERTISEMENT V/S ADVERTISEMENT)
McDonald’s & Burger King both are compititor from the starting as both the Fast food chains
started in almost same time period and both the Fast food chains provide almost same same
type of fast food products but they are little bit different in taste. Advertising is one of the
main parameter which can give compititive edge to both the Fast food chains over each
other.

McDonald’s

McDonald’s used billboards for advertising at about 1000 McDrives with an OOH campaign. In
one bill board they directed McDonald’s 5 Km away and in other bill board which is on the
other side in which they directed Burger King 258 Km away.

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Once a McDonald’s launched a campaign in which they showed that one small kid bullied and
his McMeal being stolen but kid dealt with that bullies by beating them with a Burger King
front.

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Burger King

Halloween is the favourite season for Burger King to roast the McDonald's. In the year 2016
they dressed a New York outlet as the scariest ghost they could turn into – the ghost of
McDonald’s.

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In the year 2019 Burger King launched a campaign of confessing a Whopper secret to prove
that their burger is more generous than the “other” burger & for that they placed a Big Mac
behing every Whopper advertised in the UK.

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 COMPARATIVE PARAMETER 4 (PRICE V/S QUALITY)
In the year 2015 McDonald's announce to restrict the use of antibiotic bacteria among its
beef suppliers because antibiotic bacteria infect human infection that was more difficult to
treat so they restricted it despite this in the year 2015 McDonald's domestic sell fell by 2.6%
and on the other hand other fast food chain has increased its marker share.

In the year 2015 Burger King made a deal with Tim Hortons and due to increase in the sell
volume of Tim Hortons overall sale climbed up by 9.6% moreover company managed to open
up 15 new outlets in the same time frame.

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 COMPARATIVE PARAMETER 5 (PRICE V/S ADVERTISEMENT)
McDonald’s gave discount on many fast food items in festival season to increase its sale and
global reach and in response to that Burger King came up with different marketing strategies
to give COMPARATIVE edge to McDonald's.

Social Media Marketing

Burger King has its presence on various social media like Instagram, Twitter & Facebook. It
has approximately 1.9 million follower on Instagram & Twitter.

They focus more on quality content rather than quantity. They maintain a good reply rate of
responding to customer on Twitter.

Collaborations

It collabrated with third season of Stranger Things and came with idea of serving Upside
Down burger in a cutom themed Stranger Things box.

Mobile Marketing

In the year they used ‘Whopper Detour’ campaign in which mobile app users had to do was
go near select McDonald's location (600m). Once they get near, they get notification offering
a whopper burger for one cent.This whopper generated over 1.5 million downloads of app.

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 COMPARATIVE PARAMETER 6 (QUALITY V/S PRICE)
McDonald’s takes the followng steps to imrove and maintain its quality of the fast food items

They regularly checked the quality of vegitables

They use the vegetables which grown with permitted amount of pesticides and insecticides.

They type date of original raw material on vegetables packing.

They kept farms well maintained and hygienic.

There are ready access to fresh water and feed.

They have dedicated R & D team for quality improvement of fast food.

As McDonald's constanatly improving its quality on the other hand Burger King gave some
discount offer on festival seasons on different types of burgers and meal.

In 2021 Burger King annonce 12 days free food to celebrate the festive season from 1st December to
12th December

These are some Latest Burger King Offers, Coupons & Promo Codes For August 2022

Burger King Offers Burger King Coupons & Promo Codes

Burger King Coupon Code Buy 2 Burgers @59

Burger King Promo Code Buy 2 Burgers @99

Burger King Combo Offer Starting From Rs 100

Burger King Free Delivery All Orders Above Rs 99

Burger King Coupon Today Spicy Crispy Chicken @59

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 COMPARATIVE PARAMETER 7 (QUALITY V/S ADVERTISEMENT)
Burger King has good quality of fast food products because they take necessary precaution to ensure
that the food is safe and procedures they have in place for food preparation are rigorous and
consistently followed.

Burger King takes care of food freshness as it is one the main parameter for food quality. They have
introduced ‘Made fresh only for you’ concept so that each and every customer get fresh fast food
products.

Buger King also takes care of food safety as it is non-negotiable parameter.

Burger King have secure supply chain standard which is higher than industry standard.

Burger King have control over Procedure, Raw Material.

Burger King always makes continuous improvement in their product by continuous increasing
nutritious content.

To compete with Burger King McDonald’s used some different advertising method.

Social media has become one of the important tool of marketing for business in 21st century. They are
actively posted content on social media and engaging their audience on social media. It helps them to
reach million of customers. It also helps them to maintain their relationship with their customers.

McDonald's has more than 78.5 million followers on facebook & it has got more than 3.3 million
followers on instagram.

Moreover users enegament on facebook and instagram is quite high. Facebook has 2.2 Billion monthly
active users.

Sometimes McDonald’s use it for address customer support related issue.

They also use some other platforms like YouTube, Linked In etc.

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 COMPARATIVE PARAMETER 8 (ADVERTISEMENT V/S PRICE)
In few years it is visible that McDonald’s is continuously improving marketing techniques.

Over the years McDonald’s has created totally different brand identity in the mind of customer and
they try to connect more deeply with customer.

McDonald’s make clear value position in its audience’s mind by make familiar them with benefits and
why they should choose them over their competitor.

McDonald’s provide personalized experience by providing free Wi-Fi & they do this to attract college
graduates so it has diverse group of customers.

McDonald’s adopted two important growth strategy, one is pursuing franchising model and another
one is happy meal.

As McDonald’s constantly improving its advertisement Burger King comes up with some amazing
offers and discounts.

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 COMPARATIVE PARAMETER 9 (ADVERTISEMENT V/S QUALITY)
During the pandemic we have seen the rise in use of social media marketing and digital marketing.
Burger King took this opportunity and they targeted McDonald’s customers and fans on different
social media like Facebook, Instagram and Twitter.

After observing their social media pages and their competitor’s social media pages they realized that
customer don’t always get reply of their query on time so they partnered with Danish ad firm Uncle
Grey and replied all the queries on McDonald’s social media page and they go one step ahead and
sent some discount coupons on their mobile number directly. Imagine the situation when you don’t
get the reply for days and years and one day you will get reply from not from McDonald’s but from
Burger King.

Some time Burger King also gives heartwarming gesture towards their competitors on Twitter.

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So in reaction to this all McDonald’s focuses on maintaining and improving quality so that their
consumer get quality fast food product.

McDonald's has made lots of changes in its meals. They replaced minute maid apple juice with the
organic honest kid apple juice which contains 45% fewer calories and almost half the sugar content.

They replaced soda with bottled water in menu.

They also added apple slices in the menu & small fries replaced by kid-sized portion in which calories
are COMPARATIVEly less and sodium by half. Now all the happy meals of McDonald’s have 600
calories or less.

Happy Meals shown in children ads have 600 calories max (10% of calories from added sugar & 10% of
calories from saturated fat) and 650 milligrams or less sodium.

They removed artificial preservatives, colors & flavors from burgers.

McDonald’s replaced liquid margarine with real butter.

They added fruit & maple oatmeal and plant based burger in their menu.

They announced to switch to cage free eggs, burn without high fructose corn syrup, remove artificial
preservatives and reducing the use of antibiotic in chicken & beef.

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 REFERENCE

https://www.wikipedia.org/

https://www.britannica.com/

https://www.restaurantindia.in/

https://www.fastfoodmenuprices.com/

https://menuprice.co/

https://www.ukessays.com/

https://www.franchisecoach.net/

https://www.marketingdive.com/

https://mediasamosa.com/

https://starchef2.games/

https://www.centerforfoodsafety.org/

https://themarketingbirds.com/

https://startuptalky.com/

https://www.grabon.in/

https://squeezegrowth.com/

https://inflownetwork.com/

https://www.eatthis.com/

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THANK YOU

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