Mcdonald's_Draft

McDonald’s McDonald’s is the leading foodservice company worldwide. The company was founded in 1948 as a self-service drive-in restaurant, and the name “McDonald’s” was quickly associated with low cost and convenience. Today, the company has more than 33 thousand restaurants and 1.7 million employees in 119 countries around the world. The numerous stores satisfy customers’ need for convenience, and McDonald’s is able to keep prices low due to its wealth’s ability to take a hit on price margins and its success in international expansion. The mission of the company is to be the customer’s favorite place to eat, as well as the favorite way to eat. McDonald’s strives to be cost leaders in the industry by keeping operation costs low and efficiency high by targeting families. Many of the locations even include play areas for children. Focusing on cutting delivery time and cutting the cost of food has allowed them to be leaders. On the other hand, McDonald’s has been associated with “low quality” since it has such a large focus on its efficiency and low cost. To attempt to attract a more sophisticated crowd, McDonald’s has recently remodeled many of their stores, and even their menu to include healthier choices. Our group is thoroughly impressed with McDonald’s history, as well as its recent success by adding a variety of healthier products to expand its target market. We believe not only the company is successful in maintaining its position as a cost leader, but that the company name itself has significant value. After minor research of the company, we were able to see how well-known the brand name is worldwide, and how the company attempts to keep that name associated with positive thoughts. McDonald’s wants to better serve its community so it established an in-house charity, supports youth sports and local charities, and added those healthier options to its menu. As we continue our research, we hope to learn what originally gave McDonald’s the ability to be so successful in such a competitive industry. Also, we would like to learn how the recession had affected the company directly, and if they are still continuing to expand its number of locations.