McDonald’s

Introduction Largest fast food chain in the world Our focus: McDonald’s America McDonald’s Thailand

Mission Statement QSC&V Quality Service Cleanliness Value

Company Profile Founded in 1940 in San Bernardino, CA by Dick and Mac McDonald Began franchising in 1955 with implementation of “speedee service system” Currently found in 120 countries and serve 54 million people daily Over 30,000 stores worldwide

Company Profile Is the largest fast-food chain in the world Typically owns the property it’s restaurants are on, and collects rent from franchisee’s Reported worldwide revenue of $20.46 billion in 2005 Constantly altering menu or adding new items

Target Market Low to Mid income Busy people – anyone on the go! Families (Happy Meal) Teenagers College students

Franchising Franchises require a down payment of 40% (of total cost) for new restaurants, and 25% for existing This must be non-borrowed money, and is a minimum of $200,000 Must pay a service fee of ~4% of sales per month, and monthly rental for the land Required to attend Hamburger University in Oak Brook, Illinois

Location – Store Based Central Business Districts Downtown Portland, other city-centers Secondary Business Districts Bridgeport Village Shopping centers Valley River Center and Salem Center Free-Standing 9th Street in Corvallis Inside many Wal-Mart’s

SWOT Analysis Strengths Very strong brand name Recognizable characters Large target group New stores almost 100% guaranteed to succeed Ability to adapt when faced with criticism Play Area for children

SWOT Analysis Weaknesses Many other similar competitors Until recently, had very few options for eating healthy Negative image due to “Fast Food Nation” and other media sources

SWOT Analysis Opportunities “Going green” – energy management, improving packaging efficiency, environmentally friendly refrigerants, and partnering with Greenpeace for rainforest protection New store looks/styles – McCafe coffee shop, and “forever young” redesign

SWOT Analysis Opportunities (cont.) Charity – The Ronald McDonald House provides a cheap or free place to stay for parents of sick children. Over 250 worldwide in 48 countries. Funded primarily by donations and Joan Kroc (founder Ray Kroc’s wife)

SWOT Analysis Threats Many competitors for same costumer Subway Burger King KFC Taco Bell Etc.. Yo Quiero

SWOT Analysis Threats (cont.) Criticism – contribute to obesity, and other health problems

McDonald’s Thailand

McDonald’s In Many Countries Not only in Thailand but also in many countries

McDonald’s Thailand Profile McThai President had an opportunity to study aboard at USA and thought that that McDonald’s has cool ideas. Over a decade later, in 1981, during one of his visits to the USA, he happened to pass by an impressive-looking building in Oak Brook, Illinois and it was the McDonald's Worldwide Headquarters Mr.Bulsuk and his friend wrote to McDonald's Headquarters to see if they would be interested in expanding into Thailand.

McDonald’s Thailand Profile The site at Amarin Plaza was chosen for the first McDonald's restaurant in Thailand which make Thailand is the 35th country. Opened on March 16, 1985 with 50 million bath of investment The amarin plaza restaurant has space for over 200 seats, including a special McParty Room for family & group gethering

Foods and Deserts Burgers Pies Claypot Rice & Chicken Mc Nuggets Seaweed shake shake Double Teriyaki Pork Burger Gai Hit Pies Pineapple pie Corn pie Taro pie

Similarity and Differences Have almost the same product line as USA and also adapt to Thai tastes Examples: Claypot Chicken & Rice McNugget Seaweed Shake Shake Chicken menu McDonald’s in Thailand have different foods and desserts Doesn’t have Snack Wrap But have pineapple pie, taro pie, and corn pie

Target Market Thailand Overview McDonald’s Target Minimum wage is 50 cents an hour Start monthly income of 200 dollars Regular meal cost about 50 – 75 cents McDonald’s Target Teenagers and young kids Medium to High Income Average monthly income of 250-300 dollars Each meal cost at least one dollar

Site Selection Central Business District Shopping center Free-Standing Downtown Bangkok which is capital of Thailand Shopping center Free-Standing

SWOT Analysis Strengths Varieties of Product line Burgers Salad Chicken, Fish, Beef, Pork, and Rice Burgers Salad Fruits salad and vegetables salad Deserts Pies and ice-cream Drinks Soda, milkshake, coffee, and tea

SWOT Analysis Weaknesses Prices Minimum wage is 50 cents an hour….. Average cost of food is 50-75 cents….. …..But it cost at lest a dollar to eat there with a promotion menu like dollar menu. Regular menu cost at least 2 dollars including drink

SWOT Analysis Opportunities Happy Meal with all sort of toys Delivery Play house “Party Room” for kids to have party such as birthday

SWOT Analysis Opportunities Happy Meal

SWOT Analysis Threats Examples: Fast Food – Thai food in general Subway Burger King KFC Etc..

Sources www.Wikipedia.org McThailand.co.th www.mcdonalds.com www.rmhc.org/rmhc/index.html