Strategy Management

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McDonald’s first restaurant opened its door to the people of Pakistan in September 1998 in Lahore. This launch was met with unprecedented enthusiasm from the citizens of Lahore, who are known for their liveliness, vigor and penchant for quality food. Karachi opened its first restaurant a week after Lahore.

Ever since McDonald’s opened the doors of our restaurants both in Karachi & Lahore, they have been proud to provide our customers the same great taste, outstanding value and superior service that are synonymous with the Golden Arches all over the world. There are now 27 restaurants in 8 major cities of Pakistan.

McDonald’s Vision: (proposed)

The vision of McDonalds is to;

“Reach on the top of the peak to provide World’s best quick service restaurant experience.”

Being the best means providing outstanding quality, service, cleanliness, and value, so that we make every customer in every restaurant smile

McDonald’s Mission:

“McDonald's brand mission is to be our customers' favorite place and way to eat and drink. Our worldwide operations are aligned around a global strategy called the Plan to Win, which center on an exceptional customer experience – People, Products, Place, Price and Promotion. We are committed to continuously improving our operations and enhancing our customers' experience.”

Analysis of Components Present in Mission Statement:

- Customers: They haven’t specified their customers yet their mission has talked broadly on capturing customers a global level.

- Market: They have broadened up their mission and have stated their concerns for market where it will geographically compete in generalized manner. Their statement emphasizes on target market that has been spread worldwide.

- Product/services: They have given a slightly distinctive disclosure of their products in their mission statement just by stating that they offer a place to eat and drink. They haven’t described the category in food industry that they offer. It can be remarked average for this component.

- Self-concept: They perceive their self-better than their competitors by aligning their operations around a global strategy as they called it Plan to Win. According to them as we perceived their strategy helps them win customers over competitors.

- Survival, Growth and Profit: McDonald’s is committed to growth and profit collectively. It has stated its direction regarding growth by emphasizing on continuous improvement and enhancements of operations in their statement.

Analysis of Components Missing in Mission Statement:

- Technology: One of the essential component ‘technologies’ is missing from the mission statement. As everyone knows the secret behind McDonald’s fast service, consistent taste and superior quality is also dependent upon all the equipment utilizing the latest technology. Although, it’s a fast food chain, mentioning the technology was not very important but still a little tint of it would have been better and impressive.

- Philosophy: The basic philosophy of McDonalds is missing. They must have mentioned their values, beliefs like the priority of ethics, loyalty, and honesty in their organization. Are they doing all the operations worldwide keeping ethics in mind? Or are they adding value to improve the lives of people?.

- Concern for employees: Employees are a vital part of any organization, they are the asset who makes things actually happen. McDonalds has not mentioned any concern for the welfare of their employees in the mission statement. Mentioning a few affectionate words for the employees would make it better.

- Concern for public image: Although McDonalds is very much involved in social work, charities, it’s working to build better communities in many ways but they didn’t mention it in their mission statement. They must mention if they are doing anything for the betterment of the natural environment.

Analyzing the Characteristics of Mission Statement:

- It is broad in scope as no amounts or numeric is mentioned.

- There are less than 250 words in length. In fact, it consists of only 56 words.

- It is inspiring enough as they are saying they want to make it the customers’ favorite place and using plan to win strategy and commitment to continuously improving the operations and customer experiences.

- Although McDonalds is socially and environmentally responsible, they have not mentioned so this characteristic is missing.

- They have included 5 components while 4 of the components are missing.

- The mission statement is reconciliatory and enduring as it complements all the components and its broader and general scope makes it more durable and sustainable.

Proposed Mission Statement:

“McDonald's brand mission is to be customers' favorite place to eat and drink. Our worldwide ethical operations are aligned around a global strategy called the Plan to Win, which center on an exceptional customer experience – People, Products, Place, Price and Promotion. We are committed to continuously improving our operations using technology and enhancing our customers' and employees’ experience in order to add value to the lives of people.”

Industry Analysis:

The fast food industry is thriving as the year go by. The food industry is largely controlled by Quick Service Restaurants. The fast food industry provides quick-service food products to consumers. Customers usually pay before eating. The purchases are usually consumed on-site or taken out for home consumption. McDonald's is the industry leader as McDonald’s is the largest and best known global food services retailer with more than 30,000 restaurants in 121 countries of the world. Serving billions of hamburgers has put a shine on these arches. McDonald's has more than 35,000 restaurants serving burgers and fries in about 120 countries.

During the past 5 years, despite changing consumer tastes and the struggling economy, the global fast food industry has expanded. During recessions consumers cut down on luxuries like eating out, but fast food restaurants like McDonalds were not affected by it anywhere in the world but yet again on the