Case Study McDonalds

McDonald’s SWOT Matrix and SPACE Matrix
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McDonald’s SWOT Matrix and SPACE Matrix
6A SWOT Matrix

Strengths

Weaknesses


1 Strong international presence
2 Large market share
3 Strong brand name, reputation and image
4 Strong performance in the international marketplace
5 Customer-centric
6 Strong financial position
7 Specialized training for managers known as the Hamburger University
8 Introduction of new products
9 McDonald’s Plan to Win focuses on the 5 P’s – promotion, price, place, products, people

1 Customer losses because of intense competition.
2 Unhealthy food image
3 Ignoring breakfast from menu
4 Litigations related to health issues; use of beef oil and trans fat
5 High turnover of employees including the top management
6 Makes use of HCFC-22 in making polystyrene which contributes to depletion of the ozone

Opportunities

S-O Strategies

W-O Strategies

1 Growth of the fast food industry
2 Low-cost menu which would attract more customers
3 Diversification and acquiring other quick-service eateries
4 Discounts and freebies
5 Globalization, expansion into other nations such as Russia, Brazil, China and India
6 Growing health trends amongst customers

1 Expansion in market share by investing more in the BRIC economies (S2, O5).
2 Focus on Plan to Win in order to attract new clients and expansion into other markets (S9, O2, O5).
3 Introduce new products that customers desire consisting of low-cost menu to attract clients (S5, S8, O2).

1 Reduce customer losses by offering discounts and low-cost menu (W1, O2, O4).

Threats

S-T Strategies

W-T Strategies

1 Competitors threaten McDonald’s share of the market both domestically and globally
2 The relat...