McDonald’s strategic plan is called ‘plan to win’ which helps McDonald’s to be the best fast food restaurant chain rather than the biggest fast food restaurant chain. (kspain, 2008) In turbulent environment, McDonald’s tries to achieve high performance by applying the 5 P’s: people, product, price, promotion, and place or distribution. Product involves both intangible and tangible offerings of the business which customer can see, feel, taste or smell. (Kukreja, 2011) Next, price consists of all the costs of production and delivery of the product or service.
Then, promotion comprises all the types and manner of communication that companies use to make products or services known to the customer. Finally, place or distribution is the channel that connects the products or services to the consumers. McDonald’s focuses primarily on its people or focusing on maintaining and improving employee satisfaction in order to maintain good relationship between the employees and the customers. In order to improve employee satisfaction, McDonald’s uses flexible schedules for the employees to fit their working schedule into the way they live their life.
McDonald’s also uses celebrating diversity in their hiring way to combining their ideal work force with different people from different backgrounds with different interests. (Mcdonalds, 2011) Besides that, McDonald’s also simplifies the restaurant environment for their staff and customers in a faster speed. To enhance the relationship between employees and the customers, McDonald’s ensures their staffs are friendly and as well as fast with hospitality training.
Finally, McDonald’s also provides cost-efficient, relevant training for their world-wide workforce and provide career opportunities for people to achieve their potential. In the product strategy, McDonald’s offered a wider variety of food. McDonald’s strategic planning focuses on breakfasts, chicken, beverages and convenience. The Southern Style Chicken Biscuits are launched for breakfast in McDonald’s. However, the Southern Style Chicken Sandwiches are launched for lunch and dinner.
McDonald’s introduced new hot specialty coffee offerings on a market-by-market basis in their beverages business. Besides that, McDonald’s also offered burgers-and-fries instead of just offering snack foods and desserts. Despite of negative image of McDonald’s for the unhealthy food, McDonald’s offers oatmeal and salads to replace high calorie breakfast sandwiches for somewhat healthier options. Lastly, the Happy Meal is one of the good product strategies which aim kids providing kid’s favorites such as small French fries and chicken nuggets along with a small toy. ECUATORIALL, 2012)These planning enables McDonald’s to satisfy customers’ desire for food that fit into today’s lifestyle. For the price strategy, McDonald’s had introduced value meal for their customers.
The value meal allows customers to buy a sandwich, French fries, and beverages at a discount price when purchased together. McDonald’s restaurant offer seven to twelve value meals for the lunch and breakfast menu. McDonald’s also offers a dollar menu which consisting many individual items costing only $1. 00 each. investopedia, 2009) Other than that, some of the individual franchise owners offer daily specials of special menu items with lower price such as Big Mac Mondays. These helps McDonald’s to offer affordable prices to customers and also to be profitable for the company.
McDonald’s spent huge amount of money on promotion which is presented in marketing, leadership and trust. McDonald’s focuses primarily on targeting the children. With this, McDonald’s offers happy meals which targeted children by giving along the small toys with the meals. ECUATORIALL, 2012) McDonald’s also offers various schemes for winning prices by giving lucky draws and also scratch cards when an order is placed on various mean combos. On the other hand, McDonald’s also does its promotion by advertising to make people aware of an item, feel positive about it and remember it. They do their promotion through television, hoardings and bus shelters. Some of the most famous marketing campaigns of McDonald’s are “You Deserve a break today, so get up and get away- To McDonald’s”, “Aap ke zamane mein ,baap ke zamane ke daam”, “Food, Folks, and Fun” and “I’m loving it”. (scribd)