Harvard Case Study McDonald’s

Question 1 Which company penchant (product, production, change or commercialise) can opera hat describe McDonalds activities? What rags you think so? In the case of McDonalds activities the company orientation is selling and I ordain formulate why. In first Ill explain what is the selling orientation, and in hour why its the McDonald orientation. If we look at the definition in the book Marketing Management the selling philosophy or orientation is a focus on making sales rather than sagacity the customers and its based on an aggressive selling and promotion social movement.So we can understand that the selling philosophy is to sell, sell and sell and key money. Now that you know the definition, take a look on McDonald. beforehand to talk directly active McDonald lets see the history of Ray Kroc and his dream. The dream of Ray Kroc was to become rich and make money, akin we can read in the case he starts to sell milkshakes and the or so than he could sell. The way of life and the wishes of Ray Kroc has been transmitted in his firm. When he created McDonald with the brothers they tried to impose McDonald each(prenominal) over the world with a dish out of restaurants and to avoid the potential competitors.It worked during a keen-sighted time but today its not the case because the customers needs reposition and McDonald has some difficulties to continue in this way. So we can see that McDonald uses the selling philosophy. Question 2 To date, McDonalds has avoided diversification into unrelated food sell operations as well as non-food options. Discuss the desirability of such diversification efforts. McDonalds has avoided diversification into unrelated food retailing operations as well as non food options cause of different things.The run across of McDonald in consumers minds is related to food and especially fast food, by chance McDonald didnt have the skills to manage new products unrelated to food and to stopping point its more easier f or McDonald to focus the resources on one way and the best way for them its simplify the system. Lets talk about more generally about the diversification and especially about the advantages and disadvantages. The advantages ar different by activitys celestial sphere but lets see some example.The diversification can make a growth relay (after specialization) (Ex Club Med in Club Med World or Club Med Gym in the past and now in a real estate program). It could reduce risk (Fram and hotels Framissima). It also could stabilize a seasonal activity. The disadvantages are a management more complex, news environments and competitors, it could make a dilution of the identity and image in consumers mind and workers and a dispersion of companys resources. Question 3 How do you explain the reluctance of competitors to accompany the successful efforts of another firm in their assiduity?Under which circumstances is imitation likely to be considered? Generally companies are reluctant to emula te the successful efforts of a company in their application because it requires significant investment that does not necessarily guarantee a commanding result. Moreover, it does not let the consumer realizes the imitation so as not to ladder an imitator in consumers mind. But its possible to imitate in this way when there is a monopole on a sector to put some competition. In this case the company who imitates if she has a warring advantage regarding the other firm can take a family in market.In the case of high technology like in meandering(a) phone market (imitations of the I phone). In the case the competitors comes in the market cause of the weaknesses of McDonald and the need of consumers. Question 4 What do you think is McDonalds short-term and long-term potential? What makes you think so? McDonald is a genuinely important brand all around the world and everyone knows it. Its the second most important in term of number of restaurant all around the world behind Subway. Ev en if some persons criticized this firm I think its impossible for it to disappear even on long time.The fact is in short term if McDonald doesnt react to the consumers needs and the needs of the franchisees the firm will continue to loose money. They were similarly much time the number one and they have ignored the consumers needs. Now competitors appear on the market and win some market share. We can notice that McDonald was the first real fast food in consumers mind and thats also why McDonald is the target of consumers associations and movies like Super size me. But every time McDonald reacts and is yet alive. So in long term McDonald should be more concerned to the consumers need and it will be ok.