Post on 23-Dec-2015
The Global Marketplace and McDonalds
Bus 306-02 Principles of Marketing
Tanja Kuehni
Elisa Lokmagozian
Andrew Mirto
Erik Sharp
AgendaWhat is global marketingGlobal marketing environmentDeciding to go globalDeciding on the market and how to enter Global marketing program and
McDonaldsGlobal marketing organizationWhat we learned
What is Global Marketing
Global firms:◦Operate in over 100
countries
Global firms ask the questions
http://globalebrands.com/mcdonalds-winning-at-global-marketing-strategies/
Looking at the Global Marketing Environment
International trade system◦ Tariffs, Quotas,
Exchange Controls etc.
The economic environment◦ Industrial Structure◦ Income Distribution
http://www.globalresearch.ca/the-globalization-of-fast-food-behind-the-brand-mcdonald-s
Looking at the Global Marketing Environment
The political-legal environment◦Differ country to country
The cultural environment◦Understand cultural traditions, behavior, and
religion
Deciding Whether to Go Global
Risks:◦ Language◦ Laws and politics
Reasons to go global◦Global competition◦Customers demand◦Growth opportunitieshttp://2012books.lardbucket.org/books/modern-management-
of-small-businesses/s19-going-global-yes-or-no.html
Deciding Which Markets to Enter
International marketing objectives and policies
Rank potential markets based on:◦Market size◦Cost of doing business◦Competitive advantage
Decide which markets offer greatest long-run return on investment
Deciding How to Enter the Market
Export◦ Indirect◦Direct
Joint Venturing◦ Licensing◦Contract
manufacturing◦Management
contracting◦ Joint ownership
http://www.extendedthinking.com/services/new-market-development/
Deciding How to Enter the Market
Direct investment◦ Foreign – Based
assembly or manufacturing facilities
Deciding on the Global Marketing Program
Adapt or standardize?Recognizing cultural differencesFind the right balance
McDonalds Products
International marketing◦ Involves recognizing
different needs Different menus catering
to the communitieshttp://sixthseal.com/2012/06/only-in-germany-beer-and-bubble-tea-at-mcdonalds/
McDonalds and Promotion
Promotion◦McDonalds keeps all
of the famous items world wide
◦ “Everything is affordable, portable, great-tasting, and distinctly McDonalds”http://www.valetmag.com/the-edit/current-affairs/092109.php
McDonalds and Promotion
International promotion◦Culturally sensitive◦ Local food trends◦Distinctly McDonalds
http://www.burgerbusiness.com/?p=11939
McDonalds and Price
Adapt to local currencies and income levels◦Big Mac Switzerland:
CHF 6.50 ($7.13)◦Big Mac US: $4.20
(on average)http://marketingchristianbooks.wordpress.com/2012/01/02/ebook-price-trends/
McDonalds and Distribution
International distribution◦ Supported by
franchisees, the corporation, and affiliates
Deciding on the Global Marketing Organization
Recommended organization according to global size:
◦Export department◦International divisions◦Global organizations
References http://www.aboutmcdonalds.com/mcd/our_company/
mcdonalds_system/what_we_do.html http://www.businessdictionary.com/definition/market-
segmentation.html http://www.aboutmcdonalds.com/mcd/our_company.html http://www.aboutmcdonalds.com/mcd/our_company/
amazing_stories/food/catering_to_local_tastes.html http://en.reingex.com/Master-Executive-Global-
Marketing.shtml http://florentflora.wordpress.com/tag/books/ http://www.oddee.com/contrib_6695.aspx http://www.mcohio.com/24831 http://www.kingstonchamber.com/content/ronald-mcdonald