Mcdonalds in russia case study

MGMT 301; Case Study Analysis McDonald’s Corporation-2017 Having reviewed. McDonald’s brief history under successive CEO’s, what might be most pertinent for the new CEO, Steve Easterbrook to keep in mind, as he seeks to turn around this corporate giant. Describe the Strategic issues that Mc Donald’s needs to address. Consider the perspectives of all stakeholders including the Customers, the Company and the Competition. What are McDonald’s Core Competencies? (Remember! Core Competencies are invisible, unique strengths developed by an organization over a long time that lie deep within the firm.) Support your answer by introducing data from the case that supports your point of view. What is McDonald’s business model? How does McDonald’s make money? What are its four primary revenue streams? Why does McDonald not own their stores like Starbucks or Chipotle, etc.? Which trends in McDonald’s external environment are likely to have the greatest impact on the company’s ability to sustain a competitive advantage? Considering Mc Donald’s competitors, what strategy should Easterbrook pursue to ensure McDonald’s future success? What current challenges must McDonald’s overcome to be successful in their target markets? What should they do? In preparing your answer, also consider what they should not do. Please remember to introduce at least six course concepts throughout your analysis to help support your analysis. For the exclusive use of M. Alharbi, 2019. MH0037 1 2 5 9420477 R EV: September 14, 2015 FRA NK T. R O THA E RME L MARNE L. A RTHAU D- DAY McDonald’s Corporation SEPTEMBER 1, 2015. Steve Easterbrook walked into his office in McDonald’s corporate headquarters. He had finally achieved his dream of becoming chief executive officer (CEO) at a major Fortune 500 company, but somehow he had expected it to feel better than this. Don Thompson, the former CEO who had recently “retired” had not been just his boss, but his friend. They had both started their careers at McDonald’s early in the 1990s and had climbed the corporate ladder together. He had not taken personal joy in seeing either his friend or his company fail. Rather, Easterbrook had fantasized about inheriting the company at its peak and taking it to new heights—not finding the corporate giant on its knees in desperate need of a way to get back up. The company’s troubles had snowballed quickly. In 2011, McDonald’s had outperformed nearly all of its competitors while riding the recovery from a deep economic recession. In fact, McDonald’s was the number-one performing stock in the Dow 30 with a 34.7 percent total shareholder return.1 But in 2012, McDonald’s dropped to number 30 in the Dow 30 with a –10.75 percent return. The company went from first to last in 12 brief months (see Exhibits 1 and 2). In October 2012, McDonald’s sales growth dropped by 1.8 percent, the first monthly decline since 2003.2 Annual system-wide sales growth in 2012 barely met the minimum 3 percent goal,