Success of McDonalds Research Paper Example | Topics and Well Written Essays - 1250 words - 2

Success of McDonalds - Research Paper ExampleImpact of globalisation and technology changes Globalization has a critical impact on McDonalds activities and expansion all over the world. The company has affected the eating lifestyle of heap all around the world. With the advent of globalization, the company became able to expand its market, thus, increasing its revenues and sales. The corporate form of the company and its expansion symbolizes globalization in a received manner. There is variation in menus that the company offers all over the world while keeping core values and brand of the company intact and regular (Watson, 2006). However, any change in the local and the global economy leads to changes in the financial performance of the company. The company has the aggressive international expansion, and with this, it is also very in the buff towards the economic slowdown in other nations. Due to its global presence, McDonalds has to focus on individual problems of every natio ns economy in which it has its business. For instance, in the US and Europe, the major markets of the company are facing economic slowdown due to which overall operations of the company are affected. technical changes contract a vital impact on the operations of the corporation worldwide. In recount to enhance the experience of the customers and drive increased transactions, the company adheres to implementing advanced technologies for the skill of the labor self-order kiosks, updating the point of sale system, and installing of hand-held order devices. All these technologies were not available in old franchises of the company of the earlier times. Technological changes are related to bringing in innovation in processes as well as products. For instance, with the advancement of the technology of touch screen and use of abstract cards for making payments, the company also announced in 2011 to make use of touchscreen technology and swipe card system at their restaurants in order t o increase operations efficiency and gain knowledge about the fare ordering habits of its customers (Gilbert, 2008). I/O model and resource-based model Industrial organization model studies the external perspective for developing a strategy of the company and earns above-average returns. The first step in the model is to study the industrial environment. The fast-food industry is a super fragmented industry, and new markets in developing countries support the growth of the industry. Today, there is an increasing awareness towards health, and the healthy and organic food is driving attention of food lovers around the globe. McDonalds emphasizes on three key areas restaurant reimaging, service enhancements, and menu innovation. Thus, the organic and healthy food industry can be the hypnotic industry which has the potential for above-average returns.