Mcdonald's Corporation - Success Strategies in Recessionary Environment


IBS CDC IBS CDC IBS CDC IBS CDC RSS Feed
  
Case Studies | Case Study in Business, Management, Operations, Strategy, Case Study

ICMR HOME | Case Studies Collection

Case Details:

Case Code : BSTR322
Case Length : 21 Pages
Period : 2007-2009
Pub Date : 2009
Teaching Note :Not Available
Organization : McDonald's Corporation
Industry : Food and Beverage
Countries : US

To download Mcdonald's Corporation - Success Strategies in Recessionary Environment case study (Case Code: BSTR322) click on the button below, and select the case from the list of available cases:





Price:

For delivery in electronic format: Rs. 300;
For delivery through courier (within India): Rs. 300 + Rs. 25 for Shipping & Handling Charges

» Business Strategy Case Studies
» Case Studies Collection
» Business Strategy Short Case Studies
» View Detailed Pricing Info
» How To Order This Case
» Business Case Studies
» Area Specific Case Studies
» Industry Wise Case Studies
» Company Wise Case Studies


Please note:

This case study was compiled from published sources, and is intended to be used as a basis for class discussion. It is not intended to illustrate either effective or ineffective handling of a management situation. Nor is it a primary information source.

<< Previous

"Over the last few years we've really beefed up our consumer insights research. Knowing what our customers expect and then filling their needs and wants are important. They're pinched everywhere they go today. And we feel obligated to make sure they don't come to McDonald's to suffer the same fate. We're somewhat recession-resistant-not recession-proof, but we're attracting more customers today than ever before." 1

- Jim Skinner, CEO, McDonald's Corporation, in 2009.

"There's nowhere else we'd rather go in restaurants right now. Remember, when people are down, they turn to the clown." 2

- John Glass, Stock Analyst, Morgan Stanley3, in 2008.

A 'Recession-Resistant' Company

In February 2009, the US-based McDonald's Corporation (McDonald's), one of the world's leading fast food restaurant companies, reported that its global comparable sales4 for January 2009 had increased by 7.1%. Comparable sales in the US grew by 5.4%. McDonald's attributed the revenue growth in the US to its 'value for money' product offerings. While some analysts attributed the growth to the fact that recession-gripped consumers were seeking low-cost alternatives to dining out, others were of the view that McDonald's provided the customers with the products they demanded at affordable prices, thus giving them more value for their money.

Mcdonald's Corporation - Success Strategies in Recessionary Environment - Next Page>>

1] Jessica Shambora, Adam Lashinsky, Barney Gimbel, Julie Schlosser, View From the Top, Fortune, March 16, 2009.
2] Carolyn Walkup, "McD Scores Amid Downturn, but Doubts Persist about Espresso, Dollar Menu Plans," Nation's Restaurant News, November 03, 2008.
3] Morgan Stanley is a New York-based global financial services provider. For the year 2008, its revenues were at US$ 62.26 billion and the net income was at US$ 1.707 billion.
4] Comparable sales refer to sales of all restaurants that were in operation for at least thirteen months, including the sales from restaurants that were temporarily closed. To assess the business trends, increase or decrease in comparable sales is compared to the same period in the previous year.


Case Studies Links:- Case Studies, Short Case Studies, Simplified Case Studies.

Other Case Studies:- Multimedia Case Studies, Cases in Other Languages.

Business Reports Link:- Business Reports.

Books:- Textbooks, Work Books, Case Study Volumes.