Free Sample Dissertation on Marketing Management

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The Strategic Management refers to identifying and describing strategies, which has to be persisted by managers, in order to gain competitive edge over others. It is the process of decision assortment that is undertaken by leaders for identifying results of business performance. On the contrary, strategic marketing management provides support in implementation of company’s mission through focused process. For the reason to attain best from the current marketing plan target consumers determination is included BREAK AND MERGE THE ABOVE 2 LINES. Discovering opportunities in the market is also possible with this type of marketing. Similarly, strategic marketing management develops tactical as well as sturdy marketing plans. The proper transformation of company’s strategic planning into appropriate actions could be possible through this process. In the below online dissertation writing report, researcher is providing explanation on Strategic Marketing Management of McDonalds (Parry, 2004).

One of the world’s biggest fast food chains, successfully running its business in 119 countries is McDonalds. At present, the organization has around 68 million customers globally. The business was commenced in 1940 having it’s headquarter in United States. The company expands business through its associate, franchise and also by their own corporation. McDonald’s revenue is generally created by franchise fees, rent, and sales along with royalties. In UK, it currently owns 12000 café and employed around 67000 people over there. The organization is also recognized as most successful dealer in consumer products with annual profits of $23 million or more internationally (McDonalds, n.d).

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Role of Strategic Marketing in McDonalds

McDonalds is making attempts to attain success as well as profits in potential periods, concerning this key focus area is on marketing. This is due to reason of directing paths and picking up the pace. With the help of branding as well as corporate positioning methods of strategic marketing, the organization gained competitive advantage in market. Company also benefited by the appropriate formulation of strategies in relation to expansion or improvement (Restaurant Marketing Strategy, n.d).

In order to enter into the Indian market plus attaining sustainable position, the business has adopted various marketing practices in line with strategies. Various challenges were overcome effectively by the company with strategic marketing management (Restaurant Marketing Plan, n.d). Several issues came up infront of the business because it is a western company where people like to eat burgers containing pork or beef. Due to this, organization made alterations in the menu when it established its business in the Indian market, as Indian society dislike having beef in the food. By strategic marketing management, the company has successfully adopted to preference, tastes, values and beliefs of Indians. Thus, it has gain competitive position over there (Restaurant Marketing Strategy, n.d).

Process of developing strategic marketing for McDonalds

The strategic marketing is a process of planning, which seeks to set up a clear direction as well as joined purpose for all efforts of marketing. Its conclusions are acknowledged in a complete plan of marketing, which is often updated. There are five steps combined in strategic marketing, such as finding out the mission, analyzing the environmental situation, setting up objectives, building marketing strategy and evaluation or control planning (The Marketing Strategy Process, n.d).

With regards to first step of strategic marketing, the overall mission of McDonalds to stand in the marketplace is to be customer’s favorable place as well as the way to eat. Its wide-reaching operations are associated around an international strategy called the Plan to win, that based on an outstanding consumer experience – Products, People, Promotion, Price and Place. The company is also committed to constant improvement of its operations along with the enhancement of customer’s experience (Strategic Marketing Process, n.d). 

Next, in order to know about the environment of company, the situational analysis, which is also known as, SWOT analysis can be perform. In this context, the strength of McDonalds is its strong brand image in the market and its R&D department has done effective market research that supports the management in developing appropriate marketing mix. On the other hand, the company is offering its services from long time and hence, required some attractive innovations to pull buyers interest. At the same time, opportunity for business development is also available to the organization, as increasing number of buyers are searching for eateries, which is served in friendly and quick manner. Lastly, with regards to threat for the business, McDonalds is facing risk of rising competition in the market and changing eating patterns or lifestyles of customers.

Marketing Management Objectives of McDonalds

Third step in strategic marketing process is to set up marketing objectives. The McDonalds has decided:

McDonald's strategy for marketing

Product : In order to meet changing demands of buyers, the company regularly changes its menu and introduce new products by replacing the old ones.

Price : The Company charges that price from its customers who bring value to them and for this it’s marketing team evaluates prices charged by the rival firms (Cravens, n.d).

Promotion : At the international market, before introducing promotional activities, the organization analyze the type of readers, listeners or viewers and then decides which channel would be more effectible for promotion of the product.

Place : For the convenience of customers, the company establishes its restaurant on places that can be easily reached by everyone (Restaurant Marketing Strategy, n.d).

Once all these marketing strategy is placed, several responsibilities are provided to varied individuals by the management, so that overall plan can be implemented effectively. Systems are employed in places to attain feedback from market that measures success against short term goals. The company also ensure that it is conducted within the confines of strongly controlled and fixed marketing budget.

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Marketing Plan for McDonalds and its corporate strategy

Marketing plan is a written document that shows marketing efforts of the organization. It usually inculcates analysis on exiting situation of market, budget, strategies, sales forecast as well as action programs. These if not manages properly could create negative impact on the business. Although marketing plan provides several benefit to the company, but if incorrect promotion strategies implemented then it may lead to failure (Cravens, n.d). Thus, in order to attain objectives or goals in an efficient manner, the firm has to devise appropriate marketing plan. The marketing plan of McDonald can include following steps:

Environmental analysis – This method can be used to find out company’s external as well as internal environment. With this analysis, business can know about their respective business situations, customers and competitor’s policies (Kukreja, 2011).

Market analysis and customer segmentation – In doing market analysis, the company can conduct SWOT analysis and evaluate their competitors, i.e. Pizza hut, KFC, etc. Customer segmentation is done by companies to meet the needs of different buyers differently. McDonalds can separate its buyers on the basis of psychographic, demographic and geographic factors. In geographic segments, region wise differentiation can be done, such as Asia, America, Europe, etc. Customers could be divided on the basis of their age, marital status, family size or sex. Further, according to psychographic factors segmentation can be done on opinion, attitude and knowledge.

Marketing objectives – At this stage McDonalds must set objectives for marketing. These objectives could be in relation to earn high satisfaction of clients, reasonable profits, quality foods as well as huge distribution network.

Marketing strategy – It is related to target market. The company can target its buyers with 18-50 age groups, including both female and male. Further, in this age group those customers could be approached who has monthly income of 10,000 or above. For the reason to distribute its product to perspective clients, appropriate marketing mix could be adopted. One attractive marketing strategy may be utilized by the business is door-to-door promotion. Moreover, in order to study about their particular product position in portfolio, BCG matrix could be used.

Market budget – The proper budget is prepared by firm to give effective direction to marketing expenses. McDonalds should devise appropriate budget for its overall marketing activities and plan their work accordingly.

Evaluation and Control – The marketing plan for any product or service must be evaluated as well as monitored in specific intervals. This is done to evaluate about effectiveness of all adopted strategies along with customer’s views towards company’s marketing efforts. One of the best way to get feedback from clients is building public relation by the managers. Through this process, corrective could be taken at appropriate time.

In addition to above marketing plan, several corporate strategies can be developed to gain competitive advantage by McDonalds. These strategies are optimal business operations, buyer’s value plus convenience. The adaptation of these strategies may provide enhancement in market share of company. Moreover, organization can make use of information technology strategies, in order to add innovative or creative ideas in business.

Tools used to develop marketing strategy

Tools for strategic marketing planning of McDonalds

In order to build effective marketing strategy, following tools can be adopted by the company:   

Porters five forces model – This is conducted to analyze bargaining power of suppliers and buyers, new entrant’s procedures, competitor’s policies together with substitute products provided by others. It can help McDonalds in measuring various pressures and taking answerable steps (McDonald, 2008).

Balance scorecard – For examining efficiency of strategic plans, the organization can make use of scorecard. This tool could be adopted to evaluate growth of activities according to planned objectives. With the help of balance scorecard, firm can align its various actions to strategy as well as vision of the company; develop its communications internally or externally. Further, through this tool McDonalds can successfully measure its business performance besides strategic goals (What is the Balanced Scorecard, n.d).

SWOT analysis – This tool can be used by the company to analyze its internal strength and weakness together with opportunities as well as threats available in the market. The process involves brainstorming session. People involved in this session formulate each area list according to earlier gathered data’s. After preparation of list item are prioritized by ranking each item. These items are taken as the basis for development of strategies, tactics and objectives.

 Strategic positioning of McDonalds & marketing tactics UK

The process of positioning is developing an image in the customer’s mind with which they can able to understand the uniqueness about the product when compared to output of competitors. In India McDonalds positioning has been intended for “family restaurant”. Then they began positioning on the basis of kids together with introducing novel toys advertising with their products, such as “happy meal”. But in UK, adults and youngsters are very use to fast foods and McDonalds should target them as well as try to position it as a place for all, ranging from kids to adults and old age also. The company should target adults, as they can pay of variety and quality of products. It will support the organization to be most recognizable brand in the country for all age’s people. This can also be say that firm should follow the undifferentiated marketing concept in which they must offer same marketing mix to huge population. If the company will adopt this approach as well as try to position its brand according then will definitely be benefited and its revenue or sales will increase surely.

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Relationship marketing strategy of McDonalds

With name it indicates that Relationship marketing is the process used by companies to maintain personal relation with their customers. For any individual, it is very easy to begin with business, but building strong relation with clients is so critical. These tight relations also help them to create their different position from other into the market. There are several types of strategies, which could be used by firms to develop relationship with customers. In this relation, McDonalds adopts brand identity to build relations (Egan, 2008). With this, it becomes very easy for the customers to identify products among various others. The company uses its slogan as well as catchy logos on its home delivery packets, paper plates and on tissues, to create attraction of new clients. In order to maintain its old customers, it asks for their feedbacks or suggestions on services. The organization also makes call to their loyal clients on birthdays or anniversary’s as well as send gifts on their addresses. This helps them in creating interest of their clients. The restaurant gives toys and free gifts to kids, for creating their attraction towards their products. All these strategies provide support in enhancing sales of the business, side by side develops effective relations with buyers (Donaldson and O'Toole, 2007).

Strategic Marketing Techniques

Product Life Cycle for ascertaining growth opportunities

The concept of product life cycle includes various stages of product development. Each stage is illustrated by declining as well as growing revenues. The whole life cycle of any product completely depends on its recognition. For restaurant industry also this concept is in use since several years, because of its popularity or attractiveness. The restaurant together with fast food industry is growing with an increasing rate. Therefore, it is very essential for the companies to execute their best possible efforts, for the reason to retain in this competitive market (The 4Ps, n.d).  

The first stage is defined as Introduction phase. It is the point where business earns less amounts of revenue. At this level huge cost in advertising has to be incurred by firms. Further, the products are sold at high prices, due to requirement of large investment (Tariq, n.d).  

Slowly, the business moves towards the growth stage, as it starts earning revenue as well as awareness among customers. Due to having appropriate revenue, company starts to spend in several marketing activities, for developing its brand image. At this phase, product price and demand remains high (The 4Ps, n.d). 

The next is the maturity stage, where company enjoys wide distribution of its offerings and appropriate brand awareness. At this point the level of price is minimized by the organizations in order to gain competitive position as well as it also attains word of mouth. Various alterations in strategies or products are done for catering the needs of buyers (Tariq, n.d).

The last stage is called declining phase, where due to several new entrants, demand for the company’s product falls rapidly. Many of the new comers enter into the market by offering attractive schemes to the customers. Usually they come up with innovative offerings and capture huge market with attractive products (The 4Ps, n.d).

BCG matrix for evaluating McDonalds

The BCG matrix is used to evaluate organization’s strategic business along with product portfolio. It is also called as planning method. The units of strategic business of firm are characterized on cash cows, stars, dogs and question marks. Being a single business unit, McDonalds is categorized under Star. This is because of company’s high market share along with growth rate. In recent periods, it is in the point of cash cows (McDonald and Keegan, 2002). This is due to several new comers that has enter into the market with latest technologies and attractive services. It leads to some level of decrease in growth rate of business. However, the units of McDonalds is still enjoying huge share of product and business. The company is not required to put investment in it McDonalds Zinger Burger, as it is already on popularity in the market (Fyall and Garrod, 2005).

Specific strategic marketing objective of McDonalds

The main aim of McDonalds is to offer best food products to their customers. In order to achieve this, it is continuously paying attention on improving their services as well as products (McDonald, 2002).

There are three main objectives of the business:

Responses to marketing environment changes

Effects of external environment changes on McDonalds

The external environment of business covers political, social, economical, legal and technological factors. These all have positive or negative effect on the company’s operations. Success of business depends on how its external conditions are favoring to its policies and procedures. McDonalds is involved in several suits as well as cases. These issues faced by the organization in relation to disputes of trademark (Hitt, Ireland and Hoskisson, 2010). Through legal actions, McDonalds have threatened food business, until or unless they slump their trading names, such as, Mac and Mc. The company has found itself in criticism due to social factors. These factors influenced its menu, operations together with business expansion. In today’s era of innovative technologies, McDonalds need to promote their complete system for giving good response to competitors. The organization is also involved in disputes of million tons production of packaging, which is against the environmental laws. Thus, these situations has laid the company in challenging conditions and forced the firm to adopt several new strategies and operations in its marketing strategies. (Ferrell and Hartline, 2010).

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Current strength & weakness of McDonalds strategies



Trends in restaurant strategic marketing

The followings are current trends of restaurant market:

In today’s era each individual needs their money value. In the meantime, their preferences along with tastes also modify. It is human behaviour that, they are more attracted towards good taste and innovative products. Restaurants must base their themes of the marketing on flavoured fusion. For example, it should include in its menu, the mixture of Chinese, Indian, and Turkish together with Italian food. One best example of restaurant which offers such type of combination is Roti Roll. It provides mixture of both Turkish and Indian food. These tactics are recently spellbound and also most famous (2007 Restaurant Trends Forecast, n.d).

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