Case study of Mcdonalds Essay Example | Topics and Well Written Essays - 1500 words

Case study of Mcdonalds - Essay Example The rapid decline of revenues and deteriorating market position of 1990s could be contributed to number of factors like highly competitive global business environment, tough market conditions, tough labour conditions, lowering of costs of products, lack of new products etc. But under the stewardship of James Cantalupo, who took charge in 2003, the firm started making a definite turnaround. Efficient exploitation of the internal resources of the firm was the major contributory element which helped it to regain its market. McDonald’s corporate strategy mainly relies on creating value through customer satisfaction. It has been able to gain effective leverage against its rivals by exploiting its internal resources which are: brand equity, quality products and exemplary service. It has evolved into the best fast food centre through customer satisfaction and meeting their changing preferences. The use of technology and uniformity in its products has been the hallmark of its fast food across the world. The unmatched efficiency in the delivery of its services and the uniform quality of its food has become the unique feature of all its outlets. They provide quality food at low prices and give ‘value’ to the customers. Indeed, McDonald is the first food chain that has truly become global in its operation and values. The managerial leadership realized the importance of identifying the changing eating habits and accordingly introduced changes within its products. The burgers have been its main products that it has maintained by customising it as per the preference of the customers. It has also introduced wide variety of salads and healthy food in its menu while at the same time, localizing the products by adding local flavour. They differentiated the products by customising it according to the demands of the customers. The use of technology and uniformity in its

Case 8-3 Ikea Essay Example | Topics and Well Written Essays - 1250 words

Case 8-3 Ikea - Essay Example It can also be defined as the way in which companies manage their business processes to produce an overall positive impact on society (Mallerbaker, 2009). This paper discusses the problems Ikea Corporation faced in the late 1990’s associated with CSR issues particularly child labor accusations. Ikea Corporation create a corporate culture that while it was streamlined and relaxing since the manager did not operate in beaurocratic manner, they also seem to forget about their responsibilities of the activities of the company abroad. Ikea was not well prepared to deal with international issues such as child labor. The company got a wake up call after some of its suppliers were caught involved in child labor practices. The company did not like the negative impact the revelation had on its sales and customer relations. The firm realizes its needs solutions to deal with the issues the company is facing. The company is facing public relations problems due to accusations that the firm is involved in child laborer practices. The child labor violations occurred not directly at Ikea, but as indirect associations since major supplier of Ikea at being accused of such acts. The first reaction of the company was that they were unaware of the child labor activity and they are against that type of illicit activity. The company never before had dealt with these types of issues. The executives of the company were at fault due to their incompetent managerial activity in which they failed to implement any proactive measures that could prevent such circumstances from occurring. The business risk of the company is high regarding its public image. After the public relations issues the company lost 20% of its sales in Denmark (Barlett et. al., 2008). Ikea is a company that has been able to successfully implement an organic growth model during the last 40 years. The