McDonald’s Group 4 ) Market Size & Growth Competitors Trademarks are property of respective brands 6 O’Malley, Ouellette, Plourde, & Roy 2009 Competition - Rivals • Customer Service – McDonald’s is currently ranked last amongst its top competitors in the FFHR subsector. • #1 – Burger King • #2 – Wendy’s • #3 – McDonald’s • - Three competitors hold 73% of the FFHR market Competition - Rivals • Burger King – 14% – Wendy’s – 13% • Other strong competitors – Sonic – 6% – Jack in the Box – 4% – Hardee’s – 3% – White Castle – 1% Product Offering’s Top 3 Products Franchisees • • • • • • More than 30,000 resturants in more than 119 countries They want to be their own boss Selling a well established, high quality product Excellent training Continuous support Benefit from national marketing carried out by McDonald’s McDonalds Competitive Profile Matrix McDonalds Critical Success factors Weights Rating 0.0 to 1.0 Totals Burger King Weighted Score 1 to 4 Rating Wendy's Weighted Score 1 to 4 Rating Weighted Score 1 to 4 Market Share 0.18 4 0.72 3 0.54 2 0.36 Financial Position 0.12 4 0.48 3 0.36 3 0.36 Global Expansion 0.09 4 0.36 3 0.27 2 0.18 Customer Service 0.09 2 0.18 2 0.18 2 0.18 Advertising 0.07 4 0.28 3 0.21 2 0.14 Price Competitiveness 0.07 4 0.28 3 0.21 2 0.14 Product Innovation 0.11 2 0.22 3 0.33 3 0.33 Product Quality 0.1 1 0.1 2 0.2 4 0.4 Customer Satisfaction 0.08 3 0.24 3 0.24 4 0.32 Management 0.09 4 0.36 3 0.27 3 0.27 1 O’Malley, Ouellette, Plourde, & Roy 2009 3.22 2.81 2.68 31 McDonald's Operational Success Consistency in the product Operating System concentrated on: • • • • Improving the product Developing outstanding supplier relationships Improving Equipment Training and Monitoring Franchises QSCV • • • • Quality Service Cleanliness Value