Global Marketing Program: PRODUCT

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Alexandria Mesa
Luis Ruiz
Allen Ganaden
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Global Marketing Today
McDonald’s
How to Enter the Market
McDonald’s in India
Global Marketing Program:
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Place
Product
Price
Promotion
India Commercial
What we learned
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Faster communication, transportation, and financial flows
available.
Over the past 3 decades the number of multinational
corporations have grown from 30,000 to more than
63,000.
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69 of the world’s top 150 “economies” are multinational
corporations.
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Few industries are now safe from foreign competition.
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A Global Firm raises capital, obtains materials and
components, and manufactures and markets its goods
wherever it can do the best job.
◦ More than 34,000 restaurants in 119 countries.
Countries.jpg
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3 Choices:
◦ Exporting
 Indirect
 Direct
◦ Joint Venturing
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Licensing
Contract Manufacturing
Management Contracting
Joint Ownership
◦ Direct Investment
The further down the strategy the more commitment and
risk involved but also the more control and potential
profits available.
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McDonald's works through joint ventures.
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80 percent are franchised
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It has two Indian entrepreneurs:
◦ Amit Jatia: Vice President of Hardcastle Restaurants
 Awarded a Development Licensee status by McDonald's
 Leads operations in West & South India
◦ Vikram Bakshi: Connaught Plaza Restaurants
 Has joint venture with McDonald’s.
 Manages operations in North & East India
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Currently over 300 restaurants in India
Distribution Channels
◦ Cold Chain
Convenience:
 McDelivery
 Kiosks
 Drive Thru
 Extended Hours
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Product Adaption vs. Product Invention
30% original 70% local menu.
Non-beef and Non-pork products
Sauces
Local spices & chilies
Fries are made from locally sourced potatoes
Chicken Maharaja Mac
ChickenMaharajaMac.jpg
Big Mac
BigMac.jpg
MenuIndia.jpg
Price Setting
 Foreign prices lower than domestic prices
 Charge what consumers would bear
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India
◦ 115 rs
($2.13)
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U.S.
◦ $5.29
Mchicken.jpg
U.S.
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Commercials are more
serious
Ads tailored to more
specific target markets
India
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Commercials are family
oriented and humorous
Target:
◦ Children
◦ Teenagers
◦ Price-sensitive middleclass individuals
“I’m lovin’ it” – Single Global Message for All
Markets
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http://youtu.be/ErnTTK7zOeU
McDonalds Official Global Website. (2013). Retrieved from:
http://www.aboutmcdonalds.com/mcd.html
McDonalds. (2013). Value Menu. Retrieved from:
http://www.mcdonalds.com.mt/mcdonalds/content.aspx?id=
44883
McDonald’s India. (2013). Retrieved from McDonald’s India
Website: http://www.mcdonaldsindia.com/
Dash, K., (2005). McDonald’s in India. Thunderbird: The
Garvin School of International Management. Retrieved from:
http://www.csumba.org/mba602/McDonald's%20in%20India.
pdf
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