Marketing management

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Introduction

McDonalds Australia is a subsidiary branch of the McDonald in the United States . This subsidiary was first opened in 1971 , in western Sydney Since its inception , the company has grown in both size and profits . For instance , McDonalds employs more than 56000 people in its 730 restaurants in Australia . Profits forecast for the year 2007 is estimated to be reach 2 .65AUD billion by December . Not surprisingly the restaurants can accommodate over 100-seated customers and 40 drive thru customers at a

go . To facilitate the activities approximately 100 staff members are employed to keep the drive thru and seated customers served 24-7

SWOT analysis

A SWOT analysis is used to measure the strengths and weaknesses of a company as well as its potential threats and opportunities . As it stands , McDonalds Australia commands presence in the restaurant industry . This is because its strong brand name speaks volumes , `a world class company ' McDonald companies are found in over 100 companies serving millions of customers each day . This strong company pro is in itself a marketing tool and thus strength . McDonald uses franchising approach to spread its name and products to areas around the country . As such , many business opportunities exist for the McDonalds to gain prominence in the Australian market . Additionally , franchising has enabled McDonalds to grow in territory without compromising the quality of products . This is because McDonald offers training to franchisees so that quality products are assured to customers . Approximately 2 /3 of restaurants in Australia are run as franchises . Since McDonalds uses franchises to expand its operations , it has been able to attain consistency in its product supply . This means that taste of a burger at one chain is similar to that offered in another chain . As such , customer confidence in McDonald products is enhanced . The franchise model ensures that revenues collected are consistent i .e . from the rent , fees deduction from percentage sale and supplies that it collects from its franchises . This has put McDonald ahead of its competitors . In addition McDonalds makes use of iconic products such as big Mac , egg mcmuffins happy meal , and dell choice , which uniquely stand out and identify to target markets . These iconic products are strengths to McDonalds

However , McDonalds Australia also faces weaknesses . The restaurants industry is flooded with equally strong companies such as grilled burger edge , burger king and hungry jacks (Websites cited . Moreover other restaurants offering different products yet serve the same industry also pose challenge to McDonald 's market share . McDonald is facing this weakness currently . Although McDonalds has tried to develop its products and diversify from French fries and burgers , its products are still weak . Apparently , their products are not synchronized with the changing customer trends . This is a weakness . The quality of a product is crucial to determining how well it captures the market . People need to feel that they are getting vale for their money and perhaps McDonalds has failed in this are , not because its products are substandard...