McDonald’s Company on the Arab Markets

Facts of the case

The case focuses on consumer behavior. Researches play a significant role for marketers in knowing how consumers perceive new products or services. The case also looks at how market research helps marketers identify potential markets for their products and services. Tastes of customers vary depending on cultural differences and other factors. The case discusses how McDonald’s researches about the culture of the Arab World, and provides consumers in the region with products that correlate with their culture (Kotler, 170).

Statement of the problem

Globalization has led to the emergence of new markets across the globe. This has created opportunities for many organizations, which want to expand their business operations across borders. However, there are several challenges that marketers face as they pursue potential markets for their products and services. These challenges need appropriate strategies for product development. McDonald’s understood the need for conducting a market research to overcome the challenge of finding the product that would combine its organizational culture with the Arab culture.

Objectives of the case

One of the objectives of the case study is to help readers see the need for conducting market researches before entering a new market. This move helps marketers to see how customers perceive their products, and what products or services they need in order to get satisfied. The second objective is to show readers how McDonald’s markets its products to the Arabian consumers. The other objective of the case is to show readers the need for providing goods and delivering services that correlate with cultures of consumers.

Areas of considerations

The case study does not show the situational analysis of McDonald’s. It also does not provide an environmental analysis of the Arab world. The Arab World is large regionally, and customers have varying tastes towards products and services. The case study does not show how McDonalds grouped the target audience to ensure that each group got satisfied. The case only discusses McDonald’s decision to open stores across the Arab world, design channels of distribution and use print media and billboards in advertising. However, it does not discuss the strategies that made the company succeed.

Alternative courses of action (supported by theories)

The case should show a SWOT analysis of McDonald’s to analyze its internal environment. The PEST analysis of the company should be included in the case study. The case should show how McDonald’s segmented consumer markets in order to satisfy the needs of different consumers. It also needs to illustrate how the company integrated promotional mix during product development.

Analysis of each alternative courses of action

The SWOT analysis would show McDonalds’ strengths, weaknesses, opportunities, and threats. PEST analysis helps organizations to know much about their external environment. This includes political, economical, social and technological environment. Market segmentation helps companies group its target audiences in different segments in order to identify their needs and satisfy them fully. Promotional mix includes place, price, product, promotion, people, physical evidence and processes.

Conclusion

Marketing helps marketing managers to identify potential markets, and find the best strategies to develop new products. It involves researching about consumer behavior, internal and external environments. The case study shows how McDonalds markets its products efficiently, to the Arab World.

Recommendations

Marketers should employ the most efficient strategies in new product development stages, after conducting a marketing research. This can lead to continuous growth of businesses, and hence gain a competitive edge.

Management lessons from the case

Researches play a critical role in marketing. They help marketers identify customers’ needs, and hence satisfy them profitably. They also help them to understand their culture, and hence meet their specifications. The case study also shows that distribution networks require efficient management. It is advisable to segment international markets. Customer satisfaction leads to increased sales, customer attraction and retention, as well as increased market share and profits.

Works Cited

Kotler, Philip. Principles of Marketing. Harlow: Financial Times Prentice Hall, 2005. Print.