McDonald’s Company’s Global Strategy Evaluation

Subject: Company Analysis
Pages: 5
Words: 1111
Reading time:
4 min
Study level: College

The work of large enterprises that are known all over the world, as a rule, involves the search for special ways of expanding the business, which does not suit the conditions of development in small areas. In order for an international organization to improve its performance, the search for an appropriate strategy is an essential and indispensable component of business conduct. To analyze the activities of such an enterprise and the approaches to work that are supported by its leadership, the world-famous McDonald’s fast-food network will be considered.

The policy of this company provides for the constant expansion of the network and the opening of new outlets in different countries. The evaluation of the company’s activities, as well as the assessment of risks and possible strategies for overcoming them, can be carried out on the basis of SWOTT analysis. The way of the continuous expansion of business supported by the leadership of McDonald’s allows the company to constantly increase its assets and be one of the most recognizable brands in the world.

SWOTT Analysis, Risks, and Strategies

Based on SWOTT analysis, it is possible to assess the features of McDonald’s’ work in a global market. Thus, the first component that needs to be analyzed is strengths. McDonald’s is known all over the world and is the most recognizable brand associated with fast food. Concerning the criterion of weaknesses, it is possible to note that conflicts arise periodically, which is caused by the insufficiently high quality of production and scandals related to the harmfulness of food sold.

Further, the opportunity factor should be discussed. This position is essential for the organization under consideration, and today, the company has made great strides, having many sales outlets around the world and opening new retail facilities regularly. Regarding threats, it is possible that competitors can entice a significant portion of clients. Regarding trends, McDonald’s regularly offers buyers new interesting promotions and constantly attracts customers with profitable offers.

Risk Assessment and Strategies for Overcoming

When assessing possible risks that the company may face, the threat of losing customer interest may manifest itself. According to Lasserre (2017), this risk is classified as technical and can be overcome through the development of the enterprise’s marketing sphere. Numerous competing companies that are similar to McDonald’s can attract customers by more profitable promotions and discounts. In order to avoid this outcome, it is necessary to pay attention to existing trends and to promote the goods in accordance with the needs of consumers.

Another potential risk is the loss of positions in the international market due to insufficiently competent management. In order to overcome such a threat, an appropriate method of leadership can be applied, namely, synergetic. As Kobersy, Barmuta, Muradova, Dubrova, and Shkurkin (2015) claim, “synergetic management is regarded as a technology development management at different levels” (p. 28). In other words, control over the development of economic indicators in a highly competitive environment can be useful for strengthening a stable position in the world market and preserving the reputation of a reliable enterprise.

Benchmarking Techniques to Measure Performance

It is possible to evaluate the performance of the enterprise using benchmarking techniques. To do it, it is necessary to compare McDonald’s’ economic and other indicators with trends in the global market and consider how the company can increase its potential and achieve greater success. According to Lasserre (2017), benchmarking and the search for the best practices can be implemented to fit the status of a globally recognized enterprise. One of the ways is to assess the company’s activities in terms of the efficiency of its expansion.

Today, it is quite difficult to find a developed country where there are no McDonald’s outlets. This corporation’s fast food stores are on all the world’s continents, and few companies in the world can boast such recognition. There are other competing enterprises that also provide similar services and develop, opening sales points in different countries. Nevertheless, McDonald’s can be considered a pioneer in this field, and a long period of work in the market is proof of its success and stability. Regardless of potential risks and emerging disagreements in the quality of products, the corporation is a recognized brand and can count on the recognition of customers anywhere in the world.

In order to measure performance, it is possible to compare the average annual revenue of the company with the data of competitors and assess which enterprises have achieved the greatest success. Also, customers’ feedback can be considered to analyze the effectiveness of the measures proposed by the management to improve the work of the corporation. If the prevailing number of opinions is positive, it will mean that the leadership successfully copes with the introduction of appropriate management strategies and is able to respond to changes in consumers ‘ interests timely.

Effectiveness of Synergetic Management and Current International Issues

The effectiveness of the chosen synergistic management strategy is obvious when current market needs and customers’ interests are taken into account. As Lasserre (2017) notes, “synergetic management focuses on accelerated development, breakthrough the formation in systems of synergy effects, the creation of new products, new markets, new economic environment” (p. 28). With respect to the McDonald’s corporation, the possibility of introducing such an approach helps to achieve consumer recognition and develop new spheres of influence. The company, as it is known, has not only a network of restaurants but also other outlets, for example, selling points for car owners. A versatile approach to the provision of services can meet the needs of many customers, which affects profit positively.

While mentioning some of the current international issues that McDonald’s occasionally faces, there are some problems, in particular, an obstacle to the expansion of the corporation’s business. According to Siqueira, Priem, and Parente (2015), using the example of McDonald’s, it is possible to see how the policy of cross-border expansion is implemented. Nevertheless, the reluctance of some countries to distribute the products of this brand can have different reasons, for example, political ones. Therefore, the unwillingness of some authorities of the company to work in a particular region can be a serious problem in the way of the globalization of McDonald’s’ business.


The global expansion supported by the leadership of McDonald’s allows the corporation to develop the business successfully, following modern trends and receiving a stable profit. SWOTT analysis can be useful in the process of assessing the features of the company. The consideration of potential risks and strategies for overcoming them can help to find the best approaches to business organization. The effectiveness of synergistic management is evident in the development environment for the provision of services to many consumers, even despite some international issues.


Kobersy, I. S., Barmuta, K. A., Muradova, S. S., Dubrova, L. I., & Shkurkin, D. (2015). The system of the methodological principles of management of enterprise development. Mediterranean Journal of Social Sciences, 6(3 S4), 25-30.

Lasserre, P. (2017). Global strategic management (4th ed.). London, UK: Palgrave Macmillan.

Siqueira, A. C. O., Priem, R. L., & Parente, R. C. (2015). Demand-side perspectives in international business: Themes and future directions. Journal of International Management, 21(4), 261-266.