This is an example case that the teacher gave us. Ch 1 (p 28) McDonald’s: Can it Regain its Effectiveness? Case Summary: A. Major Problem - This case describes the growth, dominance, and eventual leveling off of McDonald’s share of the fast-food market from 1937 to the present. McDonald’s was one of the leaders in the burgeoning market after World War II. However, in the late 1990s its growth slowed considerably, even though it still commands 42 percent of the U.S. fast-food burger market. B. Underlying Causes - Through the early 1980s, McDonald’s was able to successfully adapt to changing consumer tastes. Conversely, in the 1990s most of its efforts at introducing new products failed. In addition, it has had difficulty expanding to overseas markets and perceptions of its food quality have dropped dramatically. C. Solution - With regard to new product failures McDonald’s management may need to more extensive research on consumer food and beverage preferences. They may also, need to have specialty items by region in addition to core menu items. These specialty items might help them both domestically and internationally. In regard to food quality, people may be associating the restaurant cleanliness and freshness with food quality. As a frequent McDonald’s customer in many locations, I believe that cleanliness and freshness has declined over the last five to ten years. D. Answers to Questions 1. How can McDonald’s use its powerful brand name to help improve effectiveness? For most people in the U.S., and even in other countries, the McDonald’s brand name is a symbol of the company’s culture and values. When many organizations have reached the mature stage of the organizational life cycle, it is often useful to revert back to the core values that initially made them successful. In McDonald’s case, their overall mission is to provide consumers what they want at a low price and 2 of good quality. One way to use the brand name to improve effectiveness would be to initiate an ad campaign to remind consumers of what the golden arches symbolize, particularly price and quality. This campaign should be accompanied by a movement within the company to implement quality improvement programs so that the restaurants can deliver on what the advertising promises. 2. Is quality and taste important to you when selecting a restaurant? Explain. Most people agree that quality and taste are important, as well as other factors such as cleanliness, convenience, cost, atmosphere, and good service. Some people also indicate that health and nutrition are important to them, and others may talk about the importance of variety in food choices. Often people realize that there are a number of factors that influence people’s choices, and that the relative importance of these factors varies depending on individual preferences and circumstances. Consequently, it is difficult for a single restaurant to be all things to all people. 3. What environmental forces are the most different as we enter the 2006 – 2016 decade when compared to the 1950s and 1960s? Given the nature of McDonald’s business, the most important environmental forces are in the consumer sector. One important change is that there is much greater concern about health and nutrition today than there was forty years ago. In addition, the demographics of the family have changed. There are more single parent families and more families where both parents work outside of the home. Those factors, in combination with the fact that both children and parents are increasingly involved in activities outside of home and school, result in people having less time to cook and eat at home, which should indicate increased demand for convenient, high quality restaurant food. Increased demand also comes from increasing globalization, which has created new market opportunities for many businesses, including McDonald’s. Although other countries are receptive to U.S. businesses, it is often not possible to export traditional U.S. products without making any changes to them. Companies such as McDonald’s must adapt their products to match the values and tastes of different markets. This is an example of an Org Analysis the teacher gave us. These are the two parts that i need.