MNGT3012 Strategic Business Management : Political instability
Answer:
McDonald’s fast food franchise
What is the external
environment of the organisation in strategic management context
|
Political |
· Political instability · Changes in the ruling party · Type of governance: Democratic, communist or autocratic · Interference of the political parties |
|
Economic |
· Economic instability · Imposition of tax · Recession · Inflation |
|
Social |
· Changes in the lifestyle · Consciousness regarding fast food · Increased affordability |
|
Technological |
· Technical advancements · Incorporation of advanced technology in the manufacturing · The lack of use of advanced technology will hamper the business of McDonald’s |
|
Legal |
· The proper licensing needs to be obtained · Legislation of the country where expansion of McDonalds takes place has to be followed |
|
Environmental |
· Environmental sustainability has to be ensured · The packing material of McDonald’s needs to be environment friendly · The excessive use of water and energy needs to be reduced · CSR activities need to be ensured |
McDonald’s fast food franchise – SWOT analysis in strategic management context
Strengths
- Popularity
- Quality
- Price
- Professional
- Location
- Promotion
- Products
- Innovation
- Employees
- Kids zone
Weaknesses
- Fast food
- Over priced
- Low variety
- Competitors
- Lack of motivation
- High calorie
- Employee turnover
- No seasonal products
- Quality
- Customer service
Opportunities
- Lifestyle
- Expansion
- Variety
- Skimmed price
- Low calorie
- Free home-delivery
- Asian market
- CSR focus
- Young generation
- Taste
Threats
- Competition
- Consciousness
- Changed lifestyle
- High investment
- Fluctuations
- Awareness
- Employee turnover
- Price
- Low variety
- New entrants
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