Monday, October 31, 2016

McDonald’s Earnings Top Expectations

This third quarter the deal " two-for$5" boosted the entire U.S sales. But comparing to the previous deal " all day breakfast" from last year, the company might face negative impacts in some. 
On the other hand, same store around the globe in country such as Japan and Brazil, the sales rose 3.5% when in the U.S. sale increased by only 1.3%. These countries adapt the food to the local consumers therefore it is easier to market their products. 
The U.S stores are launching sam deals and menus in the entire country when in other countries, the menu and the promotions differs from one region to another. Taking the U.S as a whole is promotion can be misleading. Each state and each region in the United States has different culture in buying and consuming products. As the company is adapting the menu based on the country they are investing in, the same can be some inside the U.S. It could be beneficial to differentiate their consumers based on the region or the state.
The company might had meet the expectation, but there are much more that could be done from a large huge company such as McDonalds

1 comment:

  1. The MacDonald's case is a perfect example of how the local culture affects the market. By understand and adapting to the local culture the company has increased on sales since the customer has some a common attachment to the product. This give the company to move out of united states it has to first study different values and beliefs if targeted market and make good in regard to that culture.