This website uses cookies to ensure you have the best experience. Learn more

Mcdonalds Market Research Essay

1657 words - 7 pages

Assignment two – Introduction to Marketing

Report describing how McDonalds use market research information to understand the behaviour of customers, competitors and market environment.


Market research definition – the BTEC national business book one edition two defines market research as “an aim to help organisations make effective decision by providing information that can inform the decision making process”.

2.0 Findings
Market research provides information on:-

Customers – research can show organisations about consumer trends that will help forecast future customer needs. It also shows how people’s lifestyles are at that moment in time such ...view middle of the document...

Disadvantages - data takes a long time to gather and can be expensive.

Secondary research – this is where excising information is gathered by a company for market research projects or other purposes.

Advantages – Information is easy to gather and very cost effective.

Disadvantages – information can be out of date and could not be appropriate for what the organisation is look for.

Quantitative research can be used to – measure product sales per week and estimate market shares of competing brands.

Qualitative research can be used to – investigate customer attitudes towards an organisation and find out consumer reactions to a change in prices.

Internal research data – this is secondary information which is held inside an organisation such as sales records and customer complaint reports.

External research data – this is also secondary information however it is held outside an organisation such as government statistics.

Bias – this is the difference between the answer given from the respondent and the actual truth.

Factors which determine which research methods to choose:-

Accessibility – Not every research method is available to all organisations. Therefore managers need to consider accessibility when choosing a research method. Postal and email surveys are considered by most managers, however methods which require large investments in technology (observations) and special facilities such as laboratories are often used by large wealthy organisations.

Time – Depending on what type of research is being carried out time can be an issue. Telephone interviews and web statistics are used to gain information which in turn will produce instant results. On the other hand personal interviews can take a long time to organise as well as email and postal surveys could take a long time to come back from members of the public.

Fit for purpose – each method of marketing research has their strengths and weaknesses in terms of the data it can collect. Face to face interviews are good for gathering qualitative information however they are not fit for purpose of obtaining quantitative data.

McDonalds spends millions of pounds a year on market research as it helps them gain important information about their company along with rival companies that will in turn help them gain more profits in the future.

This market research could include looking for the ideal placement for a new store. McDonald’s spend a lot of money and time on figuring out how much traffic would be in the area, checking out the various locations and they pay people to check if the spot is ideal for the store/franchise. McDonald’s also set up stores close to competitors such as burger king, this is known as piggy backing competitors.

McDonalds use primary research such as surveys to gain information about the market environment and what the target market are looking for in the company’s products. This can help...

Other Essays Like Mcdonalds Market Research

Mc Donals Essay

1982 words - 8 pages enables easy access to the customers, in statistics; nearly 50% of U.S.A is within a 3 minute drive from a McDonald’s outlet. (Scribd 2009) Another point which supports the strengths of McDonald is the strong performance in international markets. During their expansion, McDonalds invested significant amounts of time and revenue on market research which allowed them to gain a clear and concise reflection of their consumer needs; it’s allowed them to

Mc Delivery Service Essay

2043 words - 9 pages introduction to the Australian society. This marketing plan assesses the internal and external environment in which the service will be a part of and how it looks to be a highly sought after service in Australia. Through the research displayed and signs from overseas the McDelivery service looks to be a highly profitable commodity for the McDonalds giant and looks to be a very fast growing and unstoppable service. McDonalds looks to attain market

Analyse The Differences Between The Corporate Identity, Branding, Image And Reputation Of McDonald's, Presenting An Argument As To The Need For Changes To Their Communication Activities

2484 words - 10 pages activity in considered an important objective (Ibid), as has been proven to increase market share, stakeholder loyalty, and reduce business risk (Zinkhan, 2001)For the proposed commercial advantages to eventuate, a company's image must be consistent with corporate identity, and this can pose a significant challenge as can be seen in the case of McDonalds. While the McDonald's corporate identity is well defined, its image is not, as many

External/Internal Factors of Mcdonalds

1935 words - 8 pages . The state of the economy as a whole could affect the purchasing decisions of the customers and affect the sales goals from one time to the next. Technology changes almost daily and may not be compatible with current technology being used. Globalization is a necessity for success and survival in the market; however global competition is heavily populating the area with the fast-food industry today. McDonalds has joined corporations with

Environmental Trends Mcdonalds

964 words - 4 pages survival, operations, and growth of an organization ("Environmental factors," 2012). Environmental factors have a immense impact on a business decisions and marketing decision. An organization like McDonalds is a prime example of how an organization bases its marketing decisions off environmental factors considering the McDonald’s Corporation competes in a global market where there will be different tastes, customs, and beliefs in each country

Mc Donald's Entry in Eastern Europe

3169 words - 13 pages its franchisees and making franchising decisions based on what's best for its customers. [pic][pic][pic][pic][pic]McDonald’s mode of entry in foreign Market and Expansion Strategy McDonalds enter in the foreign market through direct selling its product in its private outlets. It may be called as a specialty product producer. Product being produced, sold, & promoted by its own self. This mode of entry requires McDonalds to have deep

Starbucks Case Study

2568 words - 11 pages facing the firm The key issues facing this firm was its attempts at massive expansion and creating new value innovation. The need to expand could cause the company to become over exposed and risk its ability to change. New players in the field such as McDonalds pose a new potential threat of competition, though it is unclear if they share the same market. Above are Porters 6 Forces and their level of threat to Starbucks. The bargaining power of

Global Companies on Local Markets - Cultural Context of Mcdonald’s and Its Products

2125 words - 9 pages of countries that attracts investor by its emerging economies, convenient tax policies and consumers demands for high quality products. However, these companies would not be able to achieve success if not carrying over a very scrutiny market research, implementation of well-structured marketing strategy with a good understanding of local market. All in all, there is nothing new under the sun that every country have a different culture, every

Mc Donalds

4361 words - 18 pages Markets McDonalds serves less than 1% of the world's population each day, so it has been able to expand rapidly overseas without running the risk of market saturation. There is tremendous global opportunity for the McDonalds brand to expand. McDonalds is growing at the rate of between 1 000 and 1 500 restaurants a year and by five to 10 new countries a year. It employed 1- million people in 1996 and this has to grown to as much as 2-million in

Product Diversification

2531 words - 11 pages . Some succeed while others fail. Many companies rely on product diversification, which can been considered as “any modification of a product that serves to expand the potential market which involves creating a new customer base, which by definition expands the market potential of the original product”. Diversifying can give rise to many benefits for a company such as increasing their profit and client base. Knowing how and when to diversify as well

Marketing Managment

3120 words - 13 pages it is wise to do some research into the practices and methods taught by various people. This can be done online or by investing in a few books to help you along and help you discover what you need to change about your current marketing strategy. The overall goal is to find a marketing strategy that works for whatever it is you are trying to market. If there is more than just one person involved in the marketing, make sure that everyone takes part

Related Papers

Mc Donalds Essay

3706 words - 15 pages one of the major competitors country for every fast food restaurant coming for the United States is not the exception for Yum Brands. They thank their foresight PepsiCo for invested in the market for over 40 year and built what Yum Brands can take over in the international market, facing only McDonalds as their only principal global competitor. Taco Bell represented the 60% of operating profit; they are the second most profitable brand behind

Mcdonald’s Need For Localization In The Company’s Global And Local Marketing Mix In Order To Appeal To The Indian Culture

1003 words - 5 pages countries view McDonalds. There is one major difference between the U.S., European market and say the Indian market, that difference would be beef.  The Indian culture does not eat beef or pork.   If the fast food industry wants to capitalize on the booming Indian economy and the massive middle class in India they are going to have to adapt to the Indian culture.  First and for-most replace beef and pork with something else. McDonalds has started

Assignment One

768 words - 4 pages communities in which they are established. All of these values are infiltrated through all levels of the company, which keeps McDonald's thriving as a successful fast food chain restaurant. What are Marketing strategies? An organization's strategy that combines all of its marketing goals into one comprehensive plan. A good marketing strategy should be drawn from market research and focus on the right product mix in order to achieve the maximum profit

Mcdonaldisation Essay

4493 words - 18 pages  customers of  their cleanliness.  The sidewalks in front of McDonalds are kept clean by employees.  Customers have  been taught to clear their own tables by employees who also had to teach Chinese customers to queue,  a practice not common until recently. (Watson, 1997)   McDonalds corporation initially didn’t think the Chinese populous was wealthy enough to support their  food chain.  On their second market research trip they decided that