Mcdonald’s Strategic Management Globalization Strategy
Example 1 Localization strategy of McDonald’s McDonald is using localization strategy in term of choose to localize the language that they use to sell the items especially burger and tries to localize the food itself, localization is absolutely necessary to attract customers across nations. One of the examples is McDonald’s localization of its food menu. u. Even though the menu is to a certain degree standardized all over the world, but some of items are unique to each country and that taste also localize of the local market.
The burger that prepared by McDonald’s well known in all over world.
In Japan customer can order a “koroke” burger that which contains katsu sauce, cabbage and mashed potato. In Hong Kong, customers can find a burger that is served between rice cakes not in sesame seed buns. In Malaysia, McDonald customers have much choice such beef burger, chicken burger and fish burger. McDonald provided chicken. Some of religious group do not prefer to take beef so McDonald provided chicken and fish burger for them.
More than that, McDonald in Malaysia do not provide pig meat burger because majority of Malaysia don’t not take pork and would also be upsetting for religious.
In India the type of burger totally different from other country because eating beef is against to religious rules. McDonald’s brand is strongly associated with hamburgers, but McDonald open vegetarian restaurants that provide vegetarian burgers. International strategy In the India market McDonald’s accepted the international strategy over franchising to push their main competencies and to customize their goods and service according to the demand of local customers.
This way the business be sure of on local subsidiaries in India to follow the rules and regulations of running McDonald’s and make sure the goods and service must be standardizing. McDonald to complete standardization within an international scale is difficult because of Indian market is more traditionally diverse.
McDonald’s standardizes as much as can to make less costs, but they are conscious of cultural differences and have to accepted the perception of “think global, act local” (Hill, 2009).
The subsidiaries provided by international strategy with some freedom, but the main controls belong to with managers at the center of operations in America. The subsidiaries provided by international strategy with some freedom, but the main controls belong to with managers at the center of operations in America. The Indian subsidiaries are approved the power to plan, make and market innovative products that directly respond to the local customers’ preferences According to Hindu population cow is worshipped so McDonald’s does not use beef to prepare burger.
In India Mcdonalds fully removed beef for pork for Muslims customers. As a replacement for of the ever-popular Big Macs set up in the west, McDonald’s in India serves “Maharaja Macs ” that contain mutton and some vegetarian rice pies. McDonald’s is required to change and adapt their goods and service to local customer demand because the India customers have different favorites due to traditional and religious differences. More than that, in foreign countries there have local food for consumer while McDonalds is among one of the traditionally American fast food.
McDonalds able to maintain the local tastes on condition that it focuses on its main competency of fast food. In Europe, from fast foot roots McDonalds unfortunately straying.
In strength to compete like Starbucks, McDonald’s is turn-off the restaurant space extra upscale and easy, while offering in good health and more locally tasty foods. McDonalds also offering rental iPods and Wi-Fi available for customers. However, this strategy not only reduces the product fair play by get used to local tastes, but also changes McDonalds even additional away from its main competitors of fast food
