Swot Strength: Mc Donald has been able to maintain its market share in the QSR market of Pakistan since

1998 and this is actually the major strength of Mc Donald that has made it so popular . y Products

The reputation of various products each season has made it possible for the company to attract customers having different tastes and to try out the season specialities. A major strength is the various deals that Mc Donald offers so that it could be made affordable. Recently Mc Donald offer deal of Rs 85 only, containing a beef burger along with a drink . People in pakistan do not bacon so Mc Donald does not offer such sort of meals in the country. y Social responsibility

The social responsible acts of Mc Donald are commendable. It has been able to maintain a reputation as a socially responsible and aware anterprise all over the world. Its practice of going green and serving in an environment friendly way has made it possible for Mc Donald to gain fame. y Employment Opportunities:

The equal employment opportunities regardless of race, color, sex, national region, age, disability etc are offered to people. People looking for jobs can also upload their CVs online. y Brand Recognition:

McDonalds has gained recognition worldwide. The chain is present all over the world in more than 122 countries. In Pakistan a large number of franchises are present, majority of them in Karachi and Lahore and McDonalds is regarded as a symbol of value and quality for your money. y Good communication and friendly environment:

McDonalds has always ensured a friendly environment to offer to its customers. Children love going there, having a happy meal and the toys that they get as a gift. Play places also serve as a significant attraction where children can go and make friends

and play. Employees are also very polite and they are always ready to serve you in every best possible way that they can Party celebrations: McDonalds offers its clients, especially children to celebrate their birthdays there. One can invite friends, they decorate the party area, various party games are organized along with face painting activity etc. Children are provided with an opportunity to celebrate their day in the way that they want. Partnership with Coca Cola: McDonalds and Coca Cola are official global partners. Coca cola is a big brand name serving people all over the world with beverages. Partnership with telecom companies: McDonalds offered special deals to its clients with up size meals who are the users of a particular company such as Warid and Ufone Weaknesses: Product Variety: McDonalds needs to develop more and more products to stay in the competition. After the opening of international QSRs in Pakistan, many local QSRs have also been opened in various cities. The tastes are a bit different but they too are offering chicken and cheese burgers, drinks and fries at competitive prices. This situation requires McDonalds to be more innovative and price competitive. More advertising: In Pakistan, McDonalds rarely advertises at TV, however billboards often show off juicy McDonalds burgers but this could affect its popularity in future. It definitely needs to advertise more to reach the target and the potential customers. Oppurtunities y Reasonable Prices:

McDonalds can broaden its market by offering meals at more competitive prices in comparison to other local QSRs such as AFC, Al Maida etc. This way it could get hold of the potential customers too. y Opportunity to be innovative:

McDonalds could make itself more innovative by offering deals that appeal more to Pakistani consumers e-g it can introduce desi flavors in the present products such as Barbeque, Tandoori, Masala and other spicy tastes which are staple of the country. y Breakfast and special noon meals:

Now in Pakistan most the trend of women going to work and opting for profession is increasing as a result of which they are running short of time to carry out all the home chores along with their work. McDonalds can offer deals to such market by catering them in the morning for breakfast. During the office hours people mostly go out for their lunch to restaurants. McDonalds can avail this potential market too. y McCafes: McDonalds has opened coffee shops by the name of McCafes in UK. Pakistan can serve as a new potential market for these cafes Threats y More health conscious customers:

With increasing awareness about food and the importance of a balanced diet, people are opting for low calorie food e-g salads and food with high fiber content. To remain in the scope, McDonalds needs to serve this market as well as the present customers, this could be posed as a threat to McDonalds. Subway is offering its low fat veggie and chicken sandwiches at prices almost the same as McDonalds. For McDonalds diet meals could be a way out of this situation. Until now, McDonalds in Pakistan has nothing to offer to health conscious customers. y Foreign as well as local competitors:

In the growing market QSR market of Pakistan McDonalds competitors are entering not only from other countries but from within the country too. Their competitive prices could be a reason due to which McDonalds can lose its share in the Pakistani market. PEST ANALYSIS y Political Environment:

In general terms the government policies do not affect the company much nor do the changes in the government influence the organization of the company. Mostly what company obligation to the government is the paying of different taxes which include payroll taxes and business taxes. McDonalds enjoys an added advantage in countries where consumer protection laws are not very strong. In countries like US, where the consumer protection laws are very strong, there are great costs associated with a breach in quality or service in the form of litigations and lawsuits. y Economical Environment:

There are many factors which can affect the operation of a company. In Pakistan McDonalds offer the food at higher rates in comparison to the local food restaurants. Most of the people in Pakistan fall in the category of middle class and it is not affordable for them to have McDonalds at regular basis. Due to layoffs and other economic downturn of the current recession period the profits of McDonalds might have dwindle as people consider it as a luxury to go and eat out at some foreign QSR y Social Environment:

When McDonalds entered the Pakistani market people were not very much into fastfood eating style but now the business has been influenced by the changes made in the society especially changes in the eating habits among young people who helped in the acceptance of the fast food idea but also the rapid change of way of life which is very quick now as everyday people are running out of time, QSR is the way out for them. This in turn has helped the company to grow and to increase its profits. As McDonalds offer Hilal food majorly so there are no religious, ethical or cultural issues associated with the operations. A negative aspect of a social factor happening in Pakistan is sometimes the fact that many times anti Americans feelings rising for different reasons may a lot or a little affect the company by boycotting Americans goods. For the rising importance of corporate social responsibility recently McDonald's has announced that it is giving further backing to Rainforest Alliance certification by offering a cup of tea with a conscience in all of its 1,200 restaurants in the UK y Technological Environment:

Pakistan is a developing country and new technology gadgets and techniques are always welcomed. McDonaldss introduced new food production techniques in Pakistan which were later adopted by the local QSRs. Food made with the help of machines is considered more hygienic. However, the continuous developments in the technology sector needs McDonalds to be updated regularly but as in Pakistan food making technology is still in the development stage so McDonalds has an edge over others in this regard.

It is natural that technology has helped McDonald and especially its employees as they have to serve quick services. Computers and smart cashiers are used by the employees so they would not get confused and they are provided with customized database management system COMPETITOR ANALYSIS PIZZA HUT: Pizza Hut is a global fast food chain, a subsidiary of Yum! Brands Inc. , the worlds largest restaurant company. It was founded in Wichita, Kansas, USA in 1958 and is running its operations in about 91 countries worldwide. Its one of the major competitions of McDonalds in the Pakistani QSR industry. It started its operations in Pakistan in 1993 with a single outlet at Boat Basin, Clifton, Karachi. Today it operates in nine cities of Pakistan with 38 outlets. The cities include Karachi, Lahore, Islamabad, Peshawar, Faisalabad, Multan, Rawalpindi, Sialkot and Hyderabad. Pizza Hut serves a large variety of starters, soups, salads, sandwiches, Pastas and deserts Strategic Objectives: When we talk about strategic objectives, Pizza hut says: We want to satisfy our customers by offering them The best. Diversification of the products that they offer has always been a focal point of strategies at Pizza Hut. The strategies at Pizza hut are guided by principles like Cleanliness, Hospitality, Accuracy, Maintenance, Product quality and Speed (CHAMPS). Since its a global chain, the strategies are based upon customizing the services, advertising and marketing activities according to the countries that they are operating in. Customer service and satisfaction have of course always been a vital aspect of the strategies. Another important feature of the Pizza Huts strategies are the 3 Fs (Fun, Friendly and Familiar). Problems and Weaknesses: At one time, the biggest marketing problem Pizza Hut faced was lunch. As compared to McDonalds, its restaurants had virtually no lunch time sales, and neither did any of its pizza competitors. The reason, of course, is that it takes 20 minutes to cook a pizza from scratch in a traditional pizza

oven, and most people wont spend that long at lunch time waiting to be served. By using a new, continuous-broiling technology adapted from burger business, Pizza Hut developed a personal pan pizza that could be served in less than 5 minutes. It was quick, tasty and moderately priced. And Pizza hut rolled it out to all 4500 stores worldwide and locked up the pizza-lunch business almost everywhere, almost overnight. One of the weaknesses of Pizza hut that it hasnt overcome yet is its price. Local chains are constantly springing up, offering lower prices and similar recipes. Most people dont mind giving a lower price for slightly different taste because of which the sales at pizza hut at are suffering Growing awareness about eco-friendliness has forced a lot of the food chains to maintain practices that conform to international environmental standards. For example McDonald s is introducing coffee beans grown in environmental friendly conditions in order to appeal to the people who are conscious about environmental friendliness. In the Pizza selling restaurants, organic pizzas are the new concepts that are appealing to the masses to these days. It s a phenomenon that highlights the health conscious attitude as well as environmental friendliness. Pizza Hut on the other hand has not come up with any strategy in this area and if it doesn t even in the future, it is going to lag behind the chains that offer healthier food The advertising campaign of KFC does not specifically appeal to any segment. It does not appear to have a consistent long-term approach. The U.S. has enormous changes in its demographics. Only in US, single-person households increased from 12% in 1970 to 25% in 1995. With this kind of dramatic change, KFC does not have a proper approach to its target market. The increased health concerns of the masses has put KFC at a great disadvantage because of the word 'fried' attached to it's brand name which gives an instant idea that the food would be oily and unhealthy.

 Another weakness of KFC is that of the lack of a corporate direction because it has been a part of four different parent companies till now namely, Heublein Inc., R.J Reynolds, Pepsi Co. and Yumm! Brands Inc. The corporate functioning of these companies has been pretty different from each other because of which a strong culture could not be established at KFC and it had long been struggling with it. Reference y y y http://www.viant.com/case_study.php/caseid/6 http:/www.diet.com/g/subway-diet