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Strengths It has a strong global presence and is considered as a market leader in both the domestic as well as the international

l markets. It is a global brand that owns 31,000 restaurants serving in 120 countries. Of these 31,000 restaurants at least14,000 restaurants are situated in the US. It uses economies of scale for reducing the cost, as its huge expansion diversifies the overall risk involved with the economic performance. They own an active childrens charity by the nameThe Ronald McDonald House. It takes steps in adjusting the Ingredients and product offerings in order to comply with the upgraded health standards deemed necessary by the USDA. It earns revenue by fast food sales as well as a property investor and a franchiser of restaurants. It has a firm real estate portfolio. It has branded menu items i-e Big Mac, Chicken McNuggets, which further promote McDonalds. It is recognized as one of the worlds most recognized logos. It is recognized as a socially responsible and community oriented firm. It adapts to the cultural differences regarding the region where the restaurant is set up. It has located itself in major airports, cities, highways, tourist locations, theme parks. It has an efficient food preparation style that follows the process in a systematic way. It takes food safety extremely cautiously. It was the first to provide the customers about nutrition facts. Weaknesses It uses advertising that mostly targets children. High employee turn-over. It has yet to accomplish going on the trend of organic food. Price competition with the competitors resulting in low revenue. Lack of innovative products. Opportunities It can adapt to the needs of the societies and undergo an innovative product line. It can research ways to use green energy and packaging which will work as a part of their promotional effort as well as fulfill their social responsibility.

It can create new product offerings, use mobile text messaging to offer services that appeal to consumers. It can upscale some of its restaurant settings at luxurious locations to attract more customers. It can provide optional items that are regarded to be the basis of allergy for some. It can slow down the level of expansion in order to increase the profitability of the organization. Threats The recession negatively impacts the holding position of the firm regarding its revenue streams, even though they are quite diversified. Foreign currency fluctuations are regarded to be a major problem as it uses standard pricing for its food items. More restaurants that are increasing their food offering and declining the price. Health issues regarding the fast food chain. Heavy investments on promotional campaigns which decrease the gaining of market share. Some parents criticize the firms cradle to grave marketing strategy that focuses on kids, who later on take it as a trend to their adulthood. Sued various times for unhealthy food, usually with addictive additives. Emergence of major fast food competitors: Burger King, Starbucks, Wendys, Taco Bell, KFC. The expansion has made the firm vulnerable to the slow economies of the other countries.

McDonald's Corporation (NYSE: MCD) is the world's largest chain of hamburger fast food restaurants, serving around 64 million customers daily.
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Headquartered in the United States, the corporation was


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founded by businessman Ray Kroc in 1955 after he purchased the rights to a small hamburger chain operated by the eponymous Richard and Maurice McDonald.

A McDonald's restaurant is operated by either a franchisee, an affiliate, or the corporation itself. The corporation's revenues come from the rent, royalties and fees paid by the franchisees, as well as sales in company-operated restaurants. McDonald's revenues grew 27% over the three years ending in 2007 to $22.8 billion, and 9% growth in operating income to $3.9 billion.
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McDonald's primarily sells hamburgers, cheeseburgers, chicken, french fries, breakfast items, soft drinks, shakes and desserts. In response to changing consumer tastes, the company has expanded its menu to include salads, wraps and fruit.
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Main article: History

of McDonald's

The business began in 1940, with a restaurant opened by brothers Richard and Maurice McDonaldin San Bernardino, California. Their introduction of the "Speedee Service System" in 1948 furthered the principles of the modern fast-food restaurant that the White Castle hamburger chain had already put into practice more than two decades earlier. The original mascot of McDonald's was a man with a chef's hat on top of a hamburger shaped head whose name was "Speedee." Speedee was eventually replaced with Ronald McDonald by 1967 when the company first filed a U.S. trademark on a clown shaped man having puffed out costume legs. McDonald's first filed for a U.S. trademark on the name McDonald's on May 4, 1961, with the description "Drive-In Restaurant Services," which continues to be renewed through the end of December 2009. In the same year, on September 13, 1961, the company filed a logo trademark on an overlapping, double arched "M" symbol. The overlapping double arched "M" symbol logo was temporarily disfavored by September 6, 1962, when a trademark was filed for a single arch, shaped over many of the early McDonald's restaurants in the early years. The famous double arched "M" symbol in use today did not appear until November 18, 1968, when the company filed a U.S. trademark. The first McDonald's restaurants opened in the United States, Canada, Costa Rica, Panama, Japan, the Netherlands, Germany, Australia, France, El Salvador and Sweden, in order of openings. The present corporation dates its founding to the opening of a franchised restaurant by Ray Kroc, in Des Plaines, Illinois, on April 15, 1955,
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the ninth McDonald's restaurant overall. Kroc later purchased the


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McDonald brothers' equity in the company and led its worldwide expansion, and the company became listed on the public stock markets in 1965. Kroc was also noted for aggressive business practices,

compelling the McDonald brothers to leave the fast food industry. The McDonald brothers and Kroc feuded over control of the business, as documented in both Kroc's autobiography and in the McDonald brothers' autobiography. The site of the McDonald brothers' original restaurant is now a monument.
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With the expansion of McDonald's into many international markets, the company has become a symbol of globalization and the spread of the American way of life. Its prominence has also made it a frequent topic of public debates about obesity, corporate ethics and consumer responsibility.

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