McDonlad Corporation is the largest fast food restaurant in the world. There are more than 34,000 McDonald's restaurants serving 69 million customers every day in over 121 countries. Geographic area of mcDonald is worldwide and the headquarter of McDonald is in U.S. the current CEO of the company is Don Thompson. According to 2013 the revenue of the company is $ 28,105.7 million and the profit of the company is $ 5,585.9 million.
BCG matrix is a tool used by companies to evaluate their product portfolio and business units for the purpose of developing effective business strategy. BCG stand for Boston consulting group and this BCG matrix was developed by Boston consulting group in early 1970’s to facilitate the organizations for managing their product and business portfolio.
Horizontal integration is the process of integrating with the competitors or leading business that provides same goods or services. Integration may be done either by merging (joining of two companies to make one) or by acquiring (purchase of another company). Horizontal Integration is a strategy that helps the expansion of a business to a profitable level. This form of expansion is contrast to vertical integration.
“Mission statement can be define as “what a company actually does”? What is company business? And why a company does it?” Mission defines an organization core purpose or reason for being, this often called the “credo”, “philosophy”, “core values” or “organizational aspirations”. The basic purpose or objective of mission is to distinguish one organization from other similar organizations.
Porter's Five Forces model is a strategic tool developed in 1979 by Micheal Porter. This model summarizes the 5 marketing factors which affect the performance of a particular company. The weight of Porter's Five Forces determines the abilities and competencies of a firm involved to make profit. If all these forces get high, then profits will be limited. Conversely, if the Porter's Five Forces are weak, it is possible to generate a significant profit.
Competitive Advantage has been introduced in business world for many years. It can be defined as “the superior performance of a particular company relative to other competitors in the same industry or superior performance relative to the industry average.” “It can also be defined as “anything that a particular company does better compare to its competitors in the same industry.”
Vertical integration is essential for an organization because, depending on its industry of operations, Vertical integration may be the only way by which an organization can compete effectively as well as operate in a more efficient and productive manner by minimizing costs within the supply chain. Simply, Vertical integration is part of main company’s strategy for diversifying its operations by expanding within its supply chain of operations.
Strategic planning is the tool which clearly identify goals and objectives of an organization as well as it also assess the internal and external situation required to formulate and implement the strategy. An effective plan is always required to accomplish anything. If you are coaching a football team, doing preparation for exam, or running a business, you need a strategic plan. Today business world become much competitive and the olden days of budget oriented planning or forecast based planning gone away.