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McDonald's is a multinational food corporation brand first founded by Richard and Maurice in 1940 in Australia. According to a 2022 report, McDonald's is in more than 39000 locations all over the world. SWOT analysis is the best way of gaining knowledge about the business insights of McDonald's. It includes the analysis of the strengths, weaknesses, opportunities, and threats of McDonald's. Here you can read the SWOT analysis of Mcdonald's

Mcdonald's Strength

• Brand Name- McDonald's is a reputed brand also known as the best fast-food company in terms of sales. The effective promotion and the quality of fast food are the dominant reasons that make Mcdonald's a top and reputed brand. 88% of customers of McDonald's recognise it only by watching "M". The "M" in McDonald's was inspired by the architectural archives. According to a recent survey, McDonald's comes among the top 10 powerful brand names in Australia. The brand name is the major strength of Mcdonald's that can help it to grow and remain at the number 1 position in the fast-food industry.
• Pricing- McDonald's uses the best pricing strategy, "Think Global, Act Local", to enhance its name recognition and serve more customers. It offers a variety of fast foods to its customer (different in countries, according to the taste) at an affordable price.

Weaknesses of McDonald's

• Long Queues of the Customers- The long queues of the customers is looked upon as one of the major weakness of McDonald's. Sometimes due to the long queues in the McDonald's outlets, customers change their minds and order in some other fast-food restaurants.
• Food Considered Unhealthy- Especially during the pandemic, the mindset of the citizens in the world has been changed, and they are trying to live a healthy lifestyle. Since the people are inclined more toward healthy food, consequently it will result in a decline in the sales of McDonald's.

Opportunities

• Varieties in the Food Menu- McDoanlds's continuously add new varieties to its menu as per the trends and the customer requirements. For example, In 2018, the company started to serve an exclusive beverage (a mix of sprite and Tropic Berry)in their New York outlets. So it is the best opportunity for McDonald's to grow in the market.
• Online Food Delivery Services- McDonald's is expanding its business by collaborating with the online food delivery service providers, such as Zomato, Uber Eats, etc.

Threats

• Competitors- Fast-food industry is known as the biggest industry in the world. There are many fast-food companies that offer a variety of fast food to people at an affordable price. So the competitors in the fast-food industry are the biggest threat to McDonald's. Few competitors of McDonald's are- Burger King, KFC, Subway, Taco Bell, Starbucks etc. As per the recent report, the sales of Starbucks ($26.51 billion) is s more as compared to McDonald's ($21.8 billion).
• Culture- McDonald's has faced various cultural threats all across the world. For example, a few years ago, McDonald's faced a big scandal for using ingredients that were not 'halaal' in Muslim countries. These types of scandals have caused harm to the brand (McDonald's). Therefore, it gets challenging for McDonald's to adapt and operate differently in the different parts of the world.