Develop Partnering Relationships Assignment

Develop Partnering Relationships Assignment


MacDonald’s is a famous fast food chain whose specialty have been the burger but over the years company is moved fast in the market and many different eateries are launched across the world. In last 10 years company has aggressively forayed in emerging markets and have established footprints before the growth curve for the market began. One can see markets of Brazil and India where MacDonald’s is now a known and trusted brand. As we have pointed out, there is a lot of complexity that will have to be mastered to have these types of capabilities. It is best attacked on multiple fronts to have the various capabilities. This is largely because a single solution for Me Marketing does not yet exist. Thus, consumer goods manufacturers will have to develop partnering relationships, invest in the right people/processes/technology to sustain the new capability, begin obtaining and understanding a deeper level of loyalty data, obtain predictive modeling expertise to link offers and activities to promotional outcomes, and do all of this in new mobile mechanisms.

Supply chain wonder

Develop Partnering Relationships AssignmentIn contrast, McDonald’s has posted a healthy 20% net profit margin for each of the last three years, a trend which is reflected in its three-year weighted ROA of 16% this year. This, coupled with respect from the voting community, nudged McDonald’s — by the slimmest of margins, with a composite score only slightly ahead of Amazon’s — into the No. 2 slot.

Both have leading practices to share with the supply chain community. McDonald’s stands out with strong new product launch capabilities, excellence in execution consistency coupled with a recent re-emphasis on a strong customer experience, advanced demand sensing and forecasting capabilities across geographies, and an impressive supplier collaboration framework and philosophy that underpins its “never-stockout” mindset.

Quality system

McDonald’s has moved from a system of manual quality measurements for its bakery to a photo analysis system that assesses bun size, shape, color and sesame seed distribution — automatically adjusting ovens and processes thereby saving thousands of pounds in wasted product per year. Operational technologies are not only consumers of data for process automation, but also valuable sources of data for operational and strategic purposes.

Five Forces Analysis.

Develop Partnering Relationships AssignmentBargaining power of customers: It has generally increased over the period of time with huge changes in dynamics of the industry whole gamut of offerings.

Bargaining Power of Suppliers: Suppliers of potato and key raw materials are becoming highly demanding and hence the cost has been escalated for the company.

Threat of New entrant: There have been many new entrant in the business although McDonalds as a brand is winning as of now

Threat of Substitute Product: Industry dynamics are growing and ever-changing. This is the reason why threat of substitute is very high.

Competitive rivalry: Competitive rivalry is huge in the business.

Product Life Cycle:

Product has presence in growth markets and in mature markets and hence one can attribute major region as emerging markets. The company as a whole is still passing through growth stage.


  • In service industry quality is the main criteria, you main focus should be on quality management.
  • Believe in localisation in products but global view on standards to be followed.


Service industry is very critical in survival of most of the countries and it is the organisation which are part of the same which will help them. Corporations should focus on new markets, with local view and then make it presence in the market. We can see example of how Mcdonalds of how they have done it. With this perspective we would suggest Starbucks to move into emerging markets.


  • Dianne H.B. Welsh, Peter Raven, Nasser Al-Mutair, (2008) “Starbucks International enters Kuwait”, Journal of Consumer Marketing, Vol. 15 Iss: 2, pp.191 – 197
  • Joan F. Marques, (2008) “Spiritual performance from an organizational perspective: the Starbucks way”, Corporate Governance, Vol. 8 Iss: 3, pp.248 – 257
  • Anne P. Crick (2011), New Third Places: Opportunities and Challenges, in Arch G. Woodside (ed.) Tourism Sensemaking: Strategies to Give Meaning to Experience (Advances in Culture, Tourism and Hospitality Research, Volume 5), Emerald Group Publishing Limited, pp.63-77
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