Crm And Database Marketing

Management accounting 2 Name of the Student: Name of the University: Author Note: Table of Contents INTRODUCTION ................................ ................................ ................................ .......................... 3 BODY ................................ ................................ ................................ ................................ ............. 4 THE MANAGEMENT ACCOU NTING PROB LEMS WERE FACED BY M CDONALD'S CORPORATION INDIA OP ERATIONS ................................ ................................ .................. 6 THE FOLLOWING SOLUTI ONS ADDRESS THE MANA GEMENT ISSUES CONFRONTING MCDONALD'S CORPORATI ON'S INDIAN OPERATIO NS ................... 7 CONCLUSION ................................ ................................ ................................ ............................... 8 REFERENCES ................................ ................................ ................................ ............................. 10 Memorandum To: [Audience] From: [Person and/or Department issuing the memo] Date: [Date Sent] Subject: [Subject of the Memo] NOTE: - Please use the following link as the selected magazine https://www.icmrindia.org/CaseStudies/catalogue/Marketing/MKTG374.htm#:~:text=The%20ca se%20is%20about%20the,Service%20Restaurant%20market%20in%20India.&tex t=in%20the% 20north%20and%20east,and%20another%20Hardcastle%20Restaurants%20Pvt. INTRODUCTION The title of the article is "McDonald's in India: Troubled Times, Troubled Ties". This article got published in the Journal IBS Center for Management Research in 2017 . The aim of the article is about the . The problem relates to the dispute between McDonald's and his Indian partner Vikram Bakshi, which damaged the prospects of the corporation in the attractive restaurant market of India. McDonald's entered the country in 1996 and was managed by two master franchisees: a joint venture between Bakshi and McDonalds India Privte Ltd (Mallaprag ada and Srinivasan 2017), one with Bakshi called Connaught Plaza Restaurants Limited (CPRL); a 50 - 50 joint - venture between Bakshi and McDonald's India Private Ltd (Mallapragada and Srinivasan 2017). After almost 15 years of seamless operations, during whic h McDonald's grew throughout India and became the synonym for fast food in the country, Bakshi's relations with McDonald's worsened, with the two parties leveling their allegations on the other. McDonald's stated CPRL failed to maintain the necessary quali ty level and had paid royalties for two years as a criminal offence. It tried to get CRPL at a discount. Bakshi said royalty money had been transferred to pay off McDonald's debt. Simultaneously, McDonald's entered into a friendly takeover of HRPL, which r esulted in a turnaround in the company's fortunes. McDonald's gave CPRL notice that it was closing its restaurants and terminating contracts with its suppliers. However, Bakshi maintained a distinct list of vendors. The parent firm referred to it as a cont ract breach. As the deadlock persisted, rivals began to gain traction in India's QSR industry. BODY With one of the world's most popular burgers, McDonalds is a brand that is unlikely to be overlooked. The McDonalds SWOT analysis covers how the company ach ieved this level of fame and why, whether for breakfast, lunch, or supper, individuals may prefer the neighborhood McDonalds (Grel and Tat 2017) . Strengths in the SWOT analysis of McDonalds Brand Equity...on a global scale 42% of the hamburger business in fast food restaurants in the United States Food consistency Fries, Happy Meal, Big Mac, and Egg Mc Muffin are all popular foods. International market Position on the balance sheet WEAKNESSES in the SWOT analysis of McDonalds Market share declines Ineffect ive product development Franchisees that are dissatisfied Product quality and flavor Income and proceeds growth have slowed OPPORTUNITIES in the SWOT analysis of McDonalds Growth internationally Serving less than 1% of the world's population The dining - out marketplace is expanding. Collaborations by means of merchants (e.g. superstores ). Commercial consolidation is a possibility, leading in more desirable locations for franchisees. Responding to social changes via innovation in the field of healthy foodstuffs. Its growth in heated baguettes and healthy snacks (fruit) has h elped solidify its new position . The use of CRM and database marketing to promote its customer target groups more specifically. It may be used to identify prospective purchasers (us ing modeling and consumer profiles). Strengthen your value offer and turn coffee shop customers into McDonald's. Mc Cafe's new "formats," which include Wi - Fi internet connections, should aid in segmentation. Additionally, the company installs children's pl ay areas and places a premium on teaching clients about health and fitness. Sustained focus on social responsibility of companies, with focus on reducing the environmental impact and establishing community connections. Global growth hooked on China and In dia's growing markets. THREATS in the SWOT analysis of McDonalds Industry that is mature/excessively stocked Competitiveness Consumers who are more health aware Demographic shifts Currency fluctuations; Economies A recession or economic downturn may have an effect on store sales. THE MANAGEMENT ACCOU NTING PROBLEMS WERE FACED BY MCDONALD'S CORPORATION INDIA OP ERATIONS When the McDonald's Corporation sought to extend its retail base by adding 15 shops, one each in Ludhiana and Ahmedabad, and the remainder in cities where it was already present, one of the primary issues was the cost and availability of premium real estate in key Indian cities (Pagare 2020) . Aside from the ownership structure, McDonald's approach to India differed in another way: it had no rea l estate holdings in the country. The success of any QSR shop hinged on having outlets in strategic places. Newcomers were surrounded by a moat built by the locations. There was no room for a new entrant in locations like airports, for example. It was time for McDonald's to harvest what it had sowed over the preceding two decades. The cold chain had been formed, and suppliers had stabilized and developed to provide a wide range of economic opportunities. In reality, McDonald's was the pioneer of the quick s ervice restaurant (QSR) business in India (Jakhar and Vidyarthi 2015) . McDonald's first opened its doors in India in 1996, a late arrival owing to a number of factors, including the fact that the majority of India's population is vegetarian and the country 's low spending power. The fact that India was a closed economy before to 1996 was another important managerial challenge they encountered when entering the market. Other important obstacles encountered by McDonald's in India were how to avoid offending re ligious emotions among Indian citizens and how to prevent political conflict with Indian political activists (Peggs 2018) . THE FOLLOWING SOLUTI ONS ADDRESS THE MANA GEMENT ISSUES CONFRO NTING MCDONALD'S CORPORATI ON'S INDIAN OPERATIO NS To address the issue of the majority of Indians being vegetarian, McDonald's chose to adapt its menu, introducing vegetarian options such as the Mc Veggie burger and Mc Aloo Tikki burger, and avoiding the use of pig and beef in its Indian business. To handle the restaurant's oper ations effectively, a restaurant management system was developed (Rajawat et al. 2020) . Throughout the different steps of sourcing, cooking, and serving, distinct food lines were maintained. McDonald's invested heavily in growing in India, using a cluster - based development strategy as well as the revolving door idea, in which the client enters, purchases, and then exits. Additionally, it used a pricing - upselling technique to increase its sales volume by making the items inexpensive. CONCLUSION McDonald's had several difficulties in the early 2000s, and the local populace was disgruntled with the corporation's presence in the nation. The issues arose as a result of the firms' lack of knowledge of Indian cultural and religious traditions (Jeon et al. 2016) . This shows a lack of faith and trust, particularly in the wake of fierce protests in India as a result of allegations of cow fat in the French McDonald's kitchen ice. McDonald's Delhi managing director said that beef extracts are not used in Indian locatio ns; nonetheless, considering the McDonald's empire base on beef products, it was difficult for some Indians to accept that local restaurants did not use beef extracts. When religion and cultural beliefs are involved, it is a sensitive scenario and a diffi cult one to address. McDonald's can best maintain business in India through establishing customer trust in the country. By forming a strategic collaboration with domestic rivals such as Nirula's, consumers may be swayed to dine at McDonald's. This relation ship will push McDonald's to manufacture more Indian - friendly items, such as curries that cater to local preferences and it would also help to improve th e American corporation's image. c (Yadav 2019) . McDonald's still face obstacles, but most of them have been able to attract a se ction of the Indians fascinated by Western culture. In conclusion, despite the blurring of physical boundaries between India and America, cultural aspects still impact the buying behaviors of Indian consumers and McDonald's must concentrate on acquiring th e confidence of its local client or risking defeating its rival KFC. CC: [Send copies to anyone affected by the memo.] Attachments: [List any attachments to the memo. Only list items referred to in the body of the memo.] REFERENCES Grel, E. and Tat, M., 2017. SWOT analysis: a theoretical review. Journal of International Social Research , 10 (51). Jakhar, N. and Vidyarthi, S., 2015. Not Loving It: A Critique of the Anti - Arbitration Injunction against McDonald's in Vikram Bakshi v. McDonald's India Pvt. L td. NUALS LJ , 9 , p.217. Jeon, H.J., Meiseberg, B., Dant, R.P. and Grnhagen, M., 2016. Cultural convergence in emerging markets: The case of McDonald's in China and India. Journal of Small Business Management , 54 (2), pp.732 - 749. Mallapragada, G. and Sriniv asan, R., 2017. Innovativeness as an unintended outcome of franchising: Insights from restaurant chains. Decision Sciences , 48 (6), pp.1164 - 1197. India. Available at SSRN 3719680 . The Routledge Handbook of Religion and Animal Ethics (pp. 232 - 244). Routledge. Rajawat, A., Kee, D.M.H., Malik, M.Z.B.A., Yassin, M.A.Q.B.M., Shaffie, M.S.I.B.A., Fu aat, M.H.B., AlDosari, N. and Santoso, M.E.J., 2020. Factors: Responsible for McDonald's Performance. Journal of the Community Development in Asia , 3 (2), pp.11 - 17. Yadav, A.K., A Study of Policies of Management of Material in McDonalds and Taj Hotel. INTER NATIONAL JOURNAL OF TRADE & COMMERCE - IIARTC .