Comparative study Of McDonalds & KFC

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 S.No Content Page No
1 Acknowledgement
2 Executive summary
3 Objective
4 Fast Food Industry Overview
6 KFC Overview
7 McDonalds Overview
8 STP & SWOT Analysis
9 Analysis
19 Conclusion
21 Bibliography
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ANNEXURES I
Questionnaire

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 OBJECTIVES

OBJECTIVES OF THE STUDY

1. The primary objective of the study was to learn Sales

Management.

2. The study was also aimed to understand the

marketing strategies of McDonalds and KFC.

3. Another important objective of the study the

consumer behavior in these fast food joint.

4. The study of the promotional campaign and

advertising features of these fast food joint.

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 Industry Overview
(Fast Food Industries)
Introduction

The food industry is on a high as Indians continue to have a feast. Fuelled

by what can be termed as a perfect ingredient for any industry - large
disposable incomes - the food sector has been witnessing a marked
change in consumption patterns, especially in terms of food. An increasing
number of international fast food chains rushing to India is because all of
them see tremendous potential in for this type of business. The large
upwardly mobile population in the urban areas tend to eat out more often or
business or for leisure.
The various players operating in India are the well established Indian
chains like Nirula's, Haldiram's and multinational companies like
McDonalds, Pizza hut, Domino's pizza, KFC etc.
In addition to these, apparently some of the best known international food
chains are looking at India. Among them are Great American Disaster, The
Burger King, Mexican food chain Taco grill, Move-n-pick, etc. are some of
them to name.
At present all these players are fighting for a small pie, as fast food is really
not a big habit with Indians, but they see a big potential.
The players are fighting on products, pricing, positioning and trying to
convert their first trials into regular purchase by providing delightful service
quality. The focus is on product quality and standardization on taste.
Consistency is the key, as its standardization in fast food as the consumer
is short on time and wants to satisfy his taste buds with a consistent taste
experience.
Beyond this each player has its own strategy to expand consumer base.

Some feel that pricing is not the deciding factor since fast food is
not price sensitive market because it is not a single diet of Indians.

Some others are competing on positioning which is surprisingly

varied, giving the small size of the market.

For most, targeting children seems the right strategy.

Advertising is popular.

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However, with competition hooting up most chains are increasing reach as
well as working on establishing a national presence.
The wind of change is blowing through the empire of fast food. The vision
of endless growth through new markets across the planet for fast food
companies now looks unsustainable when its time to adapt or die. As the
fast food companies have expanded around the world, they have had to
adapt to local sensitivities.
There were disturbances in India when it was learned that McDonalds's
were pre-cooked in beef fat in the USA, because Hindus revere cows and
cannot eat beef.
According to a market research company, Euromonitor International,
amount of money Indians spend in eating out has more than doubled in
past decade, to about US$ 5 billion a year and is expected to double again
in about half that time.

Trends in the fast food industry

The industry is estimated to grow at 9-12 per cent, on the basis of an

estimated GDP growth rate of 6-8 per cent, during the Tenth Five year plan
period. Value addition of food is expected to increase from the current 8 per
cent to 35 per cent by the end of 2025. Fruit and vegetable processing,
which is currently around 2 per cent of total production will increase to 10
per cent by 2010 and to 25 per cent by 2025.
The popularity of food and agro products is not surprising when the sector
is now offering a growth of more than 150 per cent in sales. With such
promise in the sector, a number of foreign companies have joined the fray.
While US brands such as McDonald's, Pizza hut and Kentucky Fried
Chicken have become household names, more are on their way.

The importance of food service industry stems from the large direct and
indirect employment it provides, the revenue it generates for the
government and the role it plays in promoting tourism.

The industry provides direct employment to 5 million individuals, five

times the IT industry and 10 times the Hotel industry.

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 There are 10 million street vendors in India, of which 6 million sell
ready to eat food.

The evolving industry is a significant contributor in terms of tax or VAT

to the economy. Currently it contributes $220 million and has the
potential to reach $770 million.

According to a report by Techno pak Analysis, the market size of the

food service sector is estimated to be $8.1 billion by 2013 and $9.6
billion by 2018. It is growing @ 5-6% per annum.

The organized segment of the restaurant industry, at 16-20% of the

total industry is more than the organized segment of the retail
industry, which currently stands at 8%, and is growing faster than the
overall restaurant industry, at 20-25% per annum.

This segment is dominated by restaurants which constitute 40% of

the market. Cafes, pubs, clubs and bars together constitute 32% of
the organized food service industry.

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 India is beginning to show up on the radar of the top food service
chains and is likely to account for 10% of new unit growth in the next
four to five years.

100% FDI is permissible in the sector under the automatic route.

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 KFC Corporation

KFC Corporation, based in Louisville, Kentucky, is the worlds most popular

chicken restaurant chain, specializing in Original Recipe , Extra Crispy
TM , and Colonels Crispy Strips chicken with home style sides and f i v e
new freshly made sandwiches. Every day, nearly eight million customers
are served around the world. KFCs menu everywhere includes Original
Recipe chickenmade with the same great taste Colonel Harland
Sanders created more than a half-century ago. Customers around the
globe also enjoy more than 300 other productsfrom a Chunky Chicken
Pot Piein the United States to a salmon sandwich in Japan. KFC continues
reaching out to customers with home delivery in more than300 restaurants
in the United States and several other countries. And in quite a few U.S.
cities, KFC is teaming up with other restaurants, Taco Bell and Pizza Hut,
selling nearly fifty years ago; Colonel Sanders invented what is now called
home meal replacement selling complete meals to harried, time-
strapped families. He called it, Sunday Dinner, Seven Days a
Week.Today, the Colonels spirit and heritage are reflected in KFCs brand
identity the logo features Colonel Harland Sanders, one of the best-
recognized icons in the world.

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KFC specialized in chicken and they says,

No bodys cooking like KFC today and we are the chicken

expertsThere is no competitor for spicy chicken which is made by
KFC

Pricing Issues

PRICING POLICY FOR PRODUCT OF TWISTER

Manufacturing cost RS. 100/-5% marketing cost (PER UNIT) RS. 5/-Total
cost RS.105/-15% G.S.T +15% RETAIL MARGIN RS.25/-Total retail Price
RS.140/-

PRICING STRATEGY FOR DEAL

Manufacturing cost RS. 140/-5% marketing cost (PER UNIT) RS. 25/-Total
cost RS.165/-15% G.S.T +15% RETAIL MARGIN RS.55/-Total retail Price
RS.220/-

Mission statement of KFC

To be the leader in western style quick service restaurants through

friendly service, good quality food and clean atmosphere

Goals of KFC

Build an organization dedicated to excellence.

Consistently deliver superior quality and value in our products and services.

Maintain a commitment to innovation for continuous improvement and

grow, striving always to be the leader in the market place changes.

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Generate consistently superior financial returns and benefits our owner and
employees. To establish in India our position as leading WQSR (Western
Quick Service Restaurant) chain, serving good value. Innovative chicken-
based products. Consistently, providing a pleasant dining experience, with
fast friendly, in a

clean and convenient location. At all times we must be

d e d i c a t e d t o providing excellent and delighting customers.

KFC History

KFC is an internationally renowned fast food industry in the world. They

have the main ambition to increase & maintain the quality in fast food
industry. Their aim is to capture the fast food market. Basically they want to
provide their products to anyone that is why they expanding their branches
in all over the world. They want to increase their profit through giving
maximum satisfaction & other better facilities to people that they want. Now
after catching such a marvelous position in the International Market, KFC
is introducing a new item Boneless Fried Chicken, with even
more attractive and charming taste.

KFC India

KFC is the worlds No.1 Chicken QSR and has industry leading stature
across many countries like UK, Australia, South Africa, China, USA,
Malaysia and many more.KFC is the largest brand of Yum Restaurants, a
company that owns other leading brands like Pizza Hut, Taco Bell, A&W
and Long John Silver. Renowned worldwide for its finger licking good food,
KFC offers its signature products in India too! KFC has introduced many
offerings for its growing customer base in India while staying rooted in the
taste legacy of Colonel Harland Sanders secret recipe. Its signature dishes
include the crispy outside, juicy inside Hot and Crispy Chicken, flavorful
and juicy Original Recipe chicken, the spicy, juicy & crunchy Zinger Burger,
Toasted Twister, Chicken Bucket and a host of beverages and desserts.
For the vegetarians in India, KFC also has great tasting vegetarian
offerings that include the Veggie Burger, Veggie

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Snacker and Veg Rice meals. In India, KFC is growing rapidly and today
has presence in 11 cities with close to 50 restaurants.

Values of KFC

Focus all our resources to our restaurants operation because

that is where we serve our customers.

Reward and respect the contributions of each individual at KFC.

Expand and update training with time and be the best we can be and
more.

Be open, honest and direct in our dealings with one and other.

Commit ourselves to the highest standard to the

p e r s o n a l a n d professional integrity at all times.

Encourage new and innovative ideas because these are the key to
our competitive growth.

Reward result and not simple efforts.

Dedicate ourselves to continuous growth in sales, profit and size of

organization.

Work as a team.

PHILOSOPHY OF KFC The CHAMPS Program

Champs stands for our belief that the most important thing each of us can
do is to focus on the customer. It stands for our commitment to provide the
best food and best experience for the best value. CHAMPS stand for the
six universal areas of customer expectation common to all cultures and all
restaurants concepts.

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THE CHAMPS
These are: -
Cleanliness
Hospitality
Accuracy
Maintenance of Facilities

Product Quality
Speed of Service

CHAMPS
I s t h e p h i l o s o p h y t o e n s u r e t h a t t h e customer
has the consistent quality experience in every restaurant,
everyday, on every occasions and you will be playing role in
delivering CHAMPS to our customers.

McDonald's India
Introduction
McDonald's in India is a 50-50 joint venture partnership between
McDonald's Corporation [USA] and two Indian businessmen. Amit Jatia's
company Hard castle Restaurants Pvt. Ltd. owns and operates McDonald's

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restaurants in Western India. While Connaught Plaza Restaurants Pvt. Ltd
headed by Vikram Bakshi owns and operates the Northern operations.
Amit Jatia and Vikram Bakshi are like-minded visionaries who share
McDonald's complete commitment to Quality, Service, Cleanliness and
Value (QSC&V). Having signed their joint-venture agreements with
McDonald's in April 1995, they trained extensively, along with their Indian
management team, in McDonald's restaurants in Indonesia and the U.S.A.
before opening the first McDonald's restaurant in India.
Mc Donald's international through its wholly owned subsidiary McDonald's
India entered into two JVs, one with Connaught Plaza Restaurants Pvt. Ltd.
in the northern & eastern region and another with Hard castle Restaurants
Pvt. Ltd. in the western & southern region.
As a leader in QSR (Quick Service Restaurant) segment McDonalds has
pioneered various industry benchmark practices over the past decade of
serving Indian customers, including new concepts such as
Restaurant count
McDonald's has 165 restaurants in India of which 90 are in north & east
India and 75 in west & south India McDonald's India..... Culturally sensitive.

McDonald's in India is a locally owned and managed company run by

Indians, employing local staff, procures from local suppliers to serve its
customers. McDonald's India opened its first family restaurant at Basant
Lok in Oct, 1996; today it has 165 Restaurants across India. This vibrant
decade has seen McDonald's evolve Indian menus, Indian sensitivities and
yet remain as globally innovative as ever. This journey has seen
McDonald's develop a rich brand identity amongst its customers and
employees as well as partners alike.

At McDonald's India we have had a single mantra: providing 100% total

customer satisfaction and the formula for achieving this goal in our
restaurant operation is the long-standing commitment to the McDonald's
Promise.

McDonald's worldwide is well known for the high degree of respect for the
local customs and culture. McDonalds has developed a menu especially for
India with vegetarian selections to suit Indian tastes and preferences.
Keeping in line with this, McDonalds does not offer any beef or pork items
in India. In the last decade it has introduced some vegetarian and non-
vegetarian products with local flavors that have appealed to the Indian

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palate. There have been continuous efforts to enhance variety in the menu
by developing more such products.

McDonald's has also re-engineered its operations repeatedly in its 13 years

in India to address the special requirements of a vegetarian menu.
Vegetable products are 100% vegetarian, i.e.,

They are prepared separately, using dedicated equipment and

utensils.

Only pure vegetarian oil is used as a cooking medium.

Cheese and sauces are completely vegetarian and egg less.

Separation of vegetarian and non-vegetarian food products is

maintained
throughout the various stages of procurement, cooking and serving.

McDonald's India has developed a special menu with vegetarian selections

to suit Indian tastes and preferences. Only the freshest chicken, fish and
vegetable products find their way into our Indian restaurants. In addition,
we've re-formulated some of our products using spices flavored by Indians.
Among these are :-
McVeggie burger,
McAloo Tikki burger,
Veg. Pizza McPuff and
Chicken McGrill burger.
We've also created eggless sandwich sauces for our vegetarian customers.
Even our Soft serves (Ice-creams) and McShakes are egg-less, offering a
larger variety to our vegetarian consumers.

International Standards.

McDonald's India's local suppliers provide us with the highest quality,

freshest ingredients. Complete adherence to the Indian Government
regulations on food, health and hygiene is ensured, while maintaining our
own recognized international standards. Fast, friendly service - the
hallmark of McDonald's restaurants the world over is the mantra we abide
by.

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Stringent cleaning standards ensure that all tables, chairs, highchairs and
trays are sanitized several times each hour. Such meticulous attention to
cleanliness extends beyond the lobby and kitchen to even the pavement
and immediate areas outside the restaurant.

Mcdonald's Philosophy.

We take the burger business more seriously than anyone else. When
McDonald's founder, Ray Kroc made that memorable statement, he was
letting the world in on the philosophy and secret behind McDonald's
phenomenal success.
Our vision to be India's best quick service restaurant experience is
supported by a set of principles and core values [McDonald's Way]
The principles that guide McDonald's...

Quality, Service, Cleanliness & Value - It is an unflinching

McDonald's ideology that our customers must always get quality
products, served quickly and with a smile, in a clean and pleasant
environment; and all at a fair price.

Committed to exceeding our customers' expectations in every

restaurant every time.

A passion and a responsibility for enhancing and protecting the

McDonald's brand.

We believe in a collaborative management approach, employing a

mutually respectful business philosophy,

We will seize every opportunity to innovate and lead the industry on

behalf of our customers.

The McDonald's Promise.

QSC&V......The Foundation that built McDonald's success. When asked to

explain McDonald's success, founder Ray Kroc used to say, We take the
hamburger business more seriously than anyone else.
Kroc was a perfectionist. From the day he opened his first restaurant, he
vowed to give his customers high quality products, served quickly -and with

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a smile, in a clean and pleasant environment, and all at a fair price. Quality,
Service, Cleanliness and Value (QSC&V) became the philosophy that
drove McDonald's business.
McDonald's Quality Management instills the culture of quality through such
principles as being customer driven, managing with facts, valuing people,
and continually improving every aspect of our business. Service that is fast
and friendly and has always been a foundation for success at McDonald's.
Cleanliness for us means having the cleanest and freshest facilities from
the kitchen to the rest rooms and parking lots. Value at McDonald's means
the total experience...... great food, friendly folks, a clean environment,
quick and accurate service and fun.
McDonalds global

McDonald's has over 30,000 local restaurants in more than 120

countries 70 percent of our restaurants worldwide are owned and
operated by independent, local businessmen and businesswomen.

McDonald's serves nearly 50 million customers each day

McDonald's first franchised restaurant opened at Des Plaines,

Illinois in 1955 by the founder Ray Kroc

McDonald's has its own Hamburger University in Illinois, and the

first batch graduated in 1961.

12 classes offered at Hamburger University are college accredited

In 1963, McDonalds sold its one billionth hamburger

McDonald's is listed on the New York, Frankfurt, Munich, Paris and

Tokyo stock exchanges

McDonald's aired its first network TV advertisement McDonald's -

Wise Quality Starts Fresh Everyday, in 1965

The first McDonalds Drive-Thru opened in Sierra Vista, Arizona in

1975

Happy Meals were added to McDonald's menu in 1979

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 McDonald's launched the new worldwide Balanced Active Lifestyles
public awareness campaign in 2005

McDonald's celebrated its 50th Anniversary on April 15, 2005

Achievements.

McDonald's India - A decade of quality service

For its unparalleled benchmarks established in the QSR sector McDonald's
India has been bestowed with many prestigious awards. To name a few:

Most respected company for four consecutive years, 2003-2007 in

the food services sector by business world

Most wanted brand of the year award 2003 & 2004 by franchising
holdings India ltd.

Retailer of the years award for catering services, 2004-2006 at the

images retail awards

The most preferred fast food outlet 2006 & 2007 by awaaz
consumer award hosted by CNBC

Star retailer - the consumer way, food services retailer' of the year
2006 by franchise India

Amity corporate excellence award' in 2007

Received CNBC consumer award in2009 in QSR category

McDonald's worldwide is well known for the high degree of respect for the
local culture of each market it operates in. In line with this respect for local
culture, India is the first country in the world where McDonald's does not
offer any beef or pork items. McDonald's has developed a menu especially
for India with vegetarian selections to suit the Indian palate, and has also
re-engineered its operations to address the special requirements of
vegetarians. Special care is taken to ensure that all vegetable products are
prepared separately, using dedicated equipment and utensils. This
separation of vegetarian and non-vegetarian food products is maintained

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throughout the various stages of procurement, cooking and serving. So
much so that the mayonnaise and soft serves are also 100% vegetarian,
and McDonald's uses only vegetable oil as a cooking medium in India.

McDonald's India Journey

1996 the first McDonald's restaurant opened on Oct. 13, at Basant Lok,
Vasant Vihar, New Delhi. It was also the first McDonald's restaurant in the
world not serving beef on its menu

1997the first Drive -Thru restaurant at Noida (UP)

the first disabled friendly store at Noida (UP)

1999the first Mall location restaurant at Ansal Plaza (New Delhi)

2000the first highway restaurant at Mathura (UP)

2001the first thematic restaurant at Connaught Place (New Delhi)

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2002 The first restaurant in a food court at 3C's, Lajpat Nagar (New
Delhi)

The first restaurant at the Delhi Metro Station at Inter State Bus Terminus

The first fundraiser in association with ORBIS and Dr. Shroff's Charity Eye
hospital.(Delhi)

2003... The first Dessert Kiosk - Faridabad (Haryana)

2004 McDonald's Delivery Service (McDelivery) introduced in New Delhi

2003-04Indigenous products like McAloo Tikki, McVeggie and Pizza

McPuff exported to Middle East countries

2006 McDelivery on Bicycles flagged off at Chandni Chowk (Delhi)-

another first initiative by McDonald's India. 100th McDonald's Restaurant in
India 10th Year Anniversary

2007 The first McDonald's open in Eastern Region at Park Street, Kolkata

The first restaurant opened at Airport (Domestic Airport, New Delhi)

The first MFY restaurant opened at Greater Noida, Uttar Pradesh

2008The First restaurant to start extended hours procedure at Cyber

Greens, Gurgaon and Saket, New Delhi

The first restaurant to start Breakfast Menu at Janpath, New Delhi

2009The first McDonald's Restaurant opens at Old Delhi Railway Station

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2010The first reimaged new look restaurant opened at Ambiance mall,
Vasant Kunj 6

2011 McDonald's introduces premium products in it is menu - McSpicy

range of products

McDonald's introduces Mcflurry (premium desserts) in Oreo and chocolate

crispy flavors

McDonald's introduces Wi-Fi across Delhi/NCR region

STP &SWOT Analysis

McDonalds

Parent Company McDonalds

Category Fast food eating joints

Sector Food Products

Tagline/ Slogan I'm Loving it

USP Excellent food quality and great service

STP

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 People willing to have a hygienic and
delicious non conventional meal at a
Segment restaurant

Children and youth from middle and

Target Group upper class

A fun filled food joint the entire family to

Positioning enjoy

SWOT Analysis

1.Huge popular brand name and high

brand loyalty

2.High number of products

3.Hygenic food and quick service

4.Drive in service for motorists

4.Good advertising and marketing

Strength 5.Happy meal for attracting children

1.High fat and high calorie food not good

for health conscious people
Weakness 2.Franchise management

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 1.McDonald's can improve home delivery
service

2.Get more innovative products for the

vegetarian market

Opportunity 3.Venture into newer markets

1.Threat from other eating

joints/restaurants

Threats 2.Health conscious people

Competition

1.KFC

2.Pizza Hut

3.Dominoes

4.Subway

5.Burger King

6.Smokin Joes

7.TacoBell

Competitors 8.Papa John's Pizza

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 Analysis
1. Have you ever been to the fast food joint McDonalds?
Yes, 40
No 10
If your answer to the above question is
No, then do you plan to visit the joint in near future
Yes, 9
No 1

Visited Mcdonalds Will Visit Mcdonald

NO; 10.00%
NO; 20.00%

YES; 80.00% YES; 90.00%

When we started the interview at the McDonalds outlet we asked some of the
people who were rooming in the DB malls food court and 80% people said they
have visited the McDonalds and rest said they will be visiting it soon.

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 2. What do you think of the product prices?
Consumer friendly. 25
Average. 15
Highly expensive. 10

Product Price

Highly expensive; 20.00%

Consumer friendly; 50.00%

Average; 30.00%

Most people thought that the price of the McDonalds product is quite reasonable
and is economical and affordable.

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 3. Are you satisfied by the current product line or the Menu at Mcdonalds?
Yes 42
No 8

Satisfied by Product line

NO; 16.00%

YES; 84.00%

Most people who visit the McDonalds restaurant are satisfied with the product line
with certain exceptions which was found in old people who still dont get the
concept of burger and pizza as fast food, still they visit as their children and grand
children wants them too.

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 4. Which kind of fast food you buy more often?
Burger 38
Pizza 12

Taste Preference

Pizza; 24.00%

Burger; 76.00%

People who visit McDonalds definitely prefer Burger over Pizza.

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 5. How often do you visit McDonalds?
Occasionally 29
Monthly 21

Visit to Mcdonalds

Monthly; 42.00%

Occasionally; 58.00%

People visit McDonalds on Occasional basis not on monthly terms. People in

Bhopal do not go to McDonalds for meals but they visit the joint to celebrate the
occasion which they want to celebrate with family and friends.

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 6. Do you think McDonalds provides neat & clean environment?
Strongly disagree 1
Disagree 3
Neutral 10
Agree 14
Strongly agree 22

Neat & Clean Environment

Strongly disagree; 2.00%

Disagree; 6.00% Neutral; 20.00%

Strongly agree; 44.00%

Agree; 28.00%

Most people thought that McDonalds location and the way in which its maintained
is very good its a neat and clean place and the staff work really hard to maintain it.

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7. Do you think the McDonalds staff takes care of its customers?
Strongly disagree 2
Disagree 7
Neutral 12
Agree 12
Strongly agree 17

Positive Staff Behaviour

Strongly disagree; 4.00%

Strongly agree; 34.00% Disagree; 14.00%

Neutral; 24.00%

Agree; 24.00%

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Most of the people who were interviewed agreed that staff of McDonalds did take
care of them and they were very polite in interaction and are very friendly in
nature

8.
9. Do you think McDonalds provides a best birthday parties arrangement?
Strongly disagree 5
Disagree 7
Neutral 20
Agree 10
Strongly agree 8

Birthday Party Arrangement

Strongly disagree; 10.00%

Strongly agree; 16.00% Disagree; 14.00%

Agree; 20.00%

Neutral; 40.00%

Bhopal still does not have the culture of celebrating birthdays outside but now the
trends are changing slowly and in the coming future this type of events will be
more frequent in McDonalds.

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 10. On a scale 1 to 4 where 1 represent excellent and 4 represent poor.
- How would you rate McDonalds fast food?
Excellent 20
Good 18
Satisfactory 8
Poor 4

Mcdonalds Rating

Poor; 8.00%
Satisfactory; 16.00%
Excellent; 40.00%

Good; 36.00%

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Most of the people thought that McDonalds is a good place to hang out with
family and friends and is economical to the pocket also.

During the project we asked some questions to the McDonalds outlet

manager for which he answered in the following way.

How many customers visit the McDonalds outlet daily?

Around 2000/ day.

Which is the most popular product amongst the Bhopal crowd?

Mac Alloo Tickky

How many people are working in the McDonalds?

40

Can you please describe the organization structure in brief?

Crew member -> Assistant Manager -> Restaurant Manager -> Area
Manager

Did you find any particular pattern in consumer behavior in Bhopal?

They are more sophisticated compared to other cities; they are polite
and wait for their turn without causing any fuzz.

Do you think McDonalds is successful in Bhopal?

McDonalds is a huge success in Bhopal

Is there any scope of opening more branches in the city?

We are coming up with another branch in November in Aura Mall.

I heard that McDonalds deal in real estate. Is it true? If so how the

system function?
It is very true that McDonalds deal in real estate as it owns the space
where it has established but as in India McDonalds could not
purchase the land so they have tied up with two business house they

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 own the space and take the McDonalds franchise and do the
business with some profit sharing basis.
In India, McDonald's has two Indian entrepreneurs. Amit Jatia, Vice
Chairman, Hardcastle Restaurants Pvt. Ltd which has been awarded
a Development Licensee spearheads McDonald's operations in West
& South India, while McDonald's restaurants in North & East India is
a joint venture with McDonald's Corp managed by Vikram Bakshi's
Connaught Plaza Restaurants Private Limited.

McDonald's ensures that the transfer to a Development Licensee

takes place only after the financial strength, viability, profitability and
long term sustainability of the business is assured.

McDonald's is present in about 52 towns and cities across India.

There are around 250 McDonald's restaurants in the country out of
which Hardcastle Restaurants Pvt. Ltd owns approximately 135 in the
various locations of Andhra Pradesh, Gujarat, Karnataka,
Maharashtra and Tamil Nadu which includes formats like Kiosks,
Drive Thru's and affiliation with Petrol Pumps in addition to the regular
family restaurants.

What is the best part working in the McDonalds?

At McDonald's, I believe, the training imparted here is equivalent to
that of an MBA as our Management Development Programme
provides an in-depth knowledge of subjects that are covered in an
MBA, like leadership skills, time management, business controls and
inventory maintenance, to name a few. It has been a wonderful
learning experience and at the same time, a thoroughly enjoyable
one. At McDonald's one is not relegated to one department alone, its
hands on training across all departments.
Describe the work culture of the McDonalds?
McDonald's India is an employer of opportunity, providing quality
employment and long-term careers to professionals across the
country. The average McDonald's restaurant employs 40-60 people
from crew to restaurant manager. McDonald's invests in its
employees, leveraging world class-training inputs to create

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 ambassadors of the brand and creating food service professionals
with global outlook.

Conclusion
With growing disposable income and changing dietary habits, the demand
for fast foods and organized food chains is rising in India. International
brands have enhanced their presence as have existing domestic ones and
newer start ups seeding every day. While growth in organized segment is
over 20%, the market is still significantly unorganized in comparison to
many Asian peers, and we expect this to change rapidly in this decade. We
expect this to be consumer driven on back of need for higher quality,
hygiene, nutrition and disposable incomes. Most of these drivers are
gaining fast traction on back of experience from organized segment and
consumer education from various sources.

The food services industry in India is at an inflexion point and despite the
challenges, we believe this will be one of the best performing growth
sectors in India driven by the graduating and increasingly aware consumer
and compelling demographics in India.

In India, the company has to market products to a group of people who

prefer family dining. Thus, McDonalds was marketed as a fine dining
restaurant where a family can enjoy group meals in a comfortable set up.
Incorporating this philosophy in the USP of the company, McDonalds
launched a series of television commercials, such as Toh Aaj McDonalds
Ho Jaye (Lets go to McDonalds today) and McDonalds Mein Hai Kuch
Baat (McDonalds has something that attracts you). Initially, the restaurant
targeted children and teenagers. In 2004, the Happy Price Menu was
launched to attract price-sensitive middle-class individuals to the
restaurants. In 2008, a new advertising campaign, Prices of the
Yesteryears, was launched to attract teenagers as well as adults

McDonalds has become the leading brand in chained retail food services
in India (2009). With a blend of Indian flavor in fast food products,
McDonalds has been able to attract the loyalties of Indian customers.
Interestingly, sales in India became a boon for recession-hit McDonalds in
western nations. While McDonalds restaurants in the US faced losses in

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business due to the economic turmoil, their Indian counterparts continued
to move on an upward trajectory.

Bibliography

I would like to thank Prof. Sonia Raizada for her support and guidance in
preparing the project report. Different sites from where the supports were
taken are-
www.thirdeyesight.in/articles/mcdonalds.htm
www.buddingmarkets.com/?p=39\
www.mcdonaldsindia.com

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Sample McDonalds Questionnaire
Name: _________________________
Sex: ______________________
Email Address:_________________
D.O.B.:___________________

1. Have you ever been to the fast food joint McDonalds?

Yes,
No
If your answer to the above question is
No, then do you plan to visit the joint in near future
Yes,
No
2. What do you think of the product prices?
Consumer friendly.
Average.
Highly expensive.
3. Are you satisfied by the current product line or the Menu at Mcdonalds?
Yes
No
4. Which kind of fast food you buy more often?
Burger
Pizza
Sandwich
5. How often do you visit McDonalds?
Occasionally
Monthly
Weekly
6. Do you think McDonalds provides neat & clean environment?
Strongly disagree
Disagree
Neutral
Agree
Strongly agree
7. Do you think the McDonalds staff takes care of its customers?
Strongly disagree
Disagree
Neutral
Agree
Strongly agree
8. Do you think McDonalds provides a best birthday parties arrangement?
Strongly disagree
Disagree
Neutral
Agree
Strongly agree

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 9. On a scale 1 to 4 where 1 represent excellent and 4 represent poor.
- How would you rate McDonalds fast food?
Excellent
Good
Satisfactory
Poor

Question asked to the McDonalds manager.

How many customers visit the McDonalds outlet daily?

Which is the most popular product amongst the Bhopal crowd?
How many people are working in the McDonalds?
Can you please describe the organization structure in brief?
Did you find any particular pattern in consumer behavior in Bhopal?
Do you think McDonalds is successful in Bhopal?
Is there any scope of opening more branches in the city?
I heard that McDonalds deal in real estate. Is it true? If so how the
system function?
What is the best part working in the McDonalds?
Describe the work culture of the McDonalds?

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