LEVENDARY CAFE ANALYSIS Essay Example | Topics and Well Written Essays - 1750 words

LEVENDARY CAFE ANALYSIS - Essay Example Thus, she still cannot be considered as a seasoned CEO and still needs to prove her capability and efficacy for the responsibility. She still does not have any experience in establishing international or multinational brand either and while she had worked in a global accounting firm, the industry is way different from Lavendery Cafà © and thereby did not provide her the necessary learning curve for her new job. The rest of the management issues that Lavendery CEO MIA Foster is facing sprouted on this relative inexperience of hers. The most obvious difficulty that Foster is facing is how to manage their China point person, Louis Chen. Chen made a remarkable progress in establishing Lavendery presence in China with only a short period of time. Even Foster admitted that Chen is an asset to the company only that he is difficult to manage. Chen seems non-cooperative with Foster in standardizing its operation according to its parent company in the USA as well as to conform to the company’s format in financial reporting. Chen’s adamant to respect Foster’s authority may have been attributed by the fact that he was hired by Lavendery’s founder Howard Leventhal and not Foster herself. They have several clashes with regard to their business strategy as well as their formats in their financial report. Chen seemed to have â€Å"redesigned† the concept of Lavendery Cafe in China that infuriated its Chief Concept Officer Lucian Lelerc to the point of asking Mia Foster to stop Chen now. Unlike in the United States where the concept of Lavendery Cafe is uniform and standardized with slight variations to accommodate a specific peculiarity of a regional market (i.e. offering few soup items and more drink options in the South and allowing one or two regional specialties to be added to its core menu where it is listed in its menu items in order of local popularity) Chen seemed to have taken the variation to the extreme with only Pudong and Beijing embassy row that has semblance to its counterpart in the US. Chen’s seeming non-cooperation to make his financial reporting conform with company format that is consistent with the Generally Accepted Accounting Practic e (GAAP) is also a special concern for Foster because this can have implication not only in the operation of their business but will also have legal consequences. The Chinese operation is reflected in the financial statement of Lavendery Cafe which will also be reported in turn to the Securities and Exchange Commission according to GAAP standards. Any deviation from good accounting practices may be penalized by SEC especially in this time of heightened awareness in accounting (Enron aftermath) and this could affect the image and the brand of the company whose repercussions are long-term. This will also incur unnecessary cost and manpower in reconciling the format of financial reports in hiring an external financial analyst. In short, Mia Foster’s relationship with Louis Chen is problematic to say the least as Chen seemed antagonistic in listening to the directives of the CEO. Their conflict however in this kind of venture that involves multinational entity is not uncommon Chi na due to their clashing culture and values (Tjosvold et al 168). With regard to whose perspective will works in China, it would also debatable to use Foster and Lelerc perspective as a yardstick in determining what is the best approach in gaining foothold in a foreign market considering that both do not have experience in establishing a brand in foreign market. Moreso when Lavendery Cafe’s foreign market presence is only limited to Dubai and China. 2.

Sustainablility practice Essay Example | Topics and Well Written Essays - 3000 words

Sustainablility practice - Essay Example nd, that the recent growth in tourist related number is adversely impacting not only the local culture endemic to the land, but is also causing irreparable harm to the environment. As such, sustainable tourism activities, such as the one describe herein, are essential to the future of the country, in addition to the necessity of meeting the current needs of the people and land. The objective of this report is to highlight sustainable tourism operations in Thailand and to illustrate the critical need to further develop this endeavour in order to protect both the land and the environment of this Southeast Asian nation. This objective was primarily accomplished by researching currently literature related to sustainable tourism in Thailand, as well as conducting an in-depth analysis of the Thailand Tourism Authority of Thailand’s website. It was discovered that, while sustainable tourism is on the rise throughout the nation, there is still far too much reliance on international projects, which are creating harm to the land, the people, and the culture. In the future, more focus is needed in terms of developing tourist operations that are directly impacting the people of Thailand, while doing little to no harm to the environment in which they live. Throughout time, tourism has been in a constant state of change, and along with it has come a consistent need to look towards the future. For tourism to be sustainable, and for it to have a positive environmental effect for future generations, companies must look for ways to protect the lands in which they operate. The average tourist today has different expectations that have been evolving over the years. While the tourist industry has struggled at time to keep up with global demand, it has largely performed brilliantly across various sectors (Hamzah & Hampton, 2011). The flip side of this, however, has bough about grave environmental concerns that, left unaddressed, will completely alter the tourist landscape of

Business research Skills Essay Example | Topics and Well Written Essays - 2000 words

Business research Skills - Essay Example The study revealed that the general confidence of students increases from first year to third year. Introduction In today’s society, education has a vital role to play in political, economic, cultural, social as well as intellectual life. It has the ability to increase the quality of life for individuals. Tertiary education, also referred to as third level education is particularly essential in improving individuals’ lifestyle. In addition, third level education can help individual secure exciting job opportunities. It represents a crucial transition for students as they join from secondary school and most of them will go out to the job market upon completion. It is a transition from school life to employment. When students join college or universities from secondary school, they are always looking naive and they do not know what to expect at the tertiary level. They do not have any research skills or they have too little if any. For most of the students, it is a dream come true when they join universities and college but their confidence is usually very low (Shapiro, 2009). In fact, some do not have any confidence at all. Studies have indicated that most students who have dropped their studies at the tertiary level always drop while in their first year. There are a number of reasons that can result to the dropouts. One of the reasons is their lack of confidence. Higher education is a complete new experience for them (Burton & Schofield, 2011). For any individual, new experience always have a strong impact and is usually essential determinant of their progress to the next level. First year is a challenging year for many students. It is viewed as a make or break year to them. Students who progress past first year have a higher chance of completing their studies since their confidence builds up as they advance towards the third year. Epistemology This term generally means knowledge. In philosophy, it refers to the scope of knowledge as well as the n ature of knowledge (Rescher, 2003). It addresses the ways in which knowledge is acquired. In addition, it gives a distinction between true knowledge and untrue knowledge. Education is all about acquiring knowledge. When a student joins college or university, their main objective is to extend their knowledge so that they can be ready for the job market. Lack of knowledge keeps their confidence at a low level. However, as they acquire knowledge across their 3 years in the university, their confidence increases and they can be ready to work on their own. Their epistemology increases and their confidence also increase in the process. Ontology Ontology refers to the study of the nature of reality or existence. It attempts to explain the entities that exist, how they exist and why they exist (Adelsberger, 2008). This term is usually confused with epistemology. However, it can be used in the context of knowledge sharing where it means specification of a conceptualization. It describes conc epts as well as relationships that might exist for a given agent. Ontologies in technology are domains that can be understood by computers and can be used in research. They assist in sharing information within education systems and they also personalized student support. Therefore, ontologies can be effective in improving the students’

Sex, gender and advertising Essay Example | Topics and Well Written Essays - 2500 words

Sex, gender and advertising - Essay Example This essay "Sex, gender and advertising" outlines the problem of the inequality and sometimes an irrespective image of some gender of an ethnical group in the advertisement. The role of advertising in portraying the sexual aspects is one of an important one since it makes the distinction as to what comes clearly under its jurisdiction and what is not a part of the fragment that we are touching upon. The role played by the human beings in a sexual mode is one of a taboo kind since it invites for a lot of harsh judgment and bitter thoughts start pouring in left, right and center. The racial and sexual stereotypes are removed before a message is deemed to be appropriate for a certain medium, let alone fit for the consumer to understand and seek some sort of change within the purchasing cycle of which he/she has to become a part of. Apart from the ‘what’ and the ‘how’ factors, it is also quite imperative here to state that the number of times the actual message is going to be run on television or radio or the size of the print ad in the newspapers and magazines or the exact placement of the billboard or shop sign in the outdoor medium reflects the favorable or unfavorable response from the people. So the amount of times the message is hit on the consumer’s mind and the heart reflects his or her positive or otherwise feelings about the product, not to forget the persuasion or repulsion towards this product as well. In the former case when the persuasion has taken place, he or she will now move on to the next step of purchasing the product.

The doctrine of Christ and Holy Spirit Essay Example | Topics and Well Written Essays - 1500 words

The doctrine of Christ and Holy Spirit - Essay Example Throughout his explanation, he desires to reintroduce the ideologies that attempted to rationalize the principles of scripture and depict why they fell off the mark. His writings seeks to instruct the essentials of Christ's time and purpose on earth. He brings forth wisdom as well as understanding by dismantling the dogmas into rudimentary form. Core issues: One of the key fundamental issues that give Christendom its grandiose power and influence is the doctrinal divine mystery of Christ. Grudem illuminated that essential aspect one must know is that he was fully God and man. He addresses the cynics and teaches believers that the being of Christ had to fully manifest in both entities to be our atonement for our sins. "The Holy Spirit will come upon you and the power of the Most High will overshadow you; therefore the child to be born will be called holy, the Son of God." (Luke 1: 35; cf. 3: 23) The Holy Spirit overshadowing Mary, mother of Jesus, is didactic of illustrating that salvation can only come from God without the aid of human effort -other than utilizing Mary as human vessel. Furthermore, Grudem set out to promulgate that Christ is the fusion of God and man without original sin. Christ's holiness seems to bedazzle many sceptics as to Jesus' sinlessness. Many wonder how can Jesus be sinless if his mother was a descendent of the sinful Adam. The dogmas of Catholicism assert that Mary was also without sin and transferred that characteristic via womb to Jesus. Grudem, however, extirpates that assertion and instructs that the union of God and man prevented Jesus from sinning. (Pg. 538) Grudem hypothetically raised the question of the... Purpose of Book: His purpose throughout this book, especially through this section (The Doctrine of Christ and Holy Spirit) is instruct and explain the fundamental dogmas of Christianity. Throughout his explanation, he desires to reintroduce the ideologies that attempted to rationalize the principles of scripture and depict why they fell off the mark. His writings seeks to instruct the essentials of Christ's time and purpose on earth. He brings forth wisdom as well as understanding by dismantling the dogmas into rudimentary form. Grudem also illuminated the relevancy of Jesus ministry on earth through several points. Not only was he the atonement of sin but also a laymen's example of walking in the Christian faith, a mediator between God and men, the fulfilment of God's original purpose on earth, and a sympathetic high priest that can understand the struggles of man. Ultimately, Grudem claims, based on scripture, the Jesus was both fully God and fully man. After making that claim, he attempts to discredit other variations of the duality of Christ. Apollinarianism was a teaching deemed a heresy because it fell short of matching the description of Christ engendered in the bible. Apollinaris, who became bishop in Laodicea, France, taught that the entity of Christ was a mixture of flesh and spirit.

Environmental Groups Essay Example for Free

Environmental Groups Essay Environmental Groups Tiffany Tremaine May 2, 2011 Environmental Policies 310 Instructor: David Monda Environmental Working Group known as EWG is an Environmental interest group working to protect kids from toxic chemicals in our food, water, air, and other products we use every day. The mission of the Environmental Working Group is to use the power of public information to protect public health and the environment. EWG is a 501(c) (3) non-profit organization, founded in 1993 by Ken Cook and Richard Wiles. In 2002, we founded the EWG Action Fund, a 501(c) (4) organization that advocates on Capitol Hill for health-protective and subsidy-shifting policies. EWG specializes in providing useful resources (like Skin Deep and the EWGs Shoppers Guide to Pesticidesâ„ ¢) to consumers while simultaneously pushing for national policy change. EWG two main goals are to protect the most vulnerable segments of the human population—children, babies, and infants in the womb—from health problems attributed to a wide array of toxic contaminants and to replace federal policies, including government subsidies that damage the environment and natural resources, with policies that invest in conservation and sustainable development. Their research brings to light unsettling facts that you have a right to know. It shames and shakes up polluters and their lobbyists. It rattles politicians and shapes policy. It persuades bureaucracies to rethink science and strengthen regulation. It provides practical information you can use to protect your family and community. And because our investigations and interactive websites tend to make news, youve probably heard about them. EWG primary funding is donations, grants, corporations backing, as well as interest and support from every day people. The cost is whatever the member (supporter) would like to donate. There are many different ways to donate and the donations can either be tax right offs or not. EWG gives many ways to donate, credit card or check, and their supporters can either make a one-time contribution or pay monthly. The donation helps support EWG Action Funds Kid-Safe Chemicals Campaign fight for organic produce, get dangerous chemicals out of your food and water, and protect your favorite national parks from mining destruction. In 2009 and 2010 EWG have accomplished Toxic chemical reform, Energy policy, Banning BPA, Highlighting cell phone radiation risks, Shedding light on secret chemicals, Pushing for more effective sunscreens, Banning phthalates, Phasing out Deca, Protecting ground water from gas-drilling chemicals, Saving the Grand Canyon, and Fighting for safer tap water. EWG motives, viewpoints, and organizational features make them successful in the public policy arena. This Environmental Working Group is successful in the public policy arena. After researching just a couple of their accomplishments are in the public arena. References Z. Smith, 2009, The Environmental Policy Paradox, 5th Edition 1993, http://www. ewg. org/

Mcdonalds Corporation Is The Worlds Largest Chain Marketing Essay

Mcdonalds Corporation Is The Worlds Largest Chain Marketing Essay McDonalds Corporation is the worlds largest chain of fast food restaurants, serving nearly 47 million customers daily through more than 31,000 restaurants in 119 countries worldwide. McDonalds sells various fast food items and soft drinks including, burgers, chicken, salads, fries, and ice cream. Many McDonalds restaurants have included a playground for children and advertising geared toward children, and some have been redesigned in a more natural style, with a particular emphasis on comfort: introducing lounge areas and fireplaces, and eliminating hard plastic chairs and tables. Each McDonalds restaurant is operated by a franchisee, an affiliate, or the corporation itself. The corporations revenues come from the rent, royalties and fees paid by the franchisees, as well as sales in company-operated restaurants. McDonalds revenues grew 27% over the three years ending in 2007 to $22.8 billion, and 9% growth in operating income to $3.9 billion.  [1]   History analysis: The business began in 1940, with a restaurant opened by brothers Dick and Mac McDonald in San Bernardino, California. Their introduction of the Speedee Service System in 1948 established the principles of the modern fast-food restaurant. The original mascot of McDonalds was a man with a chefs hat on top of a hamburger shaped head whose name was Speedee. Speedee was eventually replaced with Ronald McDonald in 1963. The present corporation dates its founding to the opening of a franchised restaurant by Ray Kroc, in Des Plaines, Illinois on April 15, 1955 , the ninth McDonalds restaurant overall. Kroc later purchased the McDonald brothers equity in the company and led its worldwide expansion and the company became listed on the public stock markets in 1965. With the expansion of McDonalds into many international markets, the company has become a symbol of globalization and the spread of the American way of life. Its prominence has also made it a frequent topic of public debates about obesity, corporate ethics and consumer responsibility.  [2]   Vision To be the best and leading fast food provider around the globe Mission McDonalds brand mission is to be our customers favorite place and way to eat, and improve our operations to provide the most delicious fast food that meet our customers expectations. Values Our values summarized in Q.S.C. V.. Provide good quality, services to customer. Have a cleanliness environment when customer enjoys their meal. The value of food product makes every customer is smiling. Suppliers Substitutes Buyers Potential entrants Competitive rivalryThe Five Forces Framework The Threat of Entrants Large established companies with strong brand identities such as McDonalds BKC, YUM, and WEN do make it more difficult to enter and succeed within the marketplace; new entrants find that they are faced with price competition from existing chain restaurants. Bargaining Power of Buyers Low bargaining power of buyers. Bargaining power of suppliers Bargaining power of suppliers within the fast food industry would be relatively small, unless the main ingredient of the product is not readily available. Threat of Substitutes This could range from a competitive fast food restaurant to family restaurant to a home cooked meal. Competitive Rivalry The strength of competition in this industry is very high; the main rivals are BKC, YUM, and WEN. They compete with international, national, regional, local, retailers of food products (restaurants, quick service, pizza, coffee shops, and supermarkets). PESTEL Framework: Political: The international operations of McDonalds are highly influenced by the individual state policies enforced by each government. Economic: McDonalds has the tendency to experience hardship in instances where the economy of the respective states is hit by inflation and changes in the exchange rates. Market leader. Very high target market. Low cost and more incomes. The rate at which the economy of that particular state grows determines the purchasing power of the consumers in that country. Social: Working within many social groups. Increase employments. Technological Advanced technology development. Quality standards. Environmental: Quality packing. Local manufacture using foreign supplies. Legal: Legislation for product. Sustained logo. SWOT ANALYSIS Opportunities Threats Growing health trends among consumers Globalization, expansion in other countries (especially in China India). Diversification and acquisition of other quick-service restaurants. Growth of the fast-food industry. Worldwide deregulation. Low cost menu that will attract the customers. Freebies and discounts. Health professionals and consumer activists accuse McDonalds of contributing to the countrys health issue of high cholesterol, heart attacks, diabetes, and obesity. The relationship between corporate level McDonalds and its franchise dealers. McDonalds competitors threatened market share of the company both internationally and domestically. Anti-American sentiments. Global recession and fluctuating foreign currencies. Fast-food chain industry is expected to struggle to meet the expectations of the customers towards health and environmental issues. Strength Weakness Strong brand name, image and reputation. Large market share. Strong global presence. Specialized training for managers known as the Hamburger University. McDonalds Plan to win focuses on people, products, place, price and promotion. Strong financial performance and position. Unhealthy food image. High Staff Turnover including Top management Customer losses due to fierce competition. Legal actions related to health issues; use of trans fat beef oil. Uses HCFC-22 to make polystyrene that is contributing to ozone depletion. Ignoring breakfast from the menu. COMPARISION McDonalds Burger King Yum Brands Wendys Critical Success Factors Weight Rating Weighted Score Rating Weighted Score Rating Weighted Score Rating Weighted Score Price 0.15 4 0.60 3 0.45 3 0.45 3 0.45 Financial Position 0.08 4 0.32 3 0.32 3 0.24 2 0.16 Consumer Loyalty 0.10 4 0.40 3 0.40 3 0.30 2 0.20 Advertising 0.10 3 0.30 3 0.30 4 0.40 2 0.20 Product Quality 0.10 4 0.40 3 0.40 4 0.40 2 0.20 Innovation 0.15 3 0.45 3 0.45 3 0.45 2 0.30 Market Share 0.10 4 0.40 2 0.20 3 0.30 2 0.20 Management 0.07 4 0.28 3 0.21 3 0.21 3 0.21 Global Expansion 0.15 4 0.60 2 0.30 3 0.45 1 0.15 Total 1 3.75 3.03 3.20 2.07 External Factor Evaluation (EFE) Matrix Key External Factors Weight Rating Weighted Score Opportunities Growing health trends among consumers 0.08 3 0.24 Globalization, expansion in other countries (especially in China India). 0.12 4 0.48 Diversification and acquisition of other quick-service restaurants. .04 3 0.12 Growth of the fast-food industry. .10 3 0.30 Worldwide deregulation .04 2 0.08 Low cost menu that will attract the customers. .08 2 0.16 Freebies and discounts. .08 1 0.08 Threats Health professionals and consumer activists accuse McDonalds of contributing to the countrys health issue of high cholesterol, heart attacks, diabetes, and obesity. 0.10 3 0.30 The relationship between corporate level McDonalds and its franchise dealers. 0.09 3 0.27 McDonalds competitors threatened market share of the company both internationally and domestically. 0.12 4 0.48 Anti-American sentiments. .07 2 .14 Global recession and fluctuating foreign currencies. .04 3 .12 Fast-food chain industry is expected to struggle to meet the expectations of the customers towards health and environmental issues. .04 2 .08 Total 1.00 2.85 Financial Ratio Analysis 12/2007 Growth Rates % McDonalds Industry SP 500 Sales (Qtr vs year ago qtr) -3.30 4.20 -3.80 Net Income (YTD vs YTD) 84.70 47.90 8.40 Net Income (Qtr vs year ago qtr) -22.60 -59.90 -94.80 Sales (5-Year Annual Avg.) 6.53 8.14 13.26 Net Income (5-Year Annual Avg.) 23.39 15.30 14.45 Dividends (5-Year Annual Avg.) 32.36 22.36 12.30 Price Ratios Current P/E Ratio 14.7 14.2 13.0 P/E Ratio 5-Year High N/A 9.5 12.5 P/E Ratio 5-Year Low N/A 4.7 2.0 Price/Sales Ratio 2.62 1.88 1.47 Price/Book Value 4.62 3.54 3.00 Price/Cash Flow Ratio 11.20 10.00 9.00 Profit Margins % Gross Margin 36.7 32.1 39.4 Pre-Tax Margin 26.2 17.2 13.2 Net Profit Margin 18.3 12.0 9.1 5Yr Gross Margin (5-Year Avg.) 33.9 33.3 39.1 5Yr PreTax Margin (5-Year Avg.) 19.8 14.2 16.6 5Yr Net Profit Margin (5-Year Avg.) 13.7 9.8 11.45 Financial Condition Debt/Equity Ratio 0.76 .80 1.03 Current Ratio 1.4 1.2 1.4 Quick Ratio 1.3 1.1 1.1 Interest Coverage N/A 1.2 29.9 Leverage Ratio 2.1 -5.3 1.9 Book Value/Share 12.00 10.00 19.75 Investment Returns % Return On Equity 32.2 44.4 27.9 Return On Assets 14.9 11.3 8.1 Return On Capital 17.0 13.7 11.2 Return On Equity (5-Year Avg.) 19.7 22.8 20.6 Return On Assets (5-Year Avg.) 10.0 8.98 8.5 Return On Capital (5-Year Avg.) 11.4 11.0 11.5 Management Efficiency Income/Employee 10,783 9,401 91,499 Revenue/Employee 58,806 98,207 1,000,000 Receivable Turnover 23.7 44.7 15.8 Inventory Turnover 125.7 98.7 12.3 Asset Turnover 0.8 1.1 1.0 Internal Factor Evaluation (IFE) Matrix Key Internal Factors Weight Rating Weighted Score Strengths Strong brand name, image and reputation. 0.12 4 0.48 Large market share. 0.10 4 0.40 Strong global presence. 0.04 3 0.12 Specialized training for managers known as the Hamburger University. 0.04 3 0.12 McDonalds Plan to Win focuses on people, products, place, price and promotion 0.12 4 0.48 Strong financial performance and position. 0.08 4 0.32 Introduction of new products. 0.06 4 0.24 Customer focus (centric). 0.06 4 0.24 Strong performance in the global marketplace. 0.08 4 0.32 Weaknesses Unhealthy food image. 0.08 1 0.08 High Staff Turnover including Top management 0.04 1 0.10 Customer losses due to fierce competition. 0.04 1 0.04 Legal actions related to health issues; use of trans fat beef oil. 0.04 2 0.08 McDonalds uses HCFC-22 to make polystyrene that is contributing to ozone depletion. 0.04 2 0.08 Ignoring breakfast from the menu. 0.06 1 0.06 Total 1.00 3.16 SPACE Matrix Financial Strength Rating Environmental Stability Rating Return on investment 4 Rate of inflation -3 Leverage 4 Demand Changes -3 Net Income 6 Price Elasticity of demand -1 EPS 5 Competitive pressure -3 ROE 5 Barriers to entry new markets -3 Cash Flow 4 Risk involved in business -2 Average 4.67 Average -2.5 Y-axis 2.17 Competitive Advantage Rating Industry Strength Rating Market share -1.00 Growth potential 5 Product Quality -1.00 Financial stability 5 Customer Loyalty -1.00 Ease of entry new markets 4 Control over other parties -2.00 Resources utilization 4 Profit potential 5 Demand variability 3 Average -1.25 Average 4.33 X-axis 3.08 Directional vector point is 🙠 3.08, 2.17) Conservative Aggressive Competitive Defensive FS IS CA ES Grand Strategy Matrix Quadrant II Quadrant I Quadrant IV Quadrant III Rapid Market Growth Strong Competitive Position Weak Competitive Position Slow Market Growth The Boston Consulting Group (BCG) Matrix Question Marks Cash Cows Dogs Relative Market Share Position Industry Sales Growth Rate Stars MCD The Internal-External (IE) Matrix The IFE Total Weighted Score Strong Average Weak 3.0 to 4.0 2.0 to 2.99 1.0 to 1.99 III II I High 3.0 to 3.99 VI V IV The EFE Total Weighted Score McDonaldsMedium 2.0 to 2.99 IX VIII VII Low 1.0 to 1.99 The Quantitative Strategic Planning Matrix (QSPM) Strategy 1 Expand further in Asia by adding 500 restaurants Strategy 2 Applying 0 grams Trans fat in all worldwide McDonalds restaurants Key Internal Factors Weight AS TAS AS TAS Strengths   Strong brand name, image and reputation 0.12 4 0.48 4 0.48 Large market share 0.10 4 0.40 2 0.20 Strong global presence 0.04 4 0.12 2 0.08 Specialized training for managers known as the Hamburger University 0.04 McDonalds Plan to Win focuses on people, products, place, price and promotion 0.12 4 0.48 4 0.48 Strong financial performance and position 0.08 4 0.32 4 0.32 Introduction of new products 0.06 Customer focus (centric) 0.06 1 0.06 4 0.24 Strong performance in the global marketplace 0.08 3 0.24 1 0.08 Weaknesses Unhealthy food image 0.08 1 0.08 4 0.32 High Staff Turnover including Top management 0.10 Customer losses due to fierce competition 0.04 3 0.12 1 0.04 Legal actions related to health issues; use of trans fat beef oil 0.04 1 0.04 4 0.16 Uses HCFC-22 to make polystyrene that is contributing to ozone depletion 0.04 SUBTOTAL 1.00 2.34 2.40 Strategy 1 Expand further in Asia by adding 500 restaurants Strategy 2 Applying 0 grams Trans fat in all worldwide McDonalds restaurants Key External Factors Weight AS TAS AS TAS Opportunities Growing health trends among consumers 0.08 1 0.08 4 0.32 Globalization, expansion in other countries (especially in China India) 0.12 4 0.48 1 0.12 Diversification and acquisition of other quick-service restaurants 0.04 Growth of the fast-food industry 0.10 4 0.40 4 0.40 Worldwide deregulation 0.04 4 0.16 1 0.04 Low cost menu that will attract the customers 0.08 Freebies and discounts 0.08 Threats Health professionals and consumer activists accuse McDonalds of contributing to the countrys health issue of high cholesterol, heart attacks, diabetes, and obesity 0.10 1 0.10 4 0.40 The relationship between corporate level McDonalds and its franchise dealers 0.09 4 0.36 1 0.09 McDonalds competitors threatened market share of the company both internationally and domestically 0.12 4 0.48 4 0.48 Anti-American sentiments 0.07 Global recession and fluctuating foreign currencies 0.04 Fast-food chain industry is expected to struggle to meet the expectations of the customers towards health and environmental issues 0.04 1 0.04 4 0.16 SUBTOTAL 1.00 2.10 2.01 SUM TOTAL ATTRACTIVENESS SCORE 4.44 4.41 . Conclusion McDonalds faces some difficult challenges. Key to its future success will be maintaining its core strengths-an unwavering focus on quality and consistency-while carefully experimenting with new options. These innovative initiatives could include launching higher-end restaurants under new brands that wouldnt be saddled with McDonalds fast-food image. The company could also look into expanding more aggressively abroad where the prospects for significant growth are greater.   The companys environment efforts, while important, should not overshadow its marketing initiatives, which are what the company is all about. Recommendations Expand further into Asia markets over a 2-year period by adding 500 restaurants per year at a cost of $4 billion annually, and applying 0 grams Trans fat in all worldwide McDonalds restaurants.