Strategy planning Essay Example | Topics and Well Written Essays - 5250 words

Strategy planning - Essay ExampleMcDonalds deals with a wide range of products care hamburgers as well as French Fries, chicken sandwiches along with soft drinks, desserts and other non-homogeneous sorts of breakfast items (Gilbert, 2008). In graze to determine the significance of various external factors that impact on the way McDonalds conducts its business, it can be viewed that proper analysis of the external factors made the company to raise its business spirit and also to accomplish superior competitive position by a greater level. In order to analyse the external environment of McDonalds, certain entrance tools have been taken into concern like SWOT and STEEP which are described below. STEEP Analysis Socio-cultural Factors McDonalds establishes and follows an effective system in order to assess the requirements of the business markets where it operates. It stresses mainly on the strategy of individuality of the customers in relation to product behaviour and decisions on p urchases (Ivanova, 2011). Technological Factors McDonalds deals with broad admixture of fast food related products which generates a greater demand of these products by adopting along with executing pioneering technological procedures concerning its inventory system and supply chain among others (Ivanova, 2011). environmental Factors Relating to environmental factor, McDonalds largely focuses upon effectively performing different sorts of corporate social accountabilities in terms of utilising bio-degradable substances in its broad array of products (Ivanova, 2011). Economic Factors McDonalds has a propensity to practice a great deal of difficulty in certain cases where there exists the significant concern of inflation and fluctuation in exchange rates. Specially mentioning, the variations in the exchange rates play a decisive part in the overall operations of the company (Ivanova, 2011). Political Factors McDonalds follows a unique set of instructions and policies for performing d ifferent operational functions effectively. It mainly concentrates on several sets of anxieties such as areas of health, environment and protection of the workers as well. These elements can be noticed in the state control of licensing of the restaurants in different regions where the company operates (Ivanova, 2011). SWOT Analysis Strengths McDonalds has a very arduous and reputed brand name across the globe. It bears a strong partnership with other different companies which eventually results in increase of its goodwill in the market. The company is express to be the first fast-food restaurant which offered its customers with nutritional facts and as a consequence the loyal employees, customers and management form to be its biggest strengths (Scribd Inc., 2013). Weakness McDonalds has a discouraged reputation concerning turnover rate of its employees. Relating to weakness, it generally faces quality issues at times and it also receives criticisms particularly from health consci ous people (Scribd Inc., 2013). Opportunities McDonalds should provide online work for its clients so that they can order sitting at home which in