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Mc Donald’s Evaluation Research Paper

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Budget Control

Mc Donald’s has many financial sources because of the diverse businesses it operates. The sources range from franchising to renting and leasing of property. While making the budget, the company puts into consideration many factors. Some of them include marketing and customer service.

This forms the basis for competing well in the market. Quality service is the hallmark of success at Mc Donald’s. The company does not buy expensive raw materials. It has a competitive tendering policy that recognizes the important aspects of its raw materials. Overall, the company has a policy to guard its budget against unnecessary spending.

Market Control

Mc Donald’s is a globally recognized brand. Buzz marketing works to the company’s advantage. In its industry of operation, it is a market leader and a trailblazer. The company unveils new products frequently to appeal to its new and potential markets. This strategy is also meant to retain customers. The company believes that after using a certain product for some time, some customers get redundant. Therefore, it works hard to appeal to those customers by meeting their needs.

The company communication and advertising strategies are unbeatable. The combination of imagery and coloring in its ads makes it quite appealing to its potential customers. The company has divided its market according to needs. This includes children, youth, middle-aged and the old.

They have further subdivided the market according to disposable incomes. Therefore, it unveils products that aptly suit the market blocs. Before unveiling any products, the company conducts market research on the desired products. Then it employs market mixes that correctly suits the market. These strategies have enabled the company to maintain a lion’s market share and wade off competition.

Clan Control

The mc Donald’s is not so far owned by a single person. The biggest food chain in the world is owned by a group of inheritors. These family members have squabbles that do not show in public. The company owners have also been associated with Satanism. Once, the owner Ray Kroc was rumored to have tithed in a Satan church. Though the family name gives the hotel chain some identity, it is also a source of many problems.

Management has a hard time to meet the demands of the owners. The company family members are also associated with powerful people in governments. The united sates government is accused of funding mc Donald’s to open new food chains abroad under the guise of foreign policy. The mc Donald’s are also publishers of occult materials in the UK. The company does this unabated which raises eyebrows (Love, 2007).

Bureaucratic Control

Because of the family background of Mac Donald’s, the company has a bureaucratic side in its operations. It is brought about by the apparent single handed decision making of the owners. Managers may make decisions, but it is always widely influenced by the owner’s wishes.

This extends to its franchises. The rules and regulations that govern the franchising business are custom made and different from any other in that field. This company employs a different business model from all the other players in the industry. It owns around a quarter of all restaurant chains directly and franchises the rest. Its method of franchising is different form all the rest. It owns properties of the locations of franchises.

The owner of mc Donald once said he is not in restaurant industry, he is real estate. The nature of agreements that govern its franchising is unique to many franchises. But, most of them have the condition of owning or leasing the property on which the franchise is located. Therefore, mc Donald’s collects rent from the franchises. Also, the company does not make direct sales to the franchise choosing to use third parties for that (Webb, 2007).


Love, J. (2007). Big Macs, Fries, and Real Estate. Financial Executive, (4): 20–26.

Webb, H. (2007). The Association between Disclosure, Distress and Failure. Journal of Business Ethics, 75(4): 301-314.

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IvyPanda. "Mc Donald’s Evaluation." December 2, 2019. https://ivypanda.com/essays/mc-donalds-evaluation/.


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