Analysis of UK McDonalds Sales Decline - Free Essay Example

Sample details Pages: 7 Words: 2190 Downloads: 6 Date added: 2017/06/26 Category Business Essay Type Report Level High school Topics: Fast Food Essay McDonalds Essay Did you like this example? Introduction The aim of this report is to analyse the current situation of McDonalds as an organisation in the UK market and to evaluate their current sales decline. The primary focus is to provide a detailed analysis of the organisation and its position in the UK market, developing a link between declining sales and the overall shift in consumer behaviour. The report initially provides an overview of McDonalds as an organisation. Don’t waste time! Our writers will create an original "Analysis of UK McDonalds Sales Decline" essay for you Create order This is followed by a detailed evaluation of the firms current position in the market which links back to why sales are declining for the firm and what are the root causes for this in the business. This is followed by a recommendations section which develops a ground up strategy for the organisation to improve its performance in the UK market. McDonalds Overview McDonalds UK is part of the larger group called McDonalds, which operates in over 100 countries. The organisation reported a revenue of $33 billion in 2014 and has over 400,000 employees worldwide (McDonalds Annual Report, 2014). As an organisation the firm operates over 36,000 outlets which is more than any other retailer across the globe. Before moving on, it needs to be highlighted that while McDonalds operates with a global menu, the organisation also develops bespoke products for some of the markets based on demand in the region (BBC, 2014). McDonalds in the UK McDonalds is a well-known fast-food brand in the UK. It operates at over 3000 locations and has seen growth over the past 10 year (McDonalds Annual Report, 2014). However, recently, McDonalds across the globe and in the UK highlighted a consistent decline in sales. Millington (2014) states that McDonalds has reported a drop in sales by 4% in the UK, which highlight that the firm is not on the same growth path as it used to be. Similar article was published by Bold (2015) where the author highlighted that the growth pattern of McDonalds has stopped and the firm, for the first time in 45 years, is re-structuring due to a rapid decline in sales. This is critical for a firm that operates at a global scale, a 4% drop is effectively billions of dollars that the firm is unable to convert. Neilan (2014) states that from an earnings point of view the overall decline is GBP 3.8billion which is a significant number. The Cause of this Decline While the previous section clearly highlights a downward trend in McDonalds market share in the UK, it is important to examine the overall cause of why this is happening. Doyle and Stern (2006) state that the UK market is one of the most rapidly declining fast food industries in Europe. This indicates that there is a change in trend within the market that is impacting the fast food business the market. Research conducted by Long et al (2014) states that one of the major reasons as to why there is a sharp decline in fast food consumption is obesity. The core notion here is that over the past 8 years more cases of obesity have been reported by the NHS than that in over 50 years (Pieterman, 2015). This is critical as health services often term junk food as a cause of the obese society in the UK. McDonalds being one of the main suppliers of fast food is directly impacted by this change and stance by the NHS. The UK government has highlighted obesity as a high risk to individuals hea lth this was backed by the NHS (Nutrition and Food Science, 2012). This is one of the major factors that has impacted the McDonalds market share and declining sales. Another important aspect linked with the loss in revenue and sales is associated with the fact that there is a shift in consumer behaviour towards fast food. Bernhardt et al (2012) state that an average UK individual is now 4 times more conscious of what they are eating from a health point of view. This clearly highlights that users now tend to look for healthy food options, which has a direct impact on the sales and revenue of McDonalds. Hence consumer behaviour plays a vitally important role in the current position of McDonalds in the market. There is also a consumer shift that is focused away to healthier fast food chains. Bloomberg (2015) highlights that 4 out of 10 individuals that skip McDonalds move on to buy a Subway meal as they consider it a healthy alternate to McDonalds. Another important aspect that i s linked with the lack of sales is the inability of the firm to innovate and diversify. McDonald UKs menu has not changed over the past 50 years, and this has a direct impact on the buyers and how they perceive a firm from an innovation as well as a development point of view. While McDonalds strategy has worked over a period of time, it is clearly showing signs of its limitations with rapid decline in overall business revenue. Finally, another important aspect linked with the decline of McDonalds is negative promotions through social media. Kotler and Keller (2012) highlight that the advent of social media means free information flow across the market. Regardless of the authenticity of the data, information on social media has a direct impact on business sales. McDonalds is often termed as the fast food chain that only cares about revenue and not about consumer health, and social media has spread this aspect on a large scale. (Neilan, 2014) This therefore impacts the consumer buy ing behaviour and negatively impacts the sales of McDonalds in the UK market. All in all it is clear that the decline of the organisation in the UK is linked to the change in market conditions, consumer behaviour and a shift towards healthy living. It is also evident that McDonalds is highlighted as an organisation that is only working for its own good and hence its inability to innovate is clearly visible in the process. Recommendations, McDonalds The previous section of the report clearly highlighted multiple elements that need to be considered by McDonalds in order to improve its current situation in the UK market. Keeping the discussion in context, it is critical that viable recommendations for the business are developed in order to improve the sales performance of the organisation. In order to develop a new model and to improve the overall position of the organisation in the market, it is recommended that McDonalds launches a new product line called McDonalds Health! as discussed below. McDonalds Health: healthy Fast Food for the Masses! One of the primary reasons linked with the rapid decline in sales for the business is the perception and the overall type of food served by the business. This food is classified as unhealthy by various individuals and organisations. Keeping this in context, it is recommended that McDonalds starts a new product which is under the umbrella of the current organisation. The idea here would be to develop a unique product line focused on the healthy aspect of the market. Keeping this new product line a focused segmentation, targeting and positioning strategy is discussed in the table below. Segmentation McDonalds health will be segmented through the current geographical positions of McDonald fast food chains. The idea would be to start with the areas where sales have declined the most and launch the product line focused on geography as well as behavioural segmentation in order to target the most health conscious areas of the country. Targeting The target market for this new product line will be individuals that are health centric. The main driving force here would be behavioural targeting which impact the consumer buying behaviour significantly. The idea would be to develop a viable path to brand awareness through a focused target market consisting of individuals that look for healthy food. Positioning As it stands McDonalds is positioned at the affordable end of the market. This is often highlighted as one of the major USPs of the firm. However, McDonalds Health will be targeted at the mid-tier end of the market, which would effectively mean that the brand will be considered a premium option as opposed to McDonalds current offering. The STP analysis highlights that McDonalds health will effectively be a premium, health version of the current brand, with a menu that is based around the concept of having healthy fast food. After highlighting the STP strategy it is now important to define the overall promotional strategy of the new product line. Hooley et al (2012) state that promotion forms one of the most important components of developing a viable business footprint in the market. Two key aspects will be used to promote the new brand: Traditional awareness market campaigns will be launched to enhance the overall visibility of the brand in the market. The idea would be to move into different malls in the form of kiosks, which would offer free tasters and highlight key features. This, along with a collaboration with various health agencies to certify the product as healthy will be used to promote the product line across the country. The second core aspect that needs to be highlighted here is linked with the development of a social media marketing approach which builds around healthy living. The idea here would not be to promote the product line or the sub-brand, but to link with real world scenarios and push it on social media as a story. The call out for this campaign will be #mchealth which is linked directly with the newly launched product line. This approach would allow the organisation to develop a viable path to promote the firm offering and therefore enhance the overall standing of the organisation in the market. Keeping this in context, it is now important to develop the marketing mix for the business (product line) as shown in the table below: Product Place The new product line will include a menu consisting of heath centric options. The idea would be to have a product line that is not only effective but also has a positive impact on the brand itself. The pricing structure of the product line will be different from the current approach. This product line will be placed at the mid-tier end of the market, hence falling in the semi-premium range. Place Promotion The product line will be sold through normal McDonald locations. The idea would be to start off with a few locations and build a hype around this, before moving towards a wider audience. Promotionally the core aspects are promotions through both traditional and non-traditional means. This would mean the focus would be on social media as well as creating awareness through traditional means. The end goal of this re-launch, or upgrade to the brand, is to effectively provide consumers with an option. The first step towards the development of a sales enhancement model is about making sure that the consumer perception and the buying process is enabled for the new product lined. With a health centric approach the idea is to provide a viable path for the development of a shift in the consumer thought process towards McDonalds. Conclusion Overall the report provides and in-depth analysis of why McDonalds as a firm is witnessing a decline in its current market share. This highlights that the organisation due to its inability to cope with the changes in the market is unable to react to the changing consumer behaviour towards fast food chains. It is also clear from the analysis that the organisation needs to re-vamp its current position in the market in order to develop a viable footprint. To do this it is recommended that a health centric product line is launched which would allow the organisation to focus on the shifting trends in the market. Coupled with effective marketing, McDonalds UK should be able to steer its sales back to the required position. References BBC (2015) McDonalds global sales continue to decline, Available from: Bernhardt,M. Mays,D. and Hall,A (2012) Social marketing at the right place and right time with new media, Journal of Social Marketing, Vol. 2 Iss: 2, pp.130 137 Bloomberg (2015) McDonalds US to shrink for the first time in 45 years, Available from: https://www.telegraph.co.uk/finance/newsbysector/retailandconsumer/11797531/McDonalds-US-to-shrink-for-the-first-time-in-45-years.html Bold, V. (2015) McDonalds reports falling global sales, with performance partly buoyed by UK, Available from: https://www.marketingmagazine.co.uk/article/1330795/mcdonalds-reports-falling-global-sales-performance-partly-buoyed-uk Clive Long , Arleen Rowell , Anita Gayton , Elizabeth Hodgson , Olga Dolley , (2014) Tackling obesity and its complications in secure settings, Mental Health Review Journal, Vol. 19 Iss: 1, pp.37 46 Doyle,P. Stern,P. (2006), Marketing Management and Strategy, Harlow: Prentice Hall, Hooley, G. Piercy,N.F. Nicoulaud,B. (2012) Marketing Strategy and Competitive Positioning, Harlow: FT Prentice-Hall Kotler,P. Keller K. L. (2012), Marketing Management,14th Edn London: Prentice Hall McDonalds Annualreport (2014) Available from: https://www.aboutmcdonalds.com/content/dam/AboutMcDonalds/Investors/McDonalds%202014%20Annual%20Report.PDF Millington, A. (2014) McDonalds looks to pared-back UK menu to arrest global sales decline, Available from: https://www.marketingweek.com/2014/12/11/mcdonalds-looks-to-pared-back-uk-menu-to-arrest-global-sales-decline/ Neilan, C. (2014) McDonalds to restructure after significant decline in sales, Available from: https://www.cityam.com/1413895152/mcdonalds-review-and-restructure-after-significant-decline-sales Nurtrition and Food Science (2012) Accelerating Progress in Obesity Prevention, Nutrition Food Science, Vol. 42 Iss: 6, pp.458 458 Roel Pieterman (2015), Obesity as Disease and Deviance: Risk and Morality in Early 21st Century, Emerald Group Publishing Limited, Vol.44 Iss:1, pp.117 138

Social Class As A Society Based On Social And Economic Status

Social class is a division of a society based on social and economic status. Why do we have social class in our societies? For what purpose does social class, even exist? From India, to the United States, many different societies have different social classes and systems. So why does social class and system differ from place to place? These are some essential questions that need to be answered. Amazingly, the Caste System in India has been around for thousands of years. The caste system places you in a social class with specific duties you must perform. Secondly, the system places you in the social class of your parents. In the Caste System, it is expected of individuals to fulfill their Dharma. Dharma is the religious and moral law†¦show more content†¦They are the second highest ranking caste. Third, the Vaisyas, who are farmers or merchants. Fourth, the Sudras, who are the workers. Lastly, are the â€Å"Untouchables† who are born outside and under the caste system. The â€Å"Untouchables†(Dalits) are street sweepers, and latrine cleaners. To keep in mind, depending on village or city life, the importance of caste may differ, and some caste customs such as carrying on family occupations, following caste rules, may not be as important. Intrestingly, Brahmins can have many occupations other than being a priest, but no one from a lower caste can become a priest(without some opposition). Many Brahmins own land and practice agriculture. In addition, Brahmins have always taken part in political matters. The first Prime Minister of India, Pundit Jawaharlal Nehru, was a Brahmin, and a central figure in Indian politics for much of the 20th century. The Brahmins are mostly strict vegetarians, though in some areas it is normal to eat meat. Their diets consist of rice, maize, wheat, milk, vegetables, fruit, and lentils. Kshatriyas, are the class of those who descended from warriors, who were in the service of princes and rulers. Kshatriyas today are mostly landowners, or follow other modern professions. People who own a large amount of land are often Kshatriya. Though high ranking in caste, Kshatriyas commonly eat meat, and can have alcoholic drinks, while Brahmins are unable to do either. Although,

John B Watson Free Essays

Abstract This paper explores the life and achievements of John Broadus Watson. He was a famous psychologist known as the Father of Behaviorism. Watson was best known for his views and theories known as behaviorism. We will write a custom essay sample on John B Watson or any similar topic only for you Order Now Watson is also known for comparative and experimental psychology, and perhaps his most famous experiment, the Little Albert Experiment. On February 24, 1913, he delivered a famous lecture that is believed to be the birth of behaviorism. Watson’s experiments and publications made major impacts on the world of psychology, changing the views and ideas of not only psychologist worldwide, but as well as the people of the world. Many of Watson’s concepts and methods of conditioning and behavioral modification are still used by psychologist today. Throughout the history of psychology, there have been many influential psychologists. Each of these psychologists left their own individual and unique mark in psychology and the world in general. A psychologist is clinically defined as a person who studies the mind and behavior and specializes in diagnosing and using â€Å"talk therapy† in treating emotional disturbances, mental illnesses, and behavioral problems. One of the many influential psychologists in American psychology is John B. Watson, Father of Behaviorism. Watson is best known for his life, behaviorism, career achievements and Little Albert Experiment. John Watson was born January 9, 1878, in South Carolina to Emma and Pickens Watson. His mother, Emma, was a very religious person; however, his father did not share these same general views of life. Pickens was an alcoholic and participated in extra marital affairs. He left in 1891, Watson was 13 years old. Watson was determined to follow in his father’s unruly footsteps, became rebellious and even violent at times. Watson claimed to be a poor and disorderly student; nevertheless he entered Furman University at the age of 16. Five years later he received his masters and continued to further his education. Watson entered the University of Chicago seeking a doctorate in psychology and philosophy. During his studies here, me met and married his first wife Mary Ikes. The two had two children during their marriage, John and Mary. Watson graduated from the University of Chicago in 1903, receiving his PhD in psychology. Five years later Watson was selected to be the professor of comparative and experimental psychology at John Hopkins University. Just as his father, Watson too participated in extra martial affairs. While teaching at John Hopkins, he met Rosalie Rayner. It wasn’t long that John and Mary divorced and Rayner and Watson were wed. Together they had two children, William and James. It was also at John Hopkins University where Watson formed his views, ideas and theories that would later become known as branch of psychology known as behaviorism. Watson specifically outlined his view of behaviorism during his lecture on February 24, 1913, at John Hopkins. This is said to be the day behaviorism was born. This lecture also became known as one of psychology’s most famous lectures. Psychology as the behaviorist views it is a purely objective experimental branch of natural science. Its theoretical goal is the prediction and control of behavior. Introspection forms no essential part of its methods, nor is the scientific value of its data dependent upon the readiness with which they lend themselves to interpretation in terms of consciousness. The behaviorist, in his efforts to ge t a unitary scheme of animal response, recognizes no dividing line between man and brute. The behavior of man, with all of its refinement and complexity, forms only a part of the behaviorist’s total scheme of investigation. p. 158]† Rather emphasizing on the internal mental state of a person, Watson put his emphases on the external behavior and reaction to the given situation. Watson believed that evaluating reactions and external behaviors of a person was the only true way to receive insight of human actions. These new ideas became known as the behaviorists theory. Another example of Watsons stand point on behaviorism can be felt through his article in the Psychological Review, Watson stated, Behaviorism †¦ holds that the subject matter of human psychology is the behavior of the human being. Behaviorism claims that consciousness is neither a definite nor a usable concept. The behaviorist †¦ holds, further, that belief in the existence of consciousness goes back to the ancient days of superstition and magic†¦. The great mass of people even today has not yet progressed very far away from savagery – it wants to believe in magic†¦. Almost every era has its new magic, black or white, and its new magician. Moses had his magic: he smote the rock and water gushed out. Christ had his magic: he turned water into wine and raised the dead to life†¦. The extent to which most of us are shot through with a savage background is almost unbelievable†¦. One example of such a religious concept is that every individual has a soul which is separate and distinct from the body†¦. No one has ever touched a soul, or seen one in a test tube, or has in any way come into relationship with it as he has with the other objects of his daily experience †¦. The behaviorist asks: Why don’t we make what we can observe the real field of psychology? Let us limit ourselves to things that can be observed, and formulate laws concerning only those things. Now what can we observe? We can observe behavior – what the organism does or says. And let us point out at once: that saying is doing – that is, behaving†¦. The rule, or measuring rod, which the behaviorist puts in front of him always is: Can I describe this bit of behavior I see in terms of â€Å"stimulus and response†? By stimulus we mean any object in the general environment or any change in the tissues themselves due to the physiological condition of the animal, such as the change we get when we keep an animal from sex activity, when we keep it from feeding, when we keep it from building a nest. By response we mean anything the animal does – such as turning toward or away from a light, jumping at a sound, and more highly organized activities such as building a skyscraper, drawing plans, having babies, writing books, and the like †¦. The interest of the behaviorist in man’s doings is more than the interest of the spectator – he wants to control man’s reactions as physical scientists want to control and manipulate other natural phenomena. It is the business of behavioristic psychology to be able to predict and to control human activity †¦. Why do people behave as they do – how can I, as a behaviorist, working in the interests of science, get individuals to behave differently today from the way they acted yesterday? How far can we modify behavior by training (conditioning)? These are some of the major problems of behavioristic psychology. Watsons early studies were of animal behavior, he later changed to human subjects. Watson wanted to develop a method to â€Å"condition and control the emotions of human subjects. This famous study became known as the Little Albert Experiment. This case study gained information from classical conditioning in humans. Watson, along with his assistant, Rosalie Rayner, observed an eight month old boy, known as â€Å"Little Albert,† reactions as he was introduced to different stimuli. Among these stimuli were a white rabbit, a rat, a monkey, burning papers and a mask. In the beginning â€Å"Little Albert† showed no behavioral changes. Next time he placed the rat in front of the young boy, Watson produced a loud sound, and naturally â€Å"Little Albert† began to cry. Each time â€Å"Little Albert† was exposed to the rat from then on, Watson received the same reaction, crying. Watson (1920) â€Å"The instant the rat was shown, the baby began to cry. Almost instantly he turned sharply to the left, fell over on [his] left side, raised himself on all fours and began to crawl away so rapidly that he was caught with difficulty before reaching the edge of the table. [p. 1-14]† Watson and Rayner, discovered that classical conditioning could be used to created phobias. Watson’s focus on the study of children, began in the The Century of the Child, this referred to the 20th century movement. Give me a dozen healthy infants, well-formed, and my own specified world to bring them up in and I’ll guarantee to take any one at random and train him to become any type of specialist I might select–doctor, lawyer, artist, merchant-chief, and, yes, even beggarman and thief, regardless of his talents, penchants, tendencies, abilities, vocations, and race of his ancestors. I am going beyond my facts and I admit it, but so have the advocates of the contrary and they have been doing it for many thousands of years. † From the book Watson wrote, Psychological Care of Infant and Child, with the assistance of Rayner. Watson’s argument was, â€Å"not more babies but better brought up babies. † He argued the nurture side of the nurture versus nature debate. Watson’s second wife, Rosalie Rayner, died in 1935, at the age of 35. The two were married for fourteen years. During their marriage, they gave birth to two children, James and William. After Rayners death, Watson remained on their farm in Connecticut. In 1957, Watson received a Gold Medal from the American Psychological Association, for all his contributions to psychology. One year later, on September 25 1958, Watson passed away at the age of 80. John Broadus Watson was a renowned psychologist that made many contributions to psychology. Among these contributions were the branch of psychology known has and the Little Albert Experiment, along with many other publications and lectures. After the Little Albert Experiment, behaviorism became widely accepted by psychologist and the general public. Watson’s radical views and theories forever changed psychology. . References Watson, E. (1999). John B. Watson (1878-1958). Retrieved October 20, 2012 from http://www. muskingum. edu/~psych/psycweb/history/watson. htm#Bibliography (1999). Little Albert Experiment. Retrieved October 20, 2012 from http://www. absoluteastronomy. com/topics/Little_Albert_experiment (1999). Behaviorism in Watson’s Own Words. Retrieved October 18 2012 from http://www. sntp. net/behaviorism. htm Taken from Blumenfeld, S. L. (January 1, 1984) NEA: Trojan horse in American psychology chapter 9 Cherry, K. (2012). The Little Albert Experiment: A closer look at the famous case of Little Albert. Retrieved October 16, 2012 from http://psychology. about. com/od/classicpsychologystudies/a/little-albertexperiment. htm Cherry, K. (2012). John Watson Biography (1878-1958). Retrieved October 16, 2012 from http://psychology. bout. com/od/profilesofmajorthinkers/p/watson. htm Watson, J. B. ; Rayner, R. (1920). Conditioned emotional reactions. Journal of Experimental Psychology, 3, 1, pp. 1–14. Retrieved October 14, 2012 from http://psychclassics. yorku. ca/Watson/emotion. htm Watson, J. B. (1913). Psychology as a behaviorist views it. First published in Psychological Review, 20, 158-177. Retrieved October 14, 2012 from http://psychclassics. yorku. ca/Watson/views. htm Wozniak, R. H. (1997) Behaviorism: The early years. Retrieved October 14, 2012 from http://www. brynmawr. edu/psychology/rwozniak/behaviorism. html How to cite John B Watson, Essay examples

The Relationship Between Proctor and Elizabeth free essay sample

In Arthur Millers The Crucible the relationship between Proctor and Elizabeth gradually improves throughout the play. At the beginning they are both extremely separate both physically and mentally. However the relationship in Act two starts to develop as Elizabeth rediscovers her love for him that, in my opinion, has always been there. This then grows even further in Act four when Proctor and Elizabeths relationship finally connects and their love is a lot more intense and passionate. By the end of the play both characters learn to forgive each other and are forgiven hemselves as well as rediscovering the love they had between themselves they thought they lost. Act 2 Paragraph 1. In Act two Miller implies how cold Elizabeth can be towards Proctor. We are shown this when she states Do as you wish, then 1. Shows she is being extremely blunt. 2. She hasnt forgiven him yet therefore putting relationship and passion on hold. We will write a custom essay sample on The Relationship Between Proctor and Elizabeth or any similar topic specifically for you Do Not WasteYour Time HIRE WRITER Only 13.90 / page 3. Feels like Proctor will not listen to her opinion anyw. ays. We are also shown her cold act towards Proctor in some of the stage directions when Proctor kisses her and she doesnt kiss him back. She receives it 1 . Shows the love isnt there at the moment(hidden) 2. EP doesnt kiss him back powerful message 3. Shows that the affair has make a massive impact( stopped the love) 4. She is still so upset because she loves him. Paragraph 2 Miller also uses symbolism frequently in Act two to develop the couples relationship. We are shown this in the stage directions when Miller shows us Proctors actions. Then he lifts out the ladle and tastes. He is not quite pleased The soup represents the relationship and how it is bland (-he is bored, wants some excitement added). (LINK) We are then shown Proctor adding some salt to the pot conveying him deducting the boredom away from his relationship. He reaches to the cupboard , takes a pinch of salt, and drops it into the pot. 1 . Abby and the affair represents the salt he adds. 2. He feels deprived from fun and excitement wants something new. LINK) Miller then follows on to state that Proctor Washes his hands and face 1 . The soup he handled is representing the relationship- he added salt(excitement eg. Abby) but still loves Elizabeth so doesnt want to leave her so tries to remove the proof. 2. Proctor washing handsface †washing proof of the affair off himself. Paragraph 3 Here Miller uses their positioning on stage to show the awkwardness between the ouple however it also represents the love that was always between Proctor and Elizabeth. He eats. She watches him 1 . Shows how awkward the relationship is because of the fact that she is watching his every move- no trust. 2. She is also not eating with him. (serving him) Shows the separation between them. (link with symbolism.. separation is shown by the different eating arrangements) 3. The tact at li tn E zabetn is watching ner husband snows the longing she nas towards him-) This could suggest that Elizabeth in fact always loved him deep down. This links in with the second quote He turns to her and watches her 1 . This also conveys the longing he has towards EP. 2. Both of them want each other and they are always looking at each other when they arent aware. -( shows that they dont have trust back yet they want each other. This suggests the love theyVe always had is there but hidden amongst broken pieces in the relationship). Act 3 Paragraph 1 Here Miller uses Act three to link the growing relationship between the couple from Act two to Act four. We are shown that Elizabeth has started to rediscover her love for Proctor as she protects him at the price of putting her name into dishonour, damning herself to hell ,as they believed.