Macdonalds Corp.

Competitive Analysis of "Macdonalds corporation" within consumer services industry

Leydy Choquehuamani

Student of Supply Chain

Macdonalds Corporation

Macdonalds Corp is an American fast food company, founded in 1940 as a restaurant operated by Richard and Maurice McDonald, in San Bernardino, California, United States.

Election of Macdonalds Corporation

• Macdonalds corporation is the second company regarding  the ranking of consumer services industry with a revenue around 21 076.5 million USD in 2019.

• This enterprise is considered one of the most important company with many branches around the world.

• Overall, this company has an great impact in economy and a competitive analyisis wold be useful to get more details about how this company operates 
   

Geograpic information about consumer services industry (distribution graph)

• US consumer services companies come mostly from Florida.

• As seen in graph,  Florida has 15 enterprises, 12 enterprises in Texas, along with California and Nevada.
  

  
  

Geograpic information about consumer services industry (Median revenue graph)

• The firms in Washington($26 508.6 million USD)  are much bigger than Florida ($1 838 million USD), which was the region with more enterprises (15).

• As seen in graph, Nevada has $2192.39 million USD being bigger than Florida, even when it has less enterprises(12) than Florida (15).  Followed by Texas and after California.
  

  
  

Industry concentration and Competition intensity

Consumer services Industry concentration 

• US consumer services industry is dominated by large firms such as Macdonald´s Corp., Starbucks Corp., Carnival Corp, Marriott Int´I and Aramark.

• Consumer service industry In US is concentrated.

Industry trend analysis

Value Chain Analysis

 <----------  ---------->                 

Food & staples                       consumer services industry                 retailing industry

Competitive positioning

Macdonalds enterprise

Graphic´s analysis

• Starbucks is  the largest company in revenue but below the regression line indicating it was performing below the average. 

• Carnival Corp. (CCL) and Marriot (MAR)  are more below the regression than macdonalds, which indicates those compaines owns more costs with less revenue.

• Macdonads is above the regression line and owns lower costs iwith a remarkable revenue in contrast.

Graphic Analysis

• MCD, Macdonalds Corp. , had a much higher operating income then SBUX, Starbucks Corp., with less cost, although CCL, which is Carnival Corp,  and Marriot are below the regression line,  Carnival Corp. spend less than Marriot but made more operating income. ARMK, which is Southwest, is smaller in size and below the regression line but spend more than Macdonalds Corp.

Profit Frontier, Risk vs Return

Graphic´s analysis

• Graphic demostrates a stable operating margin as the revenue increases.

• Macdonalds Corp. has an operation margin of 0.4216 more than Starbucks (0.1477), considerating than SBUX has a higher total revenue.
  

Graphic´s Analyisis

•  The southwest part is the best on both ROA and financial Health, Starbucks (SBUX), Macdonalds(MCD), Marriot(MAR),  Aramarak (ARMK) ans Carnival Corp (CCL)

• Altitude International Inc. is the company which the worst situation. It means regarding ROA and Financial health
  

Ranking and Profit Distribution

 Graphics´ Analysis

• By total revenue, Starbucks Corp. rank number 1 and Macdonald´s Corp. rank number 2 in size

• By operating margin, macdonald´s rank number 1 with Creative learning Corp. within the same group of companies.

• By return on Assest Creative learning Corp. ranks ninety tree percent, Starbucks Corp. ranks 6th with ninenteen percent and Macdonald´s Corp. ranks number 13 with thirteen percent.
  

Competitive strengh and weakness

analysis in Consumer services company

Graphic´s Analysis

• By size, Macdonald´s Corp., in orange, is the largest company in almost all dimensions except total revenue. In this point, MCD ranks number 2 below Starbucks Corp, which is the  principal competitor.
  

• By profitablity, Aramark, in blue, is the worst in all dimensions and Macdonalds Corp. is the best except in Return on Assest, which Starbucks Corp rank first place.

• By Return on Investment, Macdonalds Corp. is weakness in return on equality because It is  below of all competitors.
  

• By Key indicators and KPI Examination., Macdonalds Corp. is the best in almost all dimensions

Enterprise Diagnosis II

EnterpriseTrend

Value driver and Breakdown analysis

Consumer services industry

Macdonalds Corp.