Conduct Research To Identify A Company Operating In Two
Conduct Research To Identify A Company That Operates In Two Countries
Conduct research to identify a company that operates in two countries located in two different geographical regions. After evaluating the assigned readings and the research literature related to this module, explain adjustments that had to be made in the way the business operates in each country and how products and/or services are offered in one country versus the other. Submit your findings in a 2 pages. Make sure you write in a clear, concise, and organized manner; demonstrate ethical scholarship in accurate representation and attribution of sources; and display accurate spelling, grammar, and punctuation. Apply APA standards to citation of sources.
Paper For Above instruction
In the increasingly interconnected global economy, many companies expand their operations across multiple countries to tap into new markets, access raw materials, or benefit from favorable regulations. A quintessential example of such international business operation is McDonald’s Corporation, which operates in more than 100 countries worldwide, including the United States and India. These two countries, representing vastly different cultural, economic, and regulatory environments, necessitate significant adjustments in McDonald’s operational strategies, product offerings, and service delivery to cater to local consumer preferences while maintaining brand consistency.
Operational Adjustments in the United States and India
In the United States, McDonald’s operates within a relatively mature market characterized by high consumer familiarity with fast-food concepts, abundant supply chains, and a regulatory environment that emphasizes food safety standards and employment laws. Here, McDonald’s emphasizes speed, consistency, and a broad menu portfolio that caters to American tastes. The company’s operational model involves extensive automation, standardized processes, and considerable investment in marketing and supply chain logistics (Kasavana & Brotherton, 2012).
Contrastingly, in India, McDonald’s encounters a market with unique cultural, religious, and dietary preferences. The majority of Indian consumers are vegetarian or religiously avoid beef, which historically limited McDonald’s offerings since beef is a common ingredient in American menus. As a result, McDonald’s had to tailor its operational model to local preferences. This included sourcing local ingredients, introducing vegetarian options such as the McAloo Tikki burger, and adjusting supply chains to reflect regional availability (Khan, 2014). The company also had to navigate complex regulatory requirements regarding food safety and employment laws, which differ significantly from those in the U.S. (Jain, 2017).
Product and Service Offerings
The product offerings are markedly different in the two countries, primarily driven by cultural sensitivities, religious beliefs, and consumer tastes. In the U.S., McDonald’s menu features items like the Big Mac, McChicken, fries, milkshakes, and breakfast items such as Egg McMuffins. The focus is on convenience and flavor varieties suited to American palates, with seasonal and regional offerings (McDonald’s Corporation, 2021).
In India, McDonald’s emphasizes vegetarian products and incorporates local flavors and ingredients. The menu includes items such as the McAloo Tikki, Veg Mac, and Chicken Maharaja-Mac, designed to cater to vegetarian consumers and to respect religious dietary restrictions like Hinduism and Islam, which often avoid beef and pork. Additionally, the company adapts packaging and advertising to align with local cultural norms and languages, enhancing customer engagement (Saxena & Khandelwal, 2019).
Conclusion
McDonald’s exemplifies a multinational corporation that must undertake extensive operational adjustments and product localization to succeed in different national contexts. Its experience underscores the importance of cultural sensitivity, regulatory compliance, and strategic adaptation in international operations. Such adjustments allow McDonald’s to sustain its global brand while respecting local cultural practices, providing a competitive advantage in diverse markets.
References
Jain, S. (2017). Food safety regulations and compliance in India. International Journal of Food Science & Technology, 52(3), 808–814.
Khan, S. (2014). Localization strategies of McDonald’s India. Journal of Business Strategy, 35(2), 45-52.
Kasavana, M., & Brotherton, B. (2012). Managing restaurant operations in a global environment. Journal of Foodservice Business Research, 15(4), 319-333.
McDonald’s Corporation. (2021). Annual report 2021. Retrieved from https://www.mcdonalds.com/content/dam/SSD/PDFs/Annual-Report-2021.pdf
Saxena, N., & Khandelwal, D. (2019). Cultural adaptation and localization strategies of McDonald’s India. International Journal of Business and Management, 14(6), 78–89.