McDonalds Entry Into India
Presented by Group 5:
Abbas Kazmi, Aparna Reddy, Bharat
Parulekar, Krishna Kumar, Manish Bhatt,
Valerya Poltorak & Umer Yosufzai
Market and Business Strategy
• Key Factors – Market structure , Income structure , Food preference based Religious and cultural diversity , Logistics with Supply Chain , Pricing Strategy of the product and Target customers.
• Market Structure ‐ Population of the India – 1.2 Billion (28 states and 7 union territories, 32 % between 0‐14 years and over 60% 14‐68), to enter into a Market of this size it needed strategic alliance with local partners experienced in the food chain business. A joint
Venture was formed in 1995 with Partners – Hard
Castle Restaurents and Connaught Plaza restaurents.
Continued – Market and Business
Food Habits – preferences , and Affordability‐ with almost 25‐30% vegetarian and with religious issues with Beef and pork – they focused on adapting to Indian tastes and substituting with chicken products
Target customers were mainly with an Average house hold income between $500 to 2000 per month among the middle class per month – they made the restaurant into a family outing joint, with lot of emphasis on children and their interests
Sourcing of its materials‐ procurement 95% locally , with local farm lands , dairy products and Chicken poultry farms . It invested in supply chain logistics and cold storage in a big way to maintain higher standard of quality and its availability.
Promotions by means of Advertising , event participation, word of mouth experience and offering various meal packages were part of their strategy for Market penetration
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