McDonald's: No Longer the Great American Meal

            
 
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This case study was compiled from published sources, and is intended to be used as a basis for class discussion. It is not intended to illustrate either effective or ineffective handling of a management situation. Nor is it a primary information source.



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Case Details:

Price:

Case Code : BSTR044 Electronic Format: Rs. 500;
Courier (within India):Rs. 25 Extra
Business Strategy | Case Study in Management, Operations, Strategies, Business Strategy, Case Studies

Themes

Business Environment
Case Length : 17 Pages
Period : 1965
Organization : McDonalds
Pub Date : 2003
Teaching Note : Not Available
Countries : USA
Industry : Food Retailing

Abstract:

In the late 1990s and early 2000s, McDonald's, the leader in the fast food industry saw its performance deteriorating and in January 2003, announced its first quarterly loss since it went public in 1965. The case discusses the reasons for McDonald's' poor performance in the late 1990s and early 2000s. The case starts with a description of the growth of McDonald's over the years and the challenges it faced due to changes in the external environment. It then goes on to explain the reasons for poor performance of McDonald's, which ultimately led to the resignation of CEO Greenberg and the re-entry of Cantalupo, who had vast experience with McDonald's, as the new CEO. The case also explains the changes initiated by Cantalupo to restore McDonald's to its glorious days.


Issues:

Understand the influence of both internal and external environment on the continued performance and financial success of a firm

Contents:

  Page No.
Introduction 1
Background Note 1
Enter Cantalupo 6
Exhibits 9

Keywords:

1990, 2000, McDonald, leader, fast food industry, January 2003, quarterly loss, 1965, poor performance, growth, challenges, external environment, CEO, Greenberg, Cantalupo

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