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Mcdonald's In India Essay

3859 words - 16 pages


In recession economies, companies react to these changes in the marketplace by reducing costs, cutting production, reducing investment, entering foreign markets, working more with equity capital, improving efficiency, re-structuring debt (Beaver and Ross, 1999; Laitinen, 2000; Pearce and Michael; 1997; Zehir, 2005). An economic crisis requires some changes to be made in companies´ strategies. The fast food retailers even avoided increasing prices during this economic crisis. While consumers feel insecure in their job and negotiate more about financial matters (Shama, 1978). Despite many companies cutting theirs operational costs or reducing employees, ...view middle of the document...

McDonald’s in India was a 50-50 joint venture partnership between McDonald’s Corporation (U.S.A.) and two Indian businessmen. Amit Jatia’s company, Hardcastle Restaurants Pvt. Ltd., owned and operated McDonald’s restaurants in Western India, while Connaught Plaza Restaurants Pvt. Ltd., headed by Vikram Bakshi, owned and operated the North Indian operations. These companies signed their joint-venture agreements with McDonald's in April 1995 and along with their Indian management team trained in McDonald's restaurants in Indonesia and the U.S.A. before opening the first McDonald’s restaurant in India. (Kulkarni and Lassar 2009). In a way McDonald’s revolutionized the food retailing business in India. It introduced the Indian customers to service standards which were available in the western world for years. These service standards were visible and noteworthy and hence triggered quick acceptance within the customers. McDonald’s positioning in India as a family restaurant further fuelled its success. India as a market was a unique example of diversity. Divided into 28 states and 7 union territories, the vegetation, climate, religion, language, clothing, and food varied from one state to another. McDonald's philosophy of QSCV (Quality, Service, Cleanliness and Value) is the guiding force behind its service to the customers in India. Rank as the top 10per cent of the business markets globally for McDonald’s, the entry of McDonald’s in India was perfectly timed. The market had begun to open up. The economy of the country was growing stronger. The customer markets were eager to acquire newer products and use newer forms of services.

At present, there are 300 McDonald's restaurants in India ( which are located all over India including North & East India and West & South India. After 17 years operated in India, McDonalds has passing thru all the tough and great moments. Here are some of the milestones for McDonalds:
• 1996
First McDonald's restaurant opened on Oct. 13, at Basant Lok in New Delhi. It was also the first McDonald's restaurant in the world to not serve beef and pork based products
• 1997
First Drive -Thru restaurant at Noida (UP) First disabled friendly store at Noida (UP)
• 1999
First Mall location restaurant at Ansal Plaza (New Delhi)
• 2000
First highway restaurant at Mathura (UP)
• 2001
First thematic restaurant at Connaught Place (New Delhi)
• 2002
The first restaurant in a food court at 3C's, Lajpat Nagar (New Delhi)
The first restaurant at the Delhi Metro Station at Inter State Bus Terminus
The first fundraiser in association with ORBIS and Dr. Shroff's Charity Eye hospital. (Delhi)
• 2003
The first Dessert Kiosk - Faridabad (Haryana)
• 2004
McDonald's Delivery Service (McDelivery) introduced in New Delhi Local menu innovations like McAloo Tikki, McVeggie and Pizza McPuff exported to Middle East
• 2006
McDelivery on Bicycles flagged off at...

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