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Unit 5 Assignment 3 International Business *DISTINCTION*

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Rahel Akram



Unit 5 Assignment 3: Strategies & Resources
Introduction
Hi, my name is Rahel Akram and I am continuing my role in a local Chamber of Commerce.
The Chamber of Commerce is preparing materials that examine the strategic and
operational approaches to creating international trade. I have been asked to prepare a
research study that assesses the success of the strategies and resources used by one
business that is either from the service or manufacturing sector of the economy, that
currently trades internationally. The business I have chosen is McDonalds.
McDonalds
McDonalds is an American fast-food restaurant. McDonalds was founded in 1940 in San
Bernardina, California by Richard and Maurice McDonald. McDonalds operates worldwide in
countries such as Japan, UK, Germany, France, Sweden and Saudi Arabia. McDonald’s
mission is “to be our customers favourite place and way to eat and drink”. This mission
shows that McDonalds take pride in their customers and that their customers is the
business’s main priority. I chose this business because it provides a good example of a
worldwide and household brand.



P8: How Products Have Adapted to Suit International Markets


McDonalds are known for providing the world with fast food in store and with their delivery
service. They are also well known for their wide variety of fast food with each country they
operate in having different types of food. For example, in McDonalds in Italy, you can find
‘Tomato & Mozzarella Turnovers’. This consists of mozzarella and tomato in a pastry. A
reason McDonalds will provide this in Italy is because Italy is well known for their panzerotti
hence why you will only find this there. A reason why this is beneficial for McDonalds is
because, since people in Italy eat panzerotti, this can attract new customers to try the food
at McDonalds. Therefore, this can boost their sales and make McDonalds in Italy very
popular and may even attract customers abroad to come to Italy and try ‘Tomato &
Mozzarella Turnovers’. As a result, this will boost McDonald’s income and allowing them to
produce new food as well as allowing them to expand. When it comes to McDonald’s
literature, since this food is based in Italy, it is most likely going to be printed on the menu in
Italian. This is important for McDonalds as it will allow the customers to understand what is
being presented to them on the menu. Without this, customers would not understand what
is being shown to them on the menu therefore making them uninterested in buying the
food. As a result of this, McDonalds may lose customers within Italy affecting the business in
Italy and maybe McDonalds as a whole.

, Rahel Akram




When it comes to McDonald’s advertising in Italy, the ads are presented in Italian however
subtitles are provided in English. This is because besides Italian, English is one of the most
spoken language in Italy and in the world with many tourists of Italy coming from the UK.
This is beneficial for McDonalds in Italy because this allows tourists to understand what is
being advertised to them. The food in McDonalds in Italy will be most likely produced in
Italy. This is because food like the ‘Tomato & Mozzarella Turnovers’ is only available in Italy,
therefore it would not make sense for them to be produced and exported in America. When
it comes to the ingredients being used in McDonalds in Italy, Italy have very different laws.
For example, ketchup is not used on burgers or anything else except from French fries.
Although this is not banned in Italy it is quite frowned upon. This may push customers
locally and especially people abroad from eating McDonalds in Italy as they may find this
unusual. This means McDonalds may lose sales and income possibly affecting McDonalds as
a whole. Another ingredient is not necessarily banned but frowned upon by Italians is
drinking anything but water or wine while eating. As McDonalds is a fast-food franchise with
many of its branches providing a variety of drinks besides water, McDonalds in Italy is most
likely to provide other drinks besides water. Although, drinking other drinks with meals may
be okay within the restaurant, however it may be frowned upon if consumed on the streets.
This can impact McDonalds in Italy in a negative way because many people especially
tourists would want to enjoy their food with a beverage of their choice. So if someone
wanted to travel to Italy knowing this information, it may make them change their mind
about going to eat in McDonalds in Italy or eat in public for that matter.




https://youtu.be/a_tXsnpHsQg - McDonalds Advert in Italy


Another example showcasing McDonald’s variety is the poutine available in Canada. Poutine
consists of French fries with gravy and cheese curds on top, which is very popular in Canada.
Being aware of this, therefore McDonalds decided to produce this type of food. This has a
$13.16
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