McDonald's: Cultural Adaptability To Bring Continued Success

David Zanoni
11.13K Followers

The McDonald's (NYSE:MCD) of the United States is much different than the McDonald's in Japan, China, and India. The company has committed to understanding the preferred foods in specific cultures. It has adapted the menu to include foods that are popular in specific countries. This has allowed McDonald's to be successful in international market growth.

According to the company's 10-Q report for Q2 2012, McDonald's derives 67.6% of its business from outside the U.S. The long-term effect of the falling value of the dollar is paramount for the company to ensure its success outside the United States.

In China, McDonald's features an all chicken burger using thigh meat as opposed to the standard breast meat. The thigh meat is preferred in China over breast meat. There is also a Chinese New Year meal which includes the Grilled Chicken Burger, curly fries, and a horoscope of the 12 animals of Chinese astrology. China also has walk-up express windows known as McExpress which sells drinks and ice cream. The company plans to add 225 to 250 new restaurants in China in 2012 with a goal of reaching 2,000 restaurants by the end of 2013.

Japan features a Teriyaki burger, shrimp nuggets, shrimp burgers, green tea flavored milk shakes, and more. The Japanese prefer to have their hot dogs served for breakfast with relish, ketchup, and mustard. McDonald's opened new multi-floored restaurants in 2011 in Japan where it features a café atmosphere on the first floor and the traditional fast-food experience on the second floor. The company plans to eventually expand this concept to over 300 restaurants.

McDonald's plans to open two vegetarian restaurants in India next year. The company currently keeps pork and beef products off the menu in existing restaurants in India. The McDonald's in India features the McCurry Pan, which is a mix

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11.13K Followers
David focuses on growth & momentum stocks that are reasonably priced and likely to outperform the market over the long-term. He is a long term investor of quality stocks and uses options for strategy. David told investors to buy in March 2009 at the bottom of the financial crisis. The S&P 500 increased 367% and the Nasdaq increased 685% from 2009 through 2019. He wants to help make people money by investing in high-quality growth stocks.

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