EFAS Table

EFAS Table (McDonald’s)

Columbia Southern University

Weight Rating Weighted Score Comments
1 Addition of Organic Products .07 2 0.14 People are more health conscious nowadays and are switching to organic food products. This is a very big opportunity for McDonald’s to offer organic products. (Ovidijus, 2018).
2 Gluten-Free Products 0.13 2 0.26 There is no other fast food chain offering nay gluten free products currently, with increased health issues, gluten intolerance is the most common. Offering gluten free will attract a very big number of customers.
3 Focus on Recycling 0.1 4.5 0.45 There is an increased focus on Green environment many people don’t like McDonald’s to use HCFC -22. Saving earth and recycling to save environment pollution is most important thing for these customers. (13, 2016).
4 Globalization 0.1 4.5 0.45 More expansion in Asian Markets would be a big move for company. There are not too many franchisees like in US and other European countries. (Dalavagas 2015).
5 Product Diversification 0.15 3 0.45 Adding Fruit snacks and salad options in their menu. Expanding their menu with healthy options would be great. People are focusing on more healthy products, so it is McDonald’s biggest market opportunity (Dalavagas, 2015).
6 Joint Ventures 0.01 2 0.02 Company can open joint ventures with other retailers to increase their profits.
1 Increased Health Awareness 0.1 3 0.3 Every person is more focused on their health, McDonald’s do not offer a healthy menu, so many people are switching to other food chains who offer salads and healthy menu.
2 Competition 0.11 3 0.33 Subway & Starbucks are the biggest competitors, Starbucks has introduced the breakfast options in their menu with time. Subway is competing with McDonald’s over prices and quality ((Dalavagas, 2015).
3 GMO trends and regulations 0.05 3 0.15 Increasing awareness of health is threat to McDonald’s existing policies which are not focusing on NON-GMO options.
4 Lawsuits for unhealthy products 0.01 3 0.03 Children love fast food but unhealthy foods like French fries are the biggest cause of Obesity today. McDonald’s must face many lawsuits for fatty foods. McDonald’s also must deal with negative reviews because its food contributes to growing obesity in America (Rowley & McMurtrey, 2016).
5 Contamination Risks 0.09 3.5 0.315 With changes in environment, E-Coli has become a very common problem. Contamination of vegetables with E-Coli is dangerous for McDonald’s reputation.
6 Economic Crisis 0.08 4 0.32 With increasing financial crisis many people don not afford to go out. People are focusing to eat more at home instead of eating out more. Strategies should be made offering more reasonable prices.
  Total 1.0   3.215  

McDonald’s is doing way better than an average fast food company. It has gained its competitive edge in the market due to low prices. But with the passage of time McDonald’s has increased competition with its competitors. Today Subway, Starbucks and chick fil a are the biggest competitors of McDonald’s as they are continuously trying to compete the prices of McDonalds. Starbucks is gradually introducing breakfast menu and attracting many people with healthy choices.

According to 2018 statistics Subway is the biggest retailer and now McDonald’s must compete with Subway to maintain its market position as in past. The biggest challenge company is facing is the unhealthy menu offered by them. Due to the increased awareness of healthy food, McDonald’s sales are cut down; people are nowadays more health conscious. McDonald’s needs to focus on the threats it has from external environment by converting them into opportunity to maintain its market share. It’s not tough only focusing on offering healthy products and introducing allergen free menu will take McDonald’s to the next level of success. McDonald’s will be a market leader with new strategies to take advantage of opportunities already present in market.

References