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Essay / Research Paper Abstract
This 3 page paper looks at both pricing and non-pricing strategies. The coffee market and burger wars are each referenced. Bibliography lists 3 sources.
Page Count:
3 pages (~225 words per page)
File: RT13_SA836McD.rtf
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Unformatted sample text from the term paper:
often used dollar menu in addition to competitive pricing. Many other chains use this same approach. While other burgers, fries and drinks are priced higher in the restaurant, the dollar
menu features a number of items that can be purchased for only one dollar. The items change from time to time, but the dollar menu persists. This along with pricing
their food competitively in the fast food market is the bulk of their pricing tactic. While of course the ultimate goal of McDonalds is to profit, part of the marketing
scheme includes non-pricing strategies. That is, while competitive pricing is necessary to stay in the game, and the dollar menu does draw business, other strategies are certainly employed. One is
to make a better tasting burger. McDonalds does have popular items like its Big Mac, but sometimes its strategies fail. For example, the Arch Deluxe had been introduced during the
1990s but was considered a disaster (Branch & Gunn, 1997). Many would concur with that assessment because it was a short-lived burger choice and did nothing to enhance the image
or the pockets of McDonalds as a company. Part of the problem was competition. At the very same time, rival fast food chain Burger King would introduce the Big
King (Branch & Gunn, 1997). The Big King was a hit and did much better than the Arch Deluxe (Branch & Gunn, 1997). Another, and more recent, non-pricing
strategy was the introduction of new drinks. McDonalds had recently introduced a new coffee blend, likely to compete with its fast food rivals in addition to the many coffee brands
such as Dunkin Donuts and Starbucks. It also has introduced a one dollar iced tea and a special iced coffee drink. The new drinks likely lure customers who just want
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