What Are The Weaknesses Of McDonald's?

2 Answers

Robin Burden Profile
Robin Burden answered
Although McDonald's is one of the fastest-growing and strongest-performing companies in the world, it isn't immune from the concerns of other businesses.

In terms of the business management of McDonald's, I'd suggest that the following are all weaknesses that the company will be trying hard to address:

  • Staff turnover rates
  • Quality and standards issues
  • Public perception as a 'junk food' brand
  • Its ability to expand into more profitable markets
What are the weaknesses of McDonald's?

Although official figures are not published, I recently read an article that suggested that McDonald's staff turnover among crew members is at the 80-90% mark.

Yes, McDonald's employs many temporary and seasonal workers (like students), but this figure seems incredibly high to me.

If you consider the cost of training a crew member, and the fact that peak performance will only occur after several months in the job - to have many people quit their job only months after starting with the company suggests a major weakness in the company's employment strategy.

Other challenges that McDonald's faces
The public image of McDonald's could also be seen as a weakness.

Although the brand is instantly recognizable, and huge profit is garnered through its brand familiarity, many people still perceive McDonald's as offering poor quality or unhealthy food.

This is a negative connotation that the company struggles with across the world.

Another weakness that McDonald's currently suffers from is that its prime demographic is the one with the least disposable income. In many cases, McDonald's products are targeted at children - who obviously earn no money, and have little purchasing power.

Answer Question

Anonymous