Globalization and impact of McDonald’s

Globalisation has permeated the entire planet and is an unstoppable phenomenon. After everything that globalisation has done—with so many firms going worldwide and influencing customers in many ways—we can never go back. All we can do is learn about and comprehend it.

 

McDonalds is an excellent illustration of this. McDonald’s is not just well-known. With a brand worth above 100 million US dollars, it currently holds the top spot, with Starbucks trailing behind. McDonald’s has had on offshore cultures, namely the international spread of the American fast-food model. These case studies, which examine specific cultural occurrences and how they relate directly to globalisation efforts, improve not just the McDonald’s theoretical framework but also the general processes and tactics of globalisation.

 

What Does Globalisation Mean?

Different forms of globalisation exist. But when we discuss globalisation, we mostly discuss globalisation in terms of the economy. Globalisation is the relationship and connection of many locations around the world and is the result of various forms of expansion. In terms of economics, it’s the integration of investments, commerce, and markets between nations with low barriers, enabling the sharing and flow of goods and services.

 

Advantages of Globalization

Combating poverty is only one of the numerous advantages that globalisation has brought forth. Furthermore, it has had a variety of effects on several enterprises. Among the advantages of globalisation are:

 

Getting to Know Other Cultures

International cuisine, music, and even art is more easily accessible. A prime example is the ease with which anybody can order and have McDonald’s famed hamburgers and fries delivered right to their door, even if they don’t reside in the US.

Obtaining Additional Talents

Businesses may now more easily locate talent or individuals abroad that they think would be a good fit for their organisation. Restaurants hoping to expand globally, like McDonald’s, may now recruit individuals of all racial backgrounds and skill levels to support their expansion.

Reduced Prices for Goods

Companies now have more access to more affordable methods of producing their goods. And this leads to international competition, which lowers prices and gives customers more alternatives. Due to this, individuals may live better and spend less money in many different nations. There are additional fast-food establishments similar to McDo that vie for patronage. And cutting their food prices is the greatest way to do that.

Offers Employment

Employing more locals is a result of the increased number of businesses opening in various locations. This helps people generate money for their family and raises employment rates. In the fast-food sector, specifically alone at McDonald’s, a large number of workers are employed to staff a store and offer excellent customer service.

 

Disadvantages of Globalization

Globalisation offers numerous advantages, but it also presents a number of difficulties. The following are some drawbacks of globalisation.

Similar Cultures

Although the cultures of all nations are unique, they are beginning to converge as a result of growing globalisation. Particular and discrete cultures are vanishing and beginning to merge. If the distinctiveness of any culture isn’t safeguarded carefully, it might perish or be forgotten totally. Consider the ideal McDonald’s combination, hamburger and fries. These days, practically everyone is a part of it. Even if they are only created locally, there aren’t many areas where you can’t find them.

Fees and Tariffs

When a business expands internationally, it cannot avoid paying export duties and customs. Purchasing goods and services from abroad may be difficult and expensive.

Lack of employment

Some businesses wilt as they get bigger and are forced to relocate or even shut down entirely. For instance, a neighbourhood restaurant in the UK used to be quite successful and employed a large number of people. However, when McDonald’s opens up and starts serving cheaper food, the local companies are forced to close since customers prefer lower-priced goods. People who are employed become unemployed as a result.

Global Warming

There are serious adverse repercussions of globalisation on the environment. Major environmental issues, including global warming, are brought on by the massive growth of transport and industrial infrastructure. Globalisation has led to a demand for resources. In order to establish a McDonald’s franchise, you will require room and finances. Thus, it is clear that natural resource depletion, ecological degradation, and even deforestation are occurring. Global warming and increased pollution are the outcomes of these processes, which mostly impact people.

Economic Crisis

Severe financial and economic crises can be brought on by unstable and imbalanced globalisation in large nations, particularly China and India. The interwoven and linked character of the world economy puts the global financial system at jeopardy.

 

McDonald’s SWOT Analysis

Strengths, Weaknesses, Opportunities, and Threats are referred to as SWOT. SWOT analysis is a method that businesses use to assess their surroundings and organisation. It is the initial stage in planning and it also enables the marketers to focus on the essential concerns. It is employed to evaluate a business’s advantages, disadvantages, opportunities, and dangers within the industry they serve. McDonalds’ strengths may be found and adjustments made to address its shortcomings by doing a SWOT analysis. On the other hand, steps may be done to enhance McDonald’s services going forward by assessing the company’s potential and dangers. The McDonald’s Corporation SWOT analysis may be seen below.

 

McDonald’s Globalization’s Effects

Ronald McDonald is a well-known figure who serves as a solid brand representative for the fast-food chain. It’s said that it forces society to adopt a happy family culture. Beyond this realisation, however, McDonald’s globalisation has had other effects on its patrons, particularly with regard to their way of life and eating. both favourable and negative effects.

McDonald’s may be characterised primarily by three factors. It is inexpensive, widely used, and quick. Additionally, as more people become aware of it, it has evolved from being only a fast-food sign to becoming a representative of American society.

Nevertheless, McDonald’s has been working to take into account the traditions and preferences of the local areas where its brand is present. They also consider the demographics of their customers, including what they wear on specific occasions, to make sure they are comfortable and appeal to the younger crowd.

Good Effects

Of course, two advantages of globalisation are happiness and jobs. It employs people, and they work very hard to make sure that customers enjoy their time at McDonald’s.

 

Adverse Effects

It’s likely that globalisation has had more negative repercussions than positive ones. Focusing more on the negative effects on the client, the disadvantages include unhealthy eating habits, a loss in the local culture, and an uncomfortable way of life. People, especially the younger generation, frequently visit McDonald’s; in fact, many view the fast-food company as a trend or a mark of style, choosing instead to eat from its daily menu. As a result, they are unable to identify the food from their own area.

 

Furthermore, McDonald’s junk food seriously compromises the diets and health of its patrons. When their health is affected, it also affects their way of life.

 

Conclusion

People everywhere are impacted by globalisation, and these consequences can be seen both positively and negatively. Its positive impacts include promoting the development of human civilization, fostering innovation, and assisting in the prudent use of resources. The current global economic crisis and the instability of the worldwide economy are the main targets of its negative impacts. People frequently experience more positive effects from globalisation than negative ones. Humanity must accept both the hazards and the opportunities that come with globalisation if it is to flourish over the long run. One useful example of how to comprehend globalisation is the globalisation of McDonald’s.

 


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