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Green Peace – This campaign often focuses on McDonald’s as an industry leader promoting business practices detrimental to the environment, destruction of tropical rainforests INFLUENCE: Pressure groups get the media involved which cause attention to grow on McDonalds in a negative way; this can mean that McDonalds lose customers as they don’t want to be involved with an organisation that causes a bad reputation towards McDonalds. McDonald’s attempts to fulfil expectations of pressure groups such as animal rights by buying meat from animals that are not slaughtered etc. but it is impossible for them to keep pressure groups happy all of the time.
Pressure groups influence the business by checking at the store very often, doing customer surveys. They have the power to ruin the reputation worldwide if something is off beam. Pressure groups can take immediate direct action to get their point across. This is unhealthy for McDonalds as this draws media attention and public attention to the groups cause. This would mean that potential customers may decide that they do not want to buy McDonald goods due to a poor reputation. McDonalds have many schemes in place to please shareholders such as sticking to government rules and regulations or meeting the needs of the consumers.
For example when people blamed McDonalds a cause for obesity levels and complained that there are not enough healthy choices, McDonalds came up with initiative ideas for a more healthier choices and a cut down in fat levels. This shows how they are a big influence to McDonalds; they can easily put the reputation of McDonalds down. Also competitors like Burger King tell income tax officer to check making trouble for the business.
McDonalds have a constant battle with pressure groups and aim to keep them happy as they do not want the negative publicity. However as there are so many pressure groups it is impossible to keep everyone happy. Evaluation: After investigating the different stakeholders at McDonalds in thorough detail I can establish that the most powerful stakeholders are customers, franchisees and suppliers. This is because they have great buying power if they are dissatisfied with the level of quality at McDonalds they can easily take their custom elsewhere. Franchisees are powerful in the UK as all of McDonalds restaurant are either company owned (where the manager runs the restaurant) or franchised (turn over).
McDonalds have great trust in the franchisee to operate restaurants successfully and keep their reputation high and clean. Suppliers are important stakeholders because they need McDonalds as much as McDonalds needs them. By working in a team they can meet each others needs. After recognising the most important stakeholder I can clearly declare that all stakeholders are important. Each stakeholder has different needs, McDonalds try and find a compromise with these needs and put effort to fulfil all their interests. However it is impossible to do so therefore conflicts can occur like I have discussed earlier.
All information that I have, has been gathered through different research through the internet for example www.mcdonalds.com and also www.bized.ac.uk and a selection of books. I have gained some information through the trip made to McDonalds; I have gained knowledge about McDonalds in further detail by the interview made at the trip.