Swott Analysis: Mc Donald’s Hell Case

A Swott analysis plays a major role in strategic planning. This analytical tool helps management identify the strengths, weaknesses, opportunities, threats and trends that are involved within an organization. Identifying these basic factors helps a company build a strong futuristic plan. The Swott analysis seperates these factors into catagories making them easier and more efficiently addressed. A Swott analysis is essential to a business because when strengths and weaknesses are identified, these are addressed more efficiently.

When a company is unaware of these basic factors it becomes vulnerable to failure. For example when a company identifies the weakness of its product it targets the problem and improves it. Finding the strength of a product helps the company portray it to its full extent. According to the Mc Donald’s Hell Case a weakness linked to the decline of profit of Mc Donald’s is today’s society and its focus on healthier food. It has been known that their food pose some type of health risk because of their fat content. By identifying this weakness, Mc Donald’s owners can strive to developing healthier food.

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A Mc Donald’s strength is its name and how well known it is. Almost anyone in the world knows the name Mc Donald’s. The marketing approach the company has taken has been very successful, therefore it poses as a strength. By providing healthier food and promoting it as well can be the key to success and upbringing of this well known company. Another strength of the company is the invasion of the market. Mc Donald’s is getting rid of weak franchises. These franchises have been cataloged as providing poor quality and customer service.

According to the article Mc Donald’s hamburger Hell in the 1990’s franchises stopped grading for cleanliness, speed and service and this relieved franchises of a main focus. This change in quality became a problem to some franchises and were bought out because they could not keep up with set standards. Threats pose as a controlling factor on an organization. A threat known to Mc Donald’s is its competitors. Competition in the fast food industry is saturated. Today’s society is very fast-paced, therefore offers business to these type of restaurants.

Competitors are taking over the fast food market because some are producing better quality foods as well as healthier ones. The action taken by competitors are posing as a threat to Mc Donald’s because they are taking over consumers. Opportunities that can aid Mc Donald’s in this time of economic crisis are the opportunities of identifying its weakness with quality and customer service and given the opportunity to correct them. Mc Donald’s is a well known company that can take advantage of its known name and market its products to their full extent.

Analyzing the opportunities of a business develops a strategized plan that improves the organization and its constant development. In conclusion, a Swott analysis is essential to a business because it forms the base of possible improvement to a company. Consumers are constantly in the look for new and innovative ideas. A company’s analysis helps forecast a business outlook into the future. It sets grounds to the constant development of a company and prepares a company for any issues that might arise.


  1. Strategic Management. Retrieved August 28, 2009, from http://www. quickmba. com/strategy/swot/

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