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Effective Executive Magazine:
Marketing McDonald’s in India
 
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McDonald’s entered India in the year 1996 when the fast food retail market in India was at a nascent stage. Overcoming several challenges in the beginning in terms of adapting to the tastes, preferences and culture of the local customers, changing the perception of Indian consumers towards American food habits, obstruction from political parties, issues with distribution, designing a proper supply chain to training the employees on McDonald’s standards, the fast food giant emerged as the market leader by 2011. Though McDonald’s commands the leadership position in the Indian fast food market, there exists stiff competition from the local traditional fast food retailers as well as other multinational firms which entered the fast growing Indian fast food market. In the face of intensified competition, can McDonald’s retain its dominant position?

 
 
 

In April 2011, McDonald’s Corporation (McDonald’s) launched a new marketing campaign in India with TV commercials, print, in-store promotions, and a viral campaign. The campaign was to support the launch of the McSpicy products—its new range—in India. Vikram Bakshi, Managing Director, McDonald’s India (North and East), said, “The McSpicy menu is a part of our ongoing endeavor to add variety and expand our menu to suit our customers’ preferences. These are products from our core global menu, but tailored to the Indian palate.”2 McDonald’s, which had 212 outlets in India in early 2011, was preparing to increase its presence further in the country.3 Analysts felt that since its entry into the country in 1996, McDonald’s had established itself as a leading player in the fast emerging fast food market in India.

With a spread across 119 countries and with more than 31,000 restaurants, McDonald’s had managed to resolve one of the age-old dilemmas of marketing, the tension between implementing global standards or adapting to local tastes and preferences. Serving Arabian flat bread in Kuwait city or a McLaks4 for the fish loving people of Norway or a Rice burger5 in Hong Kong,6 McDonald’s had proved that it was ready for a little give and take on its original goal to ‘hamburgerise’ the world.7 Even in India, it was recognized for localizing its offerings and for its marketing. Experts felt that the company had been experimental and innovative in its marketing strategies and that this had given the brand an enormous mass appeal and recognition in the country.8 However, with the competition intensifying in India and many fast food retail chains eyeing this emerging and fast growing market, McDonald’s had to move quickly to strengthen its leadership.

 
 
 

Effective Executive Magazine, Marketing McDonald, Global Standards, Competition Intensifying, Restaurant Services, International Markets, Symbol of Globalization.