Standardisation vs. adaptation international marketing approach with regards to McDonald’s operations in India Introduction The central purpose of the study is to determine the best international marketing strategy for McDonalds in India and shedding light on these strategies- Standardisation or Adaptation. Background McDonald's™ is a pioneer in the foodservice industry with over 32,000 restaurants in about 130 countries. The brand is handled and overseen by two following business organisations in India:
Connaught Plaza Restaurants Private Limited, headed by Mr. Vikram Bakshi, JV Partner and Managing
Director, East and North India Hardcastle Restaurants Private Limited, headed by Ms. Smita Jatia, Managing Director (MD), West and South India
McDonalds believes in Q-Quality, S-Service, C-Cleanliness and V-Value. This motto is their driving force in the Indian marketplace. For McDonalds, India was the first country wherein no-beef or pork products were served. McDonalds in India catered to wants and needs of the people, with different menus as well as food processing plants for vegetarian and non-vegetarian customers. Currently, in India there are 300 McDonalds. Discussion Standardisation approach is quite different from the adaptation international marketing approach. When the needs and wants of the target market are same, standardization strategy comes into the picture. On the other hand, if the wants and needs of the target audience are different, and also the socio-economic conditions of the target market differ, in that case, adaptation strategy is used. Standardisation-McDonalds in India
McDonalds has many recipes that are same all across the world, thus maintaining its brand value and image. Standardisation approach gives a competitive edge to McDonalds in India. Adaptation-McDonalds in India In India, McDonalds adopted the adaptation strategy. The most prominent example of this strategy in the context to McDonalds India is: Adaptation in the local menu: McDonalds India does not serve beef or pork products, thus respecting the cultures and religions in India. Additionally, McDonalds offers many varieties of veg diets, keeping in mind the larger population in India being Vegetarians. Also, there is a full vegetarian McDonalds in India (established in 2012). Therefore, it is very evident that McDonalds uses both the standardization and adaptation strategy to the core. Conclusion McDonalds sell standardize product, i.e. the ingredients, taste, weight and packaging are same throughout India (Standardisation strategy). At the same time, McDonalds has made a few changes in its menu as per the demand, preferences and wants of the people out there (Adaptation strategy). With a unique mix of both the international marketing strategy, the brand is topping the popularity chart with every passing day. McDonalds uses a solid base of both the standardisation and adaptation strategies, which allows them to retain the confidence of the people in them and additionally maintain the brand value. To thrive in this competitive international market, the blend of standardization and adaptation approach must be used. Hence, “Adaptstandation” is the USP of McDonalds in India.
Bibliography BBC News, September 4th 2012, McDonald’s opens vegetarian-only restaurant. Kotler, P. (1994), Marketing Management, Prentice-Hall, Englewood Cliffs, NJ. Doole, I & Lowe, R. (2008), International Marketing Strategy: Analysis, Development and Implementation, 5th ed. London, Thomson Learning. (n.a), February 2nd 2014, McDonald’s Corporation 2013 annual report.
Websites: McDonald’s India official website, http://www.mcdonaldsindia.net/mcdonalds-india.aspx Panos Mourdoukoutas, McDonalds Winning Strategy- At home and abroad, 2012/04/20, Forbes, http://www.forbes.com/sites/panosmourdoukoutas/2012/04/20/mcdonalds-winning-strategy-at-home-and-abroad/ Valdez, 2011, ―Adaptation marketing strategy, accessed on March 16 2014, http://www.ehow.com/info_8335809_adaptation-marketing-strategy.html
