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Brand Positioning Of Mcdonalds Marketing Essay

Introduction

The topic here selected is “Brand positioning of McDonalds in UAE”. For any company, its Brand image is its most valuable asset. Brand Positioning is a marketing term which means that how the company wants its customers to think about itself.

We know that Mc. Donald’s is one of the most successful brands on the planet. Whenever we think of Mc Donald’s, we make an image of the company in our mind and this is what Brand positioning is all about. The company is spread over the globe and is successful everywhere it operates. This gives an indication that the company is very successful in terms of its Brand positioning. Thus the research will try to find out the factors that make it successful.

In UAE, Mc. Donald’s is present from quite a while. Mc Donald’s has repeated its habit of success here also and is been able to develop a positive Brand positioning. So, the study of brand positioning of Mc. Donald’s in UAE would result in a number of learning experiences in marketing sphere too. (Brand positioning)

Another objective of our research would be to learn and use statistical software like SPSS, Excel etc. In our course structure, we have come across number of statistical methods like hypothesis testing, confidence interval, Z test, T test, regression analysis, analysis of variance etc. The project will give us excellent opportunity to learn not only the working of this software, but will also help in understanding the implications of the statistical results obtained. (Importance of Brand Positioning research, 2010)

REason for the topic and observations

Food chain industry is expanding greatly. There are number of foods chains in the market and each of them is able to attract some customers. Customers usually generate an image of the company in their mind and each brand has its unique positioning in customer’s perception. So it would be a good research to understand the factors that define positioning of a food chain. The food chain considered here is Mc. Donald’s. The reason for selection is because of wide spread of the food outlets of the company and great success of the brand.

Goals and objectives

Goals: Research’s Goal is to develop a theoretical model for brand positioning of Mc. Donald’s in UAE.

Objectives:

To identify the factors that affects the brand positioning of a Food chain

Learning the data analysis tools like Excel and SPSS

Conducting literature review to identify the factors that govern brand positioning.

Use McDonald's in UAE as a test bed.

To use statistical techniques for data collection and analysis of data to verify hypothesis.

Literature Review:

The academic research pool is filled with researches focusing on brand positioning. In this section, we will focus on two to three major articles.

Article one: “The role of corporate brand image in the selection of new subcontractors”

The article above was published by Anna Blombäck in year 2007. The title is as mentioned above. The article was published in Journal of Business & Industrial Marketing.

Issue: He investigated the role of brand awareness and brand usability in brand positioning of a company.

Hypothesis: He made number of hypothesis, the one of our area of interest is that Brand Awareness has an impact on brand positioning and so is with brand usability.

Data Collection: His major data was secondary in nature. He used 15-16 Academic journals to come to the conclusion.

Statistical technique for data analysis: He does not use any statistical technique. The research was based on secondary data and already tested hypothesis.

Summary: He found that brand positioning of any brand is significantly influenced by awareness of the brand. He also focused on usability of the brand. In his research, he found that to build a strong brand positioning, a brand should be usable for the target customers.

Another good work in field of brand positioning is done by Harlan E. Spotts (2010). He found that brand positioning is greatly affected by commutation of the brand and the social responsibility taken by the brand.

Article two: Brand Positioning

The article was published by Paul Marsden in year 2002. The article was published in Marketing Intelligence and planning.

Issue: He investigated the role of brand performance, brand imaginary and social responsibility in brand positioning of a company.

Hypothesis: The hypothesis in his work was based on these three factors only. He assumed that all the three factors have a significant role in brand positioning.

Data Collection: Paul used a questionnaire to collect data and then performed statistical test to come to the conclusion.

Statistical technique for data analysis: He performed a regression test to check the role of these three factors on the brand positioning of the company.

Summary: Paul Marsden (2002) identified other significant factors for brand positioning; these factors are brand imaginary, social responsibility and brand performance. He identified that these factors determine the reaction of the consumer towards the services of a food chain and are thus, significant in determining the brand positioning of a food chain.

So based on above information, we can say that brand positioning is a contribution of 5 major factors namely brand awareness, brand imaginary, social responsibility, brand performance and brand usability. Based on these, the following model will be used:

Indication of finished work

The finished work will quantitatively investigate marketing paradigm of the company and will result in finding of:

Customer perception about brand imaging policies of the company like e-complain, “Your decision campaign” etc.

Appropriateness of price charged for the service and segmentation of the market.

Public opinion on the location of the company’s outlets.

Efficiency of the current promotion level of the company.

Consumer perception of the service’s quality offered.

Consumer perception of the social responsibility of the company in UAE market

Consumer perception of the Brand imagery of the company

The work will be supported by the perception of the marketing head of the company, members of the marketing team and the customers itself giving a reliable result of these issues. (McDonald’s UAE concludes its 8th World Children’s Day Campaign with a memorable celebration, 2010.)

Methodology

Development of data collection tools

The data collection tool here comprise of:

Questionnaire to the customers: questionnaire would be asked to the customers of the company to ask how much they are impressed/ affected by company. The questions would be asked on a 5 option scale with options like “Strongly agree, agree, don’t know, disagree, and strongly disagree”

Method of data collection

Primary data:

The research will use primary data. Primary data will come directly from customers and will be collected with the aid of a questionnaire.

Target customers for research:

The target people for research are the present customers of Mc Donald. We will catch this audience at the outlets of the company. The expected sample size is 50 but we will welcome any higher number too.

Sampling

The research includes one questionnaire to address the customers. The questions would be focused on 5 factors of the research that would be identified from literature review. The targeted sample would be at least 30 which are necessary to use Normal assumption for the sample data.

Questionnaires:

Another important methodology to acquire required data is by questionnaire. As organization includes a huge number of customers, and interviewing each and every person is almost impossible. Also that makes the sample size too big to manage, so a sample of something around 30-40 will work for the research. As the questionnaire would be asked directly from the persons on whom the policy will have direct impact, we assume a fair enough result of the questionnaire. The venue would be the company office.

Questionnaire will also be used for calculating the opinion of Mc. Donald’s customers on the positioning of the company by targeting questions on main factors of the research. The questionnaire would be based on the five main factors identified in literature review. Responses would be taken on a scale of 5, namely strongly agree, agree, neutral, disagree, and strongly disagree. Question would be formed on each of the five main variables. A sample is as follows:

Questions

Strongly Agree

Agree

Neutral

Disagree

Strongly Disagree

The commercial and advertising done by McDonald was a motivator for me to eat there?

McDonald’s symbol and its Tag Line are its key promotional element?

Increase in promotion by McDonald will encourage me to visit again?

I like availability of other brands (Pepsi) with available food stuffs in McDonald?

McDonald’s food packing is attractive?

McDonald utilizes customer feedback to improve its service?

Price is a determinant factor for me to decide about eating at McDonald?

McDonald tends to have a quicker service compared to other local food joints?

For Birthdays/Celebrations and related occasions, I prefer visiting McDonald over other food joints?

I have number of goods memories from McDonald?

Data analysis methods to be used

Data will be collected by questionnaires and the result would be stored in excel sheets. The data is then analyzed by the help of excel tools.

The key methods to analyze the data will consist of:

Regression analysis: We will use SPSS or Excel, to carryon a regression test. With the help of the regression test, we will be able to find out is the main positioning of the company is a liner combination of the main variables or not.

Correlations test: A correlation test will also be used to see whether one or more main variable identified in the literature review are related to each other or not.

Hypotheses testing: Here 5-6 different hypotheses would be tested to and each hypothesis would be tested by the help of Z or T test, whichever is appropriate according to the size of data collected. Sample hypothesis are as follows:

Hypothesis

Ho: Brand Awareness has no significant effect on brand positioning of McDonalds.

Ha: Brand Awareness has significant effect on brand positioning of McDonalds.

Hypothesis

Ho: Brand Usage has no significant effect on brand positioning of McDonalds.

Ha : Brand Usage has significant effect on brand positioning of McDonalds.

Limitations:

The research is completely based on primary data. This can present only one side of the story and academic and industrial view of the topic. Also the target audience of data collection is customers. A better way could have included other stakeholders too.

Research plan

Timetable

The tentative schedule of the research is as follows:

Research Methodology

Medium

Authorized Individual

Technique

Date

Time Interval

Venue

Interview (Primary)

Personal Interview

Head of marketing department

Scheduling appointment through PA

22 th December

1 hr

Office Premises

Questionnaire (Primary)

Personally undertaken

Customers

Customers visiting the company

22-27th December

5 days

Company office

Information from Internet (Secondary)

online

Websites like http://www.cim.co.uk, www.arabianbusiness.com,

NA

27-29 December

2 days

NA

Journals (Secondary)

Observation from Reading

Available on internet

NA

23 – 29th December

7 day

NA

Newspapers (Secondary)

Observation from Reading

Newspapers like Financial Times, Gulf Times

NA

27-29th December

2 day

NA

Data analysis, report formation etc

Using primary and secondary resources

NA

Regression and Hypothesis testing in SPSS or Excel

28th December to 1st Jan

5days

NA


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