Mcdonalds vs Burger King Research Paper Example | Topics and Well Written Essays - 1750 words

Mcdonalds vs Burger King - Research Paper Example Over the years the two companies have had advertising wars over product superiority such as the French fries wars. The purpose of this paper is to compare and contrast the business models, advertising strategies, and financials of McDonald’s and Burger King. McDonald’s Company Profile McDonald’s was founded in 1955 by Ray Kroc. The hamburger chain restaurant has brought innovation into the industry since its inception. In 1975 they became the first company to ever offer a drive-thru window. Today the firm enjoys market leadership in the industry. The company achieved global sales in 2010 of $24,075 billion. The firm is a public company whose common stocks are traded in the NYSE under the symbol MCD. The company has over 32,737 restaurants across 118 countries worldwide serving nearly 64 million customers each day (Aboutmcdonalds, 2011). About 80% of the firm’s restaurants are independently owned franchises. The chief executive officer of the company is Jim Skinner. The organization has 1.7 million employees worldwide. Burger King Company Profile Burger King was founded in 1954 by James McLamore and David Edgerton. The company first TV advertisement aired in 1958 and by 1961 the firm began selling franchises. Burger King has 12,078 franchises worldwide. The firm has established operations in 73 countries. In 2010 Burger King achieved total revenues of $1,839 million. The firm is traded in the NYSE under the symbol BKC. The firm franchises nearly 90% of its stores. Burger King is the second largest fast food company in the world serving over 11 million customers worldwide (Bk, 2011). Business Model Comparison Burger King and McDonald’s both have similar business models. They are both burger chain franchises that have domestic and international operations. McDonalds has a larger operation than Burger King with over 20,000 more stores. McDonalds is a bigger international player with 17,276 foreign stores located across 118 countri es (Worldfranchising, 2011). McDonalds has a better brand value than Burger King. The firm has capitalized on that brand value by charging a 12% royalty fee which is 8% higher than the 4% royalty Burger King charges to its franchises. Both companies sell products of equal nutritional content. Burger offers in its combo better value due the fact that their hamburgers are bigger and of better quality meat. US customers prefer McDonald’s French fries over Burger King French fries. McDonald’s has a better $1 menu than Burger King. The organic growth model used by McDonald’s has been more effective at achieving a higher market share than Burger King’s growth strategy. Both companies were founded at around the same timeline. A difference between the franchises in terms of store capacity is that Burger King requires a building of a minimum size of 3,600 square feet, while McDonald’s stores can be located in buildings as small as 2,000 square feet. Marketi ng Comparison McDonald’s and Burger King both spend millions of dollars each year in marketing budget. A great portion of the marketing budget of these companies is financed by a special advertising fee the company charges to its franchises. Burger King and McDonald’s both charge their franchisees an advertising fee of 4% of the store’s revenue (Worldfranchising, 2011). McDonald’s has been more effective over the years at targeting children in comparison with Burger King. â€Å"

Under Age Drinking Grant for the Air Force Essay

Under Age Drinking Grant for the Air Force - Essay Example Underage drinking is considered to be illegal if the consumer is below the age of majority, 21 Years of age. Most of the youngsters are drug addicts either directly or indirectly. There are cases where underage drunkards went out of control and making other crimes in alcoholism. Reports of death as a result of over consumption of alcohol can also be found. They also cause innocent victims in car accidents, sexual assaults, etc. There were even discussions made in order to reduce the age limit of 21years to be brought down to 18 years. But the existence of various public interest organizations and juvenile justice forums helped the lawmakers to keep the age limit in 21 Years itself. Under the Air force strict laws were made in order to maintain underage drinking catastrophe. The Office of Juvenile Justice and Delinquency Prevention, enforced the Underage drinking Laws discretionary program. The main objective of the program was to decrease the number of first time alcohol consumption and related crimes, in Air Force bases like Colorado Springs. The program was to resuce underage drinking in selected areas by enhancing research based prevention planning and program focused on underage drinking among underage U.S. Air Force personnel. ... The program found that the underage drinking could be eliminated only by proper guidance to the public and by reducing the local availability of alcohol to underage persons. The Air Force Personnel takes the underage Drinking as a major threat. They says that the core value and quality of the Air Force is ruined by underage drinking. It reflects a clear danger to mission and discipline of the Air Force. Reports and researches in Colorado Spring says that an about 10%of Air Force accidents occur to under 21years personals, out of which about 40% are of alcohol related incidents, this report shows the intensity of underage drinking within the Air Force. The Air Force found that the underage drinking manner destroys the base of the U.S. Air Force as it can result in destruction of morale of the Air Force. So the Air force introduced three-layered measure to bring down underage drinking. Awareness given by the top leaders or ranked officers on underage drinking that it ruins the qualities of leadership. Individual level awareness includes educating personals to be responsible to themselves and to their job by promoting a zero tolerance towards underage dri nking. Air Force also made awareness on underage drinking consequences in Legal and Health issues. Police Officials reports that five out of fifteen will be underage Air Force Officials while raiding parties for underage drunkards in Colorado Spring. Public Interested Programs like Mother Against Drunk Driving [MADD] and Dad Against Drunk Driving [DADD]are two programs working efficiently among the underage drunkard in Colorado Spring. They mostly points on the Underage Air Force Officials. These programs have successfully advocated, and are advocating for the enactment of laws for strict and