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McDonalds Franchise In Bangladesh

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McDonald's want to open a branch in Bangladesh. It has analysed the its environmental analysis but the Stakeholder analysis has not been done yet. Now provide a stakeholder analysis for McDonald's in Bangladesh based on recent condition of Bangladesh. Use framework or model to analyse it (for example : Mendelow's matrix, Freeman etc). Clearly indentify your all types stakeholder.

Find out what relationship marketing will be appropiate for McDonald's in Bangladesh and suggest what relationship marketing they need to follow.



McDonald’s franchise in Bangladesh

McDonald’s, the world’s largest chain of fast food, serves around 68 million customers in 119 countries with the total outlet of 36,538, everyday (Kroc, 2016). Stakeholder analysis is a type of business technique which helps to identify people who the company has to keep satisfied, keep informed, apply minimum effort or consider as key players.

As there isn’t any specific law or a separate governing body that regulates the business, franchisees in Bangladesh have to agree upon every terms and condition that the parent company put forward. Majority of the population eats beef so McDonalds don’t have to necessarily change their menu unlike India. The first step of stakeholder’s analysis is to identify major stockholders. The next step is to prioritize the stakeholders by following Mendelow’s matrix which basically shows the interrelationship between power of the stockholders and their interest. It helps us to know the people or organizations which may be affected by McDonald’s decisions (Thompson, 2016).  Using this categorization, we can plan how much resources we want to spend for each category. Let us start with the stakeholder analysis:

Identifying the stakeholders, they are:

Buyers (customers)



Board of directors






Determining their needs and issues:

Buyers and customer: the impact of change is significant for customers as they are the ones who regularly visit the store. Customers want new products and consistent products, it is important that McDonalds cater to their needs as they are the most important stakeholders.

Suppliers: The impact of change is high for supplier as they work closely with mcdonalds and changes will have direct impact on the supplier. they want a consistent and a steady order from the vendor and prompt payment. Supplier can create issues for McDonalds by not providing consistent and quality products.

Employees: Employees work day in and day out with McDonalds, so change will have a direct impact on them. Employees require a career growth, money and security from the employers whereas the issues could be the quality of experience the employees provide to the customers.

Board of directors: board of directors are normally the creators of change, and but over impact of change on them is very little as they are not involved in day to day activities of the company. Their need is that the company grows every year sustainably.

Creditors: Change will have limited impact on them, they are majorly concerned with the company’s ability to pay what is owed. Creditors want the company to perform well so that it can keep on fulfilling obligations.

Shareholders: Change will have an impact on shareholders, they need to be informed about what effect change will have on them. Shareholders like board of directors want to ensure that the company is perfoming well and giving good returns every year.

Government: government is hardly effected by any changes in McDonalds, rather they are the creators of change. Government wants to promote foreign investment in the country, therefore it wants companies like Mcdonals to establish business in Banglash and grow.

Media - Media is not directly associated with McDonalds so they have limited impact of change. Media basically wants advertisement and news from McDonalds and advertisement is something that McDonalds regularly provides to media companies.

Community – community will be affected because of the change as they are in regular interaction with McDonalds. The community that McDonalds wants McDonalds to give back to the society, and they are constantly involved in CSR activities to ensure that they are giving back to the society.


Identifying power and responsibility:

Buyers and Customers: they hold tremendous power as it is for the customers that the company is established. Their needs and desires need to be addressed all the time.

Supplier – Power of supplier is high as the quality of raw materials and supply chain depends on them, the interest is also high as their business is directly linked with McDonalds, so they fall under the category of key players. Suppliers play a critical role in the over quality and image that McDonalds has, the consistent their product and service, the better the brand image.

Employee – Employee have low power but high interest as their living depends on their job so they fall under the category of keep informed. Employees directly influence the business and therefore are primary stakeholders.

Board of director – they have both high power as well as high interest and fall under the category of key players. They directly influence the strategies of a company and have to be regularly informed.

Creditor – they have low level of power as well as low level of interest in the decision made by the company, though they are primary stakeholders, their direct intent in the company is less.

Shareholder – it depends on them as individuals, some have high power and low interest while some have low power and high interest(theexpgroup, 2014). But they have to be regularly informed as they collectively play a key role in the growth and future of the company.

The secondary stakeholders are:

Government –the power is very high as they have the authority to change policy and have the power of withdrawing plans and also the interest is high due to tax income and environmental issues. Though they directly don’t influence the everyday functioning of the company.

Media- they have high power in terms of manipulation of news and though the Bangladeshi media has low interest in terms of fast food. Media will play a key role in maintaining a consistent brand image.

Community- they have low interest and low power thus they fall under minimum effort. They fall under secondary stakeholders.

Stakeholder Analysis Map

Impact Of Change On     Stakeholder





Board of Directors


















Opponents Followers Enthusiasts

Stakeholder involvement requirements:

Buyers (customers): they are normally ok with the change as the change is good for them. They are normally informed through media and advertisements.

Suppliers – Suppliers are ok with any kind of change as long as it doesn’t effect the operations and payment of the supplier. Their initial position would be neutral and the information flow has to take place through the procurement manager.

Employees – their initial position is resistance and they may object to change as it’s a human nature. They need to be handled really well and the information flow has to take place through supervisors.

Board of directors – their response can be varied based on the type of change that is about to take place. They may approve or disapprove the change, information flow is through the CEO.

Creditors – they are also not adversely effected by change, they need to be informed by the accounting team

hareholders – though they are not directly effected by the change, they need to be constantly informed and updated, the senior management has to do this job.

Government – The government is an important player, but they have minimal effect because of the change, if the change has an effect on the government policies, then the spokesperson should inform the government.

Media – the change may not effect the media, but the media can be used to help build a better brand image, so the spokesperson should inform the media.

Community – community may be effected by the change, if the change is positive then the community would easily accept the change and the spokesperson should inform about the change.

Stakeholder Movement Planning

Stakeholder Group or Name

Anticipated or Initial  Position


Responsible for Action



Inform about the change




Inform about the change

Procurement team



Inform about the change


Board of directors

Depends on type of change

Inform about the change



Depends on type of change

Inform about the change




Inform about the change




Not always necessary




Not always necessary



Affected by change

Inform about the change


Once the above is done, each stakeholder needs to be reviewed for a few weeks to determine if the change is working well with the stakeholders.

McDonald’s stakeholder analysis

Organizations that are key partner’s need to communicate major decisions and planning issues. Organizations under keep satisfied should be informed as well as should be provided with incentives, companies under keep informed should be provided with plan justification, and implementation and organizations under minimum effort usually accepts the decisions made by the company.

Relationship management is the facet of CRM which mainly focuses on customer loyalty and their retention, the goal of relationship management is to create a strong and emotional long term connection with their customer because acquiring new customer cost as much as 5 times as retaining them (Anon., 2012). Thus building a bond with them and making McDonalds their first choice is the main purpose as there are many new fast food chains like rush bowls, subway in Bangladesh  . Technology has helped the developing country to boost the internal operation by tracking, analyzing data and making necessary changes to retain customers. If MacDonald decides to open up a new chain in Bangladesh it should:

Involve in networking -expand potential customer base by building communities and involving in two way communication

Cherish each customer-track the data’s, choice, buying pattern of customers for better service

Build brand identity-this will help the customer to focus on McDonalds and make it their first choice, McDonalds can also add selected Bangladeshi spices to twist the flavor

Organize events -modify menus during festivals, organize exciting competition mainly in festivals like eid , durga puja etc.

Proper customer service – addressing their complaints, giving complementary goods, friendly staff, homely environment etc(Anon., 2012)



Anon., 2012. accounting web. [Online]
Available at: https://www.accountingweb.com/practice/practice-excellence/five-relationship-marketing-strategies-that-work
[Accessed 23 August 2016].

Anon., 2012. Marketing schools. [Online]
Available at: https://www.marketing-schools.org/types-of-marketing/relationship-marketing.html
[Accessed 23 August 2016].

Kroc, R. A., 2016. Mcdonald's. [Online]
Available at: https://www.mcdonalds.com/us/en-us/about-us.html
[Accessed 23 August 2016].

Peterson, H., 2014. business insider. [Online]
Available at: https://www.businessinsider.com/what-it-costs-to-open-a-mcdonalds-2014-11
[Accessed 24 August 2016].

theexpgroup, 2014. youtube. [Online]
Available at: https://www.youtube.com/watch?v=8yPji5L9f3U
[Accessed 24 August 2016].

Thompson, R., 2016. mindtools. [Online]
Available at: https://www.mindtools.com/pages/article/newPPM_07.htm
[Accessed 23 August 2016].


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