McDonald’s and Adapting in China
McDonald’s has been successful in the Mainland China market, due in no small part to its understanding that a restaurant meal for most people in China is a big treat, particularly for children. McDonald’s came to China with the expectation of opening opening a fast food hamburger restaurant positioned similar to those in the U.S. and their successful franchises in Hong Kong. McDonald’s learned early in the strategic planning process, and from its experience with its first few restaurants, that it faced a very different environment in China. McDonal’s cannot ever be as cheap as the food stalls and other low-cost venues in China. Realizing this, McDonald’s moved aggressively to position the restaurant as a fun, mid-range priced restaurant, with high quality. To provide that quality the firm actually has limited wait staff service in some locations.