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How McDonalds Use Market Penetration, Market Development and Product Development?

The 3 concentration strategies we will consider are as follows –
Market Penetration
Market Development
Product Development

Market Penetration – when firms try to grab a bigger market share with existing product or service, that concentration strategy is known as market penetration.
McDonald's introduced a dollar menu, and when customers order dollar menu items they tend to order more. In 2018, McDonald's witnessed great growth in sales with its $4 menu items and another low-cost offering (Duggan,2018).  With the introduction of these menu items McDonald's gained market share, so this was a great market penetration strategy.
Microsoft offers an office suite, which is great for all enterprise usage, this is a good market penetration strategy. Because these products are great for all types of users.
Market Development – when a firm takes the existing product or service and takes it to a new market, where they were not present before, that is called market development.
When McDonald's took their menu and expanded in India and China, it was a Market development move. 50% of Indian follow a strict vegetarian diet. And beef or pork is not popular in India. So, McDonald's had to localize their menu. Their menu in India focused on vegetarian burgers and they did not have any pork or beef items (Kannan, 2014). While expanding its business in India is a good example of market development. India has a growing middle class who are eating out more and more.
But I think localizing their menu for vegetarian majority population is an example of market penetration.
 When Facebook or Google went international, they did not have to change much, as anyone could access the sites over the internet. They took their service and made those available in different geographies. This is a good example of market development.
Product Development – When a firm develops a new product to introduce to the existing market, that is called product development.
In India to serve the vegetarian population, McDonald's introduced Aloo Tikki burger. The Aloo Tikki burger costs 20INR. Which was a good competition with other food choices available in India? Moreover, McDonald's had to remove pork and beef items from the menu (Kannan, 2014). This is a good example of product development since while entering a new market they developed a new product, it was product development.
Microsoft often localizes their windows and office suites in local languages. This could be an example of product development.

References –
Kannan, S. ( November, 2014). Hod McDonald’s conquered India. Retrieved from https://www.bbc.com/news/business-30115555
Duggan, W. ( May,2018). McDonald's Is Gobbling Up Market Share. Retrieved from https://money.usnews.com/investing/stock-market-news/articles/2018-05-02/mcdonalds-corporation-mcd-stock

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