Current Business Research
The study Recession?? I’m lovin’it: a case of McDonald’s was conducted by Sancharan Roy and published in December 2009 by the Indian Journal of Economics and Business. The study identifies the purpose of the study, the business problems, the methods used to collect data and the conclusion and results of the research.
Define the business research and its purpose: The study that Mr. Sancharan Roy conducted on McDonald’s was to increase the knowledge of how a fast food chain can survive in a recession economy by changing its competitive strategy (Roy, 2009, p. 333). The study identified those strategies that help fast food chains maintain successful performance despite tough economic times. A case study approach was employed to explore a whole picture of a successful fast food chains actions and strategy to cope with downturn economy. There were numerous studies done on how organizations made changes to their operations during changing economic times but very little was known about competitive strategy during recession economies. The research question that the study seeks to identify is “How does an organization utilize their competitive strategy to increase their performance in a recession economy?”
Explain the business problems under investigation: The business problem under investigation in this study is how to identify what the consumer wants and to stimulate the consumer demand for their products. The organization knows that during recession’s consumers spend more time on comparative shopping and is looking for cheaper products. The organization can exercise two strategies; they can use the low-cost focus pricing which will maintain and bring in more customers or they can exercise the differentiation-focus strategy knowing that customers are impacted different by recession so price cuts are not always necessary to stimulate demand. The use of coupons was an alternative to price cuts. Therefore, companies should differentiate with...