Discussing the possible political risks for the countries in which the company has a presence, it is possible to mention that Macdonald’s Corporation operates in countries, such as South Africa and the Middle East. Taking into account the political instability and economic collapse in these countries, it can be said that there are different risks, including political ones to destroy a business cycle. In this case, it is impossible to speak about business prosperity and continuity. In order to monitor political risks, it is necessary to protect foreign investments by predicting the possible risks in the political environment.
According to Hannagan (2002), the stakeholders can be characterized as “individuals and groups who are affected by the activities of an organisation. The most important stakeholders can be seen as those with most to lose from the organisation’s actions, but this does not always reflect their relative power” (p. 142).
This is a well-known fact that the stakeholders are divided into four main groups. Now we will talk about the most important group that the company must try to satisfy, which is named high interest/high power. In the first place, the company should try to satisfy this group because they have some powers to influence the company and a high degree of probability that these stakeholders will apply their power. It is more difficult for companies operating by the stakeholders internationally than locally because sometimes it is more difficult to control them far away from the main office.
Like any other organizations, Macdonald’s Corporation has its own code of conduct. The main principles of the company’s code of conduct are the following ones: the employers should have some attitude towards their employees as they would themselves wish to be treated. 100 percent satisfaction of the external customers is very essential and important and 100 percent satisfaction of the internal customers- the company’s employees.
Macdonald’s Corporation adheres to provide high and fundamental principles and standards of business conduct. There is no doubt that this is very important for the company to follow its code of conduct when operating in foreign countries because this will help to raise the credibility of the company at the international market and these similar collaborative efforts will help to earn the reputation of the company that operates fairly.
Furthermore, Macdonald’s Corporation provides some social programs that include “competitive wage and promotion programs, hard work, dedication, motivation and results”¦Appreciation comes in many forms – from a simple thank you for a job well done, to restaurant-wide recognition through programs such as the ”˜Employee of the Month.’ McDonald’s also offers great incentive programs with access to gift certificates, merchandise, free food, etc.” (McDonald’s Corporation, 2011). Moreover, Macdonald’s is an Official Sponsor of many social programs, including the 2012 Games that will be held in London. Moreover, “the company is expanding its English as a second language, math skills and financial literacy programs in the United States” (Wiscombe, 2010).
Talking about indicators the company might monitor, it is possible to say that Macdonald’s should monitor the economic indicators, such as international businesses, the Human Development Index, Purchasing Power Parity (PPP), and Gross National Income (GNI) to guide their investment and actions in the future.
In conclusion, it is possible to say that Macdonald’s Corporation is truly called one of the most successful and popular organizations that is well-known all over the world and is in demand with the crowds.
References
Hannagan, T. (2002). Management: Concepts and Practices (3rd ed.). Harlow: Pearson Education.
MarketWatch: Food. (2005). Company Spotlight: McDonald’s Corporation, 4 (12), 25-30.
McDonald’s Corporation. (2011). Your Pay and Reward. Retrieved May 8, 2011, from http://www.mcdonalds.ca/en/careers/restOpp_rewards.aspx
Sloman, J., & Sutcliffe, M. (2004). Economics for business (3rd ed.). Harlow: Prentice Hall.
Wiscombe, J. (2010). McDonald’s Corp. Workforce Management, 89, 11. Retrieved May 8, 2011, from the University of the Fraser Valley: EBSCOhost database.