Discussion:
The case material for this discussion question comes from two Wall Street Journal articles reported on December, 4 and 9, 2014. Titles: "McDonald's Menu Problem: It's Supersized" and "Sales Drop At McDonald's Worsens." In recent years sales at McDonald's has been in decline. In fact, McDonald's posted its steepest monthly decline in U.S. same-store sales in more than 14 years, adding urgency to the fast-food chain's efforts to rejuvenate its business. The company president said, "The reality is that our current U.S. structure is not optimized for the customer." To combat falling sales, McDonald's has increased its menu offering by adding oatmeal, snack wraps and lattes to appeal to a a wider swath of customers. It has been reported that the McDonald's menu offering is a problem because it is "Supersized". McDonald's has tried to boost sales by adding menu items, but the complexity has slowed service. The McDonald's menu may have grown too big to succeed. The swelling menus have made the company's kitchen operations increasingly complex. If the company were to expand its menu even more, it would undercut the chain's main attraction: its tradition of speedy service. As a result, some customers have started going elsewhere for their fast-food fix. Compounding to its difficulties, much of McDonald's most potent competition today comes from an array of smaller, more focused chains, such as Five Guys, In-N-Out Burger, Chick-fil-A and Chipotle Mexican Grill. These companies "basically do a few things and do them very well.", says Scott Lung, who owns six McDonald's .
The Question: If you were acting as a business consultant to McDonald's, what are some of your recommendations based on the facts from the information found in this case? Please support your recommendations.