ETHICS AND MORALITY

MNCs' Ethical Issues: The Deontologist Consequentialist Perspectives

MNCs' Ethical Issues: The Deontologist Consequentialist Perspectives

Case of McDonalds'

In 1999, Jose Bove initiated an anti globalization movement, and was thrown behind bars for sabotaging McDonald's restaurant, he claimed that French people support his move. Around 40,000 thousand French citizens showed their support. However, French people were not the only to support it, but McDonald's faced hostility in around 50 countries. This global issue of McDonald's illustrates a friendly Ronald McDonald of U.S. imperialism. McDonald's practices of marketing were against local cultures according to commentators of business management (Haley 2007, web). The unhealthy food, value chain system and fast food concept all lead to these protests. Until now, McDonald's bends backwards to merge into home cultures. The marketing philosophy of McDonald shows itself as a local company for local consumers. In reality, the franchise system of McDonald makes it natural that a local franchise in France is operated by French manager and local franchise in India is managed by Indian manager. Local menus are chosen by the regional manager as they know better about local tastes. Local mangers are best placed to find better suppliers and launch appropriate marketing campaigns according to the norms of local community.

A goofy Ronald McDonald replaced a French strip character (in comic) who symbolizes individuality and resistance to royal forces in McDonalds marketing campaign, in 2000s. McDonald in France took an additional proportion to win support of locals by condemning the eating habits in US. In one advertisement, a huge American cowboy protests that McDonald's France does not introduce American beef to “assure maximum clean conditions”. McDonald in France is designed in much leisurely manner than the MacDonald's in US. Customers are also allowed cocktail from the menu.

There is a blend of local business practices in McDonalds' operation when it operates in other countries (Adler 1997, pp. 22). There is a tradition of not celebrating children birthdays in Chine, but McDonald's successful marketing strategy encouraged people to bring their children to birthday parties at McDonalds'. The marketing strategy is not bad itself, but they are trying to induce local culture in an alien culture. McDonald's expansion strategy also includes popularizing everyday things along with expansion. The company is unsettling Indian tea culture by promoting beverages in India. McDonalds' overall management strategy is unique as it is not a one sided cultural takeover, rather an exchange of cultures.

A United State link with McDonald's has created major problems for the company, along with its marketing strategy of cultural imposition. The boycott of US products started as soon as the US started bombings in Afghanistan in 2001. Most of major problems faced by McDonalds are in developed countries such as the UK, Canada and the US (Simon 2004, pp.1). Chinese and Russian consumer may believe that they are being in a better manner, but the two main markets of McDonalds' of Europe and North America which constitutes two third of company's revenues, food is perceived as ...