By Abhishek Velayudham
India: $4.2/110.73(rupees) = 0.038 where as currency exchanges at .015 (USD to Rupee)
New Zealand: $4.2/6.09(NZD) = .665 where as currency exchanges at .66 (USD to NZD)
Mexico: $4.2/51.64(pesos) = .081 where as currency exchanges at .052 (dollars to pesos)
According to gallup’s median household income data, the United States, India, New Zealand, and Mexico have the following household incomes in US dollars: $43,585, $35,562, $3,168, and $11,680. From this, we can conclude that the affordability of McDonald’s in India and Mexico is much lower than in New Zealand and America.
India has a very different menu than the United States and seems like they’ve modified their products significantly to cater Indians. Most of the items seem to be spicy and there are also no beef products. This makes sense since Indians, on average, do tend to eat spicier foods than Americans and the majority religion, Hindu, in India strictly bans beef.
New Zealand and Mexico seem to have very similar products to American McDonald’s except for some slight varieties. For instance, New Zealand’s McDonalds offers Balsamic dressing.
McDonalds seems to be specially challenged when entering markets which have very different foods than available in America. They also have to be very careful about which products they offer. For instance, if they offered beef products in India, then there would’ve likely been a huge uproar as it is against Hindu religion. McDonalds also needs to compete against competitors who are mostly local restaurant owners who know their people and the types of foods that cater to them. In order to combat this, McDonalds needs to be willing to change its menu drastically, however, they need to be able to maintain their signature taste in order to maintain their authenticity.
Phelps, G., & Crabtree, S. (2019, May 16). Worldwide, Median Household Income About $10,000. Retrieved from https://news.gallup.com/poll/166211/worldwide-median-household-income-000.aspx