Analysis of the fast food industry using McDonald's and nonmarket environment factors

Fast Food 4I's Analysis

The nonmarket environment affects the fast food industry with issues, interests, institutions, and information that raises public awareness of health concerns, the safety of consumer products, as well as ethical concerns about how the products are raised, cared for and produced. The way the fast food does its advertisements can send negative messages in caring about public health and what they say to children where nutrition is concerned as well as raise ethical issues as to how the business is run and what they value. How a supplier raises livestock for food plays a role in how the public views the fast food industry in purchasing the products customers consume. Chemicals used to produce food products can become concerns for the fast food industry where the food products are used in fast food establishments.

Obesity becoming a bigger public health issue effects the fast food industry because lot of the fast foods have high fat content. Advertising that targets children often gets viewed in negative ways because of the nutritional value of the products advertised. Workplace practices, such as not allowing an employee to work until a uniforms is received that fits because the employee is overweight, sends a negative message to the public in the ethical considerations of the business. When acrylamide was found in foods cooked at high temperatures, McDonald's French Fries were targeted as containing the acrylamide at unsafe levels. Mad cow disease, the use of antibiotics and growth hormones in animals, and the treatment of animals raised for food consumption became ethical issues for McDonald's because of purchasing the products from suppliers for use in food products sold. Vegetarianism is an issue in targeting the vegetarian population in strategic strategies. Brand name attractions become an issue where McDonald's was targeted in firebombing and labeled as a 'Meat Murderer."

Institutions include government agencies, such as the Center for Disease Control and Prevention who releases statistical reports on health issues such as obesity, heart disease, and diabetes as well as teaches causes of these issues as high fat content in foods. The Surgeon General produces estimates, such as the rising costs of healthcare due to obesity related illnesses. Congress issues law and regulation aimed at the safety and fairness in society. FDA has interests in the safety and protection of consumer products. Economist also issue reports, such as studying the Body Mass Index (BMI) and determining that obesity is caused by higher caloric intake, lower work activity, technological change reducing the costs of food, so consumers eat more, and the failure to provide nutritional information. Animal activists groups have interest in how livestock is fed and cared for to produce food products. Trial lawyers have interest in the issues to prosecute tort claims. Healthcare providers have interest in the teaching of public health. News media has interest in getting the information out to the public. and, product associations have interests in the keeping of the quality and safety of their products.