McDonald's Japan (A): The Shanghai Husi Debacle

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Case

Reference no. 9B15MJ083

Japanese language

Subject category: Strategy and General Management

Authors: Derek Lehmberg (College of Business, North Dakota State University)

Published by: Ivey Publishing

Originally published in: 2015

Version: 2019-08-26

Revision date: 16-Sep-2019

Length: 20 pages

Data source: Published sources

Topics: Crisis management; Risk management; Turnaround; Expatriate; General management/strategy; International

Share a link: https://casecent.re/p/157480

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Abstract

This is a Japanese version. In July 2014, the expatriate CEO of McDonald's Japan (MDJ) faced a crisis after a video was broadcast accusing one of the company's China-based food suppliers of serious health and sanitation violations. Although MDJ was the biggest brand in Japan's fast food industry, the company's sales had been falling since 2008, and its profitability had deteriorated dramatically since 2012. The CEO, who had recently taken over at MDJ, urgently needed to turn around the company's situation and deal with the crisis at hand. How could she reassure Japanese consumers and put the company back on the road to growth?

Location:

Japan

Industry:

Accommodation & food services

Size:

Large

Other setting(s):

2014