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1. What were the pitfalls of the initial attempts by McDonald’s India to create its’
French fry supply chain? What were the critical factors that enabled McCain’s
success?
Ans
a. Pitfalls
Lack of process grade potato, less than 1% of total potato production was
suitable for processing
Lack of ideal climate conditions (soil, seeds, temperature, growing season,
harvesting season etc.), india has a growing season of 90-100 days as
opposed to 120 to 140 days during summers in US and Europe
Outdated farming and irrigation practices
Lack of cold storage and special controls for humidity and temperature to
maximize shelf life
2. How did farmer collaboration and capability building help promote McDonald’s
growth and quality objectives?
Ans
4. What are the options McDonald’s India can pursue to meet the huge growth in
demand that has been predicted in India? Is it better to push for 100% localization
using one supplier or to use a multi supplier strategy by continuing to import some
supply?
5. Would vertical integration strengthen McDonald's ability to have assured supply, or
weaken it?
Heavy investments required in land, plant and equipment
Lack of expertise in potato agronomy
Lack of focus on core competencies
Less control on business and quality
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