Annual Report Analysis
SK Md Saif Ali (Neil)
Analysis of Annual Report: McDonalds
Here is an annual report analysis of McDonalds based on recurring themes, corporate image, Branding, Readability, design, interest, factual comprehensiveness, consistency and transparency.
Recurring Themes: Health concern is the biggest issue to general people when it comes down to fast food. Despite of their great they are incapable to promote good health. In 2012 Annual report, McDonalds claimed to overcome these issues by providing food with quality and taste. By adding real fruits, vegetables, salad to its menu, it has taken the food quality to a new level. Moreover, ...view middle of the document...
Another significant strategy is trying to cover all age groups in market. McDonalds now serves coffee, green salads; break fasts and many more creative selections. On page 3, we see how both little boy and a mature girl are enjoying different McDonalds foods. The mature girl is having green salad. The main goal here is to create an impression, which reflects that McDonalds have the right food for any age group. On page 2, McDonalds starts off with its very powerful tool. It’s the power of reaching many customers every day. 69 million people served with, 3.1 percent sales growth and 5 percent earning per share growth reflects the strong business background McDonalds is entitled with. On Its annual report, McDonalds used the color green very often. This has been used to create an eco- friendly image in people’s mind.
Readability: President’s letter to share holder contains a lot of information without focusing on any specific point. The letter is not well organized. On the very first page, McDonalds gave us an estimate of its annual growth and customer. President has mentioned it on his letter in an unorganized manner. Ray Kroc, the president of McDonalds tells us that he plans to modernize McDonalds through digital, creative and media efforts. Yet, He was failed to explain how he planned to do so and what changes can shareholders expect in near future. On the other hand, the idea of creating columns for numbers on left of page and right side for information helps reader understand the actual progress of business. The financial report is very factual with low readability. It has small font with a lot of information. This section has been failed to keep reader’s interest.
Design: Company used several graphics images of foods and numbers with bright colors. However, The financial report section remained entirely black and white. Keeping it black and white is understandable as this gives more professional look. Nevertheless, writing a lot of sentences together and fewer spaces between paragraphs made the report look unattractive. The financial report has been written in two columns with a small font. Company may have been able to save some paper by doing so but was unable to create an optimal design. Conversely, using color green in...