PROBLEM IDENTIFICATION The main problem of the McDonald's case, McDonald's Polishing the Golden Arches, is how to classify McDonald's strategy through Plan to Win into one of the five generic competitive strategies. Before solving this main problem, we should determine the main economic and business characteristics, five forces analysis and also the driving forces of the fast food industry. We then identify strengths, weaknesses, opportunities and threats using SWOT analysis. Finally, we classify McDonald's strategy into one of five generic competitive strategies. ANALYSIS The main economic and commercial characteristics of the fast food industry In 2003, sales for the US consumer food services market amounted to approximately $408 billion. As for the sandwich segment, the top 30 sandwich chains reported system-wide U.S. sales of approximately $64 billion. Future growth in the sandwich segment was expected to be only about 2% annually for the foreseeable future. McDonald's and Burger King were the first and most aggressive hamburger chains to begin expanding internationally. The products of the various sandwich chains in the United States were highly differentiated, continuously following the ever-changing trends. The Five Forces Analysis and Driving Forces of the Fast-Food Industry Using Porter's Five Forces Competition Model, we identify the rivalry between fast food chains and buyers as the strong forces that make competition in the industry of fast food increasingly tight. In general, McDonald's and its main competitors (Burger King Corporation, Wendy's International, Inc., Hardee's and Jack in the Box) are active in making new moves to improve their position in the market and... halfway. .....simultaneously making restaurants more efficient to increase speed of service and emphasizing hospitality, accuracy and cleanliness with new training programs and incentives around the world.2) Leadership Marketing McDonald's should keep “I love it” all the time and treat it more rather than a marketing campaign to convey an overall brand message through advertising, packaging and restaurant experiences. This can be used to shape the attitude of McDonald's employees in serving customers. 3) Innovation McDonald's must do a lot of innovation to satisfy its customers and win the competition because successful innovation can strengthen the market position of innovating companies. For example, by presenting a variety of Value, Premium and healthy menu offerings, McDonald's can provide the right products at the right price for its customers.