McDonald’s and Target have recently dropped one of the nation’s largest egg suppliers after an investigation by an animal rights group. Sparboe produces 300million eggs a year, and ships them to restaurants and stores across the U.S. The behavior on the tape is disturbing and unacceptable. Since McDonald’s has taken the initiative to take action and drop them as their premium egg suppliers, this assures the customers that they demand humane treatment of the animals by their suppliers.
Any business that wants to increase their demands and their customer loyalty should portray the same values as their customers. Having coincided values, will greatly increase their brands popularity, and thus increase revenue.
A counter example would be when Nike’s popularity and revenue decreased, due to the customers being offended by their production method, using child labor, and thus they had to alter their production method in order to regain their customer’s loyalty and their popularity back.
Since McDonald’s has taken the appropriate actions, it is assured it has its customer’s loyalty, and has secured a greater demand in its products.