Final answer:
McDonald's uses a contractual vertical marketing system when operating inside a Walmart, emphasizing efficiency, predictability, calculability, and control (b). This standardization can improve efficiency but may reduce product variety.
Step-by-step explanation:
When McDonald's offers its products inside of a Walmart store, it is using a contractual vertical marketing system (VMS). This type of arrangement allows for a more efficient distribution and sales process, promoting predictability and calculability within the retail space.
Much like the grocery chain described, where workers slice meats and cheese to order for efficiency, and where goods are sold by the pound for calculability, McDonald's inside Walmart benefits from a system that maximizes simplicity and efficiency. Both entities maintain control through standardized processes and branding. This strategy allows customers to have a consistent and reliable experience, enhancing efficiency without having to think about the nuances of the product being offered.
However, this McDonaldization of services may lead to a lack in variety, as products become uniform, generic, and bland, compared to more personalized offerings from independent businesses.