Breakfast Battle: McDonald's vs. Taco Bell

Recently, Taco Bell has attempted to break into the fast-food breakfast market. To do so, Taco Bell has to battle against fast-food breakfast giant, McDonald's. McDonald's has not stayed quiet about this new competitor and released this picture with the caption "imitation is the sincerest form of flattery".

McDonald's makes an initial attack on Taco Bell and its breakfast menu.

Taco Bell soon followed suit with an advertisement featuring 25 real men named Ronald McDonald who introduced themselves and expressed their love for Taco Bell's new breakfast options. You can watch the video below.



McDonald's followed up with a tweet "'Breaking!' Mayor McCheese confirms: 'Ronald, in fact, still prefers McDonald's.'"

This battle between two fast-food behemoths is similar to that of the rivalry between Pepsi and Coca Cola. In Strategic Management (HA 4410) we learned that the rivalry between the two beverage producers is actually not a harmful one. In fact, the friendly competition between Pepsi and Cola generates media attention and more consumers to both brands.

In summary, it seems that Taco Bell is benefiting from its competition with McDonald's. Although taking jabs at each other, the two brands are increasing exposure which contributes to the Mere Exposure effect. People will begin to develop a preference for these two brands because of their familiarity with them.