McDonald's - poor people aren't coming to see us anymore

[Jubee]

Some points about McDonald's.
They don't make their money from food, it's real estate and franchise costs.
38,169 franchises
2,106 - corporate franchises


Franchise owners in America on average have to pay $640,000 per year x 38,169 (franchises) =
$24,428,160,000 per year from all their franchises, that's billion. lol

The rest, they give zero fucks what happens. lol

 

[Nickelodeon]

That doesn't explain why so many franchisee's are millionaires, and why a franchise is so expensive to buy and why so many people want in.

The McDonald's business model is a success and it will stay that way because it's run by very smart people.

If you don't like their food, don't eat; just see how their shares have done over the last 20 years, and buy some of those.

 

[underground]

The Big Mac is a joke. When you hold the box you wonder "is there a ping pong ball in here or a burger ?"

 

[explorerzip]

You have to give it to McD's for being consistent. Nearly everything is the same no matter where you are in the world, though they do have local items. If you need a famliliar place to rest while travelling, there's no better place than McD's.

 

[Jubee]

You have to give it to McD's for being consistent. Nearly everything is the same no matter where you are in the world, though they do have local items. If you need a famliliar place to rest while travelling, there's no better place than McD's.

When it's all processed food, I can't see how you screw up the ingredients for consistency. lol

 

[Jubee]

That doesn't explain why so many franchisee's are millionaires, and why a franchise is so expensive to buy and why so many people want in.

The McDonald's business model is a success and it will stay that way because it's run by very smart people.

If you don't like their food, don't eat; just see how their shares have done over the last 20 years, and buy some of those.

IMO, you missed the point of the entire video.

1. Yep, you have to have money to make money. Only those who have a couple of million or more sitting in the bank could get into owning one and at that point anyway, they are millionaires before buying in.

2. Their business model is buy land and make a shit ton through franchising.

3. I don't eat it too much at all. I used to when I was a kid though.

 

[explorerzip]

When it's all processed food, I can't see how you screw up the ingredients for consistency. lol

That's kind of consistency is harder than you might think.

Raw materials are sourced locally as much as possible because shipping is costly and takes time.

They need to have same equipment, parts and repairmen when things fail.

Then there's the staffing and training needed to keep all of it going going.

 

[Carvher]

Consistency is the key for fast food.
I like going to Ma and Pa places because you never know what it's going to be like.
Like Leolist!

 

[jalimon]

3. I don't eat it too much at all. I used to when I was a kid though.

The sole reason I now go to McDonald is for a McMuffin (egg/sausage). When I get special offers via their app.

Other than that? 40$ for 3 big mac trios which are now small and which I can replicate better at home?? Nah...

 

[Nickelodeon]

That's kind of consistency is harder than you might think.

Raw materials are sourced locally as much as possible because shipping is costly and takes time.

They need to have same equipment, parts and repairmen when things fail.

Then there's the staffing and training needed to keep all of it going going.

You are absolutely correct. Read anything about McDonald's history (and there is a lot of it in popular business books) and one of their keys to success is getting the relationship right between the corporation, the franchisee and suppliers....which include everything from parts to food. When McDonald's introduced apple slices to their Happy Meals for kids, they became the single largest purchaser of apples in the world, and obviously similarly for potatoes for their fries. The logistics for consistency is incredible at that size and scale.

Like many other giant capitalist successes, I don't have to like them, but I respect their success in business. And they have a very poor to mixed relationships with class, poverty and race. They have a lot of black owned franchisees in the US which allows them to operate in those neighborhoods. But their original business model which was to hire young students at minimum wage has been replaced by one third of their work force being poor and single parents without a living wage.

 

[explorerzip]

You are absolutely correct. Read anything about McDonald's history (and there is a lot of it in popular business books) and one of their keys to success is getting the relationship right between the corporation, the franchisee and suppliers....which include everything from parts to food. When McDonald's introduced apple slices to their Happy Meals for kids, they became the single largest purchaser of apples in the world, and obviously similarly for potatoes for their fries. The logistics for consistency is incredible at that size and scale.

Like many other giant capitalist successes, I don't have to like them, but I respect their success in business. And they have a very poor to mixed relationships with class, poverty and race. They have a lot of black owned franchisees in the US which allows them to operate in those neighborhoods. But their original business model which was to hire young students at minimum wage has been replaced by one third of their work force being poor and single parents without a living wage.

McD's logistics systems and processes likely exceed the US military with it's total consistency across the world. That being said, their ice cream machines always seem to be broken and there's only 1 company that supplies and repairs them. That company doesn't even have an incentive to fix those problems.

 

[HobbyHorse]

Disagree about the consistency comments…
I spend 6 months a year in the US and the rest of the year travel through Ontario and western Canada eating occasionally at McDonald’s.
The product is, in my experience, consistently better in Canada. Still not great, but definitely better. True at Burger King as well. Even true at the (few) Tim Hortons you run into in the US.
In the USA, especially in the south, the staff seem to me more, uh, “relaxed” in their food preparation duties. I put it down partly to the quality of public education in the different areas.
In Florida to get a decent burger you have to go to a place like Five Guys and spend about $US12.00.

 

[xmontrealer]

For me its all about their consistency, cleanliness, their app with reward points, and best of all their "quarter pounder with cheese". Their fries are much better than Wendy's and Burger King, who are their direct competition.

I find cleanliness is a real problem at Burger King.

Of course there are better burgers out there, like at Burger's Priest, Holy Chuck, etc., but those are rather more expensive and their locations aren't as convenient to me.

The only thing I don't like at "The Golden Arches" is their baked goods, which to me are almost inedible compared even to Timmies.

 

[Luna Soleil69]

The Mcdonalds i go to is famous for serving cold food. So everytime i go through the drivethru i tell them i want it cooked fresh maybe have to wait 5 minutes but its not sitting for 6 hours in those heat warmers which suck anyways.

 

[bazokajoe]

Disagree about the consistency comments…
I spend 6 months a year in the US and the rest of the year travel through Ontario and western Canada eating occasionally at McDonald’s.
The product is, in my experience, consistently better in Canada. Still not great, but definitely better. True at Burger King as well. Even true at the (few) Tim Hortons you run into in the US.
In the USA, especially in the south, the staff seem to me more, uh, “relaxed” in their food preparation duties. I put it down partly to the quality of public education in the different areas.
In Florida to get a decent burger you have to go to a place like Five Guys and spend about $US12.00.

I have been to Hawaii several times and there is no difference in taste at McDonald's in Hawaii than from here. Menu items may vary, but not the taste.

 

[explorerzip]

Disagree about the consistency comments…
I spend 6 months a year in the US and the rest of the year travel through Ontario and western Canada eating occasionally at McDonald’s.
The product is, in my experience, consistently better in Canada. Still not great, but definitely better. True at Burger King as well. Even true at the (few) Tim Hortons you run into in the US.
In the USA, especially in the south, the staff seem to me more, uh, “relaxed” in their food preparation duties. I put it down partly to the quality of public education in the different areas.
In Florida to get a decent burger you have to go to a place like Five Guys and spend about $US12.00.

Interesting. This hasn't been my experience in the US: NYC, Hawaii, Miami and many other international cities.