Mcdonald 's The Multi National Restaurant Chain Essay

1650 Words Nov 25th, 2015 null Page
Introduction
McDonalds has a business model that is largely based on selling franchises to franchisees. What this means is a person buys the rights to use the McDonalds name but they are obligated to follow certain rules of operation. However, franchisees do have some control. This relationship has allowed McDonalds to grow into a capital-rich corporation with some 30,000 restaurants located in more than 100 countries. Yet, there is more to the story of McDonald 's than just the franchise/franchisee relationship. There are certain guiding principles firmly rooted in the corporation’s business. The multi-national restaurant chain seeks to offer a consistent experience. McDonald 's consistency means that diners should have a similar experience at any given McDonalds restaurant regardless of location. McDonalds, also uses the motto "quality service, cleanliness, and value," originally coined by founding father Ray Croc as a guiding principle. Innovation serves as yet another item in McDonald 's business model tool box. Innovation and the policy of consistency mentioned earlier may seem like polar opposites, but they actually complement one another nicely. McDonald 's uses innovation to respond to conditions on the ground. For instance, during 1975 soldiers in Sierra Vista, Arizona were not permitted to exit vehicles in uniform. This made it difficult for hungry soldiers to grab a meal on the go. McDonald 's caught on to this and responded by installing a…

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