Mcdonald's Corporate Analysis

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McDonald’s Corporate Analysis 1. Introduction History McDonald’s Corporation is an American multinational chain of fast food restaurant. The company specializes in serving hamburger, chicken, soft drinks, coffee, salads and fries. The company was founded in 1940 as single restaurant by Maurice and Richard McDonald’s . The chain started as barbecue restaurant in Bernardino, California. The Restaurant was reorganized in 1948 turning the restaurant into a hamburger stand. The company was later joined by Ray Kroc as a franchise. The same year, the restaurant introduced the “speedee” service system which marked the beginning of the fast food restaurant concept. In 1967 the company changed name from “Speedee” to Ronald McDonald’s . Ray Kroc later purchased McDonald’s s shares in the company and become the founder of McDonald’s Corporation. The buy out was necessitated by a disagreement between Kroc and the McDonald’s s brothers who viewed Kroc’s business strategies as aggressive. In 1965 Kroc listed the company in the New York Stock Exchange in what marked the company’s initial public offer. After remaining alone, Kroc used the fund obtained from the IPO in undertaking a massive expansion plan. The company opened up new branches in different parts of the country. With time the company moved beyond the country’s boarders. The company has grown to become the largest chain of fast food restaurant in the world in terms of coverage and sales. Today the chain has over 34,000 restaurants in 119 different countries from around the world and serving an estimated 69 million customers every day. Some of these restaurants operate under the direct management of McDonald’s s but most of them operate as franchise (80%) or affiliates. McDonald’s earns revenue from the affiliates and franchises through royalties, rent and fees. In 2013 the Corporation

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