McDonald's is A Competitive Fast Food Firm Essays

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A Competitive Fast Food Firm

Firms within the fast food industry fall under the market structure of competition. Market structure is a classification for the key traits of a market. The characteristics of a market that is competitive would include: a large number of buyers and sellers, easy entry to and exit from the market, homogeneous products, and the firm is a price taker. Take McDonalds fast food restaurant for example.

In 1954, Ray Kroc became the first franchisee appointed by Mac and Dic McDonald in San Bernadino, California. He opened his first restaurant in De Plaines, Illinois (near Chicago), and the McDonald’s Corporation was created. By 1959, the 100th McDonald’s had opened in
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He has been with McDonald’s for over fifteen years. He started out as a cook and quickly moved up in the ranks to his current position. He had been a District Supervisor for nearly ten years. When I asked Llyod, what is the secret of his success in his franchises, he replied that it is because he provides quality fast foods in a clean and friendly environment. He also ensures fast, friendly, and efficient service to all his customers. Llyod also said that his business provides service to a numerous quantity of people. “We provide service to a wide variety of people. Doesn’t matter what age or economic background. If people want fast service and are in a hurry to eat, they will come here.” Llyod claims that they have many competitors like Wendy’s, and Jack in the Box, however, their biggest competitor is Burger King. To maintain an advantage on the competition, Llyod says that McDonald’s provide quality food with fast, friendly, and efficient service to their customers, making them want to return. “We offer our customers a wide variety of menu items that are different from our competitors. Most other fast food places they mainly sell just burgers and fries. We offer from salads to yogurt parfaits. And our newest menu item, the chocolate dipped cone, is one item our
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