Ray Kroc once said, “If I had a brick for every time I’ve repeated the phrase quality, service, cleanliness, and value, I think I’d probably be able to bridge the Atlantic Ocean with them.” (McDonalds.com). That phrase is the center to the success of the McDonald’s Corporation founded by Ray Kroc. He built the corporation on great taste, quality service, cleanliness, and value and made sure every McDonald’s franchise was managed that way. He was a pioneer in the fast food industry and built a multi-billion dollar empire. Ray Kroc was one of the most influential people. A lot of people think that Ray Kroc created McDonalds, but that’s just not true. While working as milkshake mixer salesman, he got a huge order for eight milkshake mixers from a small restaurant in California. He was really curious as to why they needed so much and went to investigate. He arrived at a small business owned by Dick and Mac McDonald. Their business was different from any he had seen. There was no indoor seating and customers had to come to the window to place their order. Their menu focused on selling only burgers, fries, drinks and milkshakes. They also used an assembly line process for each customer’s order that allowed the customer to receive their food in minutes. Ray Kroc had a vision and according to McDonalds.com, he “pitched his vision of creating McDonald’s restaurants all over the U.S. to the brothers. In 1955 he founded the McDonalds Corporation, and five years later bought the
Kroc gave McDonald’s to people willing to allot great amount of time and effort in the McDonald’s name. His idea turned out to be affluent as many ideas were created because of this caring franchisees. The Filet-O-Fish (originally intended for Catholics during lent), Big Mac (in celebration to its fifth billion burger sold), Egg McMuffin (wanted to cater to breakfast lovers) ,Quarter Pounder, and McFlurry were all introduced by franchisees and all reaped prosperous benefits. In 1956 Kroc hired Harry Sonneborn, a former vice president of finances at ‘Tastee Freeze”. Harry quickly rose among the ranks at McDonald’s Corp. and even became the very first president and chief executive. A couple months later Sonneborn pitch the idea that McDonald’s hould own the buildings of the franchise and make franchisees pay rent. They even could evict franchisees if necessary for the first time. This revolutionized McDonald’s turning them into a semi-real estate institution forever changing urban land
“Kroc was the founder of the McDonald's Corporation, and his philosophy of QSC and V
Now, in 1954, a man named Ray Kroc joined McDonald’s and helped create it into a fast food empire by spreading the idea of the Speedee Service System nationwide. He had originally went to McDonald’s to convince the brothers who owned to by his milkshake machine, but fell in love with their Speedee Service System. He convinced the brothers to let him buy the franchise and helped developed the business nationwide. After finalizing the agreement, he wrote to his old friend, Walt Disney to ask if he (Kroc) could place a McDonald’s in his amusement park, Disneyland. Disney forwarded the idea to the executives over the park and in return the executives demanded that Kroc raise the prices on the food so that they could make a profit off of it. Kroc refused.
During the start of the McDonald’s company, the McDonald’s Brothers had revolutionized the restaurant business through the idea of self-service. “Imagine — No Carhops — No Waitresses — No Dishwashers — No Bus Boys…,” they’d say (Schlosser 20). As a result of the new Speedee Service System, McDonald’s had never been in better shape. Ray Kroc, amazed by this, expanded the model all across the United States, increasing McDonald’s popularity. Apart from that, the creation of institutions like Hamburger University also solidify the service standards each restaurant should maintain. Hamburger University trained thousands of workers yearly, passing along “a common McDonald’s language” and “a common McDonald’s culture (Schlosser 31).” Through this, Ray Kroc created a single standard in which their service should be executed. This could make up for the lack of employee involvement in the new self-service model. McDonald’s was slowly becoming a beloved family name. The service prompted many families to stop by frequently, which boosted the idea of selling the brand to kids, perfecting McDonald’s marketing tool, and raising overall sales. Ray Kroc was closer to achieving his perfect business
Kroc's idea of the way to develop McDonald's into a profit was to sell an operating service to partners. This revolutionary way of doing things, instead of just supplying franchisees with milk-shake formula and ice cream, is what led to
Ray Kroc, the founder and owner of McDonald's, once stated once stated that “He wanted to serve burgers, buns, fries and beverages that tasted just the same in Alaska as they did in Alabama.” To achieve this, he chose a unique path: persuading both franchisees and suppliers to buy into his vision, working not for McDonald痴, but for themselves, together with
From Ray developing the strategy of his unique business model, to controlling it through organizational design of franchising to developing unique global strategies for competing on a global scale. This is a wonderful example of having a carefully thought out plan and executing such a plan that has enabled McDonald’s to gain and sustain competitive advantage for the past decades. All the aforementioned strategies have contributed to their rapid growth and high profits placing them at number one for the most successful fast food restaurant and franchisees in the world ahead of its top three competitors: Doctor’s Associates Inc., Yum Brand, Inc. and Burger King Worldwide, Inc. (Hoovers & Business Insider). McDonald’s has been able to differentiate itself as the burger giant serving its signature Big Mac hamburger and as an affordable fast food restaurant despite the emergence of several hamburger restaurants. For these aforementioned strategic decisions, McDonald’s continues to reap the reward of the retail industry and separates itself from its competitors including those who try to substitute its products. What this company has done is truly remarkable. Ray saw a unique business opportunity that had never been previously attempted. Not only did Ray Kroc had a genius idea, but a carefully
Because McDonalds is such a known-worldwide corporation, you have to wonder what kind of man was brilliant enough to come up with the idea. Ray Kroc is the man behind the yellow arches. Ray Kroc was born in 1902 and was known for having various jobs until 1954 when he visited a San Bernardino, CA restaurant and was impressed by how effective and organized the operation of the restaurant was (Ray). He admired their “limited menu… which allowed them to focus on quality and quick service” (Ray). So in 1955, Kroc presented his idea of building McDonald’s restaurants across the country and founded McDonald’s System, Inc. (Ray). Kroc was very successful even from the beginning seeing that as of 1958, the 100 millionth burger had been sold by McDonald’s (Ray). Since then McDonalds has expanded considerably and has caused Americans to affiliate their yellow arches with hamburgers and quick
McDonald’s began as a barbeque, and the brothers strictly offered burgers, fries, and pop. Ray Kroc heard about McDonald’s one day and went to visit the restaurant. Kroc was surprised by their efficiency and the quality of the food. Kroc liked the fact that the brothers could focus on the quality of food, due to the limited menu items. Subsequently Kroc realized their success could amount to much more and shared his vision. Kroc told the McDonald brothers that McDonald’s could be a national business serving people across the country. (At this point, Kroc did not even think about being international). Dick and Mac were thrilled with what they heard, so in 1955 Kroc founded the McDonald’s Corporation and opened the first McDonald’s in Des Plaines, Illinois. By 1960 Kroc had bought exclusive rights to McDonald’s. In 1961, Kroc developed Hamburger University where new employees were trained on how to run a successful McDonald's. Kroc wanted to develop the most efficient methods to store, cook, and sell food, so he had a laboratory built at Hamburger University where students' test different ways to make McDonald's more productive. Hamburger University is still in use today in the search for ways to better McDonald’s. McDonald’s had their first sit-down restaurant in 1962, and then in 1975, McDonald’s had opened their first drive-thru restaurant in Arizona. The first drive-thru restaurant was
“McDonald’s.” When people hear that word, the first things they visualize are the Golden Arches, the Big Mac, or Ronald McDonald. McDonald 's has had a profound effect on the fast-food industry and on the U.S.; in the 20th century, the creators/owners of McDonald 's, Richard McDonald, Maurice McDonald, and Ray Kroc (a traveling salesman) created the Speedee Service System, which made restaurants like a factory, and improved on franchising, an easy way to set up businesses and make money. Other restaurants began basing themselves off of McDonald’s. As of McDonald’s influence on America: “We believe that the McDonald’s brand is… omnipresent… in America,”
Ray Kroc had shown the leadership skills Dick and Maurice McDonald lacked throughout his time spent with the corporation. He had proven himself to be a leader by taking steps the McDonalds brothers failed to do. Kroc had first bought his own franchise where he recruited sharp and well suited workers and then later gained exclusive rights to McDonalds and was able to sell more franchises than the McDonalds brothers ever could. Although he did sacrifice extensively throughout the first years of his journey with the company, he later found great success. Although the McDonalds brothers contributions were great, their vision and
McDonald has been a well-known and valuable brand for over half a century. The company’s mission and vision is striving to be the world’s best quick service restaurant and formalizing their beliefs into “People, Vision, and People Promise”. “Quality, Service, Cleanliness and Value” also became the company’s motto. The company’s first McDonald store was built “in 1940 by the original McDonald brothers, Dick and Mac. Later in 1954, Ray Kroc became the first official franchisee appointed by Dick and Mac McDonald in San Bernardino, California” (Chandiramani, Ravi). Soon after, Mr. Kroc opened his first restaurant in Des Plaines, Illinois, and the McDonald’s corporation was created. The new franchise began to grow rapidly as a result of its
The founder of McDonald is Raymond Albert "Ray" Kroc was an American businessman and philanthropist in 15 April 1955. He joined McDonald's in 1954 and built it into the most successful fast food operation in the world. McDonald is one of the largest food franchise restaurant in United States and abroad as well. Most of the top menu in the company such as hamburgers, cheeseburgers, McNuggets, and French fries. They are also known for one of their popular desserts: the apple pie and their breakfast sandwich: the Egg McMuffin. In 117 countries, there are more than 32,000 McDonald's restaurants (Miranda B, 2010). According to a 2012 BBC report, McDonald's is the world's second largest private employer and serving around 68 million customers daily.
Since Richard and Maurice McDonald founded in 1948, McDonald's has grown from a small restaurant in California into one of the most recognized brands in the world with a chain of outlets that spans the globe. For over 50 years, McDonald's defined the fast food industry while indelibly etching its golden arches logo on the face of both American and global culture through such icons as character Ronald McDonald and the Big Mac sandwich. Millions of people started their very first jobs at McDonalds while even more began to have their eating habits redefined by the chain. Concepts like the drive-thru window were introduced along with the Happy Meal for children in order to provide a fast, affordable, and enjoyable dining. Ray Kroc, saleman
McDonald is a famous fast food chain that started as a little hot-dog stand operated by the brothers of McDonald, Richard and Maurice. Raymond Albert Kroc, which was a distributor of a milk shake maker called the Multi-Mixer, saw the potential of the McDonald who had purchased 8 of his Multi-Mixers after Kroc visited their store at San Bernardino. (----) He was convinced that this could become an exploding potential across the globe and he offered his service to the brothers who were looking for a new franchising agent. After Raymond Albert Kroc