The Success Of The Mcdonalds Brothers Essay

McDonalds is an American styled hamburger and fast food restaurant chain. It was founded in 1940 as a barbecue restaurant operated by Richard and Maurice McDonald. In 1948, they reorganized their business as a hamburger restaurant.

McDonalds opened in 1955. They view themselves as a franchisor and believe that franchising is important to delivering customer experiences and gaining

McDonald's has successfully created a brand/name for itself as the leading fast food retailer in the world. It is somewhat of impossibility for one to not come across a McDonald's with over 30,000 local restaurants in over 100 countries (McDonald's, 2011). Those restaurants are owned either by a franchise owner or a corporation; a percentage of all the earnings from a franchise owner, including a percentage from their annual revenue go to McDonald's.

Almost sixty-four percent of its stock holders held are institutions. Places such as, Bank of America, Northern Trust Corp, Wellington Management Co and many others that are interested in this company’s growth. Since opening in the middle of 1960’s, McDonald’s any one can recognize its trademark golden arches. We as Americans cannot turn a street corner without seeing a different McDonalds down the road. They are located everywhere, but that just means more profit for the company and its stockholders. The company owns and leases out real estate primarily in connection with its restaurant business. It generally owns the land and buildings or secures out long-term leases for the restaurant sites.

McDonalds originated in Arizona 1953. In 1995 McDonald’s opened their first franchise in South Africa (S.A.) and now they

Ray kroc named mcdonald's from his friends Dick and Mac Mcdonald. Ray opened the first mcdonald's in 1955 in Des Plaines, Illinois. In 1959 the 100th mcdonald’s opened in chicago. In 1963 there was one billion hamburgers sold. Also opened its 500th location.

Kroc noticed how unique and efficient this new restaurant operated. Their format allowed Richard and Maurice to produce huge quantities of food, quickly, and allowing them to charge only fifteen cents a burger! Competing restaurants charged double this amount! There was no need for waiters and waitresses, with their new self-service counter. Plus, all hamburgers were cooked ahead of time, pre-wrapped, and kept warm under heat lamps, ready for hungry customers working against the clock. Seeing great promise in their restaurant, Kroc began a franchise program for the McDonald brothers, opened their first franchise on April 15, 1955, in Des Plaines, Illinois, launched their corporation in the same year, and eventually, Ray Kroc bought out the company in 1961. As the new burger chain became more and more popular, Kroc decided the company needed a new public face. In 1963, Ronald McDonald was born. He was extremely popular, so the corporation continued to develop symbols to represent McDonald’s, such as the Big Mac (1968), the Egg McMuffin (1973), Happy Meals (1979), and Chicken McNuggets (1983). Even more characters were introduced, such as Hamburglar, Mayor McCheese, Officer Big Mac, and Grimace, to name a few. According to Britannica School, “McDonald’s effectively became the most popular family restaurant in the world, emphasizing affordable food, fun, and flavors that appeal to children and adults alike.” (Britannica School, par. 5) Soon, McDonald’s extended into Canada in 1968, and by 1988, they had reached a total of 10,000 restaurants. But all of this was just the

McDonalds originally opened up as a barbecue restaurant in California with a large menu and drive-in service. By 1948 McDonalds made a few changes to the restaurant and cut the

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 brothers opened their restaurant in 1948, and along with several other fast food chains that still exist today opened right after. Burger King and Taco Bell started in the late 1950s. Mcdonald’s is one of the fastest and largest growing fast food chains in America. Despite Mcdonald’s success, their brand does not always gain positive feedbacks from around the world. Protestors from many countries like China, Russia, Holland, India and even United Kingdom have accused McDonald’s for aggressively selling unhealthy food to consumers all across the globe.

McDonald's is the world’s leading food service retailer with more than 30,000 local restaurants in 121 countries serving 45 million customers each day.

McDonald’s. Ray Kroc proposed an idea to two self-service restaurant owner brothers, Dick and Mac MacDonald, in San Bernardino, California (Hess, 1986). He later devised “The McDonald’s System, Inc.,” (The Ray Kroc Story, n.d.) a plan to open McDonald’s restaurants across the United States celebrated for their making food that was “of consistently high quality and uniform methods of preparation” (The Ray Kroc Story, n.d.) quickly available to their customers. His train of thought was to have ordinary people and merchants buy into the business by

McDonald’s was open opened by Dick and Mac McDonald which was known as McDonald’s Bar-B-Que restaurant in 1940, in San Bernadino, CA. this only lasted a few months’ and they then close and rebranded and open “McDonald’s” as we now know as a

McDonald’s has extremely strict rules when it comes to awarding franchises. First, it is very costly to open a new location or purchase an existing location, with the median startup cost being $300,000 (Kalnins & Lafontaine, 2004, p. 750). As well, the company does an extensive background check on a variety of issues including credit history, business management experience, and the acceptance of the contractual agreement that the company provides. Because of these strict rules and the large amount of capital needed to purchase a location, “rates for franchise applicants are 1% for McDonald's” (Norton, 1988, p. 204). This is an extremely low acceptance rate and is even lower than McDonald’s chief competitor, Burger King, who accepts 1.5% percent of applicants (Norton, 1988, p. 199). These low numbers are understandable in the context of the business and risk that is involved. Though the franchise purchaser must pay a large amount of money to gain the rights to the restaurant, they truly have nothing to lose besides money because they are simply running another company’s business model as well as using their trademarks and logos. McDonald’s on the other hand, has a great amount at stake because they place the well being of an entire restaurant into the caretaking of an individual who simply purchased the rights for the store. If the store does poorly or if there are issues with customer service, it reflects

The first McDonald's restaurant was opened by brothers Dick and Mac McDonald in 1940 on Route 66 in San Bernadino, California. The menu had about 25 offerings, and carhops brought the food out to patrons waiting in their cars.