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mcdonalds brief history
strategic drivers of of mcdonalds
mcdonalds brief history
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“If you work just for money, you'll never make it, but if you love what you're doing and you always put the customer first, success will be yours.” That is a famous quote from the past Chief Executive Officer of McDonald’s restaurant and company, Ray Kroc. He speaks of how people should stop doing businesses just for the money, but instead for the love of it and for the satisfaction of the customer.
The company and restaurant of McDonald’s has been a major success to not only the owners of the franchise, but they have satisfied their customers for cheap and delicious food. They have sold over 300-billion burgers since they opened up their Bar-B-Q in 1940. They do not only sell in the United States though. The company operates in 121 countries around the globe. However, this business did not start booming in the beginning, it needed some help on the way.
The McDonald’s franchise started when Dick and Mac McDonald opened up their Bar-B-Q. It was a normal restaurant at this time, a drive-in restaurant in San Bernardino, California. The Bar-B-Q opened up in 1940. Business at this time was small, as you would expect from a small restaurant. However, McDonald’s restaurant was founded in 1948, with their signature deal being a hamburger for fifteen cents. The menu at the time had nine items: a hamburger, a cheeseburger, root beer, orangeade, coca cola, milk, milkshake in three flavors (chocolate, vanilla, and strawberry), pie, and french fries.
In the 1954, Ray Kroc, a multi-mixer salesman (a person who sells complex milkshakes at the time), traveled to a town in California called San Bernardino to sell his multi-mixers for the company’s drinks. He became interested in the hamburger selling process. He learned that Richard...
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...wners still felt proud that they have come this far.
They released another big product with the quarter pounder in 1973. The burger still is on the menu today. The following year, the first Ronald McDonald’s House was opened. The Houses had tubes and slides for people to go down and have fun. This was mainly attracted for little kids, mostly because they wanted to have fun while they eat.
The jobs at McDonald’s during the 1970’s were very low paying jobs. The minimum wage during this time was about $3 an hour. The managers usually had the higher paying jobs for one restaurant, but they were still not paid that much compared to other jobs. The managers would earn about $20,000 a year, which you could still have and buy your basic needs. The workers had to work very hard until the end of their shift. Many described the restaurant as a “fast-paced workplace.”
In1954, Ray Kroc, a multimixer salesman came upon the McDonald brother’s restaurant and was inspired to join the bu...
Kroc, Ray, and Robert Anderson. Grinding It Out: The Making of McDonald’s. New York: St. Martin’s, 1987. Print.
A lot of people think that Ray Kroc created McDonalds. I will tell you that this is not true; he started out as a milkshake mixer salesman. One day he got a huge order for eight milkshake mixers from a small restaurant in California, he was really curious why they needed so much. He went to investigate and found Dick and Mac McDonald with their small business. According to www.mcdonalds.com they said “Ray Kroc told the McDonalds brothers that they should spread their business all over the U.S., in 19...
While peddling about the country he came in contact with the super efficient McDonald's hamburger joint, which was started by Dick and Mac McDonald, who were brothers. He saw this place and optimistically envisioned many more opening up all over the country. He convinced the brothers to let him be their first franchisee. They agreed so in 1954 Ray opened up the first McDonalds franchise. A year later, Ray opened up the second McDonalds franchise in Des Plaines, Illinois. Only four years after the second restaurant's opening the one hundredth McDonalds was opened. In 1961 Ray Kroc bought the rights to the McDonalds franchise for a meager 2.7 million dollars. To pay this massive sum at the time he had to mortgage his house and take out numerous loans that would eventually cost him 14 million to pay back. After he bought the rights to the name and the company he forced Dick and Mac to remove their name from their original restaurant. But he went even further when he opened up a McDonalds restaurant a block down the road trying to put them out of business. Also that same year Hamburger University was opened.
The first McDonald’s opened in 1948. The franchising operations soon became McDonald’s Corporation in 1955.
Although all of their ideas had been great so far, the brothers decided that they had a few more tricks up their sleeves, and ofcourse these ideas were meant to allow guests to be helped faster and more efficiently. To do this they purchased eight multimixers (Machines that mixed six shakes simutinlusly). The McDonalds concept did not include any indoor tables or chairs, but this idea was to encourage the customer to purchase food at the window and eat it in their car or to bring it home. At first they onlt sold items such as shakes. Hamburgers, fries, and sodas. But all of their efforts to streamline the hamburger was what made it all pay off very well. In 1951 alone the grossed $275,000.
Everyone has heard of McDonald’s, but where did this familiar name come from? When people think of American food, it is not uncommon for two golden arches to appear in their minds. This story began with two brothers Dick and Mac McDonald who owned and ran a small restaurant in San Bernardino, California during the 1940s. In 1954 a man named Ray Kroc came across these two brothers while selling multi-mixers and was impressed with the business they were running. The menu was compact, listing options for only a few burgers, fries and beverages, but the restaurant was effective in its operation. Ray Kroc pitched the idea of spreading McDonald’s restaurants across the United States and in 1955 he founded the McDonald’s Corporation. By 1960 he bought the exclusive rights to the name. Kroc was able to expand substantially on this small business so that by 1958 McDonald’s sold its 100 millionth hamburger. (“McDonald’s.com”)
McDonalds Canada opened in 1967, thirteen years after McDonalds had taken the United States by storm. This was the first restaurant to be opened outside of the United States.
Have you ever wondered how the business empire of McDonalds was started? With over ninety nine billion served, it was started in 1940 in San Bernardino, California. It was started off as just a Bar-B-Q that served just twenty items. Its first mascot was named “Speedee” They eventually realized that by setting up their kitchen like an assembly line that they could be much more productive and get their food done faster, with every employee doing a specified job; the restaurants production rate became much higher. A milkshake machine vendor came into their small restaurant one day, his name was Ray Kroc. He saw how much potential the restaurant has, so he bought it out and opened one of the first franchises. Within the first year of Ray Kroc buying it, there were one hundred and two locations all around the world. McDonalds currently is one of the largest fast food restaurants in the world and currently has served over sixty four million customers through one of their thirty two thousand sites. It has almost become a way of life for America. Though, McDonalds started off as a small business between two brothers, it grew into one of the largest restaurant franchises in the world and greatly affects our society and how we eat our food.
McDonald's was started in 1955 by Ray Kroc and has grown to more than 30,000 restaurants in 121 countries. McDonald's also had $10.1 billion in system-wide sales and $271.9 million in corporate profits on revenues of $3.7 billion in the year 2001.
Fast food started from basic stands on the sides of streets. It has always been connected with the expansion of urban development. When the urban areas gained a greater population the amount of food stands on the sides of streets did, as well. The United States is most famous for fast food. The first ever fast food restaurant was called White Castle; it was built in Wichita in 1921. White Castle had a very minimal based menu. It was mostly well- known for their hamburger. This restaurant was the start of the fast food chains in America. About 20 years later, one of the most famous fast food chains in America was created. McDonalds was built in 1940, and it was created as a drive-in restaurant with a wide-ranging barbecue menu. Later on, McDonalds had created a 9-item menu that consisted of: hamburger, cheeseburger, three soft drinks, milk, coffee, potato chips, pie, French fries, and milkshakes. As you can see, fast foo...
McDonald's Corporation is the largest fast-food operator in the World and was originally formed in 1955 after Ray Kroc pitched the idea of opening up several restaurants based on the original owned by Dick and Mac McDonald. McDonald's went public in 1965 and introduced its flagship product, the Big Mac, in 1968. Today, McDonald's operates more than 30,000 restaurants in over 100 countries and have one of the world's most widely known brand names. McDonald's sales hit $57 billion company-wide and over $25 billion in the United States in 2006 (S&P).
In today’s market, McDonalds faces numerous challenges such as fierce competition, a more health conscious customer, and the continual need for improved customer satisfaction and menu. McDonalds needs to go through some changes in order to remain ahead in the fast-food industry.
The McDonald's Corporation is the largest chain of fast food restaurants in the world. It is franchised in over 119 countries and serves an average of 68 million customers daily. The company started in 1940 as a barbecue restaurant operated by Richard and Maurice McDonald in the United States. They reorganized their business as a hamburger stand in 1948. In 1955, Businessman Ray Kroc joined the company as a franchise agent. He purchased the chain from the McDonald brothers and oversaw its global-wide growth (McDonald’s 2014).
At the time, Ray Kroc was selling multi-mixer machines for milkshakes and McDonald’s had already purchased eight of his machines. Wondering why this restaurant was using eight of his machines, he decided to visit the restaurant and was really taken back by how efficient the restaurant was being operated. Being a businessman himself, Krock eagerly spoke with the McDonald brothers about expanding their operations towards Chicago and the east coast where Kroc was from. Reluctant at first, the brothers eventually agreed to let Kroc handle all operations of franchising and in return Ray Kroc would give the McDonald brothers half of the sales. Kroc had a bigger vision of expanding all over the states, and becoming the number one fast-food chain in America. He wanted to perfect the production side of the operation and offer the same consistency in the food that McDonald 's offers anywhere in the states. In 1955 Kroc opened McDonald’s System, Inc. Now Kroc was able to not only run his own restaurant but also find other franchisees and expand the business even