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History of mcdonald s in brief
History of mcdonald s in brief
Ray Krocs influence on McDonalds
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“I’m Lovin’ It!”
“Ba da ba ba baa… I’m lovin’ it!” is an ingenious appealing slogan that would be ringing in somebody’s head over and over when watching a television. Most of us would guess right away that it is from McDonald’s, a multi-national corporation and world’s largest hamburger food chain that was founded in 1955. The big giant is a joint collaboration of Ray Kroc and the McDonald’s brothers. Ray Kroc brought in his unique philosophy of “in business for yourself, but not by yourself” focuses on working with franchisees and suppliers rather than for McDonald (The Ray Kroc Story). He introduced the idea to the McDonald brothers, who own a small and successful restaurant in San Bernardino, California. Ray Kroc is a strategic manager in the corporation to expand worldwide.
The influence of Ray Kroc to McDonald’s brother to pursue a goal to be well known in the world has paid off. Nowadays, the company is serving for more than 70 million customers and helping 1.8 million employees worldwide (Company Profile). They have surpassed a lot of challenges and changes through the years but the influence of the founder, Ray Kroc, is still visible and felt. Don Thompson, president and chief executive officer, reinforces the global strategy “plan to win” in giving priority on its customer service. Thompson’s drive for global strategic innovation and collaborative style pushes to optimize its menu, modernize customer satisfaction, and expand worldwide. Among the collaborative structure of the company is the establishment of Hamburger University in Illinois to train franchisees and employees about how to run the business. It proves that they value and devote their time and effort for their future leaders to adopt its organizational cultur...
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Rosenthal, Phil. "McDonald's Problems Demand New Recipe." Chicago Tribute. 26 Jan 2014: n. page. Web. 10 Mar. 2014. .
"Vietnam's First McDonald's Opens in Ho Chi Minh City." CNN Travel. CNN, 10 Feb 2014.
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York, Emily Bryson. "New McDonald's CEO Don Thompson Likely Brings Extra Value With
His Years of Experience." Chichago Tribune. 23 Mar 201323 Mar 201323 Mar 2013: n. page. Web. 30 Mar. 2014.
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McDonald’s Corporation has held a prominent position in the fast-food market for much of its existence. A person would be hard pressed to find consumers who would not readily recognize the famous golden arches, as the company has expanded its market globally. However, as global consumer tastes shift to a more heath-conscious public which cares less about “super sizing” and more about “slenderizing” the popular burger chain has been experiencing a drop in sales. McDonald’s strategy for its globalization plan has included the concept of localizing their product (to a degree) for an international market; for example, local managers in British versions of the restaurant are able to make their own decisions that pertain to adapting to the current market. A difficult challenge for the corporation’s marketing team is how to reposition this wildly successful brand in a stagnant British market.
High school dropouts and salesman have begun some of the big franchises of today, and have sparked fads of chains in malls and strips. The McDonalds family who made hamburgers for a living made a life changing decision and sold their business to a businessman named Ray Kroc who made it the most successful franchise in the world today. With over 14,000 McDonalds restaurants in the country today these franchises make an impact on the communities in America, both good and bad.
The first McDonald’s opened in 1948. The franchising operations soon became McDonald’s Corporation in 1955.
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.
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”)
Mc Donald’s is world’s famous fast food restaurant chain consisting of 34000 local restaurants. It is present in 119 countries serving 47 million customers on daily basis. It is globally recognized by the Golden arches as its logo. In 1954, Mc Donald’s founder Raymond Kroc passed by a hamburger stand in San Bernardino, California and then he came up with an idea of forming a countrywide fast food chain.
According to Royle (1999) McDonald’s is a very large multinational enterprise (MNE) and the largest food service operation in the world. Currently the company has 1.5 million workers with 23,500 stores in over 110 countries with the United Kingdom and Germany amongst the corporation’s six biggest markets, and over 12,000 restaurants in the United States. In 1974 the United Kingdom corporation was established and in 1971 the Germany corporation was established, currently the combined corporation has over 900 restaurants and close to 50,000 employees in each of these countries (Royle, 1999).
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).
McDonald’s is one of the popular fast food chains in Hong Kong and the success of McDonald’s is due to it is able to create a homogeneous “global” culture that suit to the demands of a capitalist world. In Hong Kong, Time is money thus McDonald’s strategy is consistently fit to the fast food industry. The company has both economic strategy targeting at customer globally and locally.
Vignali, C. (2001). McDonald’s: “think global, act local”--the marketing mix. British Food Journal, 103(2), pp.97--111.
McDonald’s vision statement can be said that it wants to be the world’s best quick service restaurant experience. Being the best for McDonald’s means that it needs to provide the best of the quality of food products, services, and cleanliness and value so that it can make everyone of its customer smile (Schmitt and et.al, 2011). A vision statement of the company is an idea for how business can be eventually perceived and what actions it will be taking for coming 5, 10 or 15 years for i...
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).
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 is the leading global foodservice retailer with more than 35,000 local restaurants serving nearly 70 million people in more than 100 countries each day” (About McDonald’s 2014).
McDonald’s has proven over time that the business practices they utilize work well and have led them to obtaining the title of the largest food retailer in the world. The founder of the company made a tactical decision in franchising the idea of providing fast food at a cheap price. Today, fast food has become a staple of not only American life but a viable food option all over the world. For McDonald’s a critical factor in them reaching the level of growth they currently experience has been franchising. It can be assured that McDonald’s will continue to grow through the usage of the franchising techniques as new food markets continue to develop all over the world.