McDonald’s Corporation is an American fast-food company, and it is the world’s leading global foodservice retailer, with its global headquarters in Chicago. Famous for their hamburgers, cheeseburgers, and french fries, McDonald’s also has other products to offer, including breakfast items, milkshakes, chickens and fish products, salads, and others. McDonald’s transformed the nature of the restaurant business and created a trend that has lasted for more than half a century. Let’s learn more about the company’s history, growth, products, and net worth.
In 1940, in San Bernardino, California, United States, Richard, and Maurice McDonald founded a company that was nothing like McDonald’s we recognize today. In the beginning, it was a hamburger stand. The company was later turned into a franchise, and in 1955, Ray Kroc, a businessman, decided to modernize it. Four years before that, McDonald’s filed for a U.S. trademark on the name McDonald’s. Kroc’s autobiography claims that Kroc and the McDonald brothers fought for control of the business.
McDonald’s operates 37,855 restaurants in 120 countries and serves 68 million customers on a daily basis. The modernization of the company helped its global popularity, and Kroc is the one who forced those changes. He purchased the McDonald brothers‘ equity in the company and decided to spread the business worldwide. There were many other companies owned by McDonald’s, including Chipotle Mexican Grill, Donatos Pizza, Aroma Cafe, Boston Market, and others. However, in the 90s, McDonald’s started divesting itself of those chains, and the main reason for that was focusing on its core brand.
Fall of Sales
McDonald’s is the world’s leading global foodservice retailer, but in 2012 the company’s monthly sales fell first time in nine years. The fall continued in 2014 when its quarterly sales fell for the first time in seventeen years. Next year, 184 McDonald’s restaurants in the United States were closed down. This net decrease in the number of locations in the U.S. hadn’t been noted since 1970.
Hamburgers, various types of chicken sandwiches, french fries, breakfast items, desserts, and soft drinks have been sold at McDonald’s. After being accused of selling the unhealthiness of food, and facing a negative backlash, the company has added fish, salads, and smoothies to its menu. Dine-in and take-out are two options the consumers are offered. The first option is the one where the customer eats in a restaurant, while the other option suggests that the food is taken off the premises.
Since 2015, Steve Easterbrook who is the CEO of the company has made some changes like removing high-fructose corn syrup from hamburger buns and removing artificial preservatives from Chicken Nuggets. With all that, Easterbrook wanted to introduce healthier options.
Different countries have many variations. For instance: some of McDonald’s restaurants in Asia serve soup, while in Germany you can purchase a beer, and in New Zealand, you will be able to opt for a meat pie.
McDonald’s net worth is estimated at up to $163 billion. The land on which the restaurants are situated is valued at an estimated $16 to $18 billion. Rental payments from franchisees earn a significant portion of the company’s income.
It is important to state that McDonald’s has an annual charity event, called McHappy Day when a percentage of the day’s sales go to charity.