McDonalds Corporation (www.mcdonalds.com) is the worlds largest food service retailing chain. The company is known for its

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McDonald’s Corporation (www.mcdonalds.com) is the world’s largest food service retailing chain. The company is known for its burgers and fries, but also breakfast.
At the end of 2018, McDonald’s was serving around 69 million customers daily in 120 countries across 37,800 restaurants. Approximately 30,000 are franchised and around 6,000 are operated by McDonald’s Corp. itself. In 37 countries there is a subsidiary. The total number of employees in the restaurants is around 210,000.
McDonald’s generated revenues of US$21.0 billion in 2018 and US$5.9 billion in net profit before taxes.
Questions

1. What could be the reason why McDonald’s have both franchised and own restaurants?
2. Which financial measures should McDonald’s use to control the global marketing programme in the single countries and in single restaurants?
3. What problems might arise if individual McDonald’s restaurants were required to enter sales data directly onto the company’s centralized accounting website at the HQ in USA, instead of following the current procedure of sending it through country (subsidiaries) and through other regional channels?

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Global Marketing

ISBN: 9781292251806

8th Edition

Authors: Svend Hollensen

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