Home > Our Company

Getting to Quick Facts

Know Us... Number of

• Executive Bios Global
• McDonald's FAQ McDonald's is the Restaurants:
• Diversity leading global More than
• McDonald's History foodservice retailer 32,000
• Museums with more than 32,000
• local restaurants Number of
serving more than 60 Countries:
million people in 117 117
countries each day.
More than 75% of Number of
McDonald's worldwide
restaurants worldwide employees:
are owned and 1.7 million
operated by
independent local men Percentage
and women. of franchised
restaurants
We serve the world around the
some of its favorite world:
foods - World Famous More than
Fries, Big Mac, 75%
Quarter Pounder,
Chicken McNuggets Chief
and Egg McMuffin. Executive
Officer:
Our rich history began Jim Skinner
with our founder, Ray
Kroc. The strong
foundation that he
built continues today
with McDonald's
vision and the
commitment of our
talented executives to
keep the shine on
McDonald's Arches
for years to come. To
read more about
McDonald's history,
vision and executives,
click on their links in
 the left menu.

Experience the McDonald's

Interactive Timeline.

Please read:
A Thank You from
Wikipedia Founder Jimmy Wales
Read now

History of McDonald's
From Wikipedia, the free encyclopedia
 This article or section reads like a news release, or is otherwise
written in an overly promotional tone. Please help by either rewrite this
article from a neutral point of view or bymoving to Wikinews. When
appropriate, blatant advertising may be marked for speedy deletion with
{{db-spam}}. (April 2010)

This article needs additional citations for verification.

Please help improve this article by adding reliable references. Unsourced material may
be challenged andremoved. (January 2009)

McDonald's

Type Public (NYSE: MCD)

Dow Jones Industrial Average Component

Industry Restaurants

Founded May 15, 1940 in San Bernardino, California;

McDonald's Corporation, April 15, 1955 in Des

Plaines, Illinois

Founder(s) Richard and Maurice McDonald McDonald's

restaurant concept;

Ray Kroc, McDonald's Corporation founder.

Headquart Oak Brook, Illinois, U.S.

ers

Number of 31,000+ worldwide[1]

locations

Area Worldwide

served

Key people James A. Skinner

(Chairman & CEO)

Products Fast food

(hamburgers • chicken •french fries • soft

drinks •coffee • milkshakes • salads •desserts

• breakfast)

Revenue US$ 22.6 billion (FY 2008)[2]

Operating US$ 6.51 billion (FY 2008)[2]

income

Net US$ 4.31 billion (FY 2008)[2]

income

Total US$ 29.2 billion (Q2 2009)[2]

assets

Total US$ 13.2 billion (Q2 2009)[2]

equity

Employees 400,000 (2008)[3]

Website McDonalds.com

This box: view • talk • edit

This is a timeline of the history of McDonald's.

The McDonald's concept was introduced in San Bernardino, California by Dick and Mac
McDonald of Manchester, New Hampshire. It was modified and expanded by their business partner, Ray Kroc,
of Oak Park, Illinois, who later bought out the business interests of the McDonald brothers in the concept and
went on to found McDonald's Corporation.

Contents

[hide]

• 1 United States

○ 1.1 Early history

○ 1.2 Phenomenal growth in the 1960s

and 1970s

○ 1.3 Surviving the 1980s "Burger Wars"

○ 1.4 1990s: Growing pains

○ 1.5 Failed turnaround: late 1990s

○ 1.6 Refurbishing and creating a

healthier image: Early 2000s

• 2 Timeline

• 3 References

[edit]United States

The site of the first McDonald's restaurant. Only part of the sign remains from the original structure
[edit]Early history
In 1937, Patrick McDonald opened "The Airdrome" restaurant at the Monrovia Airport inMonrovia, California.
Hamburgers were ten cents, and all-you-can-drink orange juice was five cents. In 1940 his two sons, Maurice
and Richard ("Mac" and "Dick"), moved the entire building 40 miles (64 km) to the corner of 14th and E Streets
in San Bernardino, California. The restaurant was renamed "McDonald's".

In 1948, Mac and Dick McDonald introduced the "Speedee Service System", which established the principles
of the modern fast-food restaurant. After they realized most of their profits came from selling hamburgers, they
closed down their successful carhop drive-in to establish a streamlined system with a simple menu of just
hamburgers, cheeseburgers, french fries, shakes, soft drinks, and apple pie. The carhops were eliminated to
make McDonald's a self-serve operation. Mac and Dick McDonald had taken great care in setting up their
kitchen like an assembly line, to ensure maximum efficiency.

In 1954, Ray Kroc, a seller of Multimixer milkshake machines, learned that the McDonald brothers were using
eight of his high-tech Multimixers in their San Bernardino restaurant. His curiosity was piqued, and he went to
San Bernardino to take a look at the McDonalds' restaurant.

Believing that the McDonalds' formula was a ticket to success, Kroc suggested that they franchise their
restaurants throughout the country. When they hesitated to take on this additional burden, Kroc volunteered to
do it for them. He returned to his home outside of Chicago with rights to set up McDonald's restaurants
throughout the country, except in a handful of territories in California and Arizona already licensed by the
McDonald brothers. Kroc's first McDonald's restaurant opened in Des Plaines, Illinois, near Chicago, on April
15, 1955, the same day that Kroc incorporated his company as McDonald's Systems, Inc. (which he would later
rename McDonald's Corporation).

Once the Des Plaines restaurant was operational, Kroc sought franchisees for his McDonald's chain. The first
snag came quickly. In 1956 he discovered that the McDonald brothers had licensed the franchise rights
for Cook County, Illinois to the Frejlack Ice Cream Company. Kroc was incensed that the McDonalds had not
informed him of this arrangement. He purchased the rights back for $25,000, five times what the Frejlacks had
originally paid, and pressed forward. McDonald's grew slowly for its first three years. By 1958, there were 34
restaurants. In 1959, however, Kroc opened 67 new restaurants, bringing the total to 101 locations.

[edit]Phenomenal growth in the 1960s and 1970s

In 1960, the McDonald's advertising campaign "Look for the Golden Arches" gave sales a big boost. Kroc
believed that advertising was an investment that would in the end come back many times over, and advertising
has always played a key role in the development of the McDonald's Corporation. Indeed, McDonald's ads have
been some of the most identifiable over the years. In 1962, McDonald's introduced its now world-famous
Golden Arches logo. A year later, the company sold its billionth hamburger and introduced Ronald McDonald, a
red-haired clown with particular appeal to children.

In the early 1960s, McDonald's really began to take off. The growth in U.S. automobile use that came with
suburbanization contributed heavily to McDonald's success. In 1961 Kroc bought out the McDonald brothers for
$2.7 million, aiming at making McDonald's the number one fast-food chain in the country.

In 1965, McDonald's Corporation went public. Common shares were offered at $22.50 per share. By the end of
the first day's trading, the price had shot up to $30. A block of 100 shares purchased for $2,250 in 1965 was
worth, after 12 stock splits (increasing the number of shares to 74,360), about $1.8 million by the end of 2003.
In 1985, McDonald's Corporation became one of the 30 companies that make up the Dow Jones Industrial
Average.

McDonald's success in the 1960s was in large part due to the company's skillful marketing and flexible
response to customer demand. In 1962, the Filet-O-Fish sandwich, billed as "the fish that catches people," was
introduced in McDonald's restaurants.[4] The new item had originally met with disapproval from Kroc, but after
its successful test marketing, he eventually agreed to add it. Another item that Kroc had backed a year
previously, a burger with a slice of pineapple and a slice of cheese, known as a "hulaburger," had flopped (both
it and the Filet-O-Fish were developed in Catholic neighborhoods where burger sales dropped off markedly on
Fridays and during Lent). The market was not quite ready for Kroc's taste; the hulaburger's tenure on the
McDonald's menu board was short. In 1968 the now legendary Big Mac made its debut, and in 1969
McDonald's sold its five billionth hamburger. Two years later, as it launched the "You Deserve a Break Today"
advertising campaign, McDonald's restaurants had reached all 50 states.

In 1968, McDonald's opened its 1,000th restaurant, and Fred L. Turner became the company's president and
chief administrative officer. Kroc became chairman and remained CEO until 1973. Turner had originally
intended to open a McDonald's franchise, but when he had problems with his backers over a location, he went
to work as a grillman for Kroc in 1956. As operations vice-president, Turner helped new franchisees get their
stores up and running. He was constantly looking for new ways to perfect the McDonald's system,
experimenting, for example, to determine the maximum number of hamburger patties one could stack in a box
without squashing them and pointing out that seconds could be saved if McDonald's used buns that were
presliced all the way through and were not stuck together in the package. Such attention to detail was one
reason for the company's extraordinary success.

McDonald's spectacular growth continued in the 1970s. Americans were more on-the-go than ever, and fast
service was a priority. In 1972, the company passed $1 billion in annual sales. By 1976, McDonald's had
served 20 billion hamburgers, and systemwide sales exceeded $3 billion.

McDonald's pioneered breakfast fast food with the introduction of the Egg McMuffin in 1972 when market
research indicated that a quick breakfast would be welcomed by consumers. Five years later the company
added a full breakfast line to the menu, and by 1987 one-fourth of all breakfasts eaten out in the United States
came from McDonald's restaurants.

Kroc was a firm believer in giving "something back into the community where you do business." In 1974
McDonald's acted upon that philosophy in an original way by opening the first Ronald McDonald House,
in Philadelphia, to provide a "home away from home" for the families of children in nearby hospitals. Twelve
years after this first house opened, 100 similar Ronald McDonald Houses were in operation across the United
States.

In 1975, McDonald's opened its first drive-thru window in Sierra Vista, Arizona. This service gave Americans a
fast, convenient way to procure a quick meal. The company's goal was to provide service in 50 seconds or
less. Drive-thru sales eventually accounted for more than half of McDonald's systemwide sales. Meantime,
the Happy Meal, a combo meal for children featuring a toy, was added to the menu in 1979.

[edit]Surviving the 1980s "Burger Wars"

In the late 1970s, competition from other hamburger chains such as Burger King and Wendy's began to
intensify. Experts believed that the fast-food industry had gotten as big as it ever would, so the companies
began to battle fiercely for market share. A period of aggressive advertising campaigns and price slashing in
the early 1980s became known as the "burger wars." Burger King suggested that customers "have it their way";
Wendy's offered itself as the "fresh alternative" and asked of other restaurants, "Where's the beef?" But
McDonald's sales and market share continued to grow.

During the 1980s, McDonald's further diversified its menu to suit changing consumer tastes. The company
introduced the McChicken in 1980. It proved to be a sales disappointment and was replaced with the highly
successful Chicken McNuggets a year later. Chicken McNuggets were introduced in June 1980, and by the end
of 1983, McDonald's was the second largest retailer of chicken in the world. In 1985, ready-to-eat salads were
introduced to lure more health-conscious consumers. The 1980s were the fastest-paced decade yet. Efficiency,
combined with an expanded menu, continued to draw customers. McDonald's, already entrenched in the
suburbs, began to focus on urban centers and introduced new architectural styles. Although McDonald's
restaurants no longer looked identical, the company made sure food quality and service remained constant.

Despite experts' claims that the fast-food industry was saturated, McDonald's continued to expand. The first
generation raised on restaurant food had grown up. Eating out had become a habit rather than a break in the
routine, and McDonald's relentless marketing continued to improve sales. Innovative promotions, such as the
"when the U.S. wins, you win" giveaways during the Olympic Games in 1988, were a huge success.

In 1982 Michael R. Quinlan became president of McDonald's Corporation, and Fred Turner became chairman.
Quinlan, who took over as CEO in 1987, had started at McDonald's in the mailroom in 1963, and gradually
worked his way up. The first McDonald's CEO to hold an M.B.A. degree, Quinlan was regarded by his
colleagues as a shrewd competitor. In his first year as CEO the company opened 600 new restaurants.

McDonald's growth in the United States was mirrored by its stunning growth abroad. By 1991, 37 percent of
systemwide sales came from restaurants outside the United States. McDonald's opened its first foreign
restaurant in British Columbia, Canada, in 1967. By the early 1990s the company had established itself in 58
foreign countries and operated more than 3,600 restaurants outside the United States, through wholly owned
subsidiaries, joint ventures, and franchise agreements. Its strongest foreign markets
were Japan, Canada,Germany, Great Britain, Australia, and France.

In the mid-1980s, McDonald's, like other traditional employers of teenagers, was faced with a shortage of labor
in the United States. The company met this challenge by being the first to entice retirees back into the
workforce. McDonald's placed great emphasis on effective training. It opened its Hamburger University in 1961
to train franchisees and corporate decision-makers. By 1990, more than 40,000 people had received "Bachelor
of Hamburgerology" degrees from the 80-acre (320,000 m2) Oak Brook, Illinois, facility. The corporation opened
a Hamburger University in Tokyo in 1971, in Munich in 1975, and in London in 1982.

Braille menus were first introduced in 1979, and picture menus in 1988. In March 1992, Braille and picture
menus were reintroduced to acknowledge the 37 million Americans with vision, speech, or hearing
impairments.

Quinlan continued to experiment with new technology and to research new markets to keep McDonald's in front
of its competition. Clamshell fryers, which cooked both sides of a hamburger simultaneously, were tested. New
locations such as hospitals and military bases were tapped as sites for new restaurants. In response to the
increase in microwave oven usage, McDonald's, whose name is the single most advertised brand name in the
world, stepped up advertising and promotional expenditures stressing that its taste was superior to quick-
packaged foods.

[edit]1990s: Growing pains

McRecycle USA began in 1990 and included a commitment to purchase at least $100 million worth of recycled
products annually for use in construction, remodeling, and equipping restaurants. Chairs, table bases, table
tops, eating counters, table columns, waste receptacles, corrugated cartons, packaging, and washroom tissue
were all made from recycled products. McDonald's worked with the U.S. Environmental Defense Fund to
develop a comprehensive solid waste reduction program. Wrapping burgers in paper rather than plastic led to a
90 percent reduction in the wrapping material waste stream.

It took McDonald's 33 years to open its first 10,000 restaurants. The 10,000th unit opened in April 1988.
Incredibly, the company reached the 20,000-restaurant mark in only eight more years, in mid-1996. By the end
of 1997 the total had surpassed 23,000, and by that time McDonald's was opening 2,000 new restaurants each
year, an average of one every five hours.

Much of the growth of the 1990s came outside the United States, with international units increasing from about
3,600 in 1991 to more than 11,000 by 1998. The number of countries with McDonald's outlets nearly doubled
from 59 in 1991 to 114 in late 1998. In 1993, a new region was added to the empire when the first McDonald's
in the Middle East opened in Tel Aviv, Israel. As the company entered new markets, it showed increasing
flexibility with respect to local food preferences and customs. In Israel, for example, the first kosherMcDonald's
opened in a Jerusalem suburb in 1995. In Arab countries the restaurant chain used "Halal" menus, which
complied with Islamic laws for food preparation. In 1996 McDonald's entered India for the first time, where it
offered a Big Mac made with lamb called the Maharaja Mac. That same year the first McSki-Thru opened in
Lindvallen, Sweden.

Overall, the company derived increasing percentages of its revenue and income from outside the United
States. In 1992 about two-thirds of systemwide sales came from U.S. McDonald's, but by 1997 that figure was
down to about 51 percent. Similarly, the operating income numbers showed a reduction from about 60 percent
derived from the United States in 1992 to 42.5 percent in 1997.

In the United States, the number of units grew from 9,000 in 1991 to 12,500 in 1997, an increase of about 40
percent. The growth is considered by some to be excessive. Although the additional units increased market
share in some markets, a number of franchisees complained that new units were cannibalizing sales from
existing ones. Same-store sales for outlets open for more than one year were flat in the mid-1990s, a reflection
of both the greater number of units and the mature nature of the U.S. market.

It did not help that the company made several notable blunders in the United States in the 1990s. The McLean
Deluxe sandwich, which featured a 91 percent fat-free beef patty, was introduced in 1991, never really caught
on, and was dropped from the menu in 1994. Several other 1990s-debuted menu items, including fried chicken,
pasta, fajitas, and pizza failed as well. The "grown-up" (and pricey)Arch Deluxe sandwich and the Deluxe Line
were launched in 1996 in a $200 million campaign to gain the business of more adults, but were bombs. The
following spring brought a 55-cent Big Mac promotion, which many customers either rejected outright or were
confused by because the burgers had to be purchased with full-priced fries and a drink. The promotion
embittered still more franchisees, whose complaints led to its withdrawal. In July 1997 McDonald's fired its
main ad agency, Leo Burnett, a 15-year McDonald's partner after the nostalgic "My McDonald's" campaign
proved a failure. A seemingly weakened McDonald's was the object of a Burger King offensive when the rival
fast-food maker launched the Big King sandwich, a Big Mac clone. Meanwhile, internal taste tests revealed that
customers preferred the fare at Wendy's and Burger King.

In response to these difficulties, McDonald's drastically cut back on its U.S. expansion. In contrast to the 1,130
units opened in 1995, only about 400 new McDonald's were built in 1997. Plans to open hundreds of smaller
restaurants in Wal-Marts and gasoline stations were abandoned because test sites did not meet targeted goals.
Reacting to complaints from franchisees about poor communication with the corporation and excess
bureaucracy, the head of McDonald's U.S.A. (Jack M. Greenberg, who had assumed the position in October
1996) reorganized the unit into five autonomous geographic divisions. The aim was to bring management and
decision-making closer to franchisees and customers.

On the marketing side, McDonald's scored big in 1996 and 1997 with a Teenie Beanie Baby promotion in which
about 80 million of the toys/collectibles were gobbled up virtually overnight. The chain received some bad
publicity, however, when it was discovered that a number of customers purchased Happy Meals just to get the
toys and threw the food away. For a similar spring 1998 Teenie Beanie giveaway, the company altered the
promotion to allow patrons to buy menu items other than kids' meals. McDonald's also began to benefit from a
ten-year global marketing alliance signed with Disney in 1996. Initial Disney movies promoted by McDonald's
included 101 Dalmatians, Flubber, Mulan, Armageddon, and A Bug's Life. Perhaps the most important
marketing move came in the later months of 1997 when McDonald's named DDB Needham as its new lead ad
agency. Needham had been the company's agency in the 1970s and was responsible for the hugely successful
"You Deserve a Break Today" campaign. Late in 1997, McDonald's launched the Needham-designed "Did
Somebody Say McDonald's?" campaign, which appeared to be an improvement over its predecessors.

[edit]Failed turnaround: late 1990s

Following the difficulties of the early and mid-1990s, several moves in 1998 seemed to indicate a reinvigorated
McDonald's. In February the company for the first time took a stake in another fast-food chain when it
purchased a minority interest in the 16-unit, Colorado-based Chipotle Mexican Grill chain. The following month
came the announcement that McDonald's would improve the taste of several sandwiches and introduce several
new menu items. McFlurry desserts, developed by a Canadian franchisee in 1997, proved popular when
launched in the United States in the summer of 1998. McDonald's that same month said that it would overhaul
its food preparation system in every U.S. restaurant. The new just-in-time system, dubbed "Made for You," was
in development for a number of years and aimed to deliver to customers "fresher, hotter food"; enable patrons
to receive special-order sandwiches (a perk long offered by rivals Burger King and Wendy's); and allow new
menu items to be more easily introduced thanks to the system's enhanced flexibility. The expensive
changeover was expected to cost about $25,000 per restaurant, with McDonald's offering to pay for about half
of the cost; the company planned to provide about $190 million in financial assistance to its franchisees before
implementation was completed by year-end 1999.

In May 1998, Greenberg was named president and CEO of McDonald's Corporation, with Quinlan remaining
chairman; at the same time Alan D. Feldman, who had joined the company only four years earlier from Pizza
Hut, replaced Greenberg as president of McDonald's U.S.A., an unusual move for a company whose
executives typically were long-timers. The following month brought another first, McDonald's first job cuts. The
company said it would eliminate 525 employees from its headquarters staff, a cut of about 23 percent. In the
second quarter of 1998 McDonald's took a $160 million charge in relation to the cuts. As a result, the company,
for the first time since it went public in 1965, recorded a decrease in net income, from $1.64 billion in 1997 to
$1.55 billion in 1998.

McDonald's followed up its investment in Chipotle with several more moves beyond the burger business. In
March 1999 the company bought Aroma Café, a U.K. chain of 23 upscale coffee and sandwich shops. In July
of that year McDonald's added Donatos Pizza, a midwestern chain of 143 pizzerias based in Columbus, Ohio.
Donatos had 1997 revenues of $120 million. Also in 1999, McDonald's 25,000th unit opened, Greenberg took
on the additional post of chairman, and Jim Cantalupo was named company president. Cantalupo, who had
joined the company as controller in 1974 and later became head of McDonald's International, had been vice-
chairman, a position he retained. In May 2000 McDonald's completed its largest acquisition yet, buying the
bankrupt Boston Marketchain for $173.5 million in cash and debt. At the time, there were more than 850 Boston
Market outlets, which specialized in home-style meals, with rotisserie chicken the lead menu item. Revenue at
Boston Market during 1999 totaled $670 million. McDonald's rounded out its acquisition spree in early 2001 by
buying a 33 percent stake in Pret A Manger, an upscale urban-based chain specializing in ready-to-eat
sandwiches made on the premises. There were more than 110 Pret shops in the United Kingdom and several
more in New York City. Also during 2001, McDonald's sold off Aroma Café and took its McDonald's Japan
affiliate public, selling a minority stake through an initial public offering.

[edit]Refurbishing and creating a healthier image: Early 2000s

As it was exploring new avenues of growth, however, McDonald's core hamburger chain had become plagued
by problems. Most prominently, the Made for You system backfired. Although many franchisees believed that it
succeeded in improving the quality of the food, it also increased service times and proved labor-intensive.
Some franchisees also complained that the actual cost of implementing the system ran much higher than the
corporation had estimated, a charge that McDonald's contested. In any case, there was no question that Made
for You failed to reverse the chain's sluggish sales. Growth in sales at stores open more than a year (known as
same-store sales) fell in both 2000 and 2001. Late in 2001 the company launched a restructuring involving the
elimination of about 850 positions, 700 of which were in the United States, and some store closings.

There were further black eyes as well. McDonald's was sued in 2001 after it was revealed that for flavoring
purposes a small amount of beef extract was being added to the vegetable oil used to cook the french fries.
The company had cooked its fries in beef tallow until 1990, when it began claiming in ads that it used 100
percent vegetable oil. McDonald's soon apologized for any "confusion" that had been caused by its use of the
beef flavoring, and in mid-2002 it reached a settlement in the litigation, agreeing to donate $10 million
toHindu, vegetarian, and other affected groups. Also in 2001, further embarrassment came when 51 people
were charged with conspiring to rig McDonald's game promotions over the course of several years. It was
revealed that $24 million of winning McDonald's game tickets had been stolen as part of the scam. McDonald's
was not implicated in the scheme, which centered on a worker at an outside company that had administered
the promotions.

McDonald's also had to increasingly battle its public image as a purveyor of fatty, unhealthful food. Consumers
began filing lawsuits contending that years of eating at McDonald's had made them overweight. McDonald's
responded by introducing low-calorie menu items and switching to a more healthful cooking oil for its french
fries. McDonald's franchises overseas became a favorite target of people and groups expressing anti-American
and/or anti-globalization sentiments. In August 1999 a group of protesters led by farmer José Bovédestroyed a
half-built McDonald's restaurant in Millau, France. In 2002 Bové, who gained fame from the incident, served a
three-month jail sentence for the act, which he said was in protest against U.S. trade protectionism.
McDonald's was also one of three multinational corporations (along with Starbucks Corporation and Nike, Inc.)
whose outlets in Seattle were attacked in late 1999 by some of the more aggressive protesters against a World
Trade Organization meeting taking place there. In the early 2000s McDonald's pulled out of several countries,
including Bolivia and two Middle Eastern nations, at least in part because of the negative regard with which the
brand was held in some areas.

Early in 2002 Cantalupo retired after 28 years of service. Sales remained lackluster that year, and in October
the company attempted to revive U.S. sales through the introduction of a low-cost Dollar Menu. In December
2002, after this latest initiative to reignite sales growth failed and also after profits fell in seven of the previous
eight quarters, Greenberg announced that he would resign at the end of the year. Cantalupo came out of
retirement to become chairman and CEO at the beginning of 2003.

Cantalupo started his tenure by announcing a major restructuring that involved the closure of more than 700
restaurants (mostly in the United States and Japan), the elimination of 600 jobs, and charges of $853 million.
The charges resulted in a fourth-quarter 2002 loss of $343.8 million, the first quarterly loss in McDonald's 38
years as a public company. The new CEO also shifted away from the company's traditional reliance on growth
through the opening of new units to a focus on gaining more sales from existing units. To that end, several new
menu items were successfully launched, including entree salads, McGriddles breakfast sandwiches (which
used pancakes in place of bread), and white-meat Chicken McNuggets. Some outlets began test-marketing
fruits and vegetables as Happy Meal options. Backing up the new products was the launch in September 2003
of an MTV-style advertising campaign featuring the new tag line, "I'm lovin' it." This was the first global
campaign in McDonald's history, as the new slogan was to be used in advertising in more than 100 countries. It
also proved to be the first truly successful ad campaign in years; sales began rebounding, helped also by
improvements in service. In December 2003, for instance, same-store sales increased 7.3 percent. Same-store
sales rose 2.4 percent for the entire year, after falling 2.1 percent in 2002.
In December 2003, McDonald's announced that it would further its focus on its core hamburger business by
downsizing its other ventures. The company said that it would sell Donatos back to that chain's founder. In
addition, it would discontinue development of non-McDonald's brands outside of the United States. This
included Boston Market outlets in Canada and Australia and Donatos units in Germany. McDonald's kept its
minority investment in Pret A Manger, but McDonald's Japan was slated to close its Pret units there. These
moves would enable the company to concentrate its international efforts on the McDonald's chain, while
reducing the non-hamburger brands in the United States to Chipotle and Boston Market, both of which were
operating in the black.

McDonald's continued to curtail store openings in 2004 and to concentrate on building business at existing
restaurants. Much of the more than $1.5 billion budgeted for capital expenditures in 2004 was slated to be used
to remodel existing restaurants. McDonald's also aimed to pay down debt by $400 million to $700 million and to
return approximately $1 billion to shareholders through dividends and share repurchases. Cantalupo also set
several long-term goals, such as sustaining annual systemwide sales and revenue growth rates of 3 to 5
percent. In a move to both simplify the menu and make its offerings less fattening, McDonald's announced in
March 2004 that it would phase out Super Size french fries and soft drinks by the end of the year.

[edit]Timeline

 1937: Dick and Mac McDonald open a hamburger stand called "The Airdrome" at the airport in Monrovia,
California.

 1948: After noting that almost all of their profits came from hamburgers, the brothers closed the restaurant
for several months to implement their innovative "Speedee Service System", a streamlined assembly
line for hamburgers. The carhops are fired, and when the restaurant reopens it sells only
hamburgers, milkshakes, and french fries. At 15 cents, the burgers are about half as expensive as at
standard diners, and they are served immediately. The restaurant is extremely successful, and its fame is
spread by word of mouth.

 1953: The McDonalds begin to franchise their restaurant, with Neil Fox the first franchisee. The second
McDonald's opens inPhoenix, Arizona at N. Central Ave and Indian School Road. It is the first to feature
the Golden Arches design; later this year the original restaurant in San Bernardino is rebuilt in the same
style.
Fourth McDonald's restaurant in Downey, California, at the corner of Lakewood Blvd and Florence Ave. It is the oldest
McDonald's restaurant still in operation.

 1953: Fourth McDonald's restaurant opens, in Downey, California at the corner of Lakewood Blvd and
Florence Avenue, and is the oldest McDonald's restaurant still in operation.[citation needed]

 1954: Entrepreneur and milkshake-mixer salesman Ray Kroc becomes fascinated by the McDonald's
restaurant during a sales visit, when he learns of its extraordinary capacity and popularity. Others who had
visited the restaurant and come away inspired were James McLamore, founder of Burger King, and Glen
Bell, founder of Taco Bell. After seeing the restaurant in operation, Kroc approaches the McDonald
brothers, who have already begun franchising, with a proposition to let him franchise McDonald's
restaurants outside the company's home base of California and Arizona, with himself as the first
franchisee. Kroc works hard to sell McDonald's. He even attempts to prevail on his wartime acquaintance
withWalt Disney, in the failed hope of opening a McDonald's at the soon-to-be-openedDisneyland.

Ray Kroc's first franchised restaurant, the tenth-ever location (though torn down and rebuilt twice), Fresno, California.

 1955: Ray Kroc founds "McDonald's Systems, Inc." on March 2, as a legal structure for his planned
franchises. Kroc opens the ninth McDonald's restaurant in Des Plaines, Illinois, in suburban Chicago on
April 15.

 1955: Ray Kroc hires Fred Turner (later CEO and Chairman) as a grillman in his store in Des Plaines.

 1958: McDonald's worldwide sells its 100 millionth hamburger.

 1959: The 100th McDonald's restaurant opens in Fond du Lac, Wisconsin.

 1959: McDonald's begins billboard advertising.

 1960: First New England location of McDonald's opens in Boston, Massachusetts.

 1960: Kroc's company is renamed "McDonald's Corporation".

 1961: The McDonald brothers agree to sell Kroc business rights to their operation for $2.7 million, a sum
that Kroc borrows from a number of investors, including Princeton University; Kroc considers the sum
extreme, and it strains his relationship with the brothers. In a handshake agreement, the brothers would
also receive an overriding royalty of 1% on the gross sales. At the closing table the brothers told Ray that
they were giving the real estate and rights to the original unit to the founding employees. Ray closed the
transaction, then refused to acknowledge the royalty portion of the agreement because it wasn't in writing.
The brothers keep their original restaurant, but in an oversight they fail to retain the right to remain a
McDonald's franchise. Renamed "The Big M", Kroc drives it out of business by opening a McDonald's just
one block north; he attends the opening. Had the brothers maintained their original agreement, which
granted them 0.5% of the chain's annual revenues, they or their heirs would have been collecting in excess
of $100 million per year today. Had the brothers closed their handshake agreement with Ray, these
royalties would have doubled.

 1961: Hamburger University opens in the basement of the Elk Grove Village, Illinois, McDonald's
restaurant. Bachelor of Hamburgology degrees went to graduating class of 15.

 1962: McDonald's first national magazine ad appears in Life magazine.

 1962: The first McDonald's restaurant with seating opens in Denver, Colorado.

 1963: One of Kroc's marketing insights is his decision to advertise McDonald's hamburgers to families and
children. Washington, D.C. franchisees John Gibson and Oscar Goldstein (Gee Gee Distributing
Corporation) sponsor a children's show on WRC-TV calledBozo the Clown, a franchised character played
by Willard Scott from 1959 until 1962. After the show was cancelled, Goldstein hires Scott to portray
McDonald's new mascot, named Ronald McDonald. According to Scott, they wanted to pay him in stock,
but Scott decided to take the money. Scott, looking nothing like the familiar appearance of
any McDonaldland character as is known today, appeared in the first three television advertisements
featuring the character. After changing the character's first name to "Ronald" and replacing Scott with a
new actor, and giving him the more familiar red, white, and yellow clown features, the character eventually
spreads to the rest of the country via an advertising campaign. Years later, an entire cast of
"McDonaldland" characters is developed.

 1963: The Filet-O-Fish is introduced in Cincinnati, Ohio, in a restaurant located in a neighborhood

dominated by Roman Catholicswho practiced abstinence (the avoidance of meat) on Fridays. It is the first
 new addition to the original menu, and goes national the following year, with fish supplied by Gorton's of
Gloucester. See also Lou Groen

 1963: McDonald's sells its one billionth hamburger.

 1963: The 500th McDonald's restaurant opens in Toledo, Ohio.

 1964: McDonald's issues its first annual report.

 1965: Second New England location opens in Windsor, Connecticut.

 1967: Third location in New England opens in Providence, Rhode Island (also first in state)

 1967: The first McDonald's restaurant outside the United States opens in Richmond, British Columbia.

 1967: The chain's stand-alone restaurant design which is still most common today, with mansard roof and
indoor seating, is introduced.

 1968: The Big Mac (similar to the Big Boy hamburger), the brainchild of Jim Delligatti, one of Ray Kroc's
earliest franchisees, who by the late 1960s operated a dozen stores in Pittsburgh, Pennsylvania, is first
introduced in the Pittsburgh market in 1967, before going system/nationwide a year later, following its great
local success. The Hot Apple Pie is also introduced this year.

 1968: The 1000th McDonald's restaurant opens in Des Plaines, Illinois.

 1970: McDonald's opens in Costa Rica, its third country after the United States and Canada.

 1970: Having changed hands in 1968, the original "Big M" restaurant closes. It is demolished two years
later, with only part of the sign remaining; this has since been restored.

 1971: The first Asian McDonald's opens in July in Japan, in Tokyo's Ginza district.

 1971: On August 21, the first European McDonald's outlet opens, in Zaandam (near Amsterdam) in
the Netherlands. The franchisee is Ahold.

 1971: The first McDonald's in Germany (Munich) opens in November. It is the first McDonald's to sell
alcohol, as it offers beer. Other European countries follow in the early 1970s.

 1971: The first Australian McDonald's opens in the Sydney suburb of Yagoona in May.

 1972: The McDonald's system generates $1 billion in sales through 2200 restaurants.[5]
An early-1970s McDonald's sign inAustin, Minnesota, showing the number of burgers sold. From 1969, the number was
displayed in billions, increasing with every 5 billion. When the total reached 100 billion in 1993, the signs of this era were
changed to display 99 billion permanently, as there was only room for two digits, though some signs use the "Billions and
Billions Served" tagline.

 1972: The 2000th McDonald's restaurant opens in Des Plaines, Illinois.

 1972: The first McDonald's in France opens, in Créteil, even though the company officially recognizes the
first outlet in Strasbourg in 1979.

 1973: The first McDonald's Playland opens in Chula Vista, California.

 1973: The first Swedish McDonald's restaurant opens in Stockholm, 23 October.

 1973: The Quarter Pounder is introduced.

 1973: The Egg McMuffin, invented by Herb Peterson, owner and operator of a Santa Barbara franchise, is
introduced to the menu.

 1974: On October 12, the first McDonald's in the United Kingdom opens in Woolwich, southeast London. It
is the company's 3000th restaurant.

 1974: The first Ronald McDonald House opens in Philadelphia, Pennsylvania.

 1975: The first Hong Kong McDonald's opens in January in Paterson Street, in Causeway Bay, Hong Kong
Island. It is also the first McDonald's restaurant in Greater China and theFour Asian Tigers.

 1975: Drive-Thru is introduced in January in Sierra Vista, Arizona in order to serve meals to soldiers from
nearby Fort Huachuca who were not allowed to wear BDUs while off post except while in a vehicle. The
Drive-Thru is later known as "McDrive" in some countries.

 1976: McDonald's pays its first cash dividend.

 1977: McDonald's adds a breakfast line to the U.S. menu.

 1978: The 5000th McDonald's restaurant opens in Kanagawa, Japan.

 1978: Hamburger University celebrates the graduation of its 15,000th student.

 1979: The Happy Meal is introduced in the U.S.

 1979: The first McDonald's in Southeast Asia opens, in Singapore.

 1980: McDonald's introduces the McChicken sandwich, its first poultry item. It flops, and is removed from
the menu, but is later reintroduced after Chicken McNuggets prove successful.

 1980: The Chicken McNuggets are introduced to the menu and instantly become a success by early-1983.

 1980: The 6000th McDonald's restaurant opens in Munich, Germany.

 1981: The first Ronald McDonald House outside the U.S. opens in Toronto, Canada.

 1981: The first McDonald's in the Philippines opens, in Morayta, Manila.

 1982: The first McDonald's in Malaysia opens, at Jalan Bukit Bintang, Kuala Lumpur.

 1982: McDonald's stages an in-house rivalry between the Chicken McNuggets and the Big Mac as the
advertising campaign involved the slogan "Which will be number one?".

 1983: After gaining much success, the McNuggets begin rolling out nationwide starting in January.

 1984: The first McDonald's in Taiwan opens in January, at Songshan District, Taipei.

 1984: Ray Kroc dies on January 14.

 1984: The company is a main sponsor of the 1984 Summer Olympics. Its U.S. restaurants lose money on
the game "When The US Wins, You Win" after the Soviet bloc nations boycott the Games, leading to a
high number of medals won by the U.S (this is later parodied in an episode of The Simpsons, with Krusty
the Klown's Krusty Burger chain suffering a similar fate).

 1984: On 18 July, James Huberty committed the worst mass murder (at the time) in the US, when he
opened fire at the San Ysidrobranch, killing 21 people before he was gunned down by
a SWAT team sniper.

 1985: McDonald's opens its first restaurant in Italy, in Bolzano.

 1985: Saul Kahan opens the first McDonald's restaurant in Mexico City, Mexico.

 1987: The first Macauese McDonald's opens on the Rua do Campo, Macau. It's also the first McDonald's
restaurant in Portugal when Macau was under the control of Portugal.

 1987: On August 12, a Piper Cheyenne, which started in Augsburg, Germany, was on a simulated
approach to Munich's main airportRiem, when all instruments failed. The plane crashed into the
McDonald's restaurant in the Wasserburger Landstrasse. Fourteen people were killed in the incident: 4 in
the plane, 3 on the street or in a bus, which was also struck by the plane, and 7 in the restaurant. The
McDonald's in the Wasserburger Landstrasse has since been rebuilt. [1]
 1988: The first Korean McDonald's restaurant opens in March, in Seoul's Apgujeong-dong district.

 1988: McDonald's opens its first restaurant in a communist country,

in Belgrade, Yugoslavia (now Serbia). Budapest, Hungary follows in the same year.

McDonald's in Saint Petersburg, Russia

A McDonald's in a Toronto, Ontario, Canada Wal-Mart store. Note the maple leaf on the Golden Arches.

McDonald's in Barcelona, Spain

McDonald's in Sanya, Hainan (China). This one is a soft drink/ice cream stand.

First McDonald's restaurant inZamboanga City, Philippines opened February 28, 2005

 1990: On January 31, the first Soviet McDonald's opens, in Moscow. At the time it is the largest
McDonald's in the world . For political reasons, McDonald's Canada is responsible for this opening, with
little input from the U.S. parent company; a wall display within the restaurant shows the Canadian and
Soviet flags. To overcome Soviet supply problems, the company creates its own supply chain, including
farms, within the USSR. Unlike other foreign investments, the restaurant accepts rubles, not dollars, and is
extremely popular, with waiting lines of several hours common in its early days.

 1990: Many other McDonald's restaurants open in Eastern Europe.

 1990: In October, the first McDonald's opens in mainland China, in the city and Special Economic
Zone (SEZ) of Shenzhen, Guangdong province.

 1991: McDonald's opens its first restaurant in Portugal (expect Macau), in Lisbon's Cascaishopping.

 1992: The first McDonald's opens in Africa, in Casablanca, Morocco.

 1992: Stella Liebeck receives third-degree burns from coffee purchased at a McDonald's drive-through.
She sued in what became known as the McDonald's coffee case.
 1992: Derek Wood, an employee, and two friends rob a McDonald's in Sydney River, Nova Scotia, killing
three and severely injuring another. Wood is serving a life sentence for his role in the Sydney River
McDonald's murders.

 1992: On April 23, the world's largest McDonald's opens in Beijing, China (over 700 seats). Along with
adjacent buildings, it is later demolished.

 1992: On April 28, seven McDonald's restaurants are bombed in Taiwan, killing one policeman and injuring
four.

 1992: The fried apple pie is replaced with a baked apple pie. Fried pies can still be found today in some
locations, see the Fried Apple Pie Locator.

 1993: The company launches its first sea-going restaurant aboard the Finnish cruiseferrySilja Europa,
sailing between Helsinki and Stockholm.

 1993: On December 8, McDonald's opens its golden arches in Saudi Arabia for the first time.

 1994: The Catalyst Award is given to McDonald's in honour of their program to foster leadership
development in women.

 1995: McDonald's receives complaints from franchisees that too many franchises are being granted,
leading to competition among franchisees. McDonald's starts conductingmarket impact studies before
granting further franchises.

 1995: In an effort to cultivate a more "adult" image, McDonald's launches the Arch Deluxesandwich with a
massive ad campaign. Both the campaign and sandwich fail miserably and are quickly discontinued.

 1995: Following the end of apartheid, the first McDonald's in South Africa opens.

 1996: First McDonald's opens in Belarus, marking the chain's 100th country (by its own calculation;
however, this total included many non-sovereign territories). At the opening ceremony, the
Belarusian militia are accused of brutality toward members of the public hoping to enter the restaurant
in Minsk.

 1996: First McDonald's opens in Lima, Peru, managed by Operaciones Arcos Dorados de Perú S.A.

 1996: The first Indian McDonald's opens.

 1997: McDonald's wins the "McLibel" case, in what many consider to be a Pyrrhic victoryin terms of the
company's image. Only about half of the counts are in McDonald's favour despite enormous legal
resources deployed against self-representing defendants.

 1997: The McFlurry is invented by a Canadian franchisee.

 1998: Jack M. Greenberg succeeds Michael R. Quinlan as CEO.

 1999: First McDonald's restaurant opens in Tbilisi, Georgia. Jack Greenberg is elevated to Chairman and
CEO.

 1999: French leftist activist José Bové and others gain worldwide attention when they destroy a half-built
McDonald's franchise in Millau (Aveyron). The incident follows aEuropean Union ban on American meat
imports, on the grounds that they use hormonetreatments; in response the U.S. had increased import
duties on French Roquefortcheese and other European Union products. Bové was sentenced to three
months in prison for his role in the incident.

 2000: Eric Schlosser publishes Fast Food Nation, a book critical of fast food in general and McDonald's in
particular.

 2000: The company opens its 1000th British store, inside the Millennium Dome.

 2001: The FBI reports that employees of Simon Worldwide, a company hired by McDonald's to provide
promotion marketing services for Happy Meals and the 'Millionaire'/'Monopoly' contest, stole winning game
pieces worth more than $20 million.

 2002: A survey in Restaurants and Institutions magazine ranks McDonald's 15th in food quality among
hamburger chains, highlighting the company's failure to enforce standards across its franchise network.

 2002: McDonald's posts its first quarterly loss ($344m), for the last quarter. It responds to the stiff
competition from other fast-food restaurants, offering higher quality burgers and more variety, by
attempting to move more upmarket by expanding its menu and refitting restaurants. It announces it is
withdrawing from three countries (including Bolivia) and closing 175 underperforming restaurants.

 2002: In October of this year, McDonald's opens the first of 2 corporate stores in Lincoln, Nebraska to test
concept restaurant called "3N1". The concept incorporated a "Sandwich & Platter" casual dining area, a
"bakery and ice cream" area featuring gourmet coffees, and a traditional McDonald's into one building [2].
The second store is launched approximately six months later [3]. The concept is spearheaded by Tom
Ryan, who was Executive Vice President and Chief Concept Officer at the time. The concept is abandoned
in less than a year, and Ryan leaves McDonald's to join Quiznos Sub [4].

 2003: James Richard Cantalupo is elected Chairman and Chief Operating Officer, succeeding Jack M.
Greenberg. Just prior to assuming his post Cantalupo shuts down Project Innovate, a global consulting
project that had already spent $170 million of a projected 5-year budget of $1.2 billion.[6]

 2003: McDonald's starts a global marketing campaign which promotes a new healthier and higher-quality
image. The campaign was labeled "i'm lovin' it" and begins simultaneously in more than 100 countries
around the world.

 2003: According to Technomic, a market research firm, McDonald's share of the U.S. market had fallen
three percentage points in five years and was at 15.2%. [5]
 2003: The firm reports a $126M USD loss for the fourth quarter [6].

 2003: McDonald's introduces their premium salads, the McGriddles and the chicken selects.

 2004: Morgan Spurlock directs and stars in Super Size Me, a documentary film in which he eats nothing
but McDonald's food for 30 days to the great detriment of his health.

 2004: After the release of Super Size Me, McDonald's does away with their Supersize options.

 2004: Chairman and CEO Jim Cantalupo dies suddenly at the age of 60 in his hotel room of an apparent
heart attack while attending the annual franchisee convention in Las Vegas, Nevada on April 19. A 30-year
veteran of the organization, Cantalupo had previously served as President and CEO of McDonald's
International. He is credited with introducing the premium salad line and reformulating Chicken McNuggets
to include leaner, all-white meat.[7][7] Andrew J. McKenna, Sr., a prominent Chicago businessman and a
McDonald's director, is elected Nonexecutive Chairman, and Charlie Bell of Sydney, Australia, is elected
President and CEO of McDonald's Corporation. A month later Bell is diagnosed with colorectal
cancer during a physical exam required for his new post and dies in January of the next year. Like retired
chairman and former CEO Fred L. Turner, Bell began his McDonald's career as a crew member. He was
promoted frequently, serving as the corporation's Chief Operating Officer and as President of both
McDonald's Europe and of the Asia/Pacific, Middle East and Africa Group.[8]

 2005: Jim Skinner is elected President and CEO. Skinner began his McDonald's career as a trainee
restaurant manager at a McDonald's in Carpentersville, Illinois in 1971 after serving nearly ten years with
the US Navy.[9][10]

 2005: McDonald's experiments with call centers for drive-through orders. The center, located in Fargo,
North Dakota, takes orders from more than a dozen stores in Oregon and Washington. The experiment is
in part motivated by labor costs, since the minimum wage in North Dakota is over 40% lower than that
in Oregon or Washington.

 2005: Owing in part to competitive pressure, McDonald's Australia adopts "Made for you" cooking platform
in which the food is prepared from pre-cooked meat after the customer orders (as opposed to the firm's
normal procedure since 1948, in which the food is cooked then sold as needed). It should become
standard practice in all Australian restaurants by 2007. Some restaurants in New Zealand also follow suit.
The practice had earlier been tested, and abandoned, in the U.S.

 2005: McDonald's in Singapore began their McDelivery service: customers place their food orders over the
phone, and it is delivered to wherever they are. The service is available 24 hours a day, 7 days a week.

 2005: McDonald's opens a Wi-Fi service in selected restaurants with Nintendo for Nintendo DS.

 2005: A fired employee, who was terminated for hitting a female customer, murders his former manager at
a McDonald's outlet inWest Sussex, England. Shane Freer stabbed Jackie Marshall (57) to death during a
 children's party at the fast food restaurant she was supervising. Freer was convicted and sentenced to life
in prison by Lewes Crown Court.[8]

 2005: Ronald McDonald gets a leaner, sportier look.

 2006: McDonald's announces that it will include nutritional information on the packaging for all products
beginning in March [9] and that its upcoming menu changes will emphasize chicken, salads, and other
"fresh foods" rather than hamburgers [10].

 2006: McDonald's and Disney end their 10 year promotional partnership. Split allegedly mutual although
the generally accepted reasons were that McDonald's no longer sees benefit from sticking with one studio;
due to the increased competition from other studios, as well as having to promote flop films, and Disney no
longer wants to be associated with a company so strongly tied tochildhood obesity.

 2006: McDonald's begins their "forever young" branding by redesigning their restaurants.

 2006: Anna Svidersky is murdered by David Sullivan while working in an Anderson Road McDonald's
in Vancouver, Washington.

 2007: McDonald's reintroduces its 42-ounce super-size soda under the name Hugo.

 2008: Mcdonald's introduces the McSkillet burrito. This larger breakfast consists of scramble eggs, red &
green bell peppers, onions, potatoes, salsa and sausage wrapped in a flour tortilla.

 2008: McDonald's introduces the Chicken Biscuit and the Southern Style Chicken Sandwich.

 2008: In November, McDonald's starts phasing in new designs for their containers. They also introduced a
new menu board design that featured warmer, darker colors, more realistic photos with the food on plates
and drinks in glasses. The design should hit nation wide in 2009.

 2009: McDonald's introduces three versions of Angus Burgers: Angus Deluxe, Angus Bacon & Cheese,
and Angus Mushroom & Swiss.

 2009: First McDonald's opens in Cusco, Peru. Since 1996 a total of 21 McDonald´s , 8 McCafé and 36 soft
drink/ice cream stands are opened in Lima and across Peru. 20 more McDonald`s are scheduled to be
opened in the next two fiscal years.

 2009: McDonald's in Papakura, New Zealand opens its first car wash in the country, called a "UWASH".

 2010: McDonald's introduces Real Fruit smoothies and the Angus Snack Wrap.
[edit]References

1. ^ McDonald's publication. "Corporate FAQ". McDonald's Corporation. Retrieved 2007-11-24.

2. ^ a b c d e Overview of McDonald's key financial metrics via Wikinvest, retrieved 9/28/2009

3. ^ Joe Bramhall. "McDonald's Corporation". Hoovers. Retrieved 2009-03-25.

 4. ^ Smith, Craig (November 7, 2002). "North Sea Cod Crisis Brings Call for Nations to Act". [[New York
Times]]. Retrieved 2010-12-30.

5. ^ Ray Kroc and the Fast Food Industry

6. ^ Paul McDougal (2006-10-16). "8 Expensive IT Blunders". Information Week. Retrieved 04-08-2008.

7. ^ "Big Mac's Makeover: McDonald's Turned Around". The Economist. 2004-10-14. Retrieved 2008-04-08.

8. ^ "McDonald’s Former President and CEO Charlie Bell Dies of Cancer". McDonald's Press Release. 2005-
01-17. Retrieved 04-08-2008.

9. ^ "McDonald's Corporation Biographies: Jim Skinner". McDonald's Corporation. Retrieved 2008-04-08.

10. ^ Michael Arndt (2004-11-23). "What McDonald's Newest Cook Faces". BusinessWeek.

[hide]

v • d • e

McDonald's

History • Advertising • Ad programs • Franchises • Legal cases • Products • International variations

Richard and Maurice McDonald · Ray Kroc · Joan Kroc · Ralph Alvarez · Charlie Bell · Jim Cantalupo · George
People
Cohon · Don Gorske ·Jack M. Greenberg · Jim Skinner · Donald N. Smith · Fred L. Turner · Michael R. Quinlan

Company
Hamburger University · McBarge · McCafé · McDonald's USA First Store Museum · Rock N Roll McDonald's ·Ro
&
McDonald House Charities
related

Big Mac · Big N' Tasty · Kiwiburger · Lean Beef Burger · Quarter Pounder · SuperBeef · Deluxe line
Beef
Deluxe

Product
list
ChickenChicken McNuggets · McChicken

OtherFilet-O-Fish · Happy Meal · McGriddles · McMuffin · McRib · Premium line · Deli Choices
 Global Gladiators · Golden Arches · Mac and Me · Mac Tonight · McDonaldland · McDonald
CampaignsMonopoly ·McDonald's Treasure Land Adventure · M.C. Kids · Ronald

McDonald · Supersize · Teenie Beanies ·Wacky Adventures of Ronald McDonald

Advertisin Bill Elliott (NASCAR) · Jamie McMurray (NASCAR) · McDonald's Cycle Center · McDonald's O
Sponsorships
g Swim Stadium
programs

Related subjectsBurger Wars · Fast food advertising

OtherDonald Land · McDonald's Sign (Pine Bluff, Arkansas)

Franchise
es & Canada · Israel
related

Criticism Fast Food Nation (film) · McDonaldization · McDonald's Videogame · McJob · McLibel · Super Size Me

Legal
Liebeck v. McDonald's Restaurants · McDonald's Restaurants v. Morris & Steel
cases

Other McWords · Urban legends · San Ysidro McDonald's massacre · Sydney River McDonald's murders

Annual revenue US$22.74 billion (2009) · Employees 385,000 (2009) · Stock

symbol NYSE: MCD · Website mcdonalds.com

Categories: Company histories | McDonald's | Culture-related timelines

• Log in / create account

• Article
• Discussion
• Read
• Edit
• View history
Top of Form

Bottom of Form
• Main page
• Contents
• Featured content
• Current events
• Random article
• Donate to Wikipedia
Interaction
• Help
• About Wikipedia
• Community portal
• Recent changes
• Contact Wikipedia
Toolbox
Print/export
• This page was last modified on 3 January 2011 at 22:17.
• Text is available under the Creative Commons Attribution-ShareAlike License; additional terms may apply. See Terms of

Use for details.

Wikipedia® is a registered trademark of the Wikimedia Foundation, Inc., a non-profit organization.
• Contact us

• Privacy policy

• About Wikipedia

• Disclaimers

A brief history of
McDonald's
PHOTO: The first McDonald's was built in 1940 by the
McDonald brothers (Dick and Mac).

1954
 Ray Kroc became the first franchisee
appointed by Mac and Dick McDonald in
San Bernardino, California.
1955
 Ray Kroc opened his first restaurant in Des Plaines, Illinois (near
Chicago), and the McDonald's Corporation was created.
1957
 Quality, Service, Cleanliness and Value (Q.S.C. & V.) became the
company motto.
1959
 The 100th McDonald's opened in Chicago.
PHOTO: The McDonald brothers (Dick right and Mac center) discussing
plans with an executive.

1961
 Ray Kroc bought all rights to the McDonald's
concept from the McDonald's brothers for $2.7
million.

 Hamburger University opened in Elk Grove, near Chicago.

1963
 One billion hamburgers sold.

 The 500th restaurant opened.

 The 500th student graduates from Hamburger University.

 Ronald McDonald made his debut.

 McDonald's net income exceeded $1 million.

1964
 Filet-o-Fish sandwich introduced.
1965
 McDonald's Corporation went public. Per earning ratio varies
from 10 to 22 during year; stock price range, 15 - 33.5.
1966
 McDonald's listed on the New York stock exchange on the 7th
May.
1967
 The first restaurants outside of the USA opened in Canada and
Puerto Rico.
1968
 The Big Mac was introduced.

 The 1,000th restaurant opened in Des Plaines, Illinois.

1970
 McDonald's restaurant in every US state.

 Ray Cesca (Director of Global Purchasing of the McDonald's

Corporation) has admitted that when McDonald's opened stores in
Costa Rica in 1970, they were using beef from cattle raised on ex-
rainforest land, deforested in the 1950's and 1960's.

 New countries - Virgin Islands, Costa Rica.

PHOTO: The first Japanese McDonald's in Tokyo.

1971
 The Egg McMuffin sandwich was test
marketed in the US as McDonald's first
breakfast menu item.

 McDonald's Japanese President, Den

Fujita, stated "the reason Japanese
people are so short and have yellow
skins is because they have eaten nothing but fish and rice for two
thousand years"; "if we eat McDonald's hamburgers and potatoes
for a thousand years we will become taller, our skin become white
and our hair blonde".
 New countries - Japan, Holland, Australia, Germany, Panama,
Guam.
1972
 Assets exceeded $500 million and sales surpassed $1 billion.

 A new McDonald's restaurant opening every day.

 New countries - France, El Salvador.

 The 2,000th restaurant opened in Des Plaines, Illinois.

 The Quarter Pounder was introduced.

 Ray Kroc made a $250,000 donation to the controversial 1972

presidential campaign of Richard Nixon, a donation which was
perhaps a subject of investigation during the Watergate corruption
scandal. Passages in the 'Behind The Arches' book (written with
McDonald's backing and assistance) state that the donation came
around the very time that McDonald's franchisees were lobbying to
prevent an increase in the minimum wage, and to get legislation
(dubbed 'The McDonald's Bill') passed to be able to pay a sub-
minimum wage to some young workers.
1973
 McDonald's Golden Arches Restaurants Limited founded in UK as
a joint venture partnership between the McDonald's Corporation and
two businessmen; one British, one American.

 New country - Sweden.

 Egg McMuffin introduced.

1974
 The 3,000th McDonald's restaurant was opened in Woolwich
(south east London) in October, the first in the UK. The company
admitted that NOBODY went in and later decided to target children
with TV ads.

 The UK Head Office was sited in Hampstead, North London.

 Up to 1974, McDonald's employees in Puerto Rico were
unionised, but the company was sold to a new franchisee. A dispute
followed, closing all the stores and McDonald's pulled out of Puerto
Rico. They reopened in 1980 with non-union labour.

 New countries - England, Netherlands, Antilles, Guatemala.

 The first Ronald McDonald House opened in Philadelphia.

 At a San Francisco Labor Board hearing, McDonald's workers

testified that lie-detectors had been used to ask about union
sympathies, following which the company was threatened with legal
action.
PHOTO: McDonald's buildings have undergone dramatic changes
from the first one opened by Kroc in 1955 (top) which is now
preserved as a museum, to this ultra modern restaurant opened in
1983 in New Orleans (bottom).

1975
 The company's first Drive-Thru opened in
Sierra Vista, Arizona.

 New countries - Hong Kong, Bahamas,

Nicaragua.

 Fred Turner becomes Chairman, Ray

Kroc Senior Chairman, and Ed Schmitt
becomes President.

 Broadcast advertising appeared in UK cinemas.

1976
 McDonald's first UK TV advertisement was broadcast.

 4,000th store opened in Canada.

 New countries - Switzerland, New Zealand.

 Largest restaurant opens - with 334 seats.

1977
 New countries - Ireland, Austria.
 Breakfast menu introduced, nationally in America.
1978
 The 5,000th restaurant opened in Kanagawa, Japan and it made
US $1 million in its first year.

 Sundaes introduced in USA.

 In one store in Chicago (USA), a majority of McDonald's workers

joined a union. The company then took legal action to stop
recognition for the union unless they could get a majority in the 8
stores run by the franchisee.

 New country - Belgium.

1979
 A 7 month strike in Dublin (Ireland) lead to recognition of the
ITGWU union. In 1985, two union activists won a victory at a labour
court after claiming victimisation and unfair dismissal.

 New countries - Brazil and Singapore.

1980
 The 6,000th restaurant opened in Munich.

 After workers in a store in Detroit (USA) joined a union, the

company organised a visit by a top baseball star, staff disco, and
'McBingo' prior to elections for union representation.

 First floating restaurant on a steamer in Missouri.

 1,000th international restaurant opened.

1981
 New countries - Spain, Denmark and Malaysia.
1982
 Geoffrey Guiliano, a main Ronald McDonald actor, quit and
publicly apologised, stating "I brainwashed youngsters into doing
wrong. I want to say sorry to children everywhere for selling out to
concerns who make millions by murdering animals".
 7,000th restaurant opened in Washington DC.

 McDonald's were responsible for food poisoning outbreak caused

by E. Coli bacteria, which affected 47 people in Oregon and
Michigan, USA.

 Egon Ronay calls McDonald's burgers 'uninspiring'.

 Breakfast was introduced to the British menu.

PHOTO: The $40 million 'Hamburger University'.

1983
 The McDonald's Corporation became
sole owners of McDonald's in the UK. The
Company is named McDonald's Hamburgers
Limited.

 Five consignments of Brazilian beef are secretly imported for

McDonald's UK stores.

 The 100th UK restaurant opened in Market Street, Manchester.

 New country - Norway.

 Introduction of Chicken McNuggets in USA.

 New Hamburger University campus opens in Oak Brook, Illinois.

Set in 80 wooded acres. Training is provided for every level of
McDonald's management worldwide. A lodge with 154 rooms in also
on the same site.

 In Arkansas (USA), the UFCW union, which was interested in

recruiting McDonald's workers, was involved in a union dispute at a
chicken processing plant supplying McDonald's. The union launched
a boycott of McDonald's 'McNuggets' and picketed many of its
stores. Stan Stein (McDonald's Head of Personnel and Labour
Relations) spent up to '80%' of a whole year fighting the union's
campaign.
1984
 Founder Ray Kroc dies.
 James Huberty shoots 22 people dead at a McDonald's in San
Diego (USA).

 50 billionth hamburger sold.

 Ronald McDonald Children's Charities is founded in his memory

to raise funds in support of child welfare.

 A McDonald's pamphlet which is distributed to health

professionals in the UK states:

"There is a considerable amount of evidence to suggest that

many of the diseases which are more common in the western,
affluent world - diseases such as obesity, diabetes, high blood
pressure, heart disease, stroke, and some forms of cancer - are
related to diet. The typical western diet is relatively low in
dietary fibre (roughage) and high in fat, salt and sugar."

 McDonald's now serves 17 million customers a day - equivalent

to serving lunch to the entire population of Australia and New
Zealand. If McDonald's lined up all the hamburgers sold since 1955,
they would:-

• Circle the equator 103.75 times;

• Reach to the moon and back 5 times.
PHOTO: Ray Kroc demonstrating his fetish for cleanliness.

1985
 London Greenpeace (a radical group of
civil rights and environmental campaigners,
independent of Greenpeace International)
launches a campaign intended to expose the
reality behind the advertising mask of the fast food chains, including
McDonald's.

 Sergio Quintana, the sales director of Coop Montecillos (the sole

supplier of beef to McDonald's stores in Costa Rica since 1970),
stated on camera that his company's beef was being supplied to
McDonald's in the USA.
1986
 Drive-Thru restaurants opened in UK at Fallowfield, Dudley,
Neasden and Coventry.

 Four workers in Madrid who had called for union elections were
sacked by McDonald's. The company was forced to reinstate the
workers after the labour court ruled that the dismissals were illegal.

 The 200th UK restaurant opened in lpswich.

PICTURE: Cover of the "What's wrong with McDonald's?" factsheet produced by London
Greenpeace.
 McDonald's became the first UK restaurant group to
introduce nutritional information, throughout the country,
for the benefit of customers.

 London Greenpeace published a 6-sided factsheet entitled

"What's Wrong With McDonald's? - Everything They Don't Want You
To Know".

 The first UK franchisee-operated restaurant opened in Hayes,

Middlesex.

 The first World Day of Action Against McDonald's was held on

16th October (UN 'World Food Day').
1987
 The Attorneys General of Texas, California and New York
threatened to sue McDonald's under the consumer protection laws
over an advertising campaign claiming that McDonald's food is
nutritious. The Attorneys General concluded that the campaign was
deceptive because "McDonald's food is, as a whole, not nutritious."

 McDonald's is serving 20 million people a day in nearly 10,000

restaurants in 47 countries.

 The UK Midlands regional training centre opened in Sutton

Coldfield.

 McDonald's started legal proceedings against the Transnationals

Information Centre (an independent research and action group
based in London) over a booklet they produced called "Working for
Big Mac" which was highly critical of the company's employment
practices. The TIC backed down lacking resources to fight the case
to trial, discontinued publication and distribution of the booklet
(which was pulped), and the organisation itself went bust.
1988
 McDonald's sponsored the Child of Achievement Awards.

 CFCs ceased to be used for most of McDonald's styrofoam

packaging.

 300th UK restaurant opened in Dagenham, Essex.

PHOTO:An ad in a German newspaper which aims to counter criticism that
McDonald's is changing German restaurant traditions for the worse.

1989
 Italian designer Valentino attempts in a Rome
court to stop McDonald's opening near the Piazza
di Spagna, complaining of "noise and disgusting
odours".

 McDonald's is listed on the Frankfurt, Munich,

Paris and Tokyo stock exchanges.

 The Bournemouth Advertiser (UK) is threatened with a libel

action by McDonald's over an article which discussed the captive-
bolt method of slaughter for cattle. The newspaper backed down
and published an apology.

 Michael Quinlan is appointed Chairman and Chief Executive

Officer.

 The UK company's name was changed to McDonald's

Restaurants Limited.

 McDonald's send undercover private investigators to infiltrate

London Greenpeace over a period of 20 months.

 McDonald's charity for child welfare fundraising, Ronald

McDonald Children's Charities, was registered.
 McDonald's Child of Achievement Awards were presented by UK
Prime Minister Mrs Margaret Thatcher.

 The UK Manchester regional training centre was opened.

 McDonald's stores in Philadelphia (USA) were independently

surveyed and accused of having racist differential wage rates
between the inner-city stores (mostly black workers) and the
suburbs (mostly white workers).
1990
 September - libel writs were served on five supporters of London
Greenpeace, three of whom feel unable to fight the case. The
McLibel Support Campaign is set up to generate solidarity and
financial backing for the McLibel Defendants.

 McDonald's opened in Pushkin Square and Gorky Street, Moscow.

 McDonald's opened at a UK airport at North Terminal, Gatwick.

 The first Ronald McDonald House opened at Guy's Hospital,

London.

 McDonald's Child of Achievement Awards attended by HRH The

Princess of Wales.
1991
 McDonald's were responsible for a serious food poisoning
outbreak in Preston (UK), when several customers were hospitalised
as a result of eating undercooked burgers contaminated by
potentially deadly E.Coli 0157H bacteria.

 The 150th Ronald McDonald House opened in Paris.

 McDonald's opened in Beijing, China.

 The 400th UK restaurant (and first in Northern Ireland) is opened

in Belfast.

 McDonald's opens in Hampstead (North London) despite strong

opposition from local residents.
PHOTO: A 1950's newspaper advert.

1992
 Mark Hopkins, a McDonald's worker in
Manchester (UK), was fatally electrocuted
on touching a 'fat filtering unit' in the 'wash-
up' area of the store.

 The manager of a Newcastle store (UK)

was jailed for 6 months for inducing a crew
member to phone through a hoax bomb
threat to nearby Burger King in order to
boost sales at McDonald's.

 McDonald's Child of Achievement Awards attended by UK Prime

Minister John Major.

 McDonald's opened in a railway station at Liverpool Street,

London.

 A UK Health & Safety Executive report made 23

recommendations for improvements in the safety of employees. One
of its conclusions was "The application of McDonald's hustle policy
[ie. getting staff to work at speed] in many restaurants was, in
effect, putting the service of the customer before the safety of
employees."

 Visitors to Salisbury Cathedral (UK) are offered two burgers for

the price of one if they buy a commemorative parchment scroll. The
idea is dropped when the bishop gets back from holiday.

 First restaurant in a European hospital opened at Guy's Hospital,

London.
1993
 The first McDonald's at sea opened aboard the Silja Europa, the
world's largest ferry sailing between Stockholm and Helsinki.

 The Paris planning authorities refuse permission for a McDonald's

under the Eiffel Tower.
 The second Ronald McDonald House opened at Alder Hey
Children's Hospital, Liverpool.

 500th UK restaurant opened in Notting Hill Gate, London.

 First UK operated restaurant on a ship opened on the Stena

Sealink ferry "Fantasia" sailing between Dover and Calais.

 McDonald's sponsored athletics in the UK through the

McDonald's Young Athletes' League and the International
invitational meeting the McDonald's Games.
1994
 McLibel Trial starts on 28th June.

 Restaurants opened in Bahrain, Bulgaria, Egypt, Kuwait, Latvia,

Oman, New Caledonia, Trinidad and United Arab Emirates, bringing
the total to over 15,000 in 79 countries on 6 continents.

 McDonald's celebrated twenty years of operating in the UK.

 McDonald's environmental image was revealed to be a sham,

and customers being conned when it was discovered that rubbish
which customers were asked to put into separated recycling bins
throughout New Zealand stores was sent to the tip.

 McDonald's achieved the highest ever grade under the Royal

Society for the Prevention of Accidents (RoSPA)Quality Safety Audit
scheme.

 McDonald's was voted the 'Most Parent Friendly' restaurant in

the UK for the second successive year by the Tommy's Parent
Friendly Campaign, supported by the Daily Telegraph.

 Workers in an Ontario store (Canada) joined a union, but the

company managed to avoid recognition by ensuring victory in
Labour Board sponsored elections.

 The McLibel Defendants issue a countersuit for libel against

McDonald's over the company's accusation in a leaflet that they are
telling lies.
 Five McDonald's managers are arrested in Lyon, France for trying
to rig union elections.

 On 1st October, McDonald's UK executives held a celebration

along with a jazz band and clown at their Woolwich store to mark 20
years since this first store opened in the UK. Twenty five London
Greenpeace and McLibel supporters gathered with a banner reading
"20 Years of McGarbage" and handed out 4000 "What's Wrong With
McDonald's?" leaflets to passers-by.

 In October, there is an demonstration at McDonald's European

headquarters in London where sackfuls of the company's litter
picked up off the streets are returned. 500 people attend the
National March Against McDonald's through central London to
protest against the company's exploitation of people, animals and
the environment.

 The company threatens legal action against a

topless restaurant in Australia called "McTits".
PHOTO:An ad in a German newspaper which aims to counter criticism that
McDonald's is changing German restaurant traditions for the worse.

1995
 McLibel Trial becomes the longest libel trial in
British history on Day 102 in March.

 On 15th April, there were international protests

to mark the 40th anniversary of the opening of the
world's first store of the McDonald's Corporation,
and to celebrate 10 years of co-ordinated international resistance to
McDonald's.

 On the first anniversary of the McLibel Trial (28th June), it

becomes known that McDonald's had initiated secret settlement
negotiations and had twice flown members of their US Board of
Directors to London to meet with the McLibel Defendants in an
attempt to bring the case to an end.
 12th October, the third anniversary of the death of Mark Hopkins,
was a Day of Solidarity With McDonald's Workers in the UK.

 On 16th October, the 11th annual Worldwide Day of Action

Against McDonald's, there were protests in at least 20 countries. In
the UK, at least 250 of the company's 600 stores were leafletted.

 On 11th December (Day 199 of the trial), the McLibel Trial

becomes the longest civil case in English history.

 Following widespread opposition by local residents, McDonald's

were refused permission to open an outlet at their European
headquarters in north London.
1996
 February 16th 10am, the McSpotlight website was launched.

 In March, the public's intense concern over the links between the
cattle disease BSE and its human equivalent CJD forced McDonald's
UK to ban British beef. The company did not sell any beef products
for a week while supposedly waiting for beef supplies to arrive from
other EU countries.

 The "Vegetable Deluxe" was launched in the UK.

 McDonald's opened stores in India.

 McDonald's and Disney announced a deal giving McDonald's

exclusive rights to use characters from Disney films in its
promotions around the world for 10 years. Commentators called it
the biggest global marketing alliance yet devised.

 McDonald's opened a store in Belarus, its 100th country.

 The movie star Robin Williams turned down a million-pound offer

to advertise McDonald's.

 McDonald's threatened the owner of a UK sandwich bar called

"McMunchies" with legal action for breach of trademark. A retired
Scottish school-teacher called Ronald McDonald, and the chief of the
McDonald clan in Scotland were both outraged at this further
attempt by McDonald's to claim global dominion over the prefix "Mc"
and the name "McDonald" which has been an Irish and Scottish
family name for centuries.

 The Supreme Court of Denmark ruled against McDonald's claim

that a sausage stand called "McAllan's" was in breach of its
trademark.

 Following widespread opposition by local residents in Winchmore

Hill (north London) which put a lot of pressure on the local MP
(Michael Portillo, the Defence Secretary), McDonald's were refused
permission to convert the local Conservative Association HQ into a
Drive-Thru.

 McDonald's sued for breach of trademark a Jamaican fast-food

company (called the McDonald's Corporation Limited) which had
been operating in Jamaica since the early 1970's. The Jamaican
company succeeded in getting information from the McLibel Trial
taken from the Internet ruled admissible in the case, and in getting
an order barring McDonald's from opening stores in the country until
the courtcase was completed.

 McDonald's succeeded in its trademark battle in South Africa,

when an appeal court prohibited competitors from using its name
and the golden arches symbol.

 McDonald's began spending $200 million on a promotional blitz

in the USA & Canada to lure adults to visit their outlets. This
included the launch of the new adult burger, the "Arch Deluxe" in
May. Despite this blitz, US sales continued to fall.

 The parents of a child, who died from E.Coli 0157 food poisoning
after eating McDonald's burgers in Spain and England, began legal
proceedings for compensation in the USA. Meanwhile, three children
who suffered E.Coli 0157 food poisoning in England also from
McDonald's burgers were granted legal aid to sue McDonald's and
their supplier McKey's.
 McDonald's opened the world's first fast-food ski-through in the
Lindvallen resort (Sweden).

 The McLibel Trial became the longest trial of any kind in English
legal history in November. The evidence was completed in July, and
the closing speeches in December, but the Judge reserved his
Judgment until the following year.

PHOTO: Ray Kroc

Scribd

Upload a Document

Top of Form
Search Documents

Bottom of Form

Explore
• Khushboo Sarda

/ 23

Top of Form
Search w ithin do

Bottom of Form
Download this Document for Free
McDo
nald’:
Behin
d The
Golde
n
Arche
s
 Ac

t
like
a
reta
iler
and
thin
 k
like
 a
bra
 nd
– Mc
Don
ald’s
focu
ses
not
only
on
deliv
erin
 g
sale
s for
the
imm
edia
 te
pres
ent,
but
also
prot
ecti
ng
 its
long
term
bran
d
repu
tatio
n.
Mc
Do
nal
d’s
 in
Ind
ia
McD
onal
d’s
ente
red
Indi
a in
199
6.
McD
onal
d’s
Indi
a
has
a
joint
vent
ure
with
Con
nau
ghtP
laza
Rest
aura
nts
and
Hard
Cast
le
Rest
aura
nts.
Con
nau
ght
Plaz
a
Rest
aura
nts
man
ages
oper
atio
ns in
Nort
h
Indi
a
whe
reas
Hard
Cast
le
Rest
aura
nts
oper
ates
rest
aura
nts
in
Wes
ternI
ndia
.
Apar
t
from
ope
ning
outl
ets
in
the
maj
or
metr
os,
the
com
pan
y is
now
exp
andi
ng
to
Tier
2
citie
s
like
Pun
e
and
Jaip
ur.
Cha
llen
ges
in
Ent
eri
 ng
Indi
an
Ma
rke
ts
 Re

gioc
entr
icis
m:
Re-
engi
nee
ring
the
men
u
- Mc
Don
ald’s
has
cont
inual
 ly
ada
pted
to
the
cust
ome
r’s
tast
es,
valu
e
syst
ems,
lifest
yle,
lang
uag
e
and
perc
epti
on.
Glob
ally
McD
onal
d’s
was
kno
wn
for
its
ham
burg
ers,
beef
and
pork
burg
ers.
Most
Indi
ans
areb
arre
d by
relig
ion
not
to
cons
ume
beef
or
pork
. To
survi
ve,
the
com
pan
y
had
to
bere
spon
sive
to
the
Indi
an
sens
itivit
ies.
So
McD
onal
d’s
cam
e up
with
chic
ken,
lam
b
andf
ish
burg
ers
to
suite
the
Indi
an
pala
te.
 Th

e
veg
etar
 ian
cust
ome
r
– Ind
ia
has
a
hug
e
pop
ulati
on
of
veg
etari
ans.
To
cate
r to
this
cust
ome
r
seg
men
t,
the
com
pan
y
cam
e up
with
a
com
plet
ely
new
line
ofve
geta
rian
item
s
like
McV
eggi
e
burg
er
and
McAl
ooTi
kki.
The
sepa
ratio
n
ofve
geta
rian
and
non-
veg
etari
an
secti
ons
is
mai
ntai
ned
thro
ugh
out
the
vari
ous
stag
es.
Se
gm
ent
ati
on,
Tar
get
ing
an
d
Po
siti
oni
ng
McD
onal
 d’s
uses
dem
ogra
phic
seg
men
tatio
 n
strat
egy
with
age
as
the
para
met
er.
The
mai
n
targ
et
seg
men
 ts
are
child
ren,
yout
h
and
the
you
ng
urba
n
fami
ly.
 4|
Pag
e
McDo
nald’:
Behin
d The
Golde
n
Arche
s
71%
59%
52%
0%
10%
20%
30%
40%
50%
60%
70%
80%
Biscui
ts
Burge
rs &
Pizza
s
 Fruit
Juices
%of
kids
who
infl
uen
ce
wha
t
FMC
G
bra
nd
thei
r
fam
ily
buy
s
As
sho
wn
abo
ve,
kids
reig
n
supr
eme
in
FMC
G
purc
hase
relat
ed
to
food
prod
ucts.
So
toatt
ract
child
ren
McD
onal
ds
has
Hap
py
Meal
with
whic
h
toys
rang
ing
from
hot
whe
els
tova
riou
s
Walt
Disn
ey
char
acte
rs
are
give
n
(the
lates
t in
this
rang
e is
the
toys
of
the
mov
ieMa
dag
asca
r).
For
this,
they
hav
e a
tie-
up
with
Walt
Disn
ey.
At
seve
ral
outl
ets,
it
also
prov
ides
spec
ial
facili
ties
like ‘
Play
Plac
e’ w
here
child
ren
can
play
arca
de
gam
es,
air
hock
ey,
etc.
This
strat
egy
is
aim
ed
at
maki
ng
McD
onal
d’s a
fun
plac
e to
eat.
This
also
help
s
McD
onal
d’s
toatt
ract
the
you
ng
urba
n
fami
lies
wan
ting
to
spen
d
som
e
quali
ty
time
whil
e
their
child
ren
hav
efun
at
the
outl
et.
To
targ
et
the
teen
ager
s,
McD
onal
d’s
has
pric
ed
seve
ral
prod
ucts
aggr
essi
vely,
keep
ing
in
min
d
the
pric
e
sens
itivit
y of
this
targ
et
cust
ome
r. In
addi
tion,
facili
ties
like
Wi-
Fi
are
also
prov
ided
to
attra
ct
stud
ents
to
the
outl
ets
like
the
one
at
Vile
Parl
e in
Mu
mba
i.
“Mc
Don
ald’
s
mei
n
hai
kuc
 h
baat
” pr
oject
 s
McD
onal
d’s
as a
plac
e for
the
whol
e
fami
ly to
enjo
y.
Whe
n
McD
onal
d’s
ente
red
in
Indi
a it
was
mai
nly
perc
eive
d as
targ
etin
g
the
urba
nup
per
clas
s
peo
ple.
Tod
ay it
posit
ions
itself
as
an
affor
dabl
e
plac
e to
eat
with
outc
omp
romi
sing
on
the
quali
ty of
food
,
servi
ce
and
hygi
ene.
The
outl
et
amb
ienc
e
and
mild
back
grou
nd
musi
c
high
light
the
com
fort
that
McD
onal
d’s
pro
mise
s in
slog
ans
like“
Yo u
des
erve
 a
Bre
 ak
Tod
ay”
&
“Fe
ed
your
inne
 r
chil
d”.
This
com
mit
men
t of
quali
ty of
food
 and
servi
ce in
a
clea
n,
hygi
enic
and
rela
xing
atm
osph
ere
 has
ensu
red
that
McD
onal
d’s
mai
ntai
ns a
posit
 ive
relat
ions
hip
with
the
cust
ome
rs.
 5|
Pag
e
McDo
nald’:
Behin
d The
Golde
n
Arche
s
Cu
sto
me
r
Per
cep
tio
n
an
d
Cu
sto
me
r
Ex
pec
tati
on
Cust
ome
r
perc
epti
on is
a
key
fact
or
affe
ctin
g a
prod
uct’s
succ
ess.
Man
y
pote
ntial
lyre
volu
tion
ary
prod
ucts
hav
e
faile
d
simp
ly
beca
use
of
their
inabi
lity
to
buil
d a
heal
thyp
erce
ptio
n
abo
ut
the
msel
ves
in
the
cust
ome
rs’
min
ds.
McD
onal
ds
bein
g an
inter
nati
onall
yren
own
ed
bran
d
brin
gs
with
it
cert
ain
exp
ecta
tions
for
the
cust
ome
rs.
Cust
ome
rs
exp
ect
it to
be
an
amb
ient,
hygi
enic
and
a
little
soph
istic
ated
bran
d
that
resp
ects
their
valu
es.
The
cust
ome
r’s
exp
ect
the
bran
d to
enh
ance
their
self-
ima
ge.
Cust
ome
rres
pons
es
obta
ined
at
the
Vile
Parl
e,
Mu
mba
i
outl
et
confi
rme
d
the
fact
that
they
conn
ects
tron
gly
with
the
bran
d.
How
ever
,
fulfill
ing
som
e of
the
cust
ome
r
exp
ecta
tions
like
a
broa
derp
rodu
ct
vari
ety
prov
ide
McD
onal
d’s a
grea
t
scop
e for
impr
ove
men
t.
Mc
Do
nal
ds
Ma
rke
tin
g
Mix
(5
P’s
)
Afte
r
seg
men
ting
the
mar
ket,
findi
ng
 the
targ
 et
seg
men
t
and
posit
ionin
g
itself
,
each
com
pan
y
nee
ds
 to
com
e up
with
 an
offer
 .
The
5 P’s
used
 by
McD
onal
ds
are:
1. Pr
oduc
t
2. Pl
ace
3. Pri
ce
4. Pr
omo
tion
5. Pe
ople
 6|
Pag
e
Tar
get
Seg
men
t
Wha
t is
McD
onal
d’s
for
me?
 A
Fami
 ly
with
child
ren
 A
treat
to
child
ren,
a
fun
plac
e to
be
for
the
child
ren.
Urba
n
cust
ome
r on
the
mov
eGre
at
tast
e,
quic
k
servi
ce
with
out
affe
ctin
g
the
work
sche
dule
Tee
nag
er
Han
gout
with
frien
ds,
but
keep
it
affor
dabl
e.
McDo
nald’:
Behin
d The
Golde
n
Arche
s
Pro
duc
t: H
ow
sho
uld
the
com
pan
y
desi
gn,
man
ufac
ture
the
pro
duct
 so
that
it
enh
anc
 es
the
cust
ome
 r
exp
erie
nce
?
Prod
uct
is
the
phys
ical
prod
uct
or
servi
ce
offer
ed
to
the
cons
ume
r.
Prod
uct
inclu
des
cert
aina
spec
ts
such
as
pack
agin
g,
guar
ante
e,
look
s
etc.
This
inclu
des
both
the
tang
ible
and
the
non-
tang
ible
aspe
cts
of
the
prod
uct
and
servi
ce.
McD
onal
ds
has
inte
ntio
nally
kept
its p
rod
uct
dep
th a
nd p
rod
uct
widt
h li
mite
d.
McD
onal
dsst
udie
d
the
beh
avio
ur of
the
Indi
an
cust
ome
r
and
prov
ided
a
total
ly
diffe
rent
men
u
asco
mpa
red
to
its
Inter
nati
onal
offer
ing.
It
drop
ped
ham
,
beef
and
mutt
on
burg
ers
from
the
men
u.
Indi
a is
the
only
coun
try
whe
re
McD
onal
ds
serv
e
veg
etari
an
men
u.
Eve
n
the
sauc
esan
d
chee
se
used
in
Indi
a
are
100
%
veg
etari
an.
McD
onal
ds c
onti
nuo
usly
inno
vate
s its
pro
duct
s ac
cord
ing
to
 the
chan
ging
pref
eren
ces
and
tast
es of
its
cust
ome
rs.
The
rece
nt
exa
mpl
e is
the
intro
duct
ion
of
the
Chic
ken
Mah
araj
a
Mac
.
McD
onal
 ds
brin
 g
with
 it
a gl
obal
ly
rep
ute
 d
bra
nd,
worl
 d
clas
 s
food
qual
ity a
nde
xcel
lent
cust
ome
 r
spe
cific
pro
duct
feat
ures
.
Pla
ce:
Whe
re
sho
uld
be
the
pro
duct
 be
avai
labl
e
and
the
role
of
dist
ribu
tion
cha
nnel
s?
The
plac
e
mai
nly
cons
ists
of
the
distr
ibuti
on
chan
nels.
It is
imp
orta
nt
so
that
the
prod
uct
isav
ailab
le to
the
cust
ome
r at
the r
ight
plac
e, at
the r
ight
time
and
in
the r
ight
qua
ntit
y.Ne
arly
50%
of
U.S.
A is
withi
n a
3
min
ute
driv
e
from
a
McD
onal
d’s
outl
et.
 7|
Pag
e
McDo
nald’:
Behin
d The
Golde
n
Arche
s
Ther
e is
a
cert
ain
degr
ee
of
fun
and
hap
pine
ss
that
a
cust
ome
r
feels
each
time
he
dine
s
atMc
Don
alds.
Ther
e
are
cert
ain
valu
e
pro
posi
tion
s th
at
McD
onal
ds
offer
to
its
cust
ome
rsba
sed
on
their
nee
ds.
McD
onal
ds
offer
s hy
gien
ic
envi
ron
men
t,
goo
d
amb
ienc
e an
dgre
at
serv
ice.
Now
McD
onal
ds
have
also
start
ed
givin
g int
ern
et
facil
ity a
 t
their
cent
res
and
they
hav
e
bee
n
playi
ng
mus
ic
thro
ugh
radi
o ins
tead
of
the
nor
mal
musi
 c.
Ther
 e
are
cert
ain
dedi
cate
 d
area
 s
for
chil
dre
n wh
ere
they
can
play
whil
 e
their
pare
nts
 can
have
som
e
quali
ty
time
toge
ther.
Pric
e: W
hat
sho
uld
be
the
prici
 ng
stra
tegy
?
Prici
ng
inclu
des
the
list
pric
e,
the
disc
ount
func
tions
avail
able
, the
fina
ncin
g
opti
onsa
vaila
ble
etc.
It
shou
ld
also
take
into
the
cons
ider
atio
n
the
prob
able
reac
tion
from
thec
omp
etito
r to
the
prici
ng
strat
egy.
This
is
the
mos
t
imp
orta
nt
part
of
the
mar
keti
ng
mix
as
thisi
s
the
only
part
whic
h
gen
erat
es
reve
nue.
All
the
othe
r
thre
e
are
exp
ense
s
incu
rred.
The
pric
emu
st
take
into
cons
ider
atio
n
the
appr
opri
ate
dem
and-
supp
ly
equ
atio
n.
McD
onal
 d’s
cam
e up
with
 a
very
catc
hy
pun
ch
line
“Aa
p ke
zam
ane
mei
 n
,baa
p ke
zam
ane
 ke
daa
m”.
This
was
to
attra
ct
the
mid
dle
and
lowe
r
clas
s
cons
ume
 rs
and
the
effe
 ct
can
clea
rly
 be
seen
 in
the
cons
ume
 r
base
McD
onal
ds
has
now.
McD
onal
ds
has
cert
ain
valu
e
prici
ng
and
bun
dlin
g
stra
tegi
es s
uch
as h
app
 y
mea
l,co
mbo
mea
l, fa
mily
mea
l etc
to
incr
ease
over
all
sale
s
volu
mes.
Pro
mo
tio
n: W
hat
is
the
suit
able
stra
tegy
and
cha
nnel
 s
for
pro
mot
ion
of
the
pro
duct
?
 8|
Pag
 e
Marketing Strategies of McDonalds
Download this Document for FreePrintMobileCollectionsReport Document
Info and Rating
marketing

Reports

mcdonalds

DISHANTSIDANA

Ads by Google
Share & Embed
Related Documents

PreviousNext
1.
p.

58 p.

p.

2.
51 p.
 21 p.

3 p.

3.
3 p.

36 p.

3 p.

4.
 p.

p.

p.

5.
p.

p.
 p.

6.
41 p.

p.

10 p.

7.
p.
 1 p.

1 p.

8.
1 p.

1 p.

1 p.
9.
p.

p.

p.

10.
14 p.

16 p.
 1 p.

11.
593 p.

240 p.

39 p.

12.
69 p.
 422 p.

1 p.

13.
p.

28 p.
 1 p.

14.
1 p.

p.

12 p.

15.
51 p.
 2 p.

p.

16.
2 p.

1 p.

73 p.
 17.
1 p.

More from this user

PreviousNext
1.
22 p.

24 p.

15 p.

2.
 25 p.

26 p.

24 p.

3.
33 p.

23 p.
Recent Readcasters
Add a Comment
Top of Form

Bottom of Form

Khushboo Sarda left a comment

.....

12 / 20 / 2010

Shruti Raychull Patel left a comment

hi I am doing research, can you send report tobsolson87@gmail.com? It would be greatly appreciated.

11 / 10 / 2010

Janaki Choudhury left a comment

hello can u pls send this report to my mail id i.e.choudhury.janaki@gmail.com

11 / 01 / 2010

Fiorella Gamero left a comment

Hi, could you please send me this report? I need it for my research. Thanks! fiore_gp@hotmail.com

10 / 05 / 2010
tusharujadhav5655 left a comment
anybody could plz give chapter wise review of ' mcdonalds behind the arches'

09 / 13 / 2010