What are we missing here? This is old news repackaged with a lot of work done bringing
in local politicians and McDonald's Operators for pithy quotes.
Apparently, management is frustrated that the share price has languished in 2018 and is
trying to revive the "modern and progressive" angle.
It appears there were individual press packages for nearly all 50 states.
It worked to some degree as MCD shares were up $2.46 today. We'll see what happens
on Wednesday.
McDonald's to spend $6 billion on nationwide restaurant makeovers
.
6 comments:
It's funny you're pointing this out. I saw this all over the news yesterday. unfortunately, no one cares what McDonald's is doing. Customers only want their food and to move on. No one cares who the owner of a particular restaurant is.
I used to think that owning a mcd was a highly esteemed position -- and it is hard to get approved -- however, there are plenty of high income earning jobs out there. mcd is simply one of many -- and in a large part, no longer as profitable as it once was.
I also used to think that our competitors would start going out of business eventually. I now believe this to be wrong, their business model will allow them to hang on, with paying only a small % of royalties to the parent company while they own the land and buildings. The only one who "wins" is McD Corporation with our discounting and effort to boost traffic.
McDonald's gave away it's leadership position in the industry years ago. It began years ago with it's manic expansion program at a time our menu was old, tired and not relevant to the changing tastes of our customers. McDonald's failed it's operators and others by not anticipating the changing taste's of our customers and by thinking we were so large and so dominating in the market that no one could catch up with us. Our leadership sat there patting themselves on the back celebrating their wisdom while our customers were testing new tastes and concepts and loving it. With nothing else to do they began bickering with their operators. As competitors began taking transactions they blamed the operators and instead of fixing the menu, marketing and operator support they focused on international development. The best and most experienced people were focused on Europe and the USA was being run by the JV team. While losing transactions and sales the MCD payroll increased by thirty per cent and grew each year. Expensive remodel's was the solution. Operator debt grew cash flow declined and the solution became deep discounting. The temerity of our customers going to new competitors. Operator complaints and recommendations were looked upon with disdain. We became our own worse enemy. Executives were spending a half a billion dollars a year more than needed to run the company. During this time savvy investors like Warren Buffett, Jack Boyle pulled their cash out of mCD stock. Saying that the company was not as strong or well managed as when those investments were made. So, here we are again looking for solutions to save McDonald's. The needed solutions are much the same, more debt.
Lowest morale ever in McDonaldland on all sides, corporate and franchisees. And we wonder why we are having trouble staffing the stores.
Chris K and Spero are nothing more than “snake oil” salesmen to the operators. They will skew numbers in their favor to accomplish their goals of a better stock price. They cater to Wall Street and themselves. Guest counts are king to them and at the cost of the operators. The leadership team looks like a bunch of scared children at adult table on Thanksgiving. I guess if I was making a huge base salary with stock options and a large amount of Mcd stock I would blindly follow this caravan of cut throat leaders too! But the fact is I have huge debt and am not seeing a return on my investments in my stores and don’t see anything changing anytime soon except my debt going up even more.
The message above is exactly how I feel.
Our biggest problem as operators is not the Company, it is our inability to come together as a major force. If we came together as a Group, then decided what we would do or accept we would be the group McD. would have to play to 1st.
But until we are ready to come together and play Big League business, we will be left on the sidelines for the scraps and just complaining on this Board. When will we ever learn “together” we have the Power.
Just refer to him as Chris. No "K" Deflation is a good thing.
Post a Comment