Many have commented about the education and experience levels of the new McDonald's corporate management team. This simple schematic explains the difference.
"What's clear, the operators no longer have the true faith and trust of the existing McDonald's leadership and Board of Directors, to honestly, openly, and most important compliantly engage with the franchisees and their signed franchise agreements. This includes the obvious ineffective NFLA and OPNAD, which were conveniently thrown under the bus on the current ongoing McDonald's conference call.
It is evident, the driver in McDonald's Corporation today is the current stock drivers. Not building, maintaining, and nurturing the long-term relationship that built the Golden Arches into a worldwide powerhouse brand. Today, this powerhouse is being steered with leaders that little to no history, bear minimum investment, and having absolutely no skin in the operational gain.McDonald's Owner/Operators should expect more announcements like those in the December 3 letter from U.S. "Leadership". McDonald's management has to convince investors that this is a growth company. Sales, corporate income, share price, dividends must constantly increase, year over year. Since they can't expand the number of stores the growth in corporate income has to come from somewhere. From here forward it's your turn.
That's why the CEO is eager to see the federal minimum wage go to $15.00.
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