MacMoney

 

McDonald’s, one of the world's leading food outlets, and business houses. Their gross profit for year 2022  was a whooping $13.207 billion, big money, shush to all their competitors.

But nobody makes money over a 30 cent profit off a dollar’s burger, so how does the company really make money. I went around the web and researched how it actually fills its pockets.



There are some 36,000 McDonald’s locations worldwide, but only 5% of them are company owned, rest of them are franchised out. Here comes the pro-gamer move in the business, only the real estate of the land upon which the outlet is built is owned by the company, the individual who signed the franchise contract is responsible for all the costs for running the outlet, with an additional $45,000 franchise fee and a monthly service fee of 4% of gross sales. Smart. Damn smart. They are not in the food business; they are essentially in the real estate business. A good reason to sell 15 cent burgers to make the tenants pay rents.

 

Its 2126 hours on a slightly warm Saturday that I am writing about this, I actually had read about McD’s business smarts a long while ago, and I thought why not share it with you guys.

You can expect more of technical and business-related pieces coming up, but the blog will still have an element of absolute chaos and randomness. It’s the last second day of my midsemester break and my classes will resume from Monday. Again a loop of quizzes, assignments, deadlines, labs, classes; I will still try my best to post some stuff.

If this is your first read on my blog, I highly recommend you to go to my previous works since the first publish, they’ll make a bit of sense after that, not complete sense though. Bye.


 

Comments

Popular posts from this blog

sting operation

Where have I been?

this sem is about to end.