McDonald's is a multinational company that franchises and operates in over 100 countries with more than 32,000 fast-food restaurants serving more than 52 million people each day. McDonald's is the world largest fast-food chain of restaurants that primarily sells hamburgers, chicken, French fries, salads, breakfasts and soft drinks. More than 70% of McDonald's restaurants worldwide are owned and operated by independent local men and woman (mcdonalds, n.d.). McDonald's global sales in 2006 was $20 billion, U.S. accounts for 35%, France, Germany and the United Kingdom contributes over 20%, Canada 5%, Australia, China and Japan 7%, and Brazil 2.5%. The successful expansion of McDonald's into many international markets, the company has become a symbol of globalization and the spread of the American way of life (Wikipedia, n.d.) McDonaldization is a term used by sociologist George Ritzer is the process by which a society takes on the characteristics of a fast-food restaurant. McDonaldization is a reconceptualization of rationalization, or moving from traditional to rational modes of thought, and scientific management (Wikipedia, n.d.). McDonald's uses the Franchising Entry Mode. McDonald's has always been a franchising company and over time has learned how to maximize the sales potential of a fast food outlet. The core of McDonald's business is the commitment to Quality, Service, and Cleaniness (QSC). McDonald's has a developed a training program which franchisee implement in their system 100% of the time. McDonald's owns the land and building for all the franchise units and receive a percentage of the gross sales on the unit. McDonald's also has the contractual power to force the franchisee out of the system if it has failed to bring its unit up the high standards of QSC. International Franchising Information on McDonald's website lists the expectations of the prospective franchisee as follows (mcdonalds, n.d.): ·
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References: McDonald 's (n.d.). The official McDonald 's website. Retrieved August 31, 2007, from www.mcdonalds.com
The Business Market (n.d). The Franchise King-What is Franchising? Retrieved August 31, 2007, from http://www.thebusinessmarket.com/franchise_king/FK_what_is_franchising.asp
Wikipedia (n.d.). McDonald 's. Retrieved August 31, 2007, from http://en.wikipedia.ort/wiki/Mcdonaldization
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