MCD - McDonald's: Its Robustness Ratio
2024-04-17 00:08:49 ET
Summary
- McDonald's is a global fast-food chain with over 40,000 restaurants and a strong brand image.
- The company's business model relies heavily on franchisees, who pay royalties and fees to use the McDonald's brand.
- MCD has a robustness ratio and bargaining power over its franchisees, allowing it to continue raising royalties without significantly affecting profitability.
Founded in 1955, McDonald's Corporation ( MCD ) is arguably the most famous fast-food restaurant chain in the world. It boasts over 40,000 restaurants globally, which we'll delve into further later. It enjoys a strong brand image as well as economies of scale, and despite being a mature company known to all, I believe it still has a trick up its sleeve for the future....
McDonald's: Its Robustness Ratio