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Mcdonald's Bar-B-Q Restaurant Case Study

1375 Words6 Pages

In 1940 Dick and Maurice (Mac) McDonald opened the first McDonald’s Bar-B-Q restaurant in San Bernardino, California, USA. Initially, the restaurant featured an extensive menu like any other traditional American restaurant. However, soon after opening, the brothers discovered that almost all their profits were coming from selling hamburgers. They also realized that their customers were finishing meals fast. Therefore, they decided to move away from the traditional restaurant concept. McDonald brothers streamlined operations by reducing the menu to a limited number of items – hamburgers, fries and milkshakes – which allowed them to focus on quality and quick service. The brothers came up with the “Speedee Service System” concept - each restaurant crew member specialized in specific tasks, and many menu items were preassembled. This allowed McDonald’s to prepare the food quickly and even ahead of the time when an order was placed. Also, they replaced glass and ceramic utensils with paper and plastic ones. The fast-food concept was born (Klein, 2015).
In 1954, the brothers hired Raymond Kroc as a franchising agent. Kroc saw an enormous potential …show more content…

It redefined the restaurant industry by pioneering the franchise concept and introducing the notion of fast-food. McDonald’s is facing many challenges today. The key to its future wealth is in maintaining its core competencies: quality of its products, strong supply chain and consistency. It will require many innovative initiatives to launch new products to attract more customers. The company will perhaps consider expanding abroad more aggressively, the opportunity for growth there is bigger. Despite franchises are looking for more freedom in adaptations of its products faster the corporate is tightening its controls over the product menu and its standards. The abroad operations are vital to the whole business and if it fails the whole company will suffer as a

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