McDonald’s Goes on a Crash Diet

McDonald’s Goes on a Crash Diet


As part of the turnaround plan, which entails more tech, better customer service, hotter food, healthier food, higher wages, and so on, McDonald’s will actually be slimming down its store count in the US for the first time in 40 years. In other words, the fast-food chain intends to close down more restaurants than it plans to open.

McDonald’s shedding stores

Although the brand hasn’t specified how many stores are on the chopping block, there are more than 14 300 operational restaurants in the US alone and any number could be up for closure, despite a McDonald’s spokesperson saying it would be minimal.

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Recently, McDonald’s mothballed 350 poorly performing stores in Japan, China and the US, with another 350 planned closures globally later this year.

Steve Easterbrook, who took his seat as McDonald’s new CEO in March is confident the new changes will see a lot of money being freed up for further brand redevelopment: “After one of the worst years in the brand’s history, our new plan includes a new organisational structure that will cleave back nearly $300 million in spending.”

Tracy Lee Nicol
Tracy-Lee Nicol is an experienced business writer and magazine editor. She was awarded a Masters degree with distinction from Rhodes university in 2010, and in the time since has honed her business acumen and writing skills profiling some of South Africa's most successful entrepreneurs, CEOs, franchisees and franchisors.Find her on Google+.

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