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The Average P&L of a Single Location McDonalds...

HR people are supposed to get Finance, right?  Below is the best breakdown of something we all have experienced - a single location of McDonalds.  Dig in my friends, because if you thought the owner of the McDonalds you drive by on the way to work is printing money, you'd be wrong.

Oh, they're doing OK.  But printing money?  No - especially when you factor in what it cost to buy a franchise and the risk they're taking. 

While you're at it, head over to this story in BusinessWeek about franchisee revolt at McDonalds and take a read.  You'l find that a lot of what the franchisees say about McDonalds is classic field vs. corporate stuff, just with Happy Meals and McLattes instead of TPS reports and allocations.

Here's the P&L:

Screen Shot 2015-09-20 at 9.48.49 AM

Screen Shot 2015-09-20 at 9.49.05 AM

 

Comments

Scott

Want to fix customer experience anywhere? Ask the folks who interact with your customers. Always blows my mind when I've seen five and six figure investments in consulting engagement that uncover information our phone reps would gladly give us in exchange for a pot of coffee and a bagel tray. I'm guessing McDonalds could gather their ten most successful franchisees in a room for a day and emerge with a plan that would solve most of their problems inside of a year.

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