About the Company
Founded in 1940 by Maurice and Richard McDonald (popularly known as the McDonald brothers), McDonald’s Corporation is an American fast-food chain. In 1955, Ray Kroc, an American businessman, was inducted into the company as a franchise agent. He acquired the chain from the founders for approximately $2.6 million. The company went public on April 21, 1965, and has implemented 12 stock splits since then. McDonald‘s Corporation shares are traded on the New York Stock Exchange (NYSE) under the ticker symbol “MCD”.
In terms of revenue, MCD is the largest restaurant chain in the world. It operates in more than 100 countries worldwide and serves nearly 70 million customers daily. In 2018, the company shifted its headquarters from Oak Brook, Illinois to Chicago. Its operations are classified into the following sections: High Growth Markets, Corporate and Foundational Markets. The first segment involves its operations in China, Korea, Poland, Switzerland, and connected markets. The International Lead markets section includes MCD’s operations in countries like Germany, Australia, France and Canada.
In 1961, Ray Kroc launched a training program at a McDonald’s restaurant in Elk Grove Village with an aim to train franchisees on how to run a McDonald’s restaurant correctly. It involved the use of a research and development facility to experiment with new ways of cooking, freezing and serving. Later on, this program was referred to as the Hamburger University. A major portion of MCD’s revenue comes from rent, fees and loyalty payments made by its franchisees. The company is widely popular for selling hamburgers, chicken sandwiches, French fries and various other types of fast food.
Most of McDonald’s restaurants provide both drive-through and counter services. Besides indoor seating, standalone restaurants may sometimes have an outdoor seating arrangement. In many countries, the Drive-Thru or “McDrive” has separate stations to place orders, make payments and pickups. However, in most cases, a single station is meant for the latter two processes. In 1990, MCD opened its first McCafe in Australia with an aim to run a McDonald’s coffee restaurant. By the end of 2000, McDonald’s opened over 11,000 restaurants in different locations outside America. In 2013, MCD extended its operations and started its first restaurant in Vietnam.
Since its inception, McDonald’s Corporation has made various acquisitions. In the late 90s, MacDonald’s Corporation invested in Chipotle Mexican Grill, an American fast-food restaurant chain and helped it expand its operations from 14 locations to approximately 500 within 7 years. By the end of 2005, MCD reportedly had a 90% stake in Chipotle. In 2019, MCD completed its largest acquisition in almost two decades when it acquired Dynamic Yield, a company that specifically focuses on decision logic technology. As per various reports, the acquisition was worth approximately $300 million.
Moreover, in the same year, MCD announced that it had reached an agreement to acquire Apprente, Inc. In 2019 and 2020, McDonald’s won two awards in a row for the best company work-life balance. Moreover, in 2020, MCD ranked 156th on the list of Fortune 500 companies.;