October 3, 2015

Analyst Kalinowski Covers Restaurants for Nomura Group

Nomura Highlights 'Mixed' Comp Trends In U.S. Restaurants

Wal-Mart Raises Pay Rates, Then Has to Lay Off 450

"The cuts come as the world's largest retailer struggles to shore up its profit margins,
which have been weighed down by a $1 billion investment announced earlier this year
to increase wages for half a million store-level workers and other cost pressures. The 
company's stock is down 26 percent so far this year."

Wal-Mart to cut hundreds of jobs at Arkansas headquarters

Why McDonald’s All-Day Breakfast Was Years in the Making

A website with a silly name buys the silly notion that McDonald's Operators made the 
decision to serve breakfast all day - silly website.

From a website named "Eater"

September 28, 2015

CYT Dialogue

Before it goes too far down-screen McDonald's Operators should revisit the post titled 
"On CYT", we've had some great Operator comments.

Or, go back to the post HERE

Or make a comment about CYT on this post . 

Technology Content from Nation's Restaurant News

What customers want from restaurant mobile apps

Taco Bell launches website for PC or tablet ordering

Chipotle’s Carnitas Achieves McRib Celebrity Status

MarketWatch reports

Restaurants Look to Keep Up with Burger Trends

Restaurants Look to Keep Up with Burger Trends - FSR magazine

Wisdom From One of the Original McDonald's Operators

My first gig as a McDonald's store manager was with the partnership of Zien-Heller in Minneapolis. I didn't know much about the structure of the partnership except that they
had the rights to develop McDonald's in the City of Minneapolis and they controlled the
real estate. We knew we worked for both men but reported directly to Jim Zien, he was 
in the restaurants frequently, Sim Heller occasionally.

One day Sim Heller made an unannounced visit to my restaurant and was especially 
interested in a contractor who was tiling walls in the back of the kitchen, walls that had previously been painted. I was excited about the upgrade - him - not so much. 

Sim wiped his hand across the 4x4 salt and pepper tiles and just said, "I hope Zien can 
afford it". 

Today's McDonald's Operators should emulate the very wise Sim Heller and when asked
to get involved in questionable initiatives respond with, "I hope Easterbrook can afford it".

September 24, 2015

What Would McDonald's Do Without a Strategy VP?

The WSJ describes McDonald's as "a company long known for preferring 
internal candidates" ... well, history tells us that's not entirely true.

When McDonald's has a CEO who lacks an operations background, such as 
Greenberg or Easterbrook, the CEO tries to flush the top management people 
who have "ketchup in their veins" and bring in people who know nothing about
running a McDonald's or the McDonald's culture.

Anyone remember Alan Feldman?

McDonald's appoints strategy chief - Marketwatch

Restaurant Ad Spending Drops 10.4%

Not a bad idea - ╬▓urger╬▓usiness

September 22, 2015

Putting the New Starbucks App to the Test

Let's just say it didn't go particularly well.

Starbucks’ new order-ahead app review - Business Insider

Starbucks' Order-Ahead Application Available Nationwide

Bloomberg Business reports

McDonald's Cage-Free Egg Pledge

"McDonald's, the world's biggest restaurant chain, on Sept. 9 said it will switch to 
cage-free eggs by 2025 in the United States and Canada. However, the company 
does not plan to raise prices on its menu."

Oh yeah? ... Who says?

McDonald's cage-free egg pledge pressures farmers, squeezes supply - Yahoo

On CYT - Seeking Your Comments

Any evidence there is an actual business case for Create Your Taste.

What are the hard numbers for remodeling, equipment, and implementation?

What are CYT's increased operating costs after implementation?

What is the actual (not dreamed about) increase in traffic?

Responses can be left as comments here or sent to adams at fegroup.com


September 17, 2015

McDonald's Looks Outside for New Chief Strategy Officer

Not too sure what a "Strategy Officer" is but I've got your strategy right here >

Get serious about simplifying the menu and restaurant operation so you can serve more customers!

Julie Jargon from Dow Jones reports

September 16, 2015

Good For Both McDonald's Operators and Oak Brook

Good news for McDonald's Operators since activist investors want to fiddle with
the McDonald's franchise business model.

Good news for Oak Brook since it would be a PR disaster if investors were allowed
to  examine the McDonald's real estate portfolio and the secret REIT(s) that have
been created over the years.
IRS questions tax-free real estate spinoffs; could affect restaurants - NRN

McRevolt: The Frustrating Life of the McDonald’s Franchisee

McDonald’s Operators are probably weary of negative press concerning the brand 
but this Bloomberg article tells the story of an actual Operator’s career - Al Jarvis - 
former Michigan Operator.

I ribbed the reporter for quoting a college professor who likely knows nothing about 

the real business world and sent him this scene from a Rodney Dangerfield movie:

Back To School

He sent me back this scene from a Woody Allen movie:

Annie Hall

Bryan Gruley and Leslie Patton report for Bloomberg