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March 28, 2021

McDonald's Isn't Unionized But You Can See It From Here

This article was publish before Biden was inaugurated but it certainly is prescient. 

It is reported that the McDonald's system contributed $186,873 to the two presidential candidates. 

44.9% went to Biden and 55.1% to Trump. What will the system get for giving all that money to Biden? Unionized, that's what you'll get.

I don't know if any McDonald's stores will be unionized in the next few years but the system will come closer to unionization than at anytime in its history.

 Biden promises to be the most pro union President

March 6, 2021

Opinion on QSR Menu Price Increases

 McDonald's next move may be hard for customers to swallow (if they notice it) - ZDNet

We Bring You Franken Food

This is the kind of press coverage that will drive McDonald's management to irrational acts. So what if Burger King has been serving fake meat for several years ? In a recent Tweet Jonathan Maze reported the 4Q 2020 sales for the big guys:

MCD + 5.5 %

WEN + 5.5 %

BK     < 2.9 > %

So what has the Impossible Whopper done for Burger King lately?

Opinion from the New York Times

March 2, 2021

Fake Meat in the USA

McDonald's VP Marion Gross says, "there are no plans to roll out the McPlant platform nationally in the U.S. at this time".

Sorry Marion, that's not your decision. That decision will be made on Wall Street, as will the return of All Day Breakfast. 

It's obvious that Q1 and Q2 2021 same-store sales comps will be pretty easy Q3 will be a little tougher and Q4 2021 might be very challenging. But, after enjoying a few quarters of good increases the Wall Street analysts will be thoroughly spoiled and if USA sales go soft they will expect management to pull some arrows out of the McQuiver.

Two of these arrows will be ADB and McPlant. If these events were to happen today the analysts would push for ADB. But, depending on how much fanfare fake meat products get, they might conclude the answer to everything is fake meat. 

The challenge for McDonald's Owner/Operators is that no one tells the truth about fake meat. The manufacturers inflate thier numbers. The restaurants selling fake meat products boast about their success, but thier same store sales are lousy or mediocre. Does anyone think that McDonald's Corp. will tell USA Owner/Operators the truth about test results in foreign markets? 

So McDonald's Owner/Operator should be prepared for some arm wrestling later in the year. Ad don't believe anything you hear about the sales success of fake meat. Much of that news is also fake.

P.S. Wouldn't it be fun to have some transparency about the investments that McDonald's executives and directors have made in Beyond Meat?