"CEO of the burger giant, told analysts that the company’s (California) restaurants will take a cash flow hit when wages are raised in the state, but he calls it an “opportunity.” But for whom?
"so let's use this as an opportunity to actually accelerate our growth in California."
This may be one of those things that get talked about with analysts but never comes up again, and management has to build on the myth that McDonald's is a growth company. But, building stores in California - in a state that's losing its middle-class population - is risky business. Unless it's purely an effort to move sales from lower rent and royalty stores to more profitable (for corporate) stores. Suffering through a huge wage increase and then having your sales cannibalized doesn't sound like a lot of fun.