McDonald's

AMERICAN CORPORATION
WRITTEN BY: The Editors of Encyclopaedia Britannica - nov 15, 2017

McDonald’s, in full McDonald’s Corporation, American fast-food chain that is one of the largest in the
world, known for its hamburgers. Its headquarters are in Oak Brook, Illinois.
The first McDonald’s restaurant was started in 1948 by brothers Maurice (“Mac”) and Richard
McDonald in San Bernardino, California. They bought appliances for their small hamburgerrestaurant from
salesman Ray Kroc, who was intrigued by their need for eight malt and shake mixers. When Kroc visited
the brothers in 1954 to see how a small shop could sell so many milkshakes, he discovered a simple,
efficient format that permitted the brothers to produce huge quantities of food at low prices. A basic
hamburger cost 15 cents, about half the price charged by competing restaurants. The self-service counter
eliminated the need for waiters and waitresses; customers received their food quickly because hamburgers
were cooked ahead of time, wrapped, and warmed under heat lamps.

Kroc, RayRay Kroc holding a hamburger while standing in front of a McDonald's restaurant, undated photograph.AP

Seeing great promise in their restaurant concept, Kroc offered to begin a franchise program for the
McDonald brothers. On April 15, 1955, he opened the first McDonald’s franchise in Des Plaines, Illinois,
and in the same year launched the McDonald’s Corporation, eventually buying out the McDonald brothers
in 1961. The number of McDonald’s outlets would top 1,000 before the end of the decade. Boosted by
steady growth, the company’s stock began trading publicly in 1965.
The public face of McDonald’s was created in 1963 with the introduction of a clown named Ronald
McDonald, while the double-arch “m” symbol became McDonald’s most enduring logo in 1962, lasting far
longer than the tall yellow arches that had once dominated the earlier restaurant rooftops. Other products
and symbols would define the McDonald’s brand, including the Big Mac (1968), the Egg McMuffin (1973),
Happy Meals (1979), and Chicken McNuggets (1983).

McDonald's: Ronald McDonaldRonald McDonald, the mascot of McDonald's.© Marynaanna/Dreamstime.com

The chain continued to expand domestically and internationally, extending to Canada in 1967, reaching a
total of 10,000 restaurants by 1988, and operating more than 35,000 outlets in more than 100 countries in
the early 21st century. Growth was so swift in the 1990s that it was said a new McDonald’s opened
somewhere in the world every five hours. It effectively became the most popular family restaurant,
emphasizing affordable food, fun, and flavours that appealed to children and adults alike.

Marrakech: McDonald'sMcDonald's restaurant, Marrakech, Morocco.© Michael Hynes

The success of McDonald’s brought increased criticism, much of which concerned its perceived association
with a global increase in obesity. McDonald’s responded by adding healthy items to its menu, and in 2017 it
began testing a vegan hamburger. During this time it also eliminated supersized portions, and its U.S. and
Canadian restaurants stopped using trans-fat oil in a number of items. Such measures, however, did little to
stem health concerns. In addition, as one of the world’s largest private employers, McDonald’s faced
numerous calls to increase wages. The term McJob was added to the Merriam-Webster dictionary to mean
“low-paying job.”

McDonald's: strikeFast-food workers demanding an increase in wages engage in a sit-down strike in front of a McDonald's restaurant in New York City, 2014.John Taggart—EPA/Alamy

In the late 20th century, McDonald’s moved beyond the hamburger business by acquiring Chipotle Mexican
Grill (1998), Donatos Pizza (1999), and Boston Market (2000) in the United States, and in the United
Kingdom McDonald’s purchased Aroma Cafe (1999) and an interest in Pret A Manger (2001),
a sandwich restaurant chain. However, by late 2008 McDonald’s no longer owned or had a stake in any of
those companies, instead concentrating on its own brand.
McDonald’s was active in charitable work. In 1974 it joined Philadelphia Eagles football player Fred Hill,
whose daughter had been diagnosed with leukemia, in founding the Ronald McDonald House in
Philadelphia. The residence allowed families to live near the hospital where their children were receiving
treatment. By the early 21st century, more than 360 such houses existed around the world. The Ronald
McDonald House Charities (established 1987) also supports various other efforts.
10 countries where McDonald's is not welcome
Hugh Morris, TRAVEL WRITER 9 NOVEMBER 2016 • 2:02PM

McDonald’s is without a doubt one of the world’s most powerful, ubiquitous brands, able to offer peckish
customers a Big Mac or Happy Meal beneath its golden arches in every corner of the globe.
But the fast-food giant does not always have such an easy time setting up shop.
Its latest battleground is Florence, where McDonald’s this week announced it was suing the Italian city for
€18million (£16.4m) after it was blocked from opening a restaurant in the historic Piazza del Duomo.
While last month the potential arrival of Ronald McDonald at Saint Peter’s Square was said to anger
cardinals at the Vatican in Rome.
But where else in the world has McDonald’s suffered the ignominious fate of struggling to find a footing in a
nation? In more places than you think.
1. Bermuda
Foreign fast-food franchises are banned from the British Overseas Territory in the Caribbean, with the only
McDonald’s to have existed on the island now shut. It opened in 1985 on the US Naval Air Station in St
George’s Parish - technically American soil - but when the base closed in 1995, the restaurant went too,
and has not been able to return since thanks to the Prohibited Restaurants Act 1977.
2. Iran
There was once a McDonald’s in the Islamic Republic - but before it became the Islamic Republic. The
branch shut in 1979 after the revolution and has not returned since. However, after relations between the
West and Iran began to thaw last year, as evidenced by the lifting of sanctions on the country in January,
there were rumblings that Ronald McDonald might yet open up again in Tehran. However, there is already
a knock-off operation called... Mash Donald's. Brilliant.
3. Macedonia
McDonald’s once had seven restaurants in the eastern European country, mostly in the capital, Skopje. But
in 2013 they all shut after the group that ran the franchises lost its licence. It is understood the head of the
fast-food company’s European office and the Macedonian outfit running the franchises fell out and the
agreement allowing the fast-food joints to operate was terminated. No more McDonald’s.
4. Iceland
The rise of McDonald’s on the island went hand in hand with the economic boom Iceland experienced
before the financial crash. And so, when the country was hit particularly hard by the credit crunch, the fast-
food operation pulled out. But it was not for the lack of love. When the first outlet opened in 1993, photos of
then-prime minster David Oddsson gorging on a burger were run by every national newspaper in the
country, while the same media estimated that some 15,000 Icelanders flocked to the golden arches each
day for its last week of operation. Today, the last ever McDonald’s burger served in the country sits
preserved behind glass at Reykjavik’s Bus Hostel, a homage to a by-gone age.
5. North Korea
This is perhaps the least surprising entry on the list. The communist, totalitarian state is opposed to
anything carrying even the faintest whiff of the capitalist West, so it is unlikely that as long as power
remains in the hands of a chain of dictators there will ever be a Big Mac in Pyongyang. That said, it was
reported in 2011 that the regime’s elite were using its national carrier, Air Koryo, to smuggle in McDonald’s
meals from South Korea.
6. Bolivia
McDonald’s exiled itself from the South American country in 2002 after poor sales at its branches (it turned
out that Bolivians, though fond of burgers, did not want to buy them from a global corporation). There
appeared to exist a general disdain for the company around the country. Former president Evo Morales
once said: “[McDonald's is] not interested in the health of human beings, only in earnings and corporate
profits.” Nevertheless, there were rumours last year that the golden arches were planning a return.
7. Jamaica
In 2005, on October 14 at 8pm local time, all McDonald’s branches on the island closed their doors for the
last time. The reasons for the brand’s failure to succeed in the country range from the burgers not being big
enough to sate the appetite of hungry Jamaicans to lack of investment. The Happy Meal has not returned to
the island since.

8. Montenegro

The eastern European country was reported to have banned McDonald’s from setting up shop in the
capital, Podgorica, in an effort to push back against the forces of globalisation. However, the news
prompted the Montenegro government to issue a press release assuring that “no company, not even
McDonald’s, is forbidden to do business in Montengro”. Still, no sign of Ronald there yet.

9. Barbados

The only McDonald’s restaurant to have operated on the Caribbean island is now a financial services office.
The branch opened in 1996 but was shut within the year after struggling to get off the ground. A hostile
market, more used to fish, chicken and pork, was blamed for its short-lived existence. Maccy Ds has not
returned.

10. Ghana

The West African country has welcomed a number of other fast-food joints to its capital, Accra, in recent
years, including KFC and Chicken Republic, but there is as-yet no sign of a McDonald’s. Other countries
that McDonald's has not made an approach to include Cambodia and Yemen. Kazakhstan, previously, the
biggest country in the world not to host the company, opened its first restaurant in the capital, Astana,
earlier this year.