Franchise Organization: McDonald's Franchise Paper Example

Paper Type:  Essay
Pages:  2
Wordcount:  440 Words
Date:  2022-10-03

McDonald's Franchise is a fast food franchise that has been operational since the year 1955. The headquarters of the franchise is in Oak Brook in Illinois. According to Franchise Direct, the Franchise has an estimated 37, 240 units under MacDonald's USA, LLC, which is the franchisor (n.d.). Some of the functions of the franchisor include developing, operating, and franchising, besides offering services to restaurants. The restaurants in the business engage in preparing, assembling, packaging, and selling a limited menu of foods, which are value priced. A Macdonald's franchise grant allows the various franchisees to operate various MacDonald restaurant businesses in specific locations. The grant also allows the franchisees to make use of the MacDonald's System in carrying out their operations for a given period of time. The role of the franchisor in the business is to offer four types of franchises, which are the business opportunities for the franchisee.

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First, the franchisee is offered a traditional restaurant, which includes a free-standing building, food courts, and store. The Franchisee is allowed to operate a complete-menu restaurant and offer the customers uniformity and high standard quality in services and food. Another important business opportunity and advantage that a franchisee under MacDonald enjoys is setting up of the business in satellite locations. For instance, the franchisee is allowed to operate the business in airports, strip center, retail stores, hospitals, and Universities among other different locations. As indicated in an article by Franchise Direct, the restaurant operators have the liberty of dealing on the scaled-down menu that may include both MacDonald's traditional restaurant menu and non-MacDonald trademarked menu and products (n.d.). An opportunity of operating the businesses in some small retail centers in the rural areas are also offered in the form of the STR and STO locations. The "Small Town Oils" offer shared spaces for convenience stores in fuel stations to offer services to travelers who may need to make a stop for a snack. Lastly, the franchisees under McDonald's grant are entitled to business facilities leases from 'Business Facilities Lease.'

Conclusion

Since MacDonald is known worldwide and has a reputation for contributing to food security through the provision of affordable and convenient menus, the franchisees under it have an advantage over the competitors dealing in other fast foods. Another important business opportunity that the franchise takes advantage of is the fact that many people, especially the working mother prefer purchasing fast foods from MacDonald restaurants to save time as they provide a quality diet for their family members.

Reference

Franchise Direct. McDonald's Franchise Costs & Fees, Get the Full FDD from Franchise Direct. Retrieved from https://www.franchisedirect.com/foodfranchises/mcdonalds-franchise-07030/ufoc/

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Franchise Organization: McDonald's Franchise Paper Example. (2022, Oct 03). Retrieved from https://proessays.net/essays/franchise-organization-mcdonalds-franchise-paper-example

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