Economists call it a symptom of the stark wealth divide

Prices have risen so high at the iconic fast food chain that traffic from one of its core customer bases, low-income households, has dropped by double digits, McDonald's chief executive Christopher Kempczinski told investors last week. Meanwhile, traffic from higher-earners increased by nearly as much, he said.

The struggle of the Golden Arches — long synonymous with cheap food for the masses — reflects a larger trend upending the consumer economy and making "affordability" a hot policy topic.

McDonald's executives say the higher costs of restaurant essentials, such as beef and salaries, have pushed food prices up and driven away lower-income customers who are already being squeezed by the rising cost of groceries, clothes, rent and child care.

https://finance.yahoo.com/news/mcdonalds-losing-low-income-customers-110000082.html

 

The article doesn't disclose the income level of those higher earners. I suspect that they are people who used to be able to affording eating at higher priced places and are reducing their expenditures. I don't think that billionaires are now flocking to it.

McDonalds don't sell food, they sell franchises and rent land.

https://www.skylineprp.com/post/mcdonalds

Just now, BritManToo said:

McDonalds don't sell food, they sell franchises and rent land.

https://www.skylineprp.com/post/mcdonalds

False: From the article:

"The connection between McDonald's success and its expansive real estate portfolio is reflected in its financial results. Out of its estimated $23 billion in revenue, about 36%, or approximately $8.28 billion, stems from real estate investment rather than food sales. This model highlights McDonald’s ability to thrive on property ownership."

It may be that all or most of its profits come from real estate deals and sales of franchises, but that's a different issue.

Cool. Now the fat welfare chicks in spandex will drop a few pounds.

1 minute ago, Alan Zweibel said:

False: From the article:

"The connection between McDonald's success and its expansive real estate portfolio is reflected in its financial results. Out of its estimated $23 billion in revenue, about 36%, or approximately $8.28 billion, stems from real estate investment rather than food sales. This model highlights McDonald’s ability to thrive on property ownership."

It may be that all or most of its profits come from real estate deals and sales of franchises, but that's a different issue.

You like to argue? What did he say that was false>

 

You do know that Franchisees rent frachises, right?

6 minutes ago, BritManToo said:

McDonalds don't sell food, they sell franchises and rent land.

https://www.skylineprp.com/post/mcdonalds

Exactly. There are however corporate owned restaurants.

 

Getting a Mickey Ds franchise is a license to beat up the IRS. 

7 minutes ago, Alan Zweibel said:

False: From the article:

"The connection between McDonald's success and its expansive real estate portfolio is reflected in its financial results. Out of its estimated $23 billion in revenue, about 36%, or approximately $8.28 billion, stems from real estate investment rather than food sales. This model highlights McDonald’s ability to thrive on property ownership."

It may be that all or most of its profits come from real estate deals and sales of franchises, but that's a different issue.

They sell plastic food to buy land and sell franchies. Its a scam.

If low income folks are eating at McD, or eating out at all, then that explains why they'll always be low income  

 

Higher prices, inflation ... that's what happens when you double the minimum wage (USA) as dominoes into every work & production sector.

 

Careful what you wish for  

12 minutes ago, BritManToo said:

McDonalds don't sell food, they sell franchises and rent land.

https://www.skylineprp.com/post/mcdonalds

A burger that lasts 10 years without going bad isnt food 

 

McDonald's cheeseburger and fries purchased in 2009 by Icelandic man Hjortur Smarason have remained intact and show no signs of mould or decay after 10 years, despite being stored in a glass cabinet at Snotra House, a hostel in southern Iceland.

4 minutes ago, Yagoda said:

You like to argue? What did he say that was false>

 

You do know that Franchisees rent frachises, right?

Exactly. There are however corporate owned restaurants.

 

Getting a Mickey Ds franchise is a license to beat up the IRS. 

He said they don't sell food.

"Out of its estimated $23 billion in revenue, about 36%, or approximately $8.28 billion, stems from real estate investment rather than food sales. "

What is there about this sentence that leads you to believe that he got it right.

Just now, Alan Zweibel said:

He said they don't sell food.

"Out of its estimated $23 billion in revenue, about 36%, or approximately $8.28 billion, stems from real estate investment rather than food sales. "

What is there about this sentence that leads you to believe that he got it right.

It's not food it's garbage. Who eats it?

24 minutes ago, Alan Zweibel said:

Economists call it a symptom of the stark wealth divide

Prices have risen so high at the iconic fast food chain that traffic from one of its core customer bases, low-income households, has dropped by double digits (...)

 

I can remember that a hamburger at McDonald's Thailand only a few years ago cost 19 baht (now 49 baht, i.e. +158%), a Pepper Chicken Burger 39 baht (now 49 baht, so a relatively modest price-hike), and a Filet-O-Fish 55 baht (now 109 baht, i.e. almost 100% more)... 😆 

 

Seems, Macca is slowly adjusting their prices to what they are at Burger King.

16 minutes ago, BritManToo said:

McDonalds don't sell food, they sell franchises and rent land.

https://www.skylineprp.com/post/mcdonalds

 

You need to sell their food or you will lose the land.

A guy in school's father was a franchise owner. Had a big mansion.

 

1 minute ago, Harrisfan said:

It's not food it's garbage. Who eats it?

 

A lot of people.

It's highly addictive.

It might be garbage for health, but not for taste. It's like eating heroin.

 

7 minutes ago, Harrisfan said:

They sell plastic food to buy land and sell franchies. Its a scam.

 

4 minutes ago, Harrisfan said:

It's not food it's garbage. Who eats it?

Typical liberal elitist

5 minutes ago, save the frogs said:

 

A lot of people.

It's highly addictive.

It might be garbage for health, but not for taste. It's like eating heroin.

 

And at least the prices are not as ridiculous yet as at Burger King, or Wendy's...

11 minutes ago, save the frogs said:

A guy in school's father was a franchise owner. Had a big mansion.

 

many millionaires are made off the back of 39 cent burgers.

 

The IRS allows (or allowed) a certain amount of "wastage". Thats cash in the pocket if you run a franchise right.

 

 

14 minutes ago, Harrisfan said:

It's not food it's garbage. Who eats it?

Egg McMuffins rule. And their coffee is good.

12 minutes ago, save the frogs said:

 

A lot of people.

It's highly addictive.

It might be garbage for health, but not for taste. It's like eating heroin.

 

Their burgers r crapola

22 minutes ago, StayinThailand2much said:

and a Filet-O-Fish 55 baht (now 109 baht, i.e. almost 100% more)... 😆 

 

Seems, Macca is slowly adjusting their prices to what they are at Burger King.

For the last year you can buy a set meal of a Filet O Fish for 99B that includes large fries and a coke. Cheap for a quick meal on the run. 

23 minutes ago, Alan Zweibel said:

 

Typical liberal elitist

 

“Campaign food is always bad, but the food that goes onto that airplane is like just poison,” he said of Trump’s plane. “You have a choice between—you don’t have the choice, you’re either given KFC or Big Macs. That’s when you’re lucky and then the rest of the stuff I consider kind of inedible.”

 

https://www.independent.co.uk/news/world/americas/us-politics/rfk-jr-donald-trump-diet-fast-food-b2646414.html

 

7 minutes ago, marin said:

For the last year you can buy a set meal of a Filet O Fish for 99B that includes large fries and a coke. Cheap for a quick meal on the run. 

 

Use'ta be affordable....

 

47 minutes ago, Harrisfan said:

Their burgers r crapola

But ANY burger and fries is good.

But PRIME Burger is way better.

34 minutes ago, NoDisplayName said:

That’s when you’re lucky and then the rest of the stuff I consider kind of inedible.”

 

They're just messing with us.

 

1 hour ago, Yagoda said:

Cool. Now the fat welfare chicks in spandex will drop a few pounds.

Are there a lot of those where you are?

2 minutes ago, jvs said:

Are there a lot of those where you are?

Depends on which McDonalds. Go to the ones at a Walmart in Newark

 

I hadn't been in a McDonalds for over 20 years but last week I went to grab a  coffee and was refused as I didn't have a smart phone (no cash).

Maybe I'm too poor to be a part of their target market.

 

 

53 minutes ago, marin said:

For the last year you can buy a set meal of a Filet O Fish for 99B that includes large fries and a coke. Cheap for a quick meal on the run. 

The fries and Coke doing you more harm than whatever you have with them.

1 hour ago, Harrisfan said:

They sell plastic food to buy land and sell franchies. Its a scam.

😂.............Sooooo fgunny................😂

And what does your 7/11 sell in the eatery department............🤣

1 hour ago, save the frogs said:

 

A lot of people.

It's highly addictive.

It might be garbage for health, but not for taste. It's like eating heroin.

 

Eat a real burger like Carls Jnr