So says a Nomura analyst report:
McDonald's food is not worth the money, their assets cannot be repurposed to what is worthwhile, what customers they have are too poor to follow them up market (or care).
It was a great ride, made possible by mal-credit. It's on it way out. When the subsidies go, good food will fall in price because the land USA devotes to subsidizing gmo food will be recovered to grow wholesome food. The 47 million Americans who claim themselves unable to feed themselves will have better choices at lower prices.
Big Ag is dying out. The secret TPP is supposed to save them, and finish off small farming in USA. The customers will win. We just need to get customers what they want.
The most revolutionary thing you can do in USA is start a business.
Feel free to forward this by email to three of your friends.
"We are in the throes of a deep depression, and nothing is changing," one franchisee wrote in response to the survey by Nomura analyst Mark Kalinowski. "Probably 30% of operators are insolvent."How come?
"The CEO is sowing the seeds of our demise. We are a quick-serve fast-food restaurant, not a fast casual like Five Guys or Chipotle. The system may be facing its final days."Perzactly! "The system." It's just not possible to build out 14,000 stores to do one specific thing well and then change it to a Chipotle (aside from being "like Chipotle" is a different failure.) McDonald's was designed to borrow massively and cheaply to buy subsidized corn, sugar, pork, chicken, soybeans, sodium, wheat, beef, milk and cheese, rendered to its lowest common denominator and sell it as food. it is designed to be addictive and is cumulatively harmful. They were in trouble when they have to lure children in with free toys. The infrastructure and talent is hardwired and purpose-built, the thing has to be bankrupted to mark it to market, in order for any chance of profitability with those assets.
McDonald's food is not worth the money, their assets cannot be repurposed to what is worthwhile, what customers they have are too poor to follow them up market (or care).
It was a great ride, made possible by mal-credit. It's on it way out. When the subsidies go, good food will fall in price because the land USA devotes to subsidizing gmo food will be recovered to grow wholesome food. The 47 million Americans who claim themselves unable to feed themselves will have better choices at lower prices.
Big Ag is dying out. The secret TPP is supposed to save them, and finish off small farming in USA. The customers will win. We just need to get customers what they want.
The most revolutionary thing you can do in USA is start a business.
Feel free to forward this by email to three of your friends.
1 comments:
Overall the food at McDonald's is tasteless but their coffee is very tasty.
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