4 ms·

Admittedly I haven't actually read this article, but the title suggests it's accurate. https://qz.com/965779/mcdonalds-isnt-really-a-fast-food-chain-its-a-bril

• jldugger 6y ago
  I'm not sure that's quite accurate. Yes, they are a landlord to franchisees, and their profits show up as rent. But those franchisees are all earning money to pay rent the same way: selling hamburgers the McDonald's way. They don't have a lot of leeway to change practices or sell something different, because if they do, the landlord will literally kick them out. It's basically a REIT for tax purposes, but that doesn't mean they don't profit from selling hamburgers.
  • chii 6y ago
    I think you might find that the franchisee's profit margin isn't as high as macdonald's margins on the fees paid by the franchisees.
    • Talanes 6y ago
      But if we're talking about restaurant business plans, the franchisee has far more claim to being a restaurant.
    • jldugger 6y ago
      Well yea, in the same way that McDonalds employees aren't all billionaires.