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Related: Editorials & Other Articles, Issue Forums, Alliance Forums, Region ForumsMcDonald's Franchisees Are Furious About How Much It Costs To Operate A Restaurant
http://www.businessinsider.com/mcdonalds-franchise-owners-hold-meeting-2013-8McDonald's franchise owners are mobilizing against corporate.
The franchisees, who operate 90% of McDonald's restaurants, say the company is charging too much for rent, remodeling, and fees for training, reports Leslie Patton at Bloomberg News.
A franchise owner told Patton that running a McDonald's "is not as profitable business as it used to be." Franchisees have reportedly been holding rogue meetings to discuss ways to get the company to bring costs down.
The higher costs mean that franchisees are less likely to open new restaurants and refurbish them, potentially constraining sales," Patton writes.
Read more: http://www.businessinsider.com/mcdonalds-franchise-owners-hold-meeting-2013-8#ixzz2bHndZeaz
Happyhippychick
(8,379 posts)bemildred
(90,061 posts)AndyA
(16,993 posts)I think I see where this is going. Interesting timing, with the workers striking.
CanonRay
(14,080 posts)all of a sudden these rich bastards are going broke? Yeah, right.
tridim
(45,358 posts)Hey franchisees, ask about executive compensation at corporate. Make them justify every dollar they put in their pocket.
on point
(2,506 posts)Wokers and franchise owners alike perhaps.
global1
(25,219 posts)The squeeze is on. Will there be a movement to more company stores?
Downwinder
(12,869 posts)It is a well worn path.
OneGrassRoot
(22,920 posts)Do they all tend to draw a salary or do they draw proceeds from profit?
The recent study regarding raising minimum wage and it's impact on the cost of a Big Mac seemed to have a lot of holes in the numbers.
I wonder if any franchisee salaries are included in the labor costs, for example.
Forget the Almighty Profit aspect; I always want to see the earnings of those at the top cut...voluntarily...as part of being a decent human being.
Heck, I want to see a ratio instituted as common practice with businesses of integrity, where the top salary is no more than x times that of the lowest wage being paid (I lean toward 15-20%). If the business succeeds, everyone benefits.