Mac1958
Diamond Member
- Dec 8, 2011
- 117,380
- 111,616
Jeez, you're not supposed to offer sensible, rational input & observation here, you're supposed to scream simplistic bumper sticker slogans that have virtually no value.My bet, Ronald McDonald wins by a narrow margin over the Hamburgler and the customer receives less than 5 votes.Just out of curiosity, if you took a poll of 1,000 McDonald's employees and asked "who pays your salary?", I wonder how many would get it right.
Even the ones who are vaguely in touch with reality probably don't fully realize that their employer is actually the owner of their individual franchise, not McDonald's Corporation. I've worked for franchise operations in the past, and I can tell you my co-workers rarely had any idea just how independent and "small-business" their stores truly were.
Good point Cecilie, most people do seem to assume that all the McDonalds outlets are corporate owned and thus use McDonalds margins to reinforce their argument for higher wages when in fact the majority are franchisees (upwards of 80%) and operate as small/medium businesses with narrow margins and significant existential risks.
True. And not many people realize that, while the corporation offers a great deal of support to the franchise owners, operating capital is not a part of it.
Whatever McDonald's Corp's profit margin is or isn't, the individual franchises operate on slim profit margins, as do most restaurants. If they're forced to increase labor costs - which are already the largest single cost in their budget - by twice as much per hour, it will wipe out that profit margin, at the very least, and thus wipe out any reason for the franchise owner to invest his own time and money in operating the business.
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