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McDonald's Real Estate: How They Really Make Their Money (2015)

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211–220 of 273 posts

Re: McDonald's Real Estate: How They Really Make Their Money (2015)

#211
post #49

Earlier quoted context omitted.

Enjoyed the read overall but one line stuck out: "- I take one bite out of my cold Big Mac and eat one cold fries and throw it all out." You have to be a special kind of asshole to throw away meat and food instead of just saying the food is cold.

You might not want to visit a farm, processing plant, warehouse, grocery store, or restaurant. They all throw away enormous amounts of food. Throwing away a Big Mac because it got too cold is a rounding error in perspective. That said, we produce more food than we ever have. Is there a difference to starving people whether a grain of wheat went ungrown or was wasted? What was the author meant to do, walk the hamburge…

In kindergarten, I starred in a play that haunted me for years and years. My role was to explain the amount of food waste produced by America every year.

I wonder how it is today, but at the time it was on the order of half a billion tons a year.

Spent the rest of my childhood trying to be hyper-conscientious about the waste I produced.

Got to high school, got a job at a local restaurant, eventually moved onto large-scale corporate catering, and then went to live and work on a farm.

As I moved up the scale of food production I only saw more and more waste. It was sickening but at the same time completely understandable when you realize that there are diminishing returns. The larger your business is, the more waste becomes "not worth our time".

I just can't feel bad about throwing away half a pizza here and there anymore.

After I left the farm I took one more job in food service before moving to tech, and that was at a small-scale startup that produces healthy, fresh, TV dinner style foodstuff, and distributes them at retail locations.

I was blown away at how efficient the whole process was. One of the chief philosophies of my boss was conservation. With a business model that revolved around maintaining a supply of each meal reflective of its demand, and making dishes that could be built upon common base ingredients, we were able to exactly calculate the amount of food we needed to make each day. If for some reason there was a piece or two of chicken left, or some rice, an employee would just take it home. I just wish every place could be that committed to not wasting food, by creating a business model that incentivizes such behavior with a better profit margin.

Part of the issue with scale is that this extra profit margin becomes more and more marginal. Supporting local farms, co-ops, and cooks is probably the best thing we can do to enable less food waste across the industry.

Re: McDonald's Real Estate: How They Really Make Their Money (2015)

#212
post #49

Earlier quoted context omitted.

Enjoyed the read overall but one line stuck out: "- I take one bite out of my cold Big Mac and eat one cold fries and throw it all out." You have to be a special kind of asshole to throw away meat and food instead of just saying the food is cold.

You might not want to visit a farm, processing plant, warehouse, grocery store, or restaurant. They all throw away enormous amounts of food. Throwing away a Big Mac because it got too cold is a rounding error in perspective. That said, we produce more food than we ever have. Is there a difference to starving people whether a grain of wheat went ungrown or was wasted? What was the author meant to do, walk the hamburge…

About 1/3 of the food in the US is wasted. And this is exactly what we want!

Food is a renewable yet spoilable resource. Easy to create, hard to store long term. Having more food then we need means the system has the capacity to absorb disruptions. If we consumed 100% of the food created, any disruption such as a cold spell in Florida would cause people to go hungry.

Re: McDonald's Real Estate: How They Really Make Their Money (2015)

#213
post #186
post #81

Earlier quoted context omitted.

With this kind of logic, flushing your toilet is disrespectful to people in Africa with limited access to drinkable water.

Well, it is. So don't be wasting water unnecessarily. If you spent time and money eating at McDonald's why would you throw it away? Our society wastes a lot for sure so try not to. Don't go to McDonald's in the first place.

If you bought this burger, you already gave back to society by paying for it. It has zero influence on the rest of the society whether it goes through your belly or not before being disposed.

Re: McDonald's Real Estate: How They Really Make Their Money (2015)

#214

Earlier quoted context omitted.

You will not find a single person in America who believes advertisements are a good neutral source of information, yet they still run them. They run them ever for products everyone has heard of and probably tried at some point. Why do you suppose that might be?

I'm not saying ads are worthless, I'm saying they don't have control over you.

I don't see how this is a response to what I said.

Re: McDonald's Real Estate: How They Really Make Their Money (2015)

#215

Earlier quoted context omitted.

>the kids can learn quickly how to determine if they should do what ads tell them to do. The problem is they can not do this at all. Children are extremely easy to manipulate, and that is pretty much what advertising is.

As a kid I quickly learnt to distrust ads, so I'm not sure why you think kids can't do this. They may not be adults, but they're not robots either.

Sure, in some ways, we all did - though I think most of us just got disappointed in a product or two or finally realized the ads weren't realistic.

This wasn't the case with other things, though. I remember really liking Care Bears back in the 80's. My father was appalled when he took me to a movie - he said it was basically an add to get kids to buy the new line of toys. My brother, 11 years younger than I, had the same sort of thing with Power Rangers and then Pokemon. I don't have children and am not quite sure what the current modern version of this is, but I'm sure it is there. Adult versions abound. These aren't the things we can spot so easily, especially as children with little world experience.

Re: McDonald's Real Estate: How They Really Make Their Money (2015)

#216

An important point about owning the franchise real estate: a rental agreement is far stronger for the landowner than a franchise agreement is for a franchiser. The McDonald's franchise agreement specifies the address the franchise must be located. In effect, McDonald's can cancel a franchise agreement by ending the rental agreement. This gives them enormous power to enforce company-wide standards on cleanliness and m…

Certainly noticeable in the UK, the variance between one BK and another can be huge where McD's is so consistent it's hard to tell who owns which. McD's are masters at standardising 'generally acceptable in a pinch' food.

I thought UK McDo were a single company and not franchisees?

Re: McDonald's Real Estate: How They Really Make Their Money (2015)

#217

Earlier quoted context omitted.

You might not want to visit a farm, processing plant, warehouse, grocery store, or restaurant. They all throw away enormous amounts of food. Throwing away a Big Mac because it got too cold is a rounding error in perspective. That said, we produce more food than we ever have. Is there a difference to starving people whether a grain of wheat went ungrown or was wasted? What was the author meant to do, walk the hamburge…

About 1/3 of the food in the US is wasted. And this is exactly what we want! Food is a renewable yet spoilable resource. Easy to create, hard to store long term. Having more food then we need means the system has the capacity to absorb disruptions. If we consumed 100% of the food created, any disruption such as a cold spell in Florida would cause people to go hungry.

Resources farmed is not the same as food produced. If you consumed all food produced but had stocks of farmed resources that could be used to make more food (wheat, sesame, beef, onions, say) then with excess capacity you could readily produce more food. Our supply chains are such that we can go from field to table in a day, that allows us to go field to freezer (or canning factory, or whatever) too.

This perhaps relies on non-capitalist management of food production however.

tl;dr I don't agree with your conclusion.

Re: McDonald's Real Estate: How They Really Make Their Money (2015)

#218
post #145
post #105

Earlier quoted context omitted.

I worked at McDonalds and we would throw burgers after X minutes if they didn't sell. Can't remember what X was but we were throwing a lot of . Same thing with fried stuff like mcnuggets except we would wait longer before throwing it. I don't know why we were following the rules for burgers but not for fried stuff... It all seemed like waste to me because X was pretty short. But this was to ensure good quality, crunc…

Used to be 10 minutes. Not sure now. Fried foods like McNuggets, McChicken and Filet O Fish were kept in a cabinet, then assembled into sandwiches. They were kept for roughly 30 min? The reason for the 10 minute rule was a quality issue; after that amount of time, cheese was gross, and the various condiments were trashed.

How tightly do they manage their production rate, presumably they're more careful than just "keep 6 on the warmer" and more like "the usual rate at this time is 70 per hour, we only lose 15% of those sales by asking the customer to wait, 5% of those losses go for other products, so we'll make at a rate of 1 every X minutes unless we have more than Y on hand"? (numbers completely off the top of my head)

Re: McDonald's Real Estate: How They Really Make Their Money (2015)

#219
post #72

Earlier quoted context omitted.

Good ads work on an emotional level. They work regardless of whether you know you can't trust then.

That sounds like nonsense.

It's all about name recognition. Ads work because they stick the advertiser's brand in your brain, along with some warm and fuzzy feelings. The next time you're hungry on the road, and there's a McDonald's across the street from a Burger King, whoever has your warmer and fuzzier feelings will win.

Re: McDonald's Real Estate: How They Really Make Their Money (2015)

#220
post #29

Earlier quoted context omitted.

What is wrong with advertising to children? They don't have any money, the parents can always say no or the kids can learn quickly how to determine if they should do what ads tell them to do. They will greatly need that skill in modern America. Teach them early haha.

> the parents can always say no or the kids can learn quickly... The parents need to spend a lot of time to counteract those evil forces and you cannot teach a kid to not like the amazing toy he/she is watching on TV. You can teach them that they can receive presents on specific date though.

You can also get rid of your TV and not expose them to ads at all.
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