McDonald's Announces Plan To Reverse Sagging Fortunes
In the wake of a deep, sustained slump at McDonald's, CEO Steve Easterbrook in a 23-minute video released today announced an audacious restructuring plan that would revive the fast food giant as a "modern, progressive burger company." The steps taken will include closing 700 of 36,000 stores across the globe. And though that may seem like a mere dent, the number is twice what McDonald's initially announced.
A few of the other main tenets of the Golden Arches turnaround described by Easterbrook, who became chief just two month ago, include:
- Rebuilding customer excitement about the brand with initiatives including all-day breakfast and home delivery, which McDonald's launched today in New York City.
- "Refranchising" the brand by selling 3,500 McDonald's-owned locations to private owners.
- Streamlining bureaucracy with distinct corporate bodies governing four spheres of the business: America, international lead markets (e.g. France), emerging markets (e.g. Russia) and remaining stores.
- Of course, McDonald's will jump on the locavore bandwagon. That will include doubling down on its commitment to fresh, healthful food along the lines of a recent pledge to buy only antibiotic-free chicken.