Comment on Why McDonald's is still a powerhouse, despite troubles

Why McDonald's is still a powerhouse, despite troubles

McDonald's has many strengths that the rivals biting at its heels can only envy, including Ronald McDonald's worldwide recognition. McDonald's has more than 14,300 locations in the U.S. and that ubiquity continues to make it a default option for many diners. Burrito chain Chipotle is in growth mode but still only a fraction of that size, with around 1,800 locations. Shake Shack, whose stock offering earlier this year garnered lots of attention, has fewer than 40. Because of its recent struggles, McDonald's plans to slow its growth to its lowest level in five years. The rest goes to regional advertising and focuses more on promotions to drive customers to stores. The average Chipotle generates roughly the same sales volume as McDonald's even without breakfast, in part because of its fast-moving line and higher prices. Fans of McDonald's breakfast have long called on the chain to offer it past 10:30 a.m.

 

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