Mcdonaldsconclusion Essay

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  • Words: 371
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  • Pages: 2

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Since most McDonalds have the same menu, it provides an easy economy of scale. McDonalds has more than 32,000 restaurants around the world (Economies of scale). When McDonalds places an order, they don’t go and buy individual items, they receive them from a local wholesaler just like any other independent restaurant (Economies of scale). “McDonald’s is the world’s largest buyer of eggs; therefore they are able to negotiate the very best unit cost per egg during their enormous volume purchase and passing those savings onto their franchise owners” (Economies of scale).

Since McDonalds receives the best price, they are able to place a egg sandwich together and sell it to their customers for a competitive price (Economies of scale). Bulk buying for McDonald’s helps in the long run because they save money for purchasing merchandise at lower unit prices instead of purchasing from an independent business which would be higher (Economies of scale). By expanding McDonald’s into other countries, their menu becomes more complex because there are other things they need to worry about.

For instance, the McDonalds that is built in England needs to worry about mad cow disease and how it can affect or damage the profits throughout the world (McDonalds Corporation). The benefits of having staggered movie times on multiple screens is that it provides a steady flow of customers into the theatre to purchase food and drinks before the movie starts. If the movie theatres had all the movies starting at the same time, the concession stand would be a stand still while the movies were playing, and suffer an overwhelming amount of people before the movie starts (Economics of the).

The staggered times with multiple screens allows the concession stands to have fewer employees but with a steady flow. A second reason for having staggering times helps keep the food fresh, instead of preparing it and having it go stale (Economics of the). To have a movie theatre in a mall, the theatre has the chance to draw in a larger crowds versus being in their own building. The movie theatre in the mall also gives the customer the option to go shopping until the next showing of their movie is playing.

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