A world without the Big Mac, Happy Meals, Chicken McNuggets, and the phrase “I’m lovin’ it,” is almost inconceivable. People around the globe have become accustomed to the high gleaming golden arches that make up the famous emblem for McDonald’s. McDonald’s has grasped the concept that culture flows from power. In this case, the American culture flows through the veins of this fast-food giant and the more that is supplied, the greater the demand. It is no secret that McDonald’s has become one of the world’s largest fast-food retailers. It has become a well known icon that has played a huge part in globalization, with chains located in many different countries… transforming the meaning of fast-food all around the world.
Everyone has heard of McDonald’s, but where did this familiar name come from? When people think of American food, it is not uncommon for two golden arches to appear in their minds. This story began with two brothers Dick and Mac McDonald who owned and ran a small restaurant in San Bernardino, California during the 1940s. In 1954 a man named Ray Kroc came across these two brothers while selling multi-mixers and was impressed with the business they were running. The menu was compact, listing options for only a few burgers, fries and beverages, but the restaurant was effective in its operation. Ray Kroc pitched the idea of spreading McDonald’s restaurants across the United States and in 1955 he founded the McDonald’s Corporation. By 1960 he bought the exclusive rights to the name. Kroc was able to expand substantially on this small business so that by 1958 McDonald’s sold its 100 millionth hamburger. (“McDonald’s.com”)
Ray Kroc wanted to build a restaurant system that was famous for its food and also had standardized methods for its preparation. In order for him to achieve this he had to persuade his franchisees and suppliers to buy into his vision. He claimed that they were not working for McDonald’s, but they were working for themselves, with McDonald’s. Kroc began to promote the slogan, “In business for yourself, but not by yourself.” His creed was based on the principle of a 3-legged stool: one leg being McDonald’s, the second leg consisted the franchisees and the third leg consisted the suppliers. (“McDonald’s.com”)
Entrepreneurship was something that Ray Kroc took pride in. He encouraged his franchisees to think creatively and eventually famous menu items such as the Big Mac, Fillet-O-Fish, and the Egg McMuffin were available for consumers. The flow of the people coming and ordering from the McDonald’s restaurants caught the attention of many suppliers. These suppliers began to adopt McDonald’s standards and soon those standards began trickling into the meat, produce and dairy industries. Soon Kroc was looking for a partnership among his suppliers. He had managed to construct the most integrated and innovative supply system in the food service industry that was highly effective and over the decades,...