Fast-food businesses are trying to battle inflation and other hurdles.
by Douglas A. McIntyre
24/7 Wall Street
Faced with a customer base that believes inflation has made its food too expensive, McDonald’s Corp. (NYSE: MCD) has announced a $5 value meal to offset the perception. The $5 menu includes a McChicken or McDouble, four-piece chicken nuggets, fries, and a drink. Just as the program launched, McDonald’s franchisees said it was too expensive for them to support it, which puts the program in jeopardy.
[…] A large group of franchisees represented by the National Owners Association wrote in a letter to its membership, “The fact remains that in order to provide the consumer with more affordable options, they must be affordable for the owner/operators. McDonald’s vast resources and financial investment are essential to any sustainable affordable strategy.” In other words, these owners say that they do not want to make McDonald’s more successful using their bank accounts.