McDonalds in Chinas reform and reshaping of business models.doc

 PAGE \* MERGEFORMAT 16 McDonald’s in China’s reform and reshaping of business models No one can deny the success of McDonald’s. As the global fast food industry, the absolute supremacy, McDonald’s would give rise to any move to strong concern and shock the industry. Recently, the McDonald’s high-profile on its official Web site announced that it will increase prices in the region and franchise stores range of options. In addition to Beijing, Shanghai, Guangzhou, Shenzhen and other cities and Suzhou, Wuxi, Zhejiang province a temporary joint venture and franchise business is not open to outside, in the second and third tier cities will open franchise business. to speed up its presence in China the layout of the market, some of the restaurant franchise fee may be as low as 200 million yuan or so. Meanwhile, McDonald’s opened its official website a new “franchise” channel, which details the conditions of the franchise and the mode of application. As long as 200 million initial fee concession, investors have the opportunity to apply for operating a McDonald’s restaurant . with the previous initial fee concession 8,000,000 yuan every turn, after this adjustment, the concessionaire had only 25% of the initial fee, in one fell swoop cut 75% of the initial fee, which for want of businesses and individuals to join McDonald’s is definitely a major the good news. At the same time relative to the sweetness of the Chinese market before the franchise in the form of secret mode of operation, the McDonald’s announcement also indicates that the high-profile McDonald’s marketing strategy in the Chinese market changes. McDonald’s, according to official statistics, the world’s 32,000 restaurants, 75% of franchising, McDonald’s restaurants in the Chinese market nearly 1,200, only six for the franchise restaurant. McDonald’s side said that the franchise will become China in the future important factor in the development of McDonald’s business. McDonald’s difficulties and cha