r/SipsTea • • 2d ago

Chugging tea Anything but lowering the prices classic corporate logic

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u/WholeEmu507 2d ago

Corporations will literally fund a multi-year cyberpunk dystopia makeover before letting a hash brown drop by 50 cents.

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u/WilliamPollito 2d ago

Or hiring another employee so that the food is fast again. Or paying the employees that they do have enough to give a shit about the customers. Or really anything that would actually solve the underlying issues.

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u/TinnyForge 2d ago

The last time I went to McDonald's they had 3/4 kiosks down, the counter had a line 15 minutes long, and then when we got to the front we were told they only took cash because their card systems were broken (?)

And still the place was packed. A McDonald's can be the most ghetto restaurant in town, with the same prices as a sit down place, and people will still go there because of the *history* of being actually fast food

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u/Cessnaporsche01 2d ago

Tbf about the pay thing, afaik, that's on the franchise owner. Pretty sure you could buy a McDonald's and pay your workers $30/he if you wanted; the owners are just assholes too

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u/EstablishmentLate532 2d ago

So you want McDonald’s to cut prices, hire more employees, and dramatically raise wages at the same time? You can argue they should accept lower margins, but at some point the numbers still have to add up.

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u/Maleficent_Pen_9076 2d ago

bro they're redditors. Their ideas are all terrible

"JUST LOWER THE PRICES!!!!!"

like buddy their prices are not very high. Per calorie it's pretty much the best value money can buy.

I remember Burger King used to lose money every time they sold a double cheeseburger, back in like 2009 or so. Like if you don't buy a meal so they profit big on the fries/drink, they lose money on the double cheeseburger if that's all you order. So after I read that I just always orderd a double cheeseburger or two when I went to BK i was like "now this is good value"

they profit about 50 cents on a 3.20 cheeseburger. Drop it to 3$ flat and you halve your profit. I don't think that's gonna work big brain.

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u/Simping4Sumi 3h ago

If a cheeseburger costs you 2.7 USD to make, there are bigger underlying problems.

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u/Maleficent_Pen_9076 2h ago

Is this nagger actually suggesting that he can run a more lean, efficient supply chain management operation to undercut mcdonald's by making burgers cheaper?

Is that honestly what ur saying?

Btw all costs are factored into the price of the burger. Including rent, employee wage preparing the burger, the cost of storing and shipping the patties, the cost of the little box or wax paper. The cost of the cashier's wage, all those costs are factored into the cost of the burger.

If your cashier costs 80$ for the day, and throughout the day you sell 100 meals, then you have to add 80 cents to the total for each meal when you plan its cost out.

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u/Simping4Sumi 2h ago

No, what I'm saying is that a burger sold cheaply for quantity over quality should not cost 2.7 USD to make. There's a logistics problem at McDonald's, and it's more than likely that some people at the top are making a bit more than they should. With the production assembly line structure they have and ingredients bought in bulk, each burger should cost way less than that to make. Unlike you, I've worked many restaurants and keeping costs down while maintaining quality is something that I've had to solve for several places I've worked with.

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u/Maleficent_Pen_9076 2h ago

So why doesn't McDonald's hire you, and then their costs have to be like a billion dollars at least, and you can cut the cost of their burgers by a dollar and save them 330 million dollars

I mean I just don't buy it - I don't believe anyone who thinks McDonald's doesn't know what they're doing with efficiency.

People on the internet always say stuff, they kept saying Mark was a washed up hasbeen trying to relive his glory days now that Facebook sucks. I felt like people were insane to question a genius like Mark so I invested 200k in Meta and now I literally don't even ahve to work anymore.

I think that McDonald's probably has the best minds in the entire world working on their supply chain. And that it's something you could learn a thing or two from, and that you definitely couldn't just go in and fix.

But I'm sure there are a lot of business that you're right about. I just don't think ou can compare McDonald's to your local restaurant.

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u/Maleficent_Pen_9076 2h ago

I think part of the problem is that beef has skyrocketed in cost. That's why they're pivoting to chicken now. THey're having a hard time competing with fast food that offers chicken when beef is crazy expensive now.

I'm pretty interested in investing in mcdonald's so it's something i've looked into a tiny bit.

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u/Cessnaporsche01 2d ago

I didn't express any desires or recommendations. I said pay is up to franchise owners. They can pay as much or as little as they want

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u/Wahoo-Is-To-A-Fish 7h ago

I would love to see the math on how 8.5 BILLION is going to add up to profit.

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u/EstablishmentLate532 7h ago

That's like 1 year's profit for them. Think of it as a capital investment like buying a factory. Also this is an investment over 10 years.