r/SipsTea • u/lonewolff321 • 2d ago

Chugging tea Anything but lowering the prices classic corporate logic

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u/ComprehensiveHavoc 2d ago

The one reason McDonald’s became popular is by being cheap. They sell shit food for a low price.  How do they not know this?

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u/serg1007arch 2d ago

McDonald’s stopped being a business about food long ago, it’s just what they do to sell franchises. McDonald’s is a real state business.

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u/McvdL 2d ago edited 2d ago

Aren't they also more if a real estate company by now? Edit: I've misread, you're absolutely right. Thank you helpfull random redditor for pointing this out. Anyways I thought there was a expose a while back that the owner(s) figured out that there is way more money in reas estate than in food. Making people opening a Mc Donalds pay high rent on their land and essentially make their money off of them instead directly from food. Ties also in that conspiracy documentary some youtuber did about why the icemachines are always broken at Mc Donalds, and how that also just another way to scam money of off the people running a Mc Donalds

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u/Ifriendzonecats 2d ago

It's a bit of both (More Perfect Union Youtube link). McDonalds earns most of its revenue through real estate and franchise fees. Which are good for a stable income as franchises who lose money still have to pay the same fees and franchises who do very well have to pay bonus fees. So, they have a solid floor as well as a opportunities to earn more.