Category Archives: The Founder

These posts will be added to our Student Work menu item. This category should be used for submitting posts for our Segment F Assignment.

The Founder Assignment

1) The McDonald brothers were more concerned about the quality of their product and the customer experience. Ray was more concerned about making money by growing the business exponentially. So, there were differences between them and their occasional phone conversations were terse


2) The McDonald brothers and Kroc had both become wealthy, but Kroc would become filthy rich when he bought them out in 1961 for $2.7 million. The brothers figured that after taxes they’d each have a million bucks. They just went out of business, but if they kept business they could get rich for sure out of McDonald’s. If they sold this business, then Ray Kroc gave them a good deal.


3) McDonald’s, more than 90% of its 38,000 restaurants are franchised. That means the vast majority of its restaurants are not company owned and operated. Rather, franchisees take up the burden and risk of setting up a restaurant and selling burgers (and fries) to customers.
Meanwhile McDonald’s can sit back and collects money from its franchisees. Franchisees pay McDonald’s in several ways:
A one-time upfront payment of around $45,000 to $50,000 to start the franchise. Also franchisees are expected to foot much of the bill to start up the restaurant — the initial investment can be upwards of $1 or $2 million.
A monthly royalty fee of 3–4% of gross sales.
Rent as McDonald’s often owns the land and buildings that the franchisees use for their restaurants.


4) They were looking for a new franchising agent and Kroc saw an opportunity. In 1955, he founded McDonald’s System, Inc., a predecessor of the McDonald’s Corporation, and six years later bought the exclusive rights to the McDonald’s name and operating system.


5) Yes this film changed my mind of McDonalds. This is very cool and interesting story. I’ve learned how big company such as McDonalds works.

The Founder

  1. Ray showed Enthusiasm, Persistence, and determination for success; he never wanted to give up and quit; he always sought possibility. As for the McDonalds brothers, they showed how steady and committed they were. In the end, Ray saw the potential that the McDonald brothers did not see, and they did not have the same drive of wanting to achieve such a goal. I think they were pleased with what they achieved. The McDonald brothers appreciate the quality of their products and the buyers’ experience; money to them does not matter. Ray, on the other hand, had the dream and was more worried about gaining money by expanding the McDonald’s business, as shown in the movie. 

2. I do believe it was a good idea to sell out to Roy. Kroc because he was the one who made it possible for McDonald’ to get to where it is at. I cannot entirely agree with how the McDonald’s brother handled it. Also, I think it was good because Ray did not care for them as a business partner; he did not value the brothers’ wishes or opinions, and I think as sad as the outcome was for them not to have anything from the brand they built, I am sure if they had stayed, they would have gotten into more conflicts and would have been even more stressed fighting a battle against Roy. 

3. The franchisees sell McDonald’s fries, burgers, and milkshakes; it forms sales for its franchisees with which they are then able to disburse/pay off rent and royalties.

4. Like in the movie, after struggling, Roy was then determined to lease the land to franchisees and then solely permit them to lease from him. In these agreements, he took control of everything and would attain a profit.

5. Now that I know more about Mcdonald’s history, I find it unfortunate that the main thing that the brothers did not want today, meaning the quality of the food/product, is terrible. I love how Ray was outgoing in the making McDonald’s worldwide; that is a fantastic accomplishment, and it shows you that if you want something, go and get it, but that does not mean anything if the food quality is not up to the customers’ expectations. I often hear people say McDonald’s in America is worse than anywhere else due to not knowing if the food is accurate and that the price to pay for such small portions isis ridiculous. I apricate the value of McDonald’s for when the brothers had a motto for it; if the brothers had been running it, I believe that the quality would be worth it, but the business would have been shut down a long time ago.

The Founder

1. What makes Ray Kroc and the brothers different from each other?

I surmise the most important difference between Ray and MacDonald brothers is that Ray was ambitious and saw no limits to his dreams and always tried to reach the goal he had in mind.  Either by selling that mixer or by expanding McDonald’s.  In my opinion, businessmen should have an ambitious spirit, but at the same time, they should act cautiously so that they don’t run into a big problem that ruins all their efforts and makes them lose their capital. As we saw in the movie, McDonald’s brothers had established several branches with great design, but because the remote control was difficult and they had failed, they no longer wanted to take the risk of opening new restaurants and investing heavily in them.  

 2. Do you think the McDonald’s brothers did the right thing by selling out to Ray Kroc? Did Ray Kroc give the brothers a good deal?

Yes. I do believe that they made the best decision by selling out to Ray. As we know, Ray was not a good business partner to them.  He did many things as a secret, and sometimes he did not respect the opinion of the two brothers. At first, Ray wanted to prove his goodwill and by impressing the brothers, he was able to bring them to the partnership table.  But he was not honest there either and without a contract and just by shaking hands, he convinced them that he would give them a check of 2.7 million dollars.  But at the end of the story, this case did not end in favor of the two brothers.

 3. How did the local store franchisees make money?

Due to the rapidity of the system of buying and selling and distributing food, people’s attention was well attracted to McDonald’s, and local stores equipped the store with the money Ray paid them and then made a profit.

 4. How did Kroc make money? How was that different than the franchisees, running the local stores?

Ray, who had noticed the financial loss and was looking for a solution to solve this big problem, had realized that he was not in a good financial situation.  Then a good financial advisor found him and asked for cooperation and told him a great offer to buy land and then cancel the lease by leasing the land he owned to restaurants.

 5. Does this film change your view of McDonald’s?

Honestly yes. Initially, this story was perfect, and I didn’t think that MacDonald can have such an interesting history. In this movie, I felt sorry for two brothers. They were honest people and thought that Ray was like them, but Ray gave them the biggest in felicity.

The Founder

What made Ray Kroc different from the brothers was that he was able to make a McDonald’s franchise out of the restaurant. The brothers lacked experience in the business world and didn’t understand how to manage more than one restaurant. This led to their previous restaurant failures.In the film we see that the brothers opened 5 restaurants, 3 in Southern California, 1 in Sacramento and 1 in Phoenix and did not plan to expand further due to the quality control and inconsistent menu. After realizing this, the brothers realized that having one great restaurant was better than 50 not great ones.

 He provided a better bargain, and one could work with other people. He may grow McDonald’s business in this way. First, the 1.9% of gross sales from the franchise fee that Kroc returned to the brothers was what made him money. of that, 5%. However, this was barely breaking even for Kroc, who decided to use a novel strategy to set his franchising business apart after seeking assistance from a financial expert. According to the plan, Kroc would first purchase the land for the restaurants, and the franchises would then pay Kroc to lease the space. granting Kroc more authority and negating his grip over his franchisees.

In the early days, Kroc made his money by franchising McDonald’s to his friends from the golf course. The difference between the McDonald brothers and Ray was that the McDonald brothers didn’t run the store themselves – they outsourced the work to Ray. This meant they had to face the same issues as the brothers did.The real money came when he and Harry turned McDonald’s into a real estate corporation, leasing the land and the franchise from the brothers in the process. No, this doesn’t change my view of McDonald’s. The burger joint that started out as a place for families to eat quickly turned into a corporation, with Kroc at its helm.This empire became wealthy and expansive, with Kroc amassing a large amount of money.

The Founder Reflection

What makes Ray Kroc and the brothers different from each other?I believe what makes Ray Kroc and the brothers different from each other is that though the McDonald’s brothers did want to make a profit their main goal was to provide reliable and fast customer service and a good product. However, Ray Kroc was more interested in turning a profit to the point where to cut down production costs and production time he would substitute the ingredients in a milkshake.

Do you think the McDonald’s brothers did the right thing by selling out to Ray Kroc? Did Ray Kroc give the brothers a good deal?
i believe they did the right thing but went about it the wrong way. I do believe they did the right thing by selling out to Ray Kroc because he brought the business to greater heights and though he was deceitful he was also a businessman and he knew how to build it up. He saw a golden opportunity and built on it. The brothers weren’t confident in franchising because the other branches didn’t have the same flavors and routine that made it what it was. I think they went about it the wrong way because they had too much trust in ray to not screw them over and the rights to sell the mcdonalds method because they weren’t benifitting from this deal. The only benefit they had was when Ray bought them out for 2.7 but even they were still being cheated.

How did the local store franchisees make money? The Local store franchises made money by using the same method and recipes from the original Mcdonald’s restaurant

How did Kroc make money? How was that different than the franchisees, running the local stores? Kroc made money by leasing the land to franchisees and only allowing them to lease from him. In these agreements, he was in control of everything from the menus, to how customers should be serviced and he had control over all franchises and how they operated.

Does this film change your view of McDonald’s? This film does change my view on Mcdonald’s because now I’m thinking about all the substituted ingredients and how it would have been if the original brothers were in charge. Though it may not have been as big as it is now I believe it would have been more authentic.



“The Founder” Assignment

  1. What makes Ray Kroc and the brothers different from each other?

What makes the difference between Ray Kroc and the brother is their business vision. As the brother’s vision is more narrow and they look at optimizing their one restaurant and ensuring the quality of their products and service does not fall, Kroc’s vision is much broader. Kroc looks at the business as an entrepreneur and imagines how he can spread the concept of one restaurant to be a nationwide empire.

2. Do you think the McDonald’s brothers did the right thing by selling out to Ray Kroc? Did Ray Kroc give the brothers a good deal?

Well, the answer is unambiguous. On one side, I don’t think the brothers would have had the skills and abilities to spread the business worldwide as Ray Kroc did. On the other hand, they could have gotten a much better deal that would serve them for the rest of their lives.

So, I would say that the brothers did the right thing by selling out to Ray Kroc, but Kroc didn’t give the brothers a good deal. As I see it, they had to insist on a percentage of future profits in a signed contract.

3. How did the local store franchisees make money?

The local store franchisees made money by running a fast-food restaurant under a firm (Mcdonald’s) name and paying a commission.

They leased the name of the brand and, through it, attracted people as the brand gained momentum.

4. How did Kroc make money? How was that different than the franchisees, running the local stores?

In the beginning, Kroc made money from the percentage of profits from every restaurant he initiated opening (1.4%). Later, he changed his business model and started purchasing the lands on which the restaurants were built on. Then, he made money from profits and monthly rent.

5. Does this film change your view of McDonald’s?

My opinion of McDonald’s has changed as a result of the movie, and I felt bad for the brothers who started it all but ultimately did not receive the rewards they deserved. Even if Crook’s breach of the contract simply involved a handshake, I believe it to be unjust and unethical. Despite all of this, the movie really opened my eyes, and I took a lot away from Kroc’s determination, resilience, and broad business perspective.

The Founder Assignment

What makes Ray Kroc and the brothers different from each other?

The difference between Ray Kroc and the brothers was how they ran their business. Ray Kroc was more of a big businessman, meaning he thought about bigger things and wanted to create a sort of empire. He wanted to open up multiple chains, whereas, the brothers Richard and Maurice McDonald would rather just open up one to three restaurants. They worked smaller and thought opening just a couple restaurants would be better than a bunch because they can focus on elevating those restaurants and it fit their lifestyle better.

Do you think the McDonald’s brothers did the right thing by selling out to Ray Kroc?

I do believe the McDonald’s brothers did do the right thing, by selling out to Ray Kroc because Ray Kroc was able to expand the company more than what it was since the brothers did not want to do that from the start. I would say the one thing the brothers did wrong was giving all the rights of the company to Ray Kroc. Since they did this they would not benefit from anything regarding the company, ie; the royalties the company makes.

How did the local store franchisees make money?

Before the local store franchisees would only have to pay a franchise fee, so they could keep all the profit from what they made in the store minus the fees they had to pay. That allowed them to make more money, but Ray Kroc changed that later on and started making all franchisees lease the land instead of just paying a fee.

How did Kroc make money? How was that different than the franchisees, running, the local stores?

Ray Kroc would make his money by using the restaurant as a showcase to sell the McDonald’s franchise to the country. With every franchise, he sold he would make 1.9% of the gross sales from that franchise, and he would give the company McDonald 0.05%

Does this film change your view of McDonald’s?

No, the film doesn’t really change my view of McDonald’s, it just helps knowing more of the background of what made this multimillion dollar company so successful.

“The Founder”

1. What makes Ray Kroc and the brothers different from each other?

The differences between the Rake Kroc brothers appear, he can Frenchize from a McDonald’s restaurant.  What they lack is their world view of business.  They were very smart about the restaurant project, but they were confused about how to create it, because they had done it before, and they encountered it.  We found the brothers in the movie set up 3 restaurants in Southern California, Sacramento and Phoenix and will expand due to good supervision.  They learned that by looking at the restaurant’s menu and seeing the same products, it would be better to open one than to open several restaurants.

    Ray Kroc is different from his brothers.  Ray Kroc learned that 1 restaurant is not enough to break into an empire.  Ray goes to the bank and asks for a loan to rent out land and build restaurants.  People asked to open the restaurant 7 days a week instead of just once a week.  And found a good person for the restaurant.  Ray’s brothers couldn’t do that because they didn’t know about marketing.  Ray Kroc operated several restaurants, but the brothers operated one.

2. Do you think the McDonald’s brothers did the right thing by selling out to Ray Kroc? Did Ray Kroc give the brothers a good deal?

I think they could have gotten more out of it instead of giving him less than he needed.  The deal he offered was less and one could do business with others.  In this way, he could increase the business of McDonald’s

3.  How did the local store franchises make money?

Central store franchises made money through auto payments.  Cars used to come there and take food.  This attracted many people’s attention.  The reason is that this fast system makes it easy for people to adapt.  After the customers finished eating, it was easy to waste.

4. How did Kroc make money? How was that different from the franchises, running the local stores? 

This is very different from franchises operated by local stores, because the local stores had to pay monthly payments to the lessee, basically not the banks or anything.

After Kroc found out that McDonald’s was almost gone due to a 1.4% cut in monthly expenses and more ice cream machines, and a partnership with the brothers, he knew how to renegotiate his stores.  So Harry J. Sonneborn, vice president and real estate agent of The Taste Free Corporation, gave Kroc some good tips on how to make money.Harry noticed that the restaurant was leased.  Harry told Ray to buy the leased land and later cancel the lease by leasing the land he owned to restaurants.

5.  Does this film change your view of McDonalds?

It was a good thing.  In conclusion, this has not changed my opinion of McDonald’s, as one would expect of any business that looks the same as Ray Kroc.

“The Founder” Reflection

  • What makes Ray Kroc and the brothers different from each other?

Ray Kroc is a serial entrepreneur who is after maximizing profits and growth of his businesses while the brothers are social entrepreneurs whose main focus is creating something that fits their values and adds to the community. Furthermore, they prioritize their own lifestyle at times as can be seen with their choice to slow down growth due to their battle with diabetes. Ray Kroc is willing to comprise the values of the company and the product for profits and growth like we saw in the milkshake changes in the movie.

  • Do you think the McDonald’s brothers did the right thing by selling out to Ray Kroc? Did Ray Kroc give the brothers a good deal?

I think the brothers made the right decision in the sense that they did not want to be involved in the expansion and Ray had expanded the company far past the sights of the original store. However, some of the rights like the Mcdonald’s name should not have been sold in that manner. I think selling such a revolutionary restaurant without keeping a cut was a bad deal, especially when the one percent of the company they received was a handshake deal from somebody who has proven to be untrustworthy. Furthermore, the value of the golden arches and various other Mcdonald’s branding is worth more than the stores themselves.

  • How did the local store franchisees make money?

The local franchisees paid a franchise fee originally, then everything else was purchased by the franchisee including the storefront. The franchises had to comply with the standards of McDonald’s but otherwise pay for the costs and kept the profits minus the fees. Later this would change when Ray Kroc decided to buy the property and have the franchisees lease the land from him.

  • How did Kroc make money? How was that different than the franchisees, running the local stores?

What made Kroc’s money was first the 1.9% of gross sales from the franchising fee and gave back the brothers .5% of that. However, this was only breaking even for Kroc, so Kroc after receiving advice from a finical investor choose to implement a new idea that differentiated his Franchising model from others. The model had Kroc first buy plots of land for stores and the franchisees would pay Kroc to lease the land. Giving Kroc greater control and Negotaiiting power over his franchisees.

  • Does this film change your view of McDonald’s?

Yes, I did not credit McDonald’s in the past for all its innovation in the restaurant and business space. From the revolution of the concept of fast food to the equipment and structure of the processes themselves all the way to Ray Kroc’s franchising model. I view Mcdonald’s as revolutionizing and being business savvy, however, my view of McDonald’s lack of quality is still persists. I do them credit for the consistency of their menu items from store to store despite wait time not being so.

The Founder

  1. The difference between the McDonald Brothers and Ray Kroc was business. Richard and Maurice McDonald did not have the same dreams of being big business men or turning the McDonalds restaurant into a global chain. They wanted to run one efficient and effective burger place they created with their own hands. Ray Kroc was a hustler and a businessman that was able to turn selling the brothers 8 milkshake machines into a 600 million dollar fortune at the time of his death. Essentially they both achieved there dreams with McDonald’s due to the success even though financially the advantage is clearly Ray Kroc.
  2. Yes I do believe the brothers did the right thing selling out to Ray Kroc in terms of allowing McDonald’s to be franchised across America. What the brothers did wrong in my opinion was the contract they drew up selling all rights over to Ray Kroc so they didn’t benefit from royalties or licensing fees. Ray Kroc did give them a fair deal at the time of the deal. The success of McDonald’s as a chain was done with the diligence Ray Kroc put in to ensure each restaurant served the same burger and fries and tasted exactly alike.
  3. The local store franchisees made money by selling the exact menu and recipe the Brothers provided. Ray Kroc funded the training and hiring of field consultants for each franchise meaning in the beginning each franchise and the brothers was making more then Ray.
  4. In the beginning stages Kroc made his money by franchising McDonald’s to his country club pals. It was different because Ray wasn’t hands on with running the store and faced the same issues the McDonald brothers did. The real money came when him and Harry Sonnenborn turned McDonald’s into a Real Estate Corporation leasing the land and the franchise undermining the brothers in the process. 
  5. No this does not change my views of McDonald’s. What started out as a burger joint for families turned into a corporation and money hungry empire behind its leader Ray Kroc.