- What makes Ray Kroc and the brothers different from each other?
Ray Kroc is a businessman and the brothers are talented and creative innovators. Ray takes their hamburger kitchen/stand and transforms it into a multi-million-dollar corporation. In my opinion, their differences are what makes a business successful. Having the creativity and inventions backed by an investor that will make the idea tangible and profitable is important. I think the brothers had a different idea in mind and didn’t really understand how the business world works. This explains why Ray and Dick constantly bumped heads.
- 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 am conflicted on this answer. I think they did the right thing initially, because they had high-hopes of expanding their restaurant that they built from the ground up. They likely saw a prosperous future. Although Dick had many reservations, he ended up signing because Ray told them he would take care of the issues they had in the past when they tried to franchise. I also think they should’ve kept their business a local, “mom and pop” shop that maintained their values. Their business probably wouldn’t have grown much, but they would have had their dignity and pride intact, knowing they stayed true to themselves and their business.
- How did the local store franchisees make money?
The local store franchisees made money by the direct profit of the restaurants.
- How did Kroc make money? How was that different than the franchisees, running the local stores?
Initially, Kroc made money from the 1.4% profit from the franchisee’s location, per the contract. Eventually, after meeting with Harry, he decided to solely focus on buying the land for the McDonald’s locations and then leasing it to the franchisees. By doing so, he not only made profit from the 1.4% but also from leasing the locations.
- Does this film change your view of McDonald’s?
It absolutely did. The ending was emotional because we watch the brother give up something they worked so hard for and built from the ground up. Part of me wishes they would have divvied up the task of making a business successful- Maurice could have focused on the restaurant quality and operations, while Dick focused on the business and franchising. That way they could have had full control over everything. When I think about McDonald’s quality of food now, I can see why the brothers wanted to keep their standard. I think they would be upset about what it has evolved into. While delicious, I have heard rumors that the food is basically filled with preservatives and not real food.