McDonald’s is Global – and in Your Hometown

McDonald’s is the leading global foodservice retailer with more than 34,000 local restaurants serving approximately 69 million people in 118 countries each day. More than 80% of McDonald’s restaurants worldwide are owned and operated by independent local men and women.Our goal is becoming customers favorite way and place to eat and drink by serving core favorites such as the world famous French Fries, Big Mac, Quarter Pounder and Chicken McNuggets.

Our Strategic Direction

The strength of the alignment among the Company, its franchisees and suppliers (collectively referred to as the System) has been key to McDonald’s success.  This business model enables McDonald’s to deliver consistent, locally-relevant restaurant experiences to customers and be an integral part of the communities we serve.  In addition, it facilitates our ability to identify, implement and scale innovative ideas that meet customers’ changing needs and preferences.

McDonald’s customer-focused Plan to Win provides a common framework for our global business yet allows for local adaptation.  Through the execution of initiatives surrounding the five elements of our Plan to Win – People, Products, Place, Price and Promotion – we have enhanced the restaurant experience for customers worldwide and grown comparable sales and customer visits in each of the last eight years.  This Plan, combined with financial discipline, has delivered strong results for our shareholders.

Reporting Segments

The business is managed as distinct geographic segments that include:

• US
  


• Europe
  


• Asia/Pacific, Middle East and Africa (APMEA)
  


• Other Countries & Corporate(OCC) including Canada, Latin America and Corporate

Restaurant Ownership

We view ourselves primarily as a franchisor and believe franchising is important to delivering great customer experiences and driving profitability. At year end 2010, 80% of McDonald’s restaurants were franchised. Of the total McDonald’s restaurants worldwide:

• Nearly 59% are conventional franchisees
  


• 21% are licensed to foreign affiliates or developmental licensees
  


• Nearly 20% are Company-operated