The food company has introduced an all day breakfast but it does not seem to be working out for the food outlets.
McDonald’s Corporation has been going through a massive turnaround plan for a couple of months now, which is believed to be taking the giant to great heights at a lot of points. However, recently a lot of surveys were made on the all day breakfast plan which was introduced by the food giant as a part of the turnaround tactic and even though the shares of the firm were seen to climb up on the index, the results have come out to be a little negative. The company has been working really hard to bring this plan to effect and has been working towards making the new strategy work, by implantation of a massive marketing technique as well.
However, the all day breakfast plan has been deemed as a ‘nightmare’ by the analysts who have been carrying out surveys at the franchises as well, and it has been derived from the results that things might just not be as well for McDonald’s restaurants than they seem to be. According to Business Insider, the report that was carried out to see the change in the food business showed that the all-day breakfast plan has brought about quite a lot of chaos in the kitchens of the chains which has turned out to be quite a disaster on an overall basis.
The problem of chaos is more in the areas where the outlets or franchises are smaller in size. Furthermore, another source revealed that even though there are a lot of people who are coming to the restaurant to eat their favorite breakfast menu, the issue of selling more of the cheaper breakfast items instead of the usual meals carrying a reasonable price tag might turn out to be a bigger problem for the giant than it realizes for itself.
On the other hand, MCD franchises are believed to be carrying out an instruction from the management which is being considered as something not very smart by the management, as things that are being messed up in the kitchens is a big problem to be taken into consideration and might also cost the company some major figures if a better plan to turn around its revenue and sales figure is not introduced as soon as possible by the higher management.
Another McDonald’s outlet was survey by the Insider and it reported that the chaos in the kitchen are also disappointing quite a lot of customers as they have to wait for long before they receive their order and sometimes it gets so late that they just leave in large numbers rather than waiting on their food.
The fast food change firm is following a turnaround plan, but analysts believe that this might not be the right way to bring about a positive change in the firm.
Analysts in the food industry are still looking at McDonald’s Corporation as one of the biggest successes seen by the businesses being carried out in the United States of America keeping in mind it started in the 1940s from just a mere burger stand. Currently, the food giant has around 35,000 outlets all over the world which can be seen as nothing but sheer success. It has also been seen by the analysts that no matter what, the firm is represented America in countries all over the globe with the kind of food it sells. However, there are some issues that groped McDonald’s business in a much disastrous manner which has resulted in the firm experiencing a difficult position in the financial market. The fact that the increasing competition in the industry in which the customers of the food company showed more interest in other food chains which were offering a more healthy deal became quite an undoing that was not expected by the firm to take place. Also, more and more brands have lately been emerging in the markets that have taken away most of the attention of the customers which was previously only confined to the burger joint.Things have reportedly become quite bad, so much so that McDonald’s restaurants recently announced that they will be closing down stores all over the globe in order to cut down on expenditures and face the current difficult time on the stock index. According to a recent press release, it was informed that the firm declared in April that it has plans of closing down around 700 stores worldwide, and the task will be completely probably by the end of the current year. As per a report published by Associate Press, the current year was recorded as the first year in the history of the fast food chain in which it has to cut down on so many stores altogether.Recent news showed that the rival companies in the industry seem to be doing better than McDonald’s business by a mile which is something to be reckoned with, considering the new CEO has applied a turnaround plan to be followed by the firm. Analysts, on the other hand, believe that currently the food chain needs to go back to what it is best at selling and decrease the prices of those food products and deals. Also, in analysts’ opinion, by adopting the idea of customization, the firm is not going in the right direction and it should just focus on something that it knows best.
