McDonalds is A Competitive Fast Food Firm Essay -- Fast Food Industry

A Competitive Fast Food Firm Firms within the fast diet industry fall under the market bodily structure of competition. Market structure is a classification for the key traits of a market. The characteristics of a market that is militant would include a large number of buyers and sellers, easy entry to and expire from the market, homogeneous products, and the firm is a price taker. Take McDonalds fast sustenance restaurant for example. In 1954, Ray Kroc became the first immunitye appointed by mackintosh and Dic McDonald in San Bernadino, California. He opened his first restaurant in De Plaines, Illinois (near Chicago), and the McDonalds Corporation was created. By 1959, the 100th McDonalds had opened in Chicago. In the early years of the 1960s, Ray Kroc had bought all rights to the McDonalds concept from the McDonalds brothers for $2.7 million. In 1963, the 500th restaurant had opened. By the end of the decade, McDonalds was listed on the New York stock exchange, had opened restaurants in either state of the sum of money and also outside the USA. By 1972, assets exceeded $500 million and sales surpassed $1 billion, a new McDonalds restaurant was opening nearly every day. In 1984, Ray Kroc died, but his company was and then serving 17 million customers a day, equivalent to serving lunch to the entire tribe of Australia and New Zealand. If McDonalds lined up all the hamburgers sold since 1955, they would view circled the equator 103.75 times and reach to the moon and back 5 times. Today, McDonalds body one of the most competitive franchises ever created because they still have a large number of buyers and sellers, easy entry to and exi... ...dustry is the ease of entry into the market. Start-up franchises within this market structure can begin operating with relatively slump initial investments (compared to other industries). This is not the case where monopoly companies, such as M icrosoft is concerned. thither are numerous barriers to entry into a Monopolistic market structure, expectant being one of the most prominent barriers. If a new franchise offered the consumer a quality product at a reduced price, then the chance of success are greatly increased. McDonalds established a name for themselves by offering quality food and fast, friendly service. This is a very important concept in the fast food industry. in one case they established themselves to the consumers and became more visible, they created more demand, which lead to a greater tax for them.