McDonald's Loses Its Trans Fats Summary:
McDonald's is the world's largest restaurant chain, recently decided to cook their products without trans fat. The company's goal is to avoid trans fat from most of their cookies, sandwiches, pies by the end of the year. However, some products are already prepared free of trans fat. McDonald's didn't remove trans fat for a long time, as they didn't want to spoil the taste of their product, especially French Fries.
As one of the McDonald's executives said that their company instead of putting the hi
ghest cost on product they share expenditures with customers, so they don't need to pay much money. In addition, nowadays McDonald's sales growth rate decreased as consumers become more cautious. However, executives of that company are optimistic about sales of the rest for the year.
Moreover, McDonald's is not going to remove Dollar Menu, though many franchises complain of their non profitability.
Opinion:
It's often difficult for especially big companies to change its products or target of their
consumers, because there's uncertainty of expectations. Each small change can have a great influence on sales, products, employees. Therefore, many companies slow the time of changeover; why do they need to change in general? Some do it because current product doesn't bring profits, some - health pressure. And it's efficient if the company cares about its consumers, their purpose is not just to sell the product, but also to be sure that it won't damage their health. This is all about customer relationship.
Janet Adamy, McDonald's loses its trans fat, The Wall Street Journal, May, 2008
http://online.wsj.com/article/SB121151133018416567.html?mod=SmallBusinessFranchising_RelatedStories
McDonald's is the world's largest restaurant chain, recently decided to cook their products without trans fat. The company's goal is to avoid trans fat from most of their cookies, sandwiches, pies by the end of the year. However, some products are already prepared free of trans fat. McDonald's didn't remove trans fat for a long time, as they didn't want to spoil the taste of their product, especially French Fries.
As one of the McDonald's executives said that their company instead of putting the hi
ghest cost on product they share expenditures with customers, so they don't need to pay much money. In addition, nowadays McDonald's sales growth rate decreased as consumers become more cautious. However, executives of that company are optimistic about sales of the rest for the year.Moreover, McDonald's is not going to remove Dollar Menu, though many franchises complain of their non profitability.
Opinion:
It's often difficult for especially big companies to change its products or target of their
consumers, because there's uncertainty of expectations. Each small change can have a great influence on sales, products, employees. Therefore, many companies slow the time of changeover; why do they need to change in general? Some do it because current product doesn't bring profits, some - health pressure. And it's efficient if the company cares about its consumers, their purpose is not just to sell the product, but also to be sure that it won't damage their health. This is all about customer relationship.Janet Adamy, McDonald's loses its trans fat, The Wall Street Journal, May, 2008
http://online.wsj.com/article/SB121151133018416567.html?mod=SmallBusinessFranchising_RelatedStories
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