Posted BY: Wyatt | NwoReport
Now this is very serious, folks. A new report by Franchise Consulting Group has exposed that McDonald’s business model is in its dying days. Believe it or not, the biggest fast food chain in the entire world is facing rising unrest among franchisees that generate over two-thirds of its revenue in the U.S. and say the company is on a “destructive path.”
One of them has gone bankrupt and filed for bankruptcy just 45 days ago, and insiders familiar with the matter are saying that systemic risks are rapidly growing for the food service retailer given that about 30% of franchisees are currently insolvent.
To make things worse, by the end of 2023, 2,000 McDonald’s restaurants may disappear from U.S. cities. Pressure from regulators, labor tensions, and financial losses may force the fast food giant to sharply reduce its brick-and-mortar footprint this year as it faces a reckoning after years of mismanagement, according to the analysis.
The report notes that management is struggling to justify higher fees and other charges to franchisees that are already coping with rising wages and the unrelenting climb in costs for ingredients and packaging which have been eroding profits over the past few years.