Joel Libava
(Image courtesy Wikipedia commons)
McDonald’s franchisees may be getting a gift from corporate headquarters. This “gift” may come in the form of a $5 Menu.
McDonald’s franchisees have been in the news lately. There have been strikes. There was a franchisee who paid his employees in a weird way. And just about every franchisee of McDonald’s has been complaining loudly about their increasingly thin margins.
Is There Good News On The Way For McDonald’s Franchisees?
Reports state that the world’s biggest hamburger chain says it has been testing versions of its famous value menu that’s called “Dollar Menu & More” in five markets across the country. The company noted that no official changes have yet been made to its current Dollar Menu, which was introduced more than a decade ago.
McDonald’s is on a fairly aggressive path these days as they try to attract more customers. They have been adding new items-chicken wings are coming soon. In addition, new egg white sandwiches and very creative Quarter Pound hamburger varieties have been added this year.
One Concern
Some stock analysts seem to be a bit worried about a price-raising strategy. The fear is that profit margins could shrink on the corporate level, and that would hurt McDonald’s stock price.
Franchisees of McDonald’s are probably concerned, too. Higher menu pricing could hurt store traffic.
Time will tell if this idea- $5 menu items, will stick.
What do you think? Would a $5 McDonald’s Menu work?
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