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Recession? McDonald's Is Loving It

By Kevin Spak,  Newser Staff

Posted Aug 12, 2009 1:42 PM CDT

(Newser) – Now that the recession’s supposed to be just about over, it’s time to survey the battlefield and pick out winners, and nobody was a bigger winner than the Golden Arches, writes Daniel Gross for Slate. McDonald’s sales grew more in 2008 than in 2006 or 2007, and it opened 600 more stores even as its competitors were closing theirs down. So far, it’s had same-store sales boosts in every month of 2009. How’d Ronald do it?

  • Cash-strapped consumers needed to trade down, and realized it's "a viable alternative to casual restaurants like Ruby Tuesday and to cooking at home."
  • McDonald’s focused on coffee, a high-margin item that won over consumers rethinking their $4 Starbucks habit.
  • Europe gobbled up their Royales With Cheese; McDonald's posted 6.9% same-store sales growth across the pond last quarter.
  • McDonald's is actually an aspirational, middle-class brand in developing countries like China, India, and Indonesia—all economies that kept growing despite the recession.

This undated file photo shows a large order of McDonald's french fries.
This undated file photo shows a large order of McDonald's french fries.   (AP Photo/Rich Kareckas,File)
A sign with the well-known golden arches hangs on a McDonald's restaurant, Tuesday, April 17, 2007, in Chicago.
A sign with the well-known golden arches hangs on a McDonald's restaurant, Tuesday, April 17, 2007, in Chicago.   (AP Photo/Charles Rex Arbogast)
A McDonalds's sign across from Wrigley Field, home of the Chicago Cubs, welcomes fans Thursday, May 24, 2007, on Chicago's North Side.
A McDonalds's sign across from Wrigley Field, home of the Chicago Cubs, welcomes fans Thursday, May 24, 2007, on Chicago's North Side.   (AP Photo/M. Spencer Green)
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One couldn't imagine Barack Obama stopping in for coffee and a Quarter Pounder, the way Bill Clinton used to after a jog. And yet, McDonald's has done quite well in a very difficult period for large corporations. - Daniel Gross

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COMMENTS
Showing 3 of 11 comments
Robert_Dada
Aug 13, 2009 12:03 PM CDT
Nobody can beat McDonald's fries. That's all you need to know.
schmidtkoff
Aug 13, 2009 11:58 AM CDT
homemade are better. cheaper too.b
alicia
Aug 13, 2009 1:33 AM CDT
I agree with you to an extent, but i feel most of the blame goes to the parents, teach your children self control and how to eat correctly. Fast food is there and it is cheap, but it is not the blame for obesity. self control is what is needed, us skinny ppl shouldn't be punshied becuse people don't know how to say i am now full stop eating! my local mc donalds started to use water down oil for frying, needless to say I don't eat there anymore. the part of your comment that gets to me is saying that it affects the poor the most, i would like to see the results from that study. Their are just as many people fat who are rich. I hate how everytime their is a problem in the country someone says its the poor. their are many uneducted rich people (half of hollywood lol). their are many uneducated poor also. There are also many educated poor people that just can't get ahead, what i am tring to say is don't group people together it is rude.

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