Russia Loves the Golden Arches

By Kevin Spak, Newser Staff

Posted Oct 16, 2007 12:08 PM CDT

(Newser) – Russians can’t get enough of McDonald’s, which is a good but frustrating situation for the fast-food giant. The company could easily open 100 new restaurants, executives tell the Journal, save for two things: their new corporate philosophy, which values quality over growth, and Russia’s rampant bureaucracy.

McDonald's is limiting itself to 15% growth in Russia, making it among the company’s fastest-growing markets. But red tape—opening one location can require 200 signatures—and skyrocketing real estate prices have waylaid 20 of the 32 restaurants planned for this year. In place of new stores, McDonald's is trying to make existing locations operate more efficiently.

[Images (4)]

[Videos (2)]

Two young people flirt over fast food in a Moscow McDonald's. (Magnum Photos)

As Russia cements its place as one of McDonald's most lucrative targets, the fast-food chain is learning from past mistakes and emphasizing quality over quantity. (Magnum Photos)

For a growing culture of people hungry for western-style experiences, McDonald's has quickly become a preferred destination in Russian cities. (Magnum Photos)

A sign with the well-known golden arches hangs on a McDonalds restaurant, Tuesday, April 17, 2007, in Chicago. McDonald's Corp. said Friday, April 20, 2007 its first-quarter earnings climbed 22 percent,... (Associated Press)

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I'm lovin' it (Russian) -- 2003 McDonald's Commercial (filipeaugusto7 (YouTube))

In McDonald's line (Moscow, Russia) (bobzorin (YouTube))

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