Exterior view of the first McDonalds Fast Food Restaurant in Des Plaines, Illinois in 1955, with its neon arch illuminated at night. The golden arch first appeared in a Phoenix store that opened in March 1953. The company registered it as a trademark in 1961, but the appearance of the bow has changed over the years.
Later that year, the company sold its billion-dollar hamburger and introduced Ronald McDonald, a red-haired clown who appeals in particular to children. The name of the company was McDonald’s, and the face of the company became Krocs. Fred Turner and Ray Kroc were the directors of McDonald’s looking for a blueprint for the future of the restaurant, and in 1975 the McDonald brothers were in their fading background.
When the brothers replaced potato chips with French fries and introduced the triple-thick milkshake, the retooled restaurant began to take off as family business owners became attracted to the cheap 15-cent hamburger and budget menu. But the restaurant struggled financially, firing car dealers who berated the brothers. In the early 1950s, labour costs were cut, revenues rose to $350,000 a year and the brothers saw their profits double.
Ray Kroc encouraged the brothers to expand, but they were not as strong as he was, and the victory became the foundation of McDonald’s Corporation. Kroc bought the company from the McDonald brothers for $2.7 million in 1961, for which the brothers received $1 million in taxes and a 19 per cent annual royalty. McDonald’s headquarters were in Oak Brook, Illinois, but Kroc kept an eye on the Des Plaines location.
McDonald’s (full McDonald’s Corporation) is an American fast-food chain known for its hamburgers, one of the largest in the world. The company serves 68 million customers a day and some forecasters believe that Starbucks McDonald’s as the world’s most valuable restaurant company will soon overtake it, according to Bloomberg.
Maurice and Richard McDonald founded the first McDonalds restaurant (McD Report) in 1948 by turning their drive-in grill restaurant into a Burger and Milkshake joint. Based in San Bernardino, California, it was the brothers’ second venture into the food industry. They purchased equipment for their small hamburger restaurant after salesman Ray Kroc fascinated them with the need for eight malt and shaker mixers.
The McDonalds brothers produced a limited menu that focused on a few items such as burgers, fries and drinks, allowing them to focus on quality fast service. The original McDonalds focused on its burgers and fries and shakes and sold them at prices well below those of competing restaurants at the time.
In 2003, Ray Kroc’s McDonalds Corporation was 50 years old, and McDonald’s, the concept of fast food restaurant itself, was old enough to qualify for the AARP membership but when it became known, sales stagnated. Analysts, management, owners and customers recognized that McDonald’s needed to be revived.
Impressed by their business model, Kroc bought the rights to start franchising McDonald’s restaurants, but at the time McDonald licensed a small number of franchise restaurants in Arizona and California. In 1955, he founded the McDonalds Corporation and opened his first franchise restaurant in Des Plaines, Illinois.
When Kroc saw the great promise of their restaurant concept, he offered to start a franchise program for McDonald’s. Although McDonald’s created the first restaurant and its business model in gastronomy, it was Kroc who founded the McDonalds Corporation.
In 1961, Kroc started a training program called Hamburger University at a new McDonald’s restaurant in Elk Grove Village, Illinois. Franchisees have been trained in the right methods to run successful McDonald’s restaurants. The program used a research and development laboratory in nearby Addison, Illinois to develop new techniques of cooking, storing, and serving.
Ray Kroc perfected the art of automating the hamburger-making process, making it possible to manufacture and sell it in a flash. Obtaining a McDonald’s franchise meant obtaining a license to print money. Such a franchise was owned by James D. Zien, owner of the Criterion restaurant on University Avenue in St. Paul in 1957 and his brother-in-law Sim Heller. At University Ave., in a chic white tablecloth restaurant, Zien witnessed the immediate success of Minnesota’s first McDonald’s (2075 Snelling Ave., Roseville), and 63% of the country saw the opportunity.
Kroc’s first McDonald’s Restaurant opened on April 15th, 1955 at 400 North Lee Street in Des Plaines, Illinois near Chicago. The first restaurant in Finland was located in the trading house at Keskustori Market Square, which has since been closed. The first Starbucks restaurant in Estonia operated in the Old Town of Tallinn.
The first McDonald’s restaurant was opened by brothers Richard and Maurice McDonald. Her father ran a food stall called Airdrome in Monrovia, California, selling cheap hamburgers and orange juice. In 1940, the brothers moved the restaurant to San Bernardino, California and named it McDonald’s Bar-B-Q, where they sold barbecues.
In 1954, Ray Kroc, salesman of Multimixer Milkshakes, learned that brothers Richard, Maurice, Dick and Mac McDonald used eight of his high-tech multimixers at their restaurant in San Bernardino, California. His curiosity was piqued, and Kroc went to San Bernardino to see the restaurant.
He tried to work in many professions, including as a paper cups salesman, pianist, jazz musician and band member at a radio station in Oak Park. He returned to his Chicago home with the rights to open a McDonald’s restaurant in Chicago and a handful of jurisdictions in California and Arizona that were licensed to the McDonald brothers. Chicago native Ray Kroc exclusively sold a milkshake mixer called the Multimixer in 1939.
In 1954, he visited the McDonald Brothers and was impressed by their business model, which made him their franchise agent. He found a small but successful restaurant run by the brother’s Dick and Mac McDonald and was overwhelmed by the effectiveness of its operation. Kroc opened the first McDonald’s System, Inc restaurant in 1961. He acquired the rights to the company from the McDonald brothers for $2.7 million.