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re: Dozens of Black former franchisees sue McDonald's, alleging 'systematic' racism
Posted on 9/1/20 at 9:10 pm to slackster
Posted on 9/1/20 at 9:10 pm to slackster
quote:
It’s not like the franchise is the one losing money in a bad locale, it’s the franchisee.
The franchise definitely wants it to do well. They get a portion of sales. Doesn’t McDonalds typically own the real estate in which the business operates as well?
Posted on 9/1/20 at 9:11 pm to No Colors
quote:
One of the first, most successful black McDonald's owners in the country emerged in Jackson MS in the late 70s. He had something like 8-10 stores and McDs was giving him more every year. He was featured in some national publications and all that.
Roy Griggs must have trained under him- he own’s something like 15 McD’s in the Shreveport area, and I’m pretty sure he’s from Jackson. He just helped round up $100,000 to buy SPD body cams
Posted on 9/1/20 at 9:14 pm to slackster
quote:
every company under the son
Jesus hears their prayers.
Posted on 9/1/20 at 9:23 pm to slackster
quote:
I simply find it easily plausible that in a rush to diversify their ownership in the 1990s, McDonald’s misled franchisees into poor locations. Doesn’t take much effort to imagine.
If there’s a case here, this seems like the most likely reason. The reality is that there are a shitload of McDonald’s restaurants out there. If you think about the demographics, the areas most likely to have prospective minority owners are likely older, developed cities. How many prime locations are there that don’t already have a McDonald’s in these cities?
I could absolutely see a situation where, as you mentioned, McDonald’s is in a rush to increase minority ownership and best locations are already taken. If that’s the case, though, the lawsuit would be pretty ironic - they would basically be suing McDonald’s for even trying to increase diversity among franchisees.
Posted on 9/1/20 at 9:27 pm to dgnx6
quote:
As an owner you can't just put your name on a line if credit then sit back while other idiots destroy your business.
Of course. I just can’t dismiss this case on the surface. Was it racism? Maybe at some level, but it was probably fraudulent/misleading more than anything.
Posted on 9/1/20 at 9:33 pm to RLDSC FAN
They’ll win easily, go ahead and settle with them. It doesn’t matter what the facts are or what the truth is, they will win.
Posted on 9/1/20 at 9:41 pm to RLDSC FAN
I guess they thought the timing of this suit was good, with today's climate?
Posted on 9/1/20 at 9:47 pm to slackster
quote:
And I will bet every single cent to my name McDonald’s lies their arse off to potential franchisees to get them to open up these stores.
Probably true, as well. That is why any potential franchisee should do due diligence and spare no expense or effort to determine if what they are getting is legit. If this were such a huge, rampant problem, there would be no shortage of disgruntled McDonald's owners to warn against getting in business with them.
Posted on 9/1/20 at 9:48 pm to LegendInMyMind
The numbers aren’t promising for MCD, assuming they’re true.
Posted on 9/1/20 at 9:51 pm to slackster
quote:
And I will bet every single cent to my name McDonald’s lies their arse off to potential franchisees to get them to open up these stores.
Mcdonald's has never been like up and comer franchise opportunities, like a Little Caesars. Mcdonald's marketing has prided themselves on successful restaurant placement.
You're not going to find a McDonald's open up in a downtrodden, low traveled place.
So, they don't advertise and encourage people to buy franchises, for the sake of opening up another one.
Posted on 9/1/20 at 9:54 pm to LegendInMyMind
When I was in it, McD's got about 12-13 % of sales off the top in rent/service fees. Franchise agreement was 45 k over 20 years. Believe me, Corp wanted franchisee to succeed and did everything possible to ensure it. They didn't pass out franchises to just anyone, they like to win. As a shareholder, so do I.
Posted on 9/1/20 at 9:58 pm to tiger81
One more thing, in a courtroom, BLM don't exist. Bet on the home team, if it goes that far.
Posted on 9/1/20 at 10:03 pm to tiger81
quote:
They didn't pass out franchises to just anyone, they like to win
I have heard this:
They like leveraging the real estate you find as a renter, and first option on the real estate you're appreciating on their behalf, no?
Posted on 9/1/20 at 10:04 pm to RLDSC FAN
“While in 1998 there were 377 Black McDonald's franchisees, today there are only 186 left standing, according to a statement from Ferraro's office. During that same period, however, McDonald's stores have increased from 15,086 to 36,059.”
Posted on 9/1/20 at 10:11 pm to RLDSC FAN
They racist to black neighborhoods.
Posted on 9/1/20 at 10:15 pm to RLDSC FAN
quote:I.e the ghetto
locations that are destined to fail.
Posted on 9/1/20 at 10:15 pm to tiger81
quote:
They didn't pass out franchises to just anyone, they like to win.
I don’t disagree, which is why the numbers are pretty peculiar with respect to the black franchisees today.
Posted on 9/1/20 at 11:03 pm to fastedLSU
You noticed that little apple and orange.
Posted on 9/1/20 at 11:30 pm to Spankum
quote:
does McDonald’s actually tell you where to put the store that you pay for?
No, but you can't have one too close to another one unless you own that one too.
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