Quote:
Originally Posted by kane
I have no idea how he is doing today, but I am assuming it is pretty good. I think it is safe to say with the sites he owned back in their prime he easily eclipsed the millionaire title.
|
Damn, I am so glad I have that troll on ignore.
But reading what you quoted him saying...I'll just skip over his insults to me and address the stupidity of what he said.
I pretty clearly stated that McDonald's ALWAYS makes their money. Doesn't hurt their corporation one bit UNLESS sales go down.
It's the local franchise owner who loses all of his profitability with unrealistic wages for unskilled labor.
As the former McDonald's president said:
Average McDonald's franchise sales are about 2 and half million dollars a year. After paying for all the food, employees salarys, taxes, matching funds for employee fica taxes, electric bill, and all the other bills that come with owning a business...they end up at the end of the year with a little more than $150,000 in profit for the business.
NO, that doesn't mean the franchise owner only made $150,000 for the year. Because he better be paying himself a six figure salary as the owner.
But what it does mean is the company he owns as the franchise owner only profits about $150,000 for the year.
That is profit that the owner can stick in his pocket, or use to invest more in his store, or invest in other ventures. Or whatever he wants to do with it.
As the guy said: Raise the minimum wage to $15 and hour and you effectively wipe out that profit.
So what happens is...they raise prices as much as they can (which they have definitely done). And then you reach a point where customers won't pay your asking price for a Big Mac anymore and you start losing money.
Now McDonalds corporate is going to get pissed and you become a money losing store and in danger of losing your franchise.
So...you start automating and regain your sales and profitability.
But the down side for the employees is...they are out of a job.
And that is what is about to happen...it's already starting.