In 2022, McDonald’s generated much revenue from franchised restaurants in the US vs. international markets. Indeed, McDonald’s generated $6.58 billion in revenue in the US from franchised restaurants and $2.83 in company-operated restaurants.
McDonald’s follows a heavily franchised business strategy, where over time, the company is turning most of its stores into franchises.
Our research identified three types of franchising business models that move between franchised to chained business models.
This is in contrast, perhaps, with a company like Starbucks which follows an entirely different strategy skewed toward company-operated stores.
A similar strategy to McDonald’s is employed by Burger King.
An hybrid model is followed by Coca-Cola, which we call “franchained” where Coca-Cola uses an owned strategy in the short term as complex operations are established.
Yet, over time Coca-Cola turned its subsidies into a sort of franchised operation, where the company can keep proper control through distribution deals and ownership stakes.
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Read Also: McDonald’s Business Model, Coca-Cola Business Model, Coca-Cola Distribution Strategy.
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