Financial Overview - Mcdonalds Case Study

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Financial Analysis of the McDonald’s Corporation

MCD, NYSE (New York Stock Exchange)
One McDonald's Plaza, Oak Brook, IL 60523 Map
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McDonald’s is the most famous and well-known fast-food company in the world. This case study examines McDonald’s from a financial standpoint. This case study will be broken down in three parts. Discussed first will be a full description of McDonald’s corporation, including its background, followed by a financial overview with comments for each financial category reviewed, the a comparison of financial ratio’s between McDonald’s and it rival Burger King derived from their 2009 and 2009 annual reports. Finally a support will be provided based off of all findings.

Part One: Company Description
The McDonald’s Corporation is a well-known restaurant chain that franchises and operates fast food restaurants worldwide. Reuters (2011) states that each restaurant is operated either by the Company or by franchisees. This includes conventional franchisees under franchise arrangements, and foreign affiliated markets and developmental licensees under license agreements. The company’s mission is to be our customers' favorite place and way to eat (McDonald’s, 2011).
Company history
McDonald’s history originates in 1940, when it started out as McDonald’s Bar-B-Que by Dic and Mac McDonald. In 1948 McDonald’s was officially founded serving only nine items, which included a 15-cent hamburger. In 1955, Ray Kroch opens his first McDonald’s on April 15. This was the first franchised McDonald’s. It was also the first building to include the Golden Arches. In 1955, the company celebrated it first public stock offering and the rest is history (McDonald’s, 2011). Also, McDonald's has been an Olympic sponsor since 1976 (Reuters, 2011).
McDonalds’ Chief Executive Officer…...

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