Financial Accounting Blog

Monday, September 22, 2003

BusinessWeek reports that McDonald's has a new CEO, new products and a new strategy that seems to turning around the fortunes of a slumping company.
New CEO Jim Cantalupo has made the long overdue change of slowing annual store growth to about 1% to 2%, vs. the 5% or more of previous years. And McDonald's has reported several straight months of same-store sales gains in the U.S., indicating better productivity per outlet. In August, after more than a year of negative monthly performance, its Europe stores also saw a modest same-store gain of 1%.
I found this article interesting since we just discussed McDonald's problems during the early 90's. They seem to be correcting the problems along with being lucky on a tie in promotion with Finding Nemo.