McDonald’s Corporation (NYSE:MCD) Slashes Seven Sandwiches From The Menu

Fast food company McDonald’s Corporation (NYSE:MCD) removed seven special sandwiches from its menu among other cuts that the company has made.

Let this analyst breakdown the obvious technical-indicators for MCD.

The sandwiches were removed from the menu as a strategy to speed up the kitchens. An example of the sandwiches affected is the deluxe six and seven-pound chicken sandwiches. The company claimed that their menu was too bulky and thus cutting down on the menu was a better idea.

McDonald’s has been experiencing constant declines and is struggling with a dwindling customer base. At one point, the fast food company was a sensation to Americans but times have changed against the company’s favor. Customers are now beginning to consider healthieroptions.

The decision to trim the menu is probably part of the company’s adaptation strategy as the company goes through a changing phase. Only recently, the fading fast food giant decided to introduce all day breakfasts to its menu. The decision proved to be helpful as the company experienced slight improvements in profit margins.

Trimming the menu could be beneficial to the company in the sense that the kitchens will be freed up. That means they will be less clogged with diverse menus therefore significantly reducing the time taken to prepare the rest of the meals. The expected results are faster customer service that should result to a faster customer flow. The end result is an improved revenue flow. Additionally workers will be less tired thus they will be more productive.

But the problem will not completely be solved. The company is still experiencing harsh competition from other franchises such as Burger King and other upcoming fast food joints. Analysts speculate that the current generation of people who eat out are more conscious about their health. Most of them do not consider fast foods from McDonald’s to be healthy, despite their tasty nature.

McDonald’s Corporation (NYSE:MCD) has been slow to change and has not deviated from its fast food strategy for a long time. Perhaps adopting a more healthy food culture would return the company to its former glory.

Scott Sally

Scott Sally

Sally joined the US Markets Daily News Team in April 2011 as a Multimedia Journalist.