McDonald’s has already closed hundreds of stores since 2015, and more are scheduled to be shut down. But they have been unable to appeal to consumers while adapting to President Barack Obama’s heavy-handed regulations. Obamacare and other tax policies have made the cost of doing business skyrocket for the fast food giant. Instead of trying to fight the White House and bad foreign trade deals, they are simply shutting down countless stores and laying off American workers.
This is bad news for America’s favorite hamburger restaurant. As Forbes reports:
The restaurant company closed 350 stores in early 2015, on top of the 350 it had already said it would shutter, as the burger purveyor seeks to stanch sales declines.
McDonald’s MCD 1.12% shuttered 350 poorly performing stores in Japan, the United States, and China the first three months of 2015 as part of its plan to boost its sagging profits.
Those previously unannounced closings, disclosed on a conference call with Wall Street analysts on Wednesday, are on top of the 350 shutterings the world’s largest restaurant chain had already targeted for the year. While those 700 store closings this year represent a fraction of the 32,500 or so restaurants worldwide, they show how aggressive McDonald’s is getting in pruning poorly attended locations that are dragging down its results.
Earlier on Wednesday, McDonald’s had reported an 11% decrease in revenue and a 30% drop in profit for the first three months of year, a continuation of its troubles in the last two years as it has struggled to compete with new U.S. competitors, a tough economy in Europe and a food safety scare in Asia.
The remaining stores are trying to keep the lights on by raising prices, but consumers are FURIOUS! After all, unlike health insurance, no one is mandated to buy food from McDonalds. Thousands have expressed their outrage on social media.
Just weeks after launching its popular McPick 2 promotion, the burger chain just raised its price to $5 from $2, and some customers are not happy.
Starting Monday, customers will be able to select two of the following for $5: a Big Mac, 10-piece chicken McNuggets, a Filet-O-Fish sandwich, chicken nuggets and fries and a quarter pounder with cheese. When the promotion started in January, you could get a McDouble, a McChicken, small fries, and mozzarella sticks for $2.
Via Fox News
Worst news all day is that @McDonalds McPick $2 for 2 is gone
— FlyGuyFitz (@Gaelen7) February 19, 2016
Taking away the mcpick 2 for $2 was probably the worst thing you could have ever done to me @McDonalds
— ri (@_mariaaaahh) February 22, 2016
The legendary chain has also tested strange new foods in an attempt to stop the bleeding:
If you’re a fan of Big Macs and the Filet O’Fish, you may want to order one before your local store closes down, too.
What do you think about McDonalds closing 100s of stores? Please leave us a comment and tell us!