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Macdonald Study Case

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Overview McDonald’s dominated the hamburger fast-food chain restaurants which hold 35% of market shares in 1979. It annual growth revenue reaches up to 29% through 1970s. By June 1980, McDonald’s has 5,951 restaurants worldwide. Hillybourne McDonald’s restaurant is located on a heavily commercialized business district. It was lined up with several restaurants, car dealer, gas station, college, public building and department store. It opens from 7.00 am until midnight, 363 days a year. Volume peaks time occurs on Friday during the lunch time. This store generates total volume of $1.1 million in 1980. The hillybourne McDonald’s listed all six standard sandwiches, separated with its type, there are Burger Patty (Hamburger, Cheese Burger, and Big Mac), Quarter Patty (Quarter pounder and Quarter pounder with cheese), and Fist Fillet THIS IS A BIG LAPSUS AHAHAAHAH.
Demand analysis: To draw the demand analysis some assumptions have to be made. First, we supposed that the Hillybourne McDonald’s sells the same number of burger patties per week. Secondly, the percent of day’s sales for each open hour is proportional with the percent of burger patties sales for each open hour. For example the peak hourly demand for burger patties between 12:00 and 1:00 pm is 14,9% of total burger patties sales. The aim was to show how many burger patties were ordered during a Friday between 12:00 and 1:00 pm. The calculation table for identifying demand is shown on Exhibit 1.

Step 1: What is the amount of total sales in $ per week for burger patties (Big Mac, Cheeseburger, Hamburger and Happy meal)?
First, calculate the number of each burger patties sold to know the total sales in burger patties during June:

| | |Number sold in June |% In burger patties |
|Big mac |

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