McDonald's

Lore & Background

McDonald’s restaurants are most commonly identified by the Golden Arches, a design introduced in 1953 that often appears as a large, yellow, double-arched “M” on the building’s exterior. The chain’s physical appearance has evolved over time; in 2006, a “Forever Young” redesign shifted many locations toward a café-like aesthetic featuring terracotta, grey, and olive tones, with wood furniture replacing earlier plastic-heavy interiors. The company operates more than 45,000 restaurants in over 100 countries, with roughly 95 percent run by franchisees. Its range extends from its origin in San Bernardino, California, where the McDonald brothers opened the first location in 1940, to a global presence that has made the brand a symbol of American cultural influence. The defining characteristic of the chain is the Speedee Service System, a streamlined food-production method introduced in the 1940s that emphasized speed, low prices, and high volume by eliminating carhops, silverware, and dishwashers in favor of paper wrappings and a simplified menu of nine items. The menu remains centered on hamburgers and French fries, with signature items such as the Big Mac, and adapts to local markets with regional offerings like the Hatch Green Chile Double Cheeseburger in New Mexico. The company directly employs over 150,000 people, while more than two million additional workers are employed at franchised locations.

Reader's Guide

McDonald's pioneered the modern fast-food model with its Speedee Service System, introduced in the 1940s, which emphasized speed, lower prices, and high volume. This system eliminated carhops and dishwashers by using paper wrappings and cups, and simplified the menu to nine items including hamburgers, cheeseburgers, soft drinks, and pie. The Golden Arches logo debuted in 1953, and the clown mascot Ronald McDonald was introduced in 1963 to appeal to children. Businessman Ray Kroc became a franchise agent in 1955, opened a restaurant in Des Plaines, Illinois, and later purchased the McDonald brothers' ownership stake in 1961, driving them out of the industry. Under Kroc, the chain expanded domestically and internationally, becoming a symbol of globalization and American culture. By the end of 2025, the system included 45,356 restaurants across over 100 countries, with about 95% operated by franchisees. McDonald's generates revenue from company-operated sales and from rent, royalties, and fees paid by franchisees; it owned roughly 56% of land and 80% of buildings in its consolidated markets. The company directly employed over 150,000 people, while more than two million worked at franchised locations. The menu centers on hamburgers and French fries, with best-known items including the Big Mac, and adapts to local markets. The chain has faced criticism over nutritional content, animal treatment, environmental impact, and labor conditions.

Did You Know?

• McDonald's restaurants in China include fried buns and soybean milk on their breakfast menus.

Origins & the Speedee Service System

The McDonald brothers Richard and Maurice opened their first restaurant on May 15, 1940, at 1398 North E Street in San Bernardino, California, driven by a personal ambition to earn a million dollars before reaching fifty. By 1948, they had revolutionized how a burger joint operated. Their Speedee Service System eliminated the 20 carhops on staff, swapped silverware and plates for paper wrappings and cups (removing the need for a dishwasher), and slashed the menu down to just nine items: hamburgers, cheeseburgers, three soft drink flavors in a single 12-ounce size, milk, coffee, potato chips, and pie. Richard McDonald later summed up the philosophy as speed, lower prices, and volume. The system built on principles White Castle had pioneered more than two decades earlier, but the brothers scaled it into something entirely new. The original mascot, a hamburger-headed chef called Speedee, gave way to the Golden Arches in 1962, and by 1963, Ronald McDonald the clown was introduced to court younger customers.

Ray Kroc & the Franchise Revolution

Ray Kroc, a businessman who became a McDonald's franchise agent in 1955, is credited by the corporation with its founding on April 15 of that year. His first restaurant opened in Des Plaines, Illinois. What followed was a fierce struggle for control between Kroc and the McDonald brothers, a conflict Kroc himself documented in his autobiography. In 1961, Kroc purchased the brothers' equity stake for $2.7 million (roughly $29 million in today's dollars), effectively driving Richard and Maurice out of the industry. From that point, Kroc oversaw the company's domestic and international expansion, transforming a regional California operation into a global symbol of American culture. The original San Bernardino restaurant was eventually torn down in 1971; by 1998 the site was sold to the Juan Pollo chain, which now uses the area as its headquarters alongside a Route 66 museum. Kroc's aggressive business style and vision for franchising turned a modest burger stand into what would become one of the world's largest restaurant systems.

Business Model & Global Scale

McDonald's operates on a franchise-heavy model. By the end of 2025, the system spanned 45,356 restaurants across more than 100 countries, with approximately 95 percent of those locations run by independent franchisees rather than the corporation itself. Revenue flows from two main streams: direct sales at company-operated restaurants, and the rent, royalties, and fees collected from franchise partners. The company's real-estate strategy is particularly notable: within its consolidated markets, McDonald's owned roughly 56 percent of the land and 80 percent of the restaurant buildings, meaning the corporation profits from property as much as from food. On the employment side, McDonald's directly employed more than 150,000 people, while an additional two million or more worked at independently operated franchised restaurants. This structure allowed the brand to scale rapidly without bearing the full operational cost of every location, cementing its position as a global institution.

Menu Evolution & Health Reforms

The McDonald's menu has always centered on hamburgers, cheeseburgers, French fries, and soft drinks, with the Big Mac and its fries remaining the most iconic items. Beyond the core, the chain offers chicken products, breakfast items, coffee, desserts, and localized fare adapted to regional markets. Seasonal and limited-time items like the McRib sandwich and the March Shamrock Shake keep the lineup dynamic, while regional offerings such as New Mexico's Hatch Green Chile Double Cheeseburger add local flavor. In 2021, the company trimmed value meals and cheaper items to emphasize higher-priced products. Under CEO Steve Easterbrook, who took the helm in 2015, the U.S. menu was streamlined from nearly 200 items, high-fructose corn syrup was removed from hamburger buns, and artificial preservatives were swapped out of Chicken McNuggets. By September 2018, McDonald's USA announced that seven classic burgers, including the Big Mac and Quarter Pounder, no longer contained artificial preservatives, flavors, or colors, though pickles remained an exception customers could opt out of. In November 2020, the plant-based McPlant burger was announced.

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