A Global Family of Local Businesses

How we operate

McDonald’s Global Business Operates Under Three Segments

• The US is McDonald’s largest market and almost 95% of restaurants are owned and operated by conventional licensees (CLs).
  
  
• International Operated Markets (IOM) are run by McDonald’s alongside our CLs who own and operate almost 90% of restaurants.
  
  
• International Developmental Licensed (IDL) markets are markets where McDonald’s grants licenses to developmental licensees (DLs) to develop and operate restaurants in the market under the McDonald’s brand. Some DLs also have sub-franchisees who run restaurants locally.

McDonald’s is a global family of local businesses.

• Nearly 95% of McDonald's locations around the world are owned and operated by local CLs or DLs (together, franchisees) – independent business owners who understand the unique needs of their communities.
  
  
• As independent business owners, our franchisees are not corporate employees – they invest their own money and take on the risks and rewards of running a business.
  
  
• Local ownership allows for adaptation to local tastes – menus and promotions are often tailored to regional preferences (like McArabia in the Middle East, soup in Portugal, the McAloo Tikki in India or Teriyaki McBurgers in Japan).
  
  
• McDonald’s founder Ray Kroc’s vision of “Quality, Service, Cleanliness, and Value (QSC&V)” remains central to franchise operations around the world.
  
  
• Franchisees come from a diverse range of backgrounds, reflecting the communities they serve, and bring unique perspectives and experiences to their businesses.
  
  
• Franchisees pay a royalty to McDonald’s for the license, which is used to support things like branding, operational processes and support.

Role of Franchisees in the Community

Job Creation

• Our franchisees are major employers in their communities, providing millions of jobs across McDonald's locations worldwide.
  
  
• McDonald's is often a first job for young people, teaching valuable skills like teamwork, customer service, and leadership.
  
  
• Employees are given the opportunity to learn and develop skills and build a career with McDonald’s.

Community Support

• At McDonald’s we open our doors to everyone, and the franchising model was built upon a strong core belief: our franchisees should reflect the diverse and vibrant communities they serve.
  
  
• Franchisees give back to the communities they operate in, supporting youth sports, charitable organizations and local schools as well as providing employees training and development opportunities, all tailored to meet local needs and create thriving neighbourhoods.
  
  
• McDonald’s is a ‘founding and forever’ partner of Ronald McDonald House Charities. We have partnered with the charity for over 50 years. Many of our local franchisees and their teams participate in events like McHappy Day, raising millions of dollars for the charity every year.

Support for Local Suppliers

• The economic impact of local McDonald’s franchises extends far beyond the restaurants.
  
  
• Franchisees work with local farms and suppliers for key ingredients, boosting the local economy and creating jobs throughout our value chain.
  
  
• McDonald's franchisees source a large percentage of their ingredients from local producers where possible. For example, in the EU 95% of raw ingredients are sourced from within the EU.
  
  
• To see how McDonald’s economic impact stretches beyond our restaurants in the USA click here.

Training & Support

• McDonald's provides franchisees and their employees with access to world-class training through Hamburger University.
  
  
• Many franchisees support their people to gain recognized qualifications ranging from basic math and language skills all the way through to degree level qualifications.
  
  
• Training and support include operations consulting, staff development, and customer service improvement programs.

Why It Works

Shared Success

• The McDonald's model is based on the "three-legged stool": Franchisees, Suppliers, and McDonald's Business.
  
  
• This creates a mutually beneficial relationship where all parties are invested in long-term success.
  
  
• Franchisees benefit from McDonald's supply chain advantages and global marketing.
  
  
• McDonald's benefits from the local expertise and operational excellence of franchisees.
  
  
• The franchise model creates a system where local ownership fuels global success.

Franchisees = Local Impact + Global Strength

• Franchisees are not just business owners – they are community leaders who strengthen the local economy in the areas they serve.
  
  
• This model allows McDonald's to balance global consistency with local relevance – a key driver of the company’s long-term success.

The McDonald’s franchise model thrives because it empowers local business owners while leveraging the strength of a globally recognized brand.