fast food Flashcards

1
Q

what is diffusion

A

the transfer or dispersal of cultural elements from one group of people to other groups of people

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2
Q

what is spatial distribution

A

the arrangement of geographical phenomena or activities across the earths surface

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3
Q

what is franchising

A

the use of a suppliers trademark and products for which the franchising pays a fee. Many major chains, such as MacDonalds which use this business modal

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4
Q

what is glocalisation

A

the modification of global products and ideas to suit local conditions

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5
Q

how has the process of franchising has aided in the diffusion of fast food products

A

franchising sets up an entire business for us. it gives you all the nessarssy processes, products and items. this allows for diffusion to occur easily because people knew what they are getting and they already have everything set up for them

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6
Q

what does QSR stand for

A

quick service restaurant

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7
Q

what is a good

A

a good is any product that satisfies human wants through its consumption or use

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8
Q

who founded McDonalds

A

Richard and Maurice McDonald

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9
Q

what are some of the benefits of franchising for a company

A

cheap growth options for the company.

rapid expansion on the number of stores that the company has in multiple locations across a country

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10
Q

what is comparative advantage

A

the ability of an individual, group, or country to carry out a particular economic activity (such as making a specific product) more efficiently than another activity

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11
Q

what is friction of distance

A

based on the notion that distance, usually requires some amount of effort, energy time, and/or other resources to overcome

due to the ‘friction’ spatial interactions will tend to take place more often over shorter distances, the amount and intensity of interaction will decay with distance

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12
Q

what are the positive social implications of the changes in production and consumption of fast food goods

A

employment opportunities- both direct and indirect

contributions to charities such as Ronald McDonald house

investment in community groups

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13
Q

what are the negatives social implications of the changes in production and consumption of fast food goods

A

obesity

loss of cultural identity

poor working conditions (in some countries)

exploitations (in some countries)

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14
Q

what are the positive economic implications of the changes in production and consumption of fast food goods

A

generation of wages results in income taxes

company profits are taxable which provides revenue for host countries

opportunities for third party companies to become suppliers

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15
Q

what are the negative economic implications of the changes in production and consumption of fast food goods

A

diseases related to obesity place huge financial burden on national heath budgets

the dominance of multinational fast food companies has a negative impact on small/medium sized local business

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16
Q
  1. what are the negative environmental implications of the changes in production and consumption of fast food goods
A

the litter produced by fast food packaging. USA- 2nd largest contribution to litter, UK-50% of litter McDonalds

plastics from straws etc contributes towards plastics in the oceans which impacts upon marine life

the use of natural resources also has negative implications. the production of plastic straws requires the use of fossil fuels which increases CO2 emissions

the use of potatoes for fries has impacts on water requirements with 500 litres of water required for every 1kg of potatoes

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17
Q
  1. what are the negative environmental implications of the changes in production and consumption of fast food goods
A

largest impact comes from beef products. large areas of land as well as coral crops and water are needed as McDonalds are the largest consumer of beef in the world

cows are producers of methane which is a potent greenhouse gas, which again enhances the greenhouse effect

the demand for beef and soy based products means that deforestation happens on a large scale. this is not only results in the removal of natural habitats but also the production of greenhouse gases as trees are carbon sinks and burning them releases carbon back into the atmosphere

another ingredient used by F.F.Cs is palm oil. palm oil is grown in tropical regions of the world and again requires the use of deforestation practices

due to pressure from consumers, F.F.Cs have introduced a number of initiatives aimed at helping the environment including (recycling bins, removal of straws and an alternative meat option called beyond meat)

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18
Q

what is the diffusion of fast food

A

the diffusion of fast food refers to the spread of fast food products from its city or country of origin into other places, for example McDonalds spreading from its country of creation, USA, and opening stores in Australia

19
Q

what is a franchise

A

arrangement where one party (the franchiser) grants another party (the franchisee) the right to use its trademark or trade name as well as certain business systems and processes, to produce and market a good or service according to certain specifications

20
Q

what is a franchisee

A

an individual or company that holds a franchise for the sale of goods or the operational of a service

21
Q

what is a franchisor

A

a person or company that grants the license to a third party for the conducting of the business under the franchisors trademark

22
Q

franchising has many benefits for the company, including

A

cheap growth options for the company. the franchisee buys into the company and the company grows due to the increase in businesses, however, this is a relatively cheap process for the company as the franchisee pays the cost

rapid expansion on the number of stores that the company has in multiple locations across a country

greater buying power of ingredients and packaging, which means cheaper prices as brought in bulk

higher customer loyalty and greater brand recognition due to the number of stores visible in an area

more money available for advertising and marketing as all franchisees must contribute

more sales of the goods and therefore greater profit for the company

23
Q

when and where was the first international McDonalds opened up

A

in 1967, McDonalds went international by opening a store in Canada

24
Q

what are some of the changes that McDonalds went through on their menu in order to enter into the Indian fast food market

A

the changes that occurred included replacing the McDonalds iconic beef Big Mac with a Maharaja Mac, made with a chicken patty instead of beef and introducing vegetarian options, including the McAloo burger made from potato.

25
Q

what are some of the changes that McDonalds went through in their store structure in order to enter into the Chinese fast food market

A

in china, people do not like to wait for their food as they are always on the go so McDonald set up kiosk windows with preprepared food for quick and easy purchasing

26
Q

what are some of the changes that McDonalds implemented in order to ensure they franchises where a success overseas

A

the hiring of a local manager to run all aspects of the store. This was done to achieve greater approval of its stores internationally, as hiring locals would hopefully bring more acceptance of the company by the population of the country and would also allow the company to gain a greater understanding of any bureaucracy issues associated with the local government

27
Q

how many stores and countries currently has McDonalds diffused to

A

currently McDonalds has diffused to 119 countries, with over 39,000 stores serving over 60 million fast food customers each day.

28
Q

when and where was the first McDonalds in Australia

A

Sydney in 1971

29
Q

what various forms of telecommunication do McDonaldsn use

A

they have their own website for each country that McDonalds has spread to, a McDonalds app, Facebook page, snapchat account with specialised McDonalds filters, twitter, YouTube account and instagram page.

30
Q

what celebrities have helped endorse McDonald’s

A

Kanye west, Kim Kardashain, Whoopi Goldberg, magic Johnson and Patrick mahomes

31
Q

what sporting events do McDonalds sponsor

A

McDonalds became an official sponsor of the Olympic Games in 1976 and for 41 years the company contributed tens of millions of dollars every four years in return for global promotion and advertisements.

McDonalds have also sponsors FIFA since 1994, aligning online and television advertisement to promote their sponsorship before and during the football world cups.

locally McDonalds has been the AFL official restaurant partner since 2015, gaining online and television exposure and promotion to AFLs audiences during the men and women season.

32
Q

how has services like uber eats helped fast food chains

A

in more recent years, technology and telecommunication advancements have given rise to food delivery services and applications that have increased the distribution of the consumption of fast food goods.

as well many fast chains didn’t have preexisting delivery services until third party delivery services came along in the mid 2010s

33
Q

when did uber eats launch

A

uber eats launched in 2014 in the USA and 2016 in Australia.

34
Q

how many major cities is uber eats available in

A

1000

35
Q

what delivery apps do McDonalds use

A

uber eats and door dash

36
Q

what helped boost third party delivery services

A

the food delivery market has seen a significant growth over the past five years with the COVID-19 pandemic propelling the industry.

37
Q

what is the WTO

A

world trade organisation

38
Q

what is the purpose of WTO

A

to ensure that trade flows as smoothly, predictably and freely as possible.

39
Q

what is the franchising code

A

the franchising code is a contractual relationship and disclosure law, administered, regulated and enforced by Australians anti trust and consumer protection legislation, the Australian competition and consumer commission (ACCC)

40
Q

what are the two ways an international franchise can enter into the Australian market

A

firstly they can register a company in Australian to manage the franchise which must have an Australian director and office, such as McDonalds Australian limited, with its register head office in New South Wales

secondly, they may elect to be registered foreign entity with a local agent or individual who is responsible for all matters to do with the foreign franchise

41
Q

once the international franchise has entered into the Australian market what are the two ownership options

A

the international franchise has the option for the franchise within Australia to be either company owned, run and operated

or independent franchise run by Australian citizens

42
Q

how many McDonalds stores worldwide are independently run franchise

A

90%

the remaining 10% of the stores are owned and run by the company itself

43
Q

how many hungry jacks stores in Australia are independently run franchise

A

only around 15% of restaurants in Australia are independently run franchises

44
Q

where are the only independent franchise options for hungry jacks in Australia

A

in regional areas