One of the best-known franchise operations in the world is McDonald’s, and in recent years, the company has been working to expand its international presence. Why? Because the U.S. market is becoming...

One of the best-known franchise operations in the world is McDonald’s, and in recent years, the company has been working to expand its international presence. Why? Because the U.S. market is becoming saturated, and the major growth opportunities lie in the international arena. Visit the McDonald’s website www. mcdonalds.com, and find out what is going on in the company. Begin by perusing the latest annual report, and see how well the company is doing both domestically and internationally. Then, turn to the franchise information that is provided, and find out how much it would cost to set up a franchise in the following countries: Belgium, Brazil, South Korea, Mexico, Slovenia, and Turkey. Which seems the most attractive international investment? In addition to this group, in what other countries is the firm seeking franchisees? Would any of these seem particularly attractive to you as investor? Which ones? Why? Then, based on this assignment and the chapter material, answer these last three questions: (1) Will the fact that the euro has become the standard currency in the EU help or hinder a new McDonald’s franchisee in Europe? (2) If there are exciting worldwide opportunities, why does McDonald’s not exploit these itself instead of looking for franchisees? (3) What is the logic in McDonald’s expansion strategy?