Ray Kroc

Dan MillerH- EconomicsPeriod 4

Kroc’s Early Years

Grew up in Oak Park, Chicago Was interested in sales and held many

lemonade stands Worked as salesman for Lily Tulip Cup

Corporations

The MultiMixer

A machine capable of mixing 5 milkshakes at once After discovering this invention, Kroc left Lily Tulip

Cup Corp. to sell Kroc traveled all over the US selling this machine He received and order of 8 from the McDonalds

brothers, and left for California to see why theyneeded to mix 40 milkshakes

Meeting McDonalds Brothers

Kroc became interested in their use ofassembly lines to prepare fast food

Noted convince and partnered with brothers Kroc envisioned many restaurants opening all

over the country

Ensuring Financial Success

Franchise Realty Corporation– To ensure profit, Kroc owned/ leased the

land restaurants were built on– Kroc & Harry Sonnenborne founded the

Franchise Realty Corporation– The F.R.C. bought or leased land all

McDonalds were built on– Restaurants then paid rent or percentage

of sales to Kroc

Locational Success

Kroc scouted in a small airplane to findideal locations

Factors considered:– Ease of travel– Close to homes– Near other commerce– Zoning laws

Convience

Kroc changed fast food because hemade it convenient– Drive through’s– Meal in under 1 minute– Easy to stop by in your busy life

Quality

Food Quality– Strived for the best possible food, given the

circumstances– Banned soy in burgers– Presentation: fries spilling out of cup, etc.

Management Quality– Kroc employed manangers who are capable

leaders– Created Hamburger University to teach managers

how to run McDonalds– Determination, thorough, loyalty, education,

business experience, etc.

Summary

“Ray Kroc was not a creator. When Kroc came onto the sceneconvenience food already existed in many forms, from localdiners to hot dog stands. But it was Kroc who had the cunningability to grasp all the complexities of the fast food concept anddeliver it in the best possible way”

Kroc took something that alreadyexisted, and made it better.

Works Cited:

• Chandy, Anish. "Ray Kroc Biography." Buzzle. Ray Kroc Biography. Buzzle, 22Apr. 2005. Web. 9 Feb. 2010. <http://www.buzzle.com/editorials/4-21-2005-68865.asp>. Includes basic information and accomplishments.

• Pace, Eric. "Ray A. Kroc dies at 81; Built McDonald's Chain." New York Times. 15Jan. 1984. Web. 8 Feb. 2010.<http://www.nytimes.com/learning/general/onthisday/bday/1005.html>. Provideshistory of his life and of McDonalds corporation. Also describes his character andwhy he excelled.

• "Ray Kroc and the Fast Food Industry." Wiley::Home. Web. 10 Feb. 2010.<http://www.wiley.com/legacy/products/subject/business/forbes/kroc.html>.Includes his unique and history of McDonalds.

• "Ray Kroc." Entrepreneur. Web. 8 Feb. 2010.<http://www.entrepreneur.com/growyourbusiness/radicalsandvisionaries/article197544.html>. History of life pertaining to the foundation of McDonalds.