Tuesday, November 20, 2012

McDonald's USA President Steps Down

Jan Fields
Jan Fields backed efforts to modernize McDonald's and make its food more healthful.

The president of McDonald's USA is on her way out because of the intense competition and unfavorable financial problems. She has held this position for more than two years. She will be replaced by Jeff Stratton, currently McDonald's global chief restaurant officer. According to spokeswoman Lisa McComb, "The time was right for this leadership change, a business decision by our senior management team." The reason for her termination is because most industry analysts believe that "top management and directors had lost confidence in her ability to turn around the U.S. division of the world's biggest burger chain." Despite Fields's efforts to promote more healthful food, consumers' enthusiasm didn't last. Investors are aware of the chain's slumping profits, "which fell 3.5% in the third quarter, to $1.45 billion, and sank 4.5% the previous quarter compared with the same periods last year." Thirty-five years ago, Fields started out making French fries, then rose through the ranks and has been called "one of the world's most powerful women on lists compiled by Forbes, Fortune and other financial publications." Recently she was credited with "helping to expand McDonald's McCafe premium beverage menu, updating its restaurants, reworking the Happy Meal to be more healthful and disclosing calorie counts at the chain's 14,000 American outlets." I think it is unfortunate that Jan Fields has been fired. She did the best she could to make McDonald's the most innovative fast food chain in the world. However, the competition has been closing the gap and "there's much less differentiation for McDonald's." Things should get better though as the holidays are coming soon. All the advertisements on television are persuading people to get the dollar menu value items. The low prices should lure many customers in to try them out.


- Hanli Tjahyono

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