McD to close 110 branches in Japan

By Cikgu Fonik


From Yahoo!News.co.jp:

On November 1, McDonald’s Holdings Company Japan,revealed that it will close 110 stores within the next year. Profits are rapidly declining through things such as a 2.2% decrease in sales by the end of September in stores that had seen positive growth for eight years prior to the last period (December 2011), and the company is planning to take measures to relieve the problem.

Since the 2011 Tōhoku earthquake and tsunami, McDonald’s has faced severe competition from retail chains that are providing better ready-meal alternatives to home-cooked food, as well as money-saving home-cookers. Eiko Harada, CEO of McDonald’s Japan stated with a severe expression on his face that, ‘The forecast was wildly inaccurate’.

Stores with bad profits, such as small stores that cannot offer all the menu items, will be closed. The closing cost of about ¥1.4 billion will be included in this term’s balance sheet. The company had already closed 433 stores in 2010 to strengthen profitability, but since, according to Harada, ‘McDonald’s is more sensitive to our customer’s sense of satisfaction after the earthquake’, they have decided that further optimization was necessary.

A Japanese branch of McDonald’s thanks customers as it prepares to close after thirty years of business.
Between July and September this year, the recovery from last year’s slump from the earthquake and electricity conservation has not been as large as expected. In addition, delivery service will be expanded from the current 17 stores to 250 stores in the next term to fight ready-meals and domestic dining.

According to the company’s consolidated balance sheet published today, the existing stores’ sales has decreased 1.1% to ¥220.7 billion, and their operating profits has decreased 17.8% to ¥17.7 billion. The performance leaves the current prediction unchanged, but the hurdle for success is high.

~Whilst Zionist war machines continues to murder Palestine babies, owh yes they only retaliate to Hamas puny rocket attack, eventhou the land wasn't theirs (zionist) to begin with, what is the point of retaliation, give them back their land, free Palestine now! 

 Malaysian shamelessly turn a blind eye, baby killer!

Comments

  1. whitecappuccinoNovember 21, 2012 at 8:34 PM

    wslm..sampai bila agaknya penderitaan mereka.

    ReplyDelete
  2. AmelDecember 2, 2012 at 2:32 PM

    Hullo GF, long time no see :-)

    Puteri told us about your good news, congratulations bro!

    Best wishes from us both in Boston.
    - Amel Hanan & Nur

    ReplyDelete
  3. Cikgu FonikDecember 14, 2012 at 12:34 AM

    salam2all,

    1.till kingdom come

    2. tq and congrats to both of u too.

    ReplyDelete

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Please, at least come up with a name, do not use anonymous, tq

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