Fast food chain struggles to maintain its stance
War becomes a gauntlet for McDonald’s
November 3rd, 2023, 12:04 p.m
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Free food for Israeli soldiers on the one hand, donations for Palestine on the other. Since Hamas’ attack on Israel, the world’s largest fast food chain, McDonald’s, has taken a contradictory position. The reason for this is the structure of the group.
As soon as companies position themselves in crisis situations, they make themselves vulnerable. But after the brutal Hamas attack on Israel on October 7th For some companies, remaining silent is not an option.
“Not saying anything shows cowardice,” CNN quoted Yale professor Jeffrey Sonnenfeld as saying. Companies can no longer afford to just stand silently on the sidelines. “You have to have the courage and stand by your convictions.”
A branch in Birmingham has recently received a receipt for the decision of some Israeli McDonald’s branches to distribute free meals to soldiers. Videos circulating online show men releasing crates of mice into McDonald’s restaurants in Britain. Some of the animals’ fur was dyed in the colors of the Palestinian flag. People had previously called for people to avoid the fast food chain on social media under the hashtag BoycottMcDonalds.
A McDonald’s spokesman was shocked by the incidents, according to the British news agency PA. He emphasized that in Israel it was a matter of independent decisions made by individuals License holder traded. The vast majority of McDonald’s stores are operated by local franchise operators who operate like independent businesses.
This means: The group cannot dictate to the operators how they position themselves. It is also possible that McDonald’s operators from Kuwait and Pakistan quickly distanced themselves from the Israeli action. Some franchise groups from the region emphasized that they would not work with their colleagues from Israel. Some also said they donate to aid organizations in Gaza.
At the same time, there were also calls for boycotts and reports of vandalism against McDonald’s branches on the Internet in the Arab world. Many customers are unaware of the difference between local operators and the corporate brand. “In peaceful times, recognition makes a brand attractive to customers around the world,” CNN quoted Michael Seid, managing director of MSA Worldwide, a provider of franchise consulting services, as saying. But now that uniformity could become a burden.
“We saw with the Russian attacks on Ukraine that there is now a much greater expectation that companies will do the right thing and speak out,” CNN quoted Richard Griffiths, managing director of London-based strategic communications consultancy Citigate Dewe Rogerson as saying.
However, he warns that the situation in the war between Israel and Hamas is more complex than in the Ukraine war. “This is a conflict between Israel and an internationally recognized terrorist organization.” The smartest measure for companies now is to show solidarity with everyone affected.
Every position a company takes “has to be about what resonates with your employees, customers and investors,” Griffiths added. “It is important to understand stakeholder expectations.” And once that position is taken, companies should stick to their guns.