Overview
This interview explores the origins of McDonald's, focusing on the McDonald brothers' innovations, their relationship with Ray Kroc, and the family's perspective on the company's legacy, as depicted in the film "The Founder".
Historical Background
- The Downey, California McDonald's is currently the world's oldest location and the third built by the McDonald brothers.
- Dick and Mac McDonald started selling burgers, fries, and shakes in San Bernardino, California, in 1948.
- The brothers pioneered the "Speedy Service System," which revolutionized fast food with assembly-line efficiency.
Family Perspective and Legacy
- Jason McDonald French, grandson of Dick McDonald, shares that the family was discouraged from discussing their connection to McDonald's publicly.
- The McDonald family historically kept their relation to the restaurant a secret and did not advertise it.
- Jason takes pride in his grandfather's contributions and appreciates recent recognition of their role in fast food history.
Ray Kroc’s Role and Corporate Expansion
- Ray Kroc, a milkshake mixer salesman, saw potential in the McDonald brothers' system and convinced them to allow franchising.
- Kroc opened his first franchise in Des Plaines, Illinois, in 1955 and later established the McDonald's Corporation.
- Tensions arose between Kroc and the McDonald brothers, culminating in Kroc's acquisition of the business and name rights in 1961 for $2.7 million.
The Royalties Agreement
- Kroc informally promised the McDonald brothers a 0.5% royalty on all future proceeds, a deal the family claims was never honored.
- Today, that royalty would be worth approximately $100 million annually, but the family expresses no bitterness, following Dick McDonald's own attitude.
Film Representation and Public Perception
- "The Founder" highlights the complexities around who deserves credit as the founder—those who create the idea or those who expand it.
- The McDonald family appreciates the historical accuracy of the film and feels it finally gives the brothers deserved recognition.
Decisions
- Keep family perspective private: The McDonald family historically chose not to publicize their connection to the company.
Action Items
- TBD – Jason McDonald French: Continue to share and preserve the McDonald brothers' contributions to fast food history.