McDonald's continues its downward spiral with news that it has closed 350 stores worldwide in light of poor sales. The closures come amidst a years-long slump that has so far culminated in a 2.6% sales drop at same-store sales in the first quarter. Of the shutters, 220 were restaurants located in the United States and China with the remaining 130 in Japan. It seems no amount of gimmicky products can save the brand's reputation with its core customers.
Across the vast empire of Golden Arches, income has been steadily dropping. According to Nation's Restaurant News, "total revenue for the quarter fell 11 percent, or 1 percent excluding the impact of currency translation, to $5.9 billion, from $6.7 billion the previous year."
McDonald's CEO Steve Easterbrook released a statement indicating that McDonald's is "keenly focused on acting more quickly to better address today's consumer needs, expectations and the competitive marketplace. We are developing a turnaround plan to improve our performance and deliver enduring profitable growth." Because that's worked out well so far.
While the chain has placed blame on fast-casual spots like Chipotle and thrown shade at the younger generation who frequent them, McDonald's involvement in the widespread wage protests have cast the fast food giant in an incredibly negative light. Coupled with the company's utter lack of self-awareness and you've got some serious desperation.
