Collo vs McDo

People

Richard and Maurice McDonald

In 1948, they designed the kitchen that would change restaurants worldwide. Thirteen years later, they sold their name and disappeared from their own story.

In brief

  • 1940: opening of a drive-in in San Bernardino (California).
  • 1948: they close, reorganise the kitchen and reopen with the “Speedee Service System” — reduced menu, no waiters, no crockery, assembly-line preparation.
  • 1961: they sell the name and the system to Ray Kroc for 2.7 million dollars.
  • The sale did not include their original restaurant, which they had to rename: it became “The Big M”.
  • Richard died in 1998, Maurice in 1971.

The “Speedee Service System” is the founding innovation: the McDonald brothers applied the logic of the assembly line to a restaurant. A menu reduced to a few items, no customised orders, no waiters, no crockery, specialised workstations. The customer waits a few dozen seconds for his hamburger instead of twenty minutes, and the price falls.

It was they, and not Ray Kroc, who devised the method. Kroc saw it working, understood its value, and built a national network around it — something the brothers, cautious and not much interested in expansion, had not wanted to do.

In 1961, they sold for 2.7 million dollars. One detail shapes the entire later legend: the sale covered the name, and their own restaurant was excluded from it — so they could no longer call it McDonald's. It became “The Big M”, and closed a few years later. The account according to which Kroc deliberately opened a restaurant across the road to kill it, like the oral promise of a 0.5% royalty, comes from the film The Founder and from Kroc's autobiography, not from documents.

Sources

External sources.

  1. Richard McDonald, 89, Fast-Food Innovator, Dies (16 July 1998) — The New York Times
  2. McDonald's — historical entry — Encyclopaedia Britannica

Where this comes up in the case file

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