Ray Kroc

By:- Arjun Saxena

Introduction
 Famous For :- McDonald’s fast food tycoon
 Full Name :- Raymond "Ray" Albert Kroc
 Born :- October 05, 1902 in Oak Park,
Chicago, Illinois. Ray was a Libra.
 Died :- Saturday, January 14, 1984, in San
Diego ( U.S.A)
 Cause Of Death :- Heart Failure
Overview
 Founder of the immensely successful
franchise
McDonald’s
operation.
 He introduced management innovations that
is teenage labor force to produce a
rigorously standardized menu at a low
cost.
 cDonald
 McDonald's Corporation is the world's
largest chain of hamburger fast food
restaurants, serving nearly 47 million
customers daily.


 The corporation's revenues come from the

rent, royalties and fees paid by the
franchisees, as well as sales in company-
operated restaurants.
Cont…
 The company has also expanded the
McDonald's menu in recent decades to
include alternative meal options, such as
salads and snack wraps, in order to
capitalize on growing consumer interest in
health and wellness.

What does it
Sells?
McDonald's predominantly sells


1.Hamburgers,
2.Various types of chicken sandwiches
3.French fries,
4.Soft drinks,
5.Breakfast items and desserts.
 Portugal is the only country with McDonald's
restaurants serving soup.
Early Life
 During the First World War he trained to
become an ambulance driver, though the
war ended before he ever saw action.
 In early 1950s he tried his hand at a number
of trades including paper-cup salesman,
pianist, jazz musician, band member and
worked at an Oak Park radio station.
 He eventually became a multi-mixer
milkshake machine salesman, traveling
across the country.
Cont ….
 Convinced that he could sell numerous
mixers to every new restaurant that
opened, he partnered with the McDonald
brothers (Richard and Maurice D.
McDonald) to open and Franchise
additional McDonald's restaurants.
 Kroc eventually became frustrated with the
brothers' willingness to accept their chain
having only a handful of restaurants.
 In 1961, he purchased the company from
the brothers for $2.7 million.
Cont …
 However one of his most famous flops was
the Hulaburger, which consisted of a slice
of grilled pineapple, with some cheese, on
a bun.
 Kroc also revolutionized the art of
Franchising, where he set strict rules on
how the food was made.
 For the marketing of the product, he let the
franchisees decide on what the best
approach was.
Personal Life
 Poor Parents
.
 He went to public schools but did not
graduate.
 Leave the school to open his own music
store.
 When World War I began, he lied about his
age to serve as an ambulance driver for
the American Red Cross.
 A variety of jobs and 3 wives followed.
Career Details
 After serving in World War I, Kroc returned
home and became a ribbon novelty
salesperson and a jazz pianist.
 In 1922 he went to work for the Lily-Tulip
Cup Company, but soon left to become
musical director for one of Chicago’s
pioneer radio stations.
 There he played the piano, arranged the
music, accompanied singers, and hired
musicians.
Cont ….
 Kroc then returned as a salesman, later he became
Midwestern sales manager.
 In 1937 he came upon a new invention: a machine that
could mix five milk shakes at one time, called the
“multi-mixer.”
 Lily-Tulip turned down the opportunity to distribute the
mixer.
 Kroc founded his own company to serve as exclusive
distributor for the product in 1941.
 In 1954, Kroc entered in the restaurant in San
Bernardino, California, owned by Richard and Maurice
D. McDonald (brothers), which was operating eight of
his multi-mixers.
 After some negotiation, the McDonald brothers agreed to
join Kroc in a partnership.
Cont ….
Ray Kroc opened the first of the chain of
McDonald’s restaurants on April 15, 1955
in Des Plaines, Illinois.
 On that first day, Kroc’s restaurant had
sales of $366.12.
 By 1961 there were over 130 outlets, and
in that year Kroc bought out the
McDonald brothers for $2.7 million.
 From these humble beginnings emerged
an empire which by 1984 (Dead) had
8,300 restaurants in 34 countries with
sales of more than $10 billion.
 Kroc’s greatest achievement was the
ability to mass-produce food uniformly .

Cont …
 Each McDonald hamburger, made with a
1.6-ounce beef patty, not more than 18.9
percent fat, is exactly 0.221 inches thick
and 3.875 inches wide.
 The franchise owners were then intensely
trained at McDonald’s “Hamburger
University” in Elk Grove, Illinois, where a
training course led to a “Bachelor in
Hamburgerology with a minor in french
fries.”

Ray kroc and Mcdonalds
marketing strategy:-
 When Ray Kroc bought the first McDonald's
in 1955, he focused on what people
wanted. With this focus came the
utilization of Mr. Kroc's theory of QSC
(quality, service, and cleanliness ).
 McDonald's has had the unique ability to
adapt to the changing market, and that,
along with their QSC program and
innovative product development, has kept
them on top.
Cont ….
 Societal marketing takes into account the
overall concerns of the target market, the
environment, for example. :-


 McDonald's got rid of their one time

innovative styrofoam packaging and
replaced it with more environmentally sound
paper packaging. They stress the fact that
they are environmentally aware, by
reminding us not to litter, etc., on their
various forms of packaging.

Cont ….
 McDonald's promotes, such as the Olympic
Games, puts their name worldwide.
 McDonald's also uses a theory referred to as
relationship marketing

 Death
 He died because of heart failure at Scripps
Memorial Hospital in San Diego, California, on
January 14, 1984 at the age of 81.
 by 1984 he had 8,300 restaurants in 34
countries with sales of more than $10 billion.
 Kroc was credited with promoting and
developing the team, which reached the World
Series five years after it, the same year in
which Kroc died.
 Each baseball players wore a black armband
with the initials R.A.K. to commemorate the
late owner.

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