McDonald's buys back franchise restaurants in “Israel” after sales drop

Lifestyle

Published: 2024-04-05 13:33

Last Updated: 2024-06-18 22:15


McDonald's buys back franchise restaurants in “Israel” after sales drop
McDonald's buys back franchise restaurants in “Israel” after sales drop

Fast food giant Mcdonald’s has announced Thursday that it will buy the 225 franchise restaurants in “Israel” - after CEO Chris Kempczinski said earlier that the company is experiencing a “meaningful business impact” in the Middle East due to the “Israeli” aggression against Gaza and the resulting boycott.

McDonald’s came to an agreement with “Israeli” franchise Alonyal to buy all its restaurants in “Israel”, the terms of the deal were not revealed.

Alonyal sparked controversy after offering thousands of meals to “Israeli” soldiers and security forces in the onset of the “Israeli” aggression against Gaza - leading many McDonald’s franchises in the region to distance themselves from the “Israeli” firm.

In addition, a colossal boycott campaign started in the Middle East and worldwide, with the McDonald’s as one of its main targets, in the aftermath of the “Israeli” firm stunt.

“Obviously the place that we’re seeing the most pronounced impact is in the Middle East. We are seeing some impact in other Muslim countries like Malaysia, Indonesia,” Kempczinski added.

He further emphasized his company’s neutrality, saying: “In every country where we operate, including in Muslim countries, McDonald’s is proudly represented by local owner operators.”

McDonald’s Q4 sales were below expectations in the Middle East, registering a 0.7 percent decrease in same-store sales.

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