Faced with a regional boycott campaign, McDonald's buys all its franchises in Israel
The American fast-food giant McDonald's has decided to buy all its restaurants in Israel, i.e. 225 franchised restaurants, entrusted for more than 30 years to an Israeli company. The world leader in fast food is regaining control as it faces a boycott campaign in the region.
A McDonald's restaurant in Tel Aviv. REUTERS - Ronen Zvulun
By: RFI Follow
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The McDonald's empire was built thanks to its network of franchises: more than 90% of its restaurants around the world are managed by franchisees.
In Israel, it was the Alonyal Limited group that had made the brand with the yellow arches prosper for more than three decades.
But last fall, a few days after the Hamas attack on October 7, McDonald's Israel announced a donation of tens of thousands of meals to the Israeli army. At the same time, Benyamin Netanyahu orders the blockade of Gaza, NGOs are already warning of a risk of famine in the Palestinian enclave.
Read alsoMalaysians are increasingly boycotting brands deemed too close to Israel
A “significant impact” of the boycott
This initiative, taken without the approval of the parent company, provoked a boycott movement throughout the Middle East. At the beginning of January, the CEO of McDonald's recognized a “
significant impact
” on its turnover throughout the region, but also in France, Malaysia and Indonesia.
He tries to put out the fire by pointing out that his restaurants in Muslim countries are also operated by local entrepreneurs. With this purchase for an amount kept secret, McDonald's also regains control of the communication of its Israeli branch.
Read alsoThe equipment manufacturer Puma will no longer sponsor the Israeli national football team
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