A major corporate maneuver proved in the end no big deal
By Motti Verses
A commercial media headline announcement around the world this past April was pretty straightforward. Or was it?
McDonald's, the world's largest fast food restaurant chain, serving over 69 million customers daily in over 100 countries in more than 40,000 outlets was initiating a major move in Israel. The food giant, known for its hamburgers and French fries, decided to buy-back its 225 restaurants in Israel from the franchisee. According to endless media sources, the reason was due to calls around the world to boycott its products.
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The controversy began in October 2023, when McDonald's Israel announced a daily donation of 4000 meals to hospitals and military units stationed on the front line against Hamas, as well as reduced prices for troops dining at its restaurants. Muslims globally condemned the company after videos circulated on social media showing uniformed Israeli soldiers enjoying McDonald's branded burgers.
The BDS (boycott divestment and sanctions) movement called for a global boycott of the company until McDonald's cut relations with the Israeli franchisee. In response, Arab McDonald's franchises donated over $1 million to Gaza. Had the protests triumphed?
In January, Reuters quoted McDonald's CEO Chris Kempczinski expressing that several markets in the Middle East and some outside the region were experiencing a "meaningful business impact" due to the Israel-Hamas conflict as well as "associated misinformation" about the brand.
So, what really happened in April ?
Although McDonald's is a global brand, its franchises are often owned locally and operate autonomously. The same applies for Israel. After the completion of the transaction and the declared buy-back of its 225 restaurants in Israel sometime in the coming months, McDonald's will most likely own Alonyal, the Israeli franchise restaurants and operations. According to Omri Padan, CEO and owner of Alonyal, the brand will retain the employees. The companies did not disclose the terms of the transaction.
In the months following the announcement about the deal and the chatter since October 7, the story somehow retreated from public interest and one might have thought that McDonald's active support for Israel had come to a halt.
Not a great fan of junk food in my age but nevertheless a true fast-food lover, in a moment of distress one recent Shabbat, I stepped into my local McDonald's branch in Ra'anana, a city a short distance north of Tel Aviv for a takeaway. My experience there was a total astonishment. The restaurant was busy and energetic with hungry families and small toddlers. The young service-oriented employees in charge were Muslims - a routine arrangement in Israel over the weekend, a day of rest. Above the counter, where the menu is presented, all the screens turned yellow with the Israeli flag, showcasing the following offer:
"50% discount to all security and rescue forces - We increased the discount from 15% to 50% to individual customers wearing uniforms, up to 75 NIS per day. Our hearts are with the families of the victims, the heroes that fought and killed during battles, the security forces, the hostages and the wounded"
McDonald's kiosk, offering a 50% discount to all security and rescue forces. (Photo: Motti Verses)
As I stood in line to receive my order, I noticed that the advertising board featured pictures of people held in captivity in Gaza. "We do not forget the kidnaped," says the headline above. "We will continue to screen their photos until they are all released," says the lower part of the board, next to the famous golden arches of the McDonald's brand logo. Next to the sign it is indicated that the 'Headquarters of the hostages and the missing' is behind the campaign.
Screen boards in the McDonald's restaurant, offering 50% discount to all security and rescue forces (Photo: Motti Verses)
All this is playing out as customers take their seats to enjoy their meal. Only a few at first seem to pay attention to the images. Between hamburgers bites, faces of hostages are seen constantly looking down at the dinners. Children enjoy the McNuggets while American-Israeli hostage Hersh Goldberg-Polin looks on smiling through an image taken in his happy life before the massacre and his kidnapping. The faces change quite rapidly. Israelis, Americans, foreigners, Jews, Muslims and other religions. They are all there, experiencing - as people eat - the same horrible fate. Here is IDF surveillance soldier Naama Levy, abducted from the base at Nahal Oz.
IDF surveillance Soldier Naama Levy, abducted from the base at Nahal Oz ,presented in Israel McDonald's restaurant (Photo: Motti Verses)
Sagui Dekel-Chen, a kidnapped American-Israeli is also there. So is Bipin Joshi, a student studying farming from Nepal taken from Kibbutz Alumim against his will by Hamas terrorists and Hamza Ziyadne, a Muslim Bedouin taken captive to Gaza.
Hamza Ziyadne, a Muslim Bedouin taken captive to Gaza on October 7 appears on screen in Israel McDonald's restaurant (Photo: Motti Verses)
All, irrespective of religion or ethnicity are shown equally - the names and pictures rotate endlessly. The screen never stops.
Sagui Dekel-Chen, abducted American-Israeli presented in Israel McDonald's restaurant (Photo: Motti Verses)
McDonald's young staff is constantly busy providing efficient service. Taking in the surrounding scenario, one could excuse customers rubbing their eyes in bewilderment. Is this a 'genocide reality' when Muslims workers - talking in Arabic - are rushing each other to deliver the food and drinks as quick as possible? Most of the customers are Jewish Israelis, enjoying the summer holiday with their children. Everybody - workers and customers - look relaxed and happy. A daily Israeli weekend routine.
Bipin Joshi, the farming student from Nepal, abducted by Hamas terrorists from Kibbutz Alumim on October 7, is presented in Israel McDonald's restaurant. (Photo: Motti Verses)
I asked a young female Arab employee at the counter:
"Where are you from?"
"All of us," she replies, "the vast majority of the staff here, are from Tayibe. It takes us an hour by bus to get here, but it's worth it. We love our work."
Tayibe is a 50,000-populated Arab Palestinian town in Israel. Frankly, I felt proud. This is the true Israel.
It's important to note that McDonald's Israel franchisee media advisor declined to share formal information about the activities in the branches. In addition, it is significant to add that numerous sources close to McDonald's International headquarters claimed that the boycott attempts in the Muslim world played no part in the buying of the Israeli branches; McDonald's Corp. was simply looking for a new franchisee upon completion of a 30-year agreement with Omri Padan, who is retiring. It might be also due to obstacles of renewing the franchise agreement for a long period in the future.
The question remains - will the hostages and discount campaign continue once the buy-back is completed? I am sure all concerned are hoping that all the kidnapped in Gaza will be released long before.
*Feature picture: The writer next to the image of abducted American-Israeli Hersh Goldberg-Polin, presented in Israel McDonald's restaurant (Photo: Motti Verses)
About the writer:
The writer, Motti Verses, is a Travel Flash Tips publisher. His travel stories are published on THE TIMES OF ISRAEL https://blogs.timesofisrael.com/author/motti-verses/. And his hospitality analysis reviews on THE JERUSALEM POST, are available on his Linkedin page LinkedIn Israelhttps://il.linkedin.com › motti-verse...Motti Verses - Publisher and Chief Editor - TRAVEL FLASH TIPSAnd his hospitality analysis reviews on THE JERUSALEM POST, are available on his Linkedin page LinkedIn Israelhttps://il.linkedin.com › motti-verse...Motti Verses - Publisher and Chief Editor - TRAVEL FLASH TIPS
While the mission of Lay of the Land (LotL) is to provide a wide and diverse perspective of affairs in Israel, the Middle East and the Jewish world, the opinions, beliefs and viewpoints expressed by its various writers are not necessarily ones of the owners and management of LOTL but of the writers themselves. LotL endeavours to the best of its ability to credit the use of all known photographs to the photographer and/or owner of such photographs (0&EO).
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