Filed under: Products and services, Consumer experience, Competitive strategy, Starbucks (SBUX), McDonald’s (MCD)

“The place reeks of fries and beef.” That’s the charmingly candid assessment of McDonald’s (NYSE: MCD) from Chris Dannen at Fast Company’s blog. As you can probably guess, he’s none too impressed with Mickey D’s plan to open 14,000 new coffee bars in its U.S. stores.

For Dannen, it’s a pretty simple question. Will people buy more fancy coffee drinks in a fast food restaurant that smells of fry grease? He doesn’t think so. As a result, McDonald’s coffee bars — which the company hopes will bring in an extra $1 billion in revenue — will be defeated by the “sweet stink of the flagship fare,” namely, Big Macs and those never-decomposing French fries. That’s good news if you’re a Starbucks (NASDAQ: SBUX) shareholder.

Continue reading Is McDonald’s too smelly to compete with Starbucks?

Read | Permalink | Email this | Comments

Share This

This entry was posted on Monday, January 14th, 2008 at 4:53 pm and is filed under Stocks Money News. You can follow any responses to this entry through the RSS 2.0 feed. You can leave a response, or trackback from your own site.