Why is McDonald's a transnational corporation?


Quick Answer

McDonald's is a transnational corporation because it operates facilities and does business in many countries around the world. It does not consider one country its national home.

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Why is McDonald's a transnational corporation?
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Full Answer

McDonald's is a company centered on globalization. The definition of globalization is to extend to other parts of the world. According to a case study published in "The Ecologist," as of 2011, there were 32,000 McDonald's stores in 117 countries, making it the world's largest fast food chain. An advantage of being a transnational corporation is that McDonald's can respond quickly to local markets, should there be an issue or if the company wants to make sudden changes.

In order for globalization to succeed, companies must take into account the cultures and traditions of other countries. One way they do this is by varying the menu from country to country. In Australia, the McDonald's menu features Vegemite in order to incorporate the tastes of Australians. In Japan, McDonald's has a shrimp burger called the EBI Filet-O. In Singapore where Thai cooking and heavy spices are prevalent, McDonald's serves the Shaka Shaka Chicken, which is marinated in soy sauce and has five spices added to it. In Italy, the Chicken McNuggets are actually filled with spinach and Parmesan cheese.

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