History of McDonald’s

In 1937, the MacDonald brothers, Maurice (Mac) and Richard (Dick( McDonald) opened their first restaurant (the Airdrome) in Pasadena, California selling hot dogs, orange juice, coffee and tea.

Although the establishment sold hamburgers, it otherwise bore little relation to the giant franchise it would one day become.

Their introduction of the "Speedee Service System" in 1948 established the principles of the modern fast-food restaurant. It’s selling 15 cent hamburgers and 10cent fries.

The true founder of the McDonald’s chain, Ray Kroc, was originally a purveyor of the Multimixer automatic milkshake mixer. Ray Kroc mortgaged his home and invested his entire life savings to become the exclusive distributor of a five-spindled milk shake maker called the Multimixer. He had sold Multimixers to many fast food franchisee including Dairy Queen and Tastee-Freez.

In 1954 he went to see the McDonald brothers at their drive in restaurant in San Bernadino California, where, he had heard they had eight of his mixing machine in constant use – obviously indicating a large business volume. He was 52 years old.

McDonald Beef Burger 

Kroc saw a potential of the McDonald’s operation. He met with the brothers and signed an agreement allowing him to sell McDonald’s franchises nationwide. In the mid-1950s, franchising consisted mainly of assigning territories to franchisees of huge up-front fees. However, Kroc wanted to control the McDonald’s operations, He avoided territorial franchises by selling one store franchises at a time, thereby controlling the number of stores that a licensee could operate.

The present corporation dates its founding to the opening of a franchised restaurant by Kroc, in Des Plaines, Illinois on April 15, 1955, the ninth McDonald's restaurant overall.

In July of that year, he added his second store in Fresno, California. Kroc later purchased the McDonald brothers' equity in the company and led its worldwide expansion.

In 1972, McDonald’s pioneered the fast-food breakfast with the introduction of the Egg McMuffin. McDonald’s opened its first drive through in1975 with goal of service in 50 seconds or less.

McDonald’s is today reinventing itself around its core competencies of fast service, healthy fast food, kids and quality.
History of McDonald’s

History of Frito-Lay

The Frito Company
Corn chips, which are derived from corn masa like that used in tortillas, were originally developed by Gustavo Olguin. Charles Elmer Doolin worked for him as a fry cook for a short time.

In 1932, Charles Elmer Doolin purchased a Gustavo’s corn chip recipe, a handheld potato ricer and 19 retail accounts for $100. Doolin set his new business venture in his mother’s kitchen. Because there was no money for hiring employees his family helped him.

In 1933, the fritos production was increased by designing a ‘hammer’ pres and the company continued to expand.

In 1945, The Frito Sales Company was established, which separated sales from production activities. Expansion by the Frito National Company continued with issues of six franchises in 1945.

H. W Lay & Company
Herman W. Lay was a salesman for Sunshine Biscuit Company, but during the Depression he lost his job.

In 1932 Lay was hired by Barrel Foods a snack food firm in Atlanta Georgia, and began selling peanut butter sandwiches in southern Kentucky and Tennessee. His job is to sell and make deliveries for the company by his model A Ford touring car.

Lay was an aggressive business and began acquiring distributorships. As his territories expanded, his profits arise. When Barrett’s founder died in 1937, Lay bought the company, which included plants in Atlanta and Memphis, Tennessee.  He changed the company name onto H. W Lay Co. Inc on October 2, 1939.

By end of the World War II, Lay’s had become a major regional produce of snack food. After the war Lay automated his potato chip manufacturing business and diversified its products.

Popcorn, manufactured in Nashville, Tennessee, was the first product to have the ‘Lay’s’ brand name. Lay also manufactured potato chips.

Frito Lay Incorporation
In 1945, Lay met Elmer Doolin. Doolin franchised Herman Lay a license to distribute Fritos.  The two companies also cooperated on other products.

In September 1961, The Frito Company and H. W Lay & Company merged to become Frito-Lay, Inc.

On June 8, 1965, the merger of Frito-Lay and Pepsi-Cola Company was granted by shareholders of both companies, and a new company called PepsiCo, Inc was form.

By the end of the 1960s, Frito –Lay was the dominant company in the snack world.
History of Frito-Lay