Following Starbucks, McDonald’s Acknowledges Effects of Boycotts

Leading global fast-food chain McDonald’s has acknowledged a significant negative impact on its business due to widespread boycotts related to events surrounding the conflict between Israel and Gaza.

CEO Chris Kempczinski expressed disappointment at the misinformation contributing to the business downturn, emphasizing that McDonald’s is locally represented in every country of operation, including Muslim nations, by dedicated owner-operators committed to serving and supporting their communities. Kempczinski highlighted the employment opportunities provided to thousands of citizens by these local operators.

Approximately 5% of McDonald’s 40,000 outlets worldwide are situated in the Middle East. Calls for a boycott gained momentum after McDonald’s Israel announced free meal offerings to the Israeli Defence Force, prompting the Boycott, Divestment and Sanctions (BDS) movement to officially advocate for a boycott of the fast-food giant due to its perceived support for Israel.

Despite the local ownership of global outlets, proponents of the movement argue that franchise payments contribute to the global company, potentially linked to its Israel franchise. The backlash extended to Pakistan, where McDonald’s issued a statement disassociating itself from Israel and denouncing violence while affirming its commitment to inclusivity.

This admission by McDonald’s follows a similar disclosure by Starbucks, revealing that its outlets are facing vandalism and threats. Starbucks is currently entangled in a legal dispute with the Workers United union, involving a social media statement that the company claims reflected the union’s alleged support for violence attributed to Hamas.