McDonald’s acquires its Israeli locations following extensive boycotts

McDonald’s has been facing calls for a boycott following reports that its Israeli restaurants provided free meals to Israeli soldiers. As a result of declining sales due to the boycotts, the fast-food giant has made the decision to purchase all of its Israeli restaurants. The issue was highlighted by news outlets such as the British Broadcasting Company (BBC) and the news agency AFP.

In an effort to regain control and improve sales, McDonald’s announced that it will be acquiring Alonyal, the company that has been operating McDonald’s restaurants in Israel for over 30 years. This acquisition will result in McDonald’s directly owning 225 restaurants in Israel, where approximately 5,000 employees work. The purchase price was not disclosed, but the transaction is expected to be finalized in the coming months.

Most McDonald’s restaurants worldwide operate under franchise agreements, where independent entrepreneurs run the establishments. The boycotts and protests against McDonald’s in Israel stemmed from the actions of the restaurants operated by Alonyal serving free meals to Israeli soldiers. These actions led to a significant impact on McDonald’s sales, especially in regions like the Middle East, Malaysia, Indonesia, and France.

By taking full control of its restaurants in Israel, McDonald’s hopes to restore its reputation in the Middle East and achieve its key sales targets once again. This strategic move aims to address the negative sentiments surrounding the company and improve its business in the region.

By Samantha Robertson

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