Wednesday, 13th February 2013
In General Japan News,
Japanese turn away from McDonald's
It seems the Japanese appetite for fast food burgers may be waning as McDonald's Japan has released its end of year figures which reveal a dip in both operating profits and sales.
The restaurant chain reported that total sales for 2012 were one per cent down on the previous year. In addition, the company stated that its profits after tax were 3.2 per cent lower than the last 12 months. Operating profits were 12 per cent less than 2011.
Speaking at a press conference, Eikoh Harada, chairman and president of McDonald's Japan, said: "[Seasonal products] are expensive in terms of advertising costs and ingredients. Because of this, their prices were set at high levels, and they didn't sell well as a result."
The news of a decline in sales for the company seems to part of a general trend as the corporation announced that global same-store sales had dipped by 1.9 per cent in January 2013.
Written by Mark Smith