Ray A. Kroc Eric Schlosser focuses on the story of Kroc in this chapter Kroc founded the McDonald’s corporation in 1955 and bought the rights in 1960 Kroc utilized the assembly line as the way Had an agreement with Walt Disney about a McDonald’s in the park, but because lack of agreement on prices the park never allowed a McDonald’s on opening day It would be a partnership that would leave a lot o money for both side of the people Implemented core values of the franchise: quality, service, cleanliness, and value http://www.mcdonalds.com/us/en/our_story/our_history/the_ray_kroc_story.html Slide 2 continued Ray A. Kroc and Walt Disney used a marketing technique known as “Kid Customers” which targets children will meals and toys inside modeled completely around what things most appeal to young children i.e. Disneyland is one big theme park for children where their imagination becomes a reality and in McDonald’s there are toys in the meals and the main meal children know is a Happy Meal The McDonald’s also went down the same line as Disney. Disney has Mickey Mouse, so McDonald’s created Ronald McDonald Obviously both targeting children, because adults don’t always choose to go to a children centered place, but their nagging crying children do Genius tactic I might add!!! Walt Disney-Wernher von Braun Von Braun, in the mid-1950s, helped and cohosted a series of television shows on space exploration Helped with the building and advertising of Disney’s “Tomorrowland” Wernher von Braun designed the ride at Disneyland called Rocket to the Moon It was a smart move by Walt Disney to gain credibility about his “Tomorrowland” by having a scientist of rocket science designing a ride and cohosting/producing some animated films Walt Disney pioneered the marketing strategy know as Synergy; evidence of that is still in practice today. If you go to Disneyland you will see a huge sum of workers there and that is the main part of synergy, Synergy is the interaction of multiple elements in a system to produce an effect different from or greater than the sum of their individual effects. A little help from everyone goes a long way!! http://history.msfc.nasa.gov/vonbraun/disney_article.html Coca Cola & other Corporations Coca-Cola and other major corporations began advertising at school hallways and around all of District 11 in Colorado Those company's target young adults because they are the largest consumers of the so-called “liquid candy” Beverage companies in the US spent roughly $3.2 billion marketing carbonated beverages in 2006, with nearly a half billion dollars of that marketing aimed directly at youth ages 2–17. (7) And each year, youth see hundreds of television ads for sugar-containing drinks Two out of three adults and one out of three children in the United States are overweight or obese, (1,2) and the nation spends an estimated $190 billion a year treating obesity-related health conditions http://www.hsph.harvard.edu/nutritionsource/sugary-drinks-fact-sheet/ Key Terms in Chapter Ray A. Kroc Coca Cola McDonald’s Synergy Marketing Walt Disney Wernher von Braun Richard and “Mac” McDonald Heinz Haber Disneyland NBC “Kid Customers” Critical Questions Do you think that the fact huge corporations share similar techniques is the reason they gain so much success? Did Colorado not care about the health risks all those ads can have on their citizens because of the money? Should the number of ads in one place or in one commercial break be regulated?