|Name: _________________________||Period: ___________________|
This test consists of 15 multiple choice questions and 5 short answer questions.
Multiple Choice Questions
1. Where was Hamburger University located?
(a) Chicago, Illinois.
(b) Des Plaines, Illinois.
(c) Arlington Heights, Illinois.
(d) Elk Grove Village, Illinois.
2. The major reason why Kroc wanted to end the association with the McDonald brothers was:
(a) Their refusal to alter any of the terms of the original agreement.
(b) They refused to sell their San Bernardino store to the corporation.
(c) They interferred too much in company decisions.
(d) They demanded managerial positions.
3. How did the Big Mac become a menu item?
(a) To minimize costs.
(b) To lower the cost of bun's.
(c) In response to Burger King's Whopper.
(d) It was a man-sized meal.
4. In granting franchises, McDonald gives preference to:
(a) Candidates under the age of forty.
(b) Present operators and McDonald's employees.
(c) Candidates with business school degrees.
(d) Employees of competitors.
5. How many regions did McDonalds plan to establish?
6. Why did McDonalds have low volume in California?
(a) Poor quality.
(b) Staffing problems.
(c) McDonald's have no identity in the multitude of drive-ins.
(d) Other stores undersold them.
7. In exchange for the loan, McDonald's would:
(a) Give the group a seat on the board.
(b) Yield managerial control until the loan is repaid.
(c) Change their mangement policies.
(d) Pay .5% of gross sales for three periods.
8. Where did Kroc meet Joni Smith?
(a) St. Paul.
(c) San Bernardino.
(d) New York.
9. What did Kroc do with the baseball park non-player staff?
(b) Restructured the management.
(c) Gave them pay increases.
(d) Brought in his own people.
10. What new rule was made because of Kroc's action at the first home game?
(a) The park must be landscaped according to league requirements.
(b) Only players and game officals can be on the field.
(c) A limit on the number of promotions.
(d) Only the official announcer can use the public address system.
11. In regards to baseball, Kroc tried to make attending the games:
(a) A more pleasant experience.
(b) None of the above.
(c) A dining experience.
(d) A money making event.
12. What is The Monotony Index, formulated by Luigi Salvenschi?
(a) The store must have music or entertainment for customers.
(b) The menu should be varied so customers don't become bored.
(c) The greater the amount of monotony in a town, the better the chances that McDonalds will be successful.
(d) Tasks should be rotated so workers don't become bored.
13. How long did it take Kroc to straighten out the problems in California?
(a) Three weeks.
(b) Three years.
(c) Six months.
(d) Eighteen months.
14. What is Kroc's theory about size of stores and growth?
(a) Begin with small stores and let them expand.
(b) All stores must be of uniform size.
(c) He had no theory of the subject.
(d) If you think small, you stay small.
15. Why was Kroc as interested in California?
(a) It was the site of the original McDonald brothers stores.
(b) The McDonald brothers lived there.
(c) The state had a potential equal to almost the rest of the US market.
(d) He wanted to get away from Chicago.
Short Answer Questions
1. When did Sonnenburn assume this position?
2. McDonalds lost business after the price increase. How long did it take for the customer counts to recover?
3. After Ray married Jane, they sold the Woodland Hills house and:
4. When McDonalds went public, what was the initial offering price of the stock?
5. Which of the following was not one of Kroc's failures?
This section contains 559 words
(approx. 2 pages at 300 words per page)