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This test consists of 5 multiple choice questions, 5 short answer questions, and 10 short essay questions.

Multiple Choice Questions

1. As a result of the exclusive licensing agreement, McDonalds:
(a) Lost business to competitors.
(b) Couldn't open a store in the area.
(c) Received a lower percent of sales.
(d) Had no say in the management issue.

2. What baseball team did Ray Kroc purchase?
(a) Chicago Cubs.
(b) San Diego Padres.
(c) Chicago White Sox.
(d) New York Yankees.

3. Kroc assumed the title of president for one year after Harry resigned because he:
(a) He had no other choice.
(b) Wanted to make changes in the organization.
(c) He didn't want to share decision making with anyone.
(d) Couldn't find a replacement for Harry.

4. After marrying Joni and giving the Beverly Hills house to Jane, the Kroc's:
(a) Moved to his Southern California ranch.
(b) Moved to Chicago.
(c) Lived on his Yacht.
(d) Bought another house in Beverly Hills.

5. How many hamburgers had McDonalds sold by July 1966?
(a) Three billion.
(b) Five hundred million.
(c) One billion.
(d) Two billion.

Short Answer Questions

1. Kroc decided to restructure the company for administrative purposes by:

2. Where did Kroc meet Joni Smith?

3. What did Kroc do at the first home game of the 1974 season?

4. In granting franchises, McDonald gives preference to:

5. McDonald's faced opposition from some of their operators in the form of:

Short Essay Questions

1. What was the MiniMac concept?

2. Why didn't Kroc make Fred Turner president right after Harry resigned? Why did he want the position himself for one year?

3. What resulted in the Sonnenburn camp and the Kroc camp?

4. Why did Kroc purchase professional sports teams?

5. When McDonald's went public, what was the share price that the stock opened at?

6. How did Kroc deal with the suppliers?

7. What was the biggest area of disagreement between Sonnenburn and Kroc?

8. What does Kroc describe as the most fulfilling function in his job?

9. Why does Kroc describe the introduction of new menu items as examples of capitalism in action?

10. How did Kroc handle in management duties in 1963?

(see the answer keys)

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