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This test consists of 5 short answer questions, 10 short essay questions, and 1 (of 3) essay topics.

Short Answer Questions

1. Earl Prince wanted Kroc to:

2. What concept did Kroc promote when selling paper cups?

3. During World War I, Ray:

4. What kind of lease did the franchises have?

5. How did Kroc resolve the problem of the french fries?

Short Essay Questions

1. How did Kroc keep his salary from being cut during the Depression?

2. The McDonald brothers had a successful drive-in business that they closed and revamped. Why?

3. Why did Kroc return to Chicago from New York?

4. Where was Ray Kroc's background?

5. Why did McDonald's decide to operate and own some of the stores instead of leasing franchises?

6. What contract clause caused problems for Kroc?

7. How did drive-in restaurants come into being?

8. How did the growth of McDonald's benefit the company's suppliers?

9. What is Kroc's theory of fighting the competition?

10. What made Kroc such a successful salesman?

Essay Topics

Write an essay for ONE of the following topics:

Essay Topic 1

What are Kroc's views on education? Why does he refuse to provide funding to colleges with liberal arts programs? What kind of program must a college have in order to receive a donation from Kroc? Do you agree with his reasoning?

Essay Topic 2

Kroc viewed McDonald's and new product development as capitalism in action. Comment on this statement using examples from the book. What does he mean by capitalism in action? Do you agree with him?

Essay Topic 3

What is the relationship between risk and happiness? Is it possible to be happy without taking risks? Why or why not? Do you agree with Kroc's philosophy?

(see the answer keys)

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