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McDonald's: The Real Estate Giant with Higher Profit Margins Than Tesla?

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Topic review: McDonald's: The Real Estate Giant with Higher Profit Margins Than Tesla? Expand view

Re: McDonald's: The Real Estate Giant with Higher Profit Margins Than Tesla?

by dannytewia » Sun Feb 01, 2026 2:18 pm
When people think about McDonald’s, they usually think about food, not property. What many don’t realize is how much of its success comes from owning and managing valuable real estate. Real estate property management plays a key role right in the middle of this strategy by keeping locations profitable, maintained, and strategically positioned. This approach creates steady income, lowers risk, and boosts long term margins beyond just selling products. It’s a smart reminder that real estate, when managed well, can quietly outperform even the flashiest industries.

McDonald's: The Real Estate Giant with Higher Profit Margins Than Tesla?

by Teslaguy » Sat Feb 15, 2025 8:55 am
McDonald's: A Real Estate Empire Disguised as a Burger Joint?

This article highlighting McDonald's shockingly high profit margins compared to tech giants like Tesla, Apple, and Netflix really got me thinking. Are we looking at this all wrong? Is McDonald's truly a fast-food company, or is it a real estate behemoth cleverly leveraging the golden arches? The article points to their massive real estate holdings and the significant portion of revenue derived from rent paid by franchisees.

This raises some interesting questions for me. How much of McDonald's success is truly tied to its food versus its real estate strategy? Could this model be replicated by other businesses? And what does this mean for the future of McDonald's? Will they continue to expand their real estate portfolio, potentially becoming one of the largest landowners globally?

Furthermore, how does this compare to Tesla's business model? Tesla focuses on innovation and vertical integration, controlling much of its supply chain. Is this ultimately a more sustainable long-term strategy than McDonald's reliance on franchising and real estate? Which model is more resilient to economic downturns or changing consumer preferences?

I'd love to hear your thoughts on this. Is McDonald's a real estate company masquerading as a burger chain? What are the long-term implications of their business model, and how does it compare to Tesla's approach? Let's discuss!
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