The famous golden arches adorned on every McDonald’s restaurant will be staying in Greece for the time being. Despite recent franchises closing in Omonia Square in Athens and Thessaloniki, the fast food empire plans to keep its business running against the large number of domestic competitors.
The official Developmental Licensee of McDonald’s in Greece emphasized the decision to stay in Greece and support the brand in the face of the country’s economic crisis. In a statement, Premier Capital Hellas said that the Thessaloniki restaurant branch which closed was under management by a local franchisee, but that establishing a new branch in the city is in the works.
The company said it believes in the potential of the Greek economy and will continue its investment and development plans despite the economic troubles. While not a problem solver in itself, this kind of confidence is what Greece needs from foreign investors if it hopes to emerge from its current situation.
Some substance to the claim of McDonald’s faith in Greece would be the store they just opened in Hersonissos, Crete, the third on the island, and has invested over 400,000 euros ($531,640) in the operation.
The stiff competition McDonald’s faces comes mostly from the Goody’s restaurant, which is Greece’s oldest fast food restaurant. Other competition include the various gyro and souvlaki joints, which are numerous and popular all across Greece. Going forward, McDonald’s must outmaneuver these challengers to gain traction among Greek fast food consumers.