Refer to Exhibit 6-12, which presents McDonald's market potential based on the formula given on page 195.

a. Using the same formula, estimate what McDonald's market potential would be for the former Eastern Bloc countries: Bosnia, Bulgaria, Croatia, Czech Republic, Hungary, Poland, Serbia, Slovakia, and Ukraine. Compare these to the most recent actual number of restaurants in each of these countries (the latest figures can be downloaded from a spreadsheet available on McDonald's Investors information website: Go to http://www.aboutmcdonalds.com/mcd/investors/financial_highlights.

html and click on “Financial Information.”

b. The formula that McDonald's uses to estimate market potential basically relies on two factors: the country's population and income. What other factors could be relevant besides these two?