Chris Kempezinski, McDonald's CEO, is finishing an early morning run along South Lake Shore Drive. He is heading back to McDonald's corporate headquarters in downtown Chicago's trendy west$-$loop section. As he approaches the super modern office building, he reflects on how it symbolizes the company's future, not its suburban past. With open workspaces, modular furniture, and floor$-$to$-$ceiling glass, it feels more like a WeWork location than a stodgy corporate headquarters. Yet, there is also an operational efficiency to the place. Each level has a specific purpose, ranging from a live restaurant on the ground floor with menu items from Australia, Hong Kong, and France, to the test kitchens used for new product development, to the famous Hamburger University, a training facility for franchisees and corporate managers.

To top off his workout in preparation for the New York City marathon in a few weeks, he sprints up the flights of stairs to the CEO's office on the ninth floor. His thoughts turn to the upcoming earnings call. Investors will want to know about McDonald's strategic positioning post$-$Covid and how to drive future growth in a more uncertain and hostile environment of higher interest rates. recessionary pressures, labor shortages, and McDonald's withdrawal from Russia.

Since being appointed CEO in $2019,$ Chris Kempezinski launched the Accelerating the Arches strategic initiative, with three growth pillars using the acromym MCD$,$ which is also MeDonald's ticker symbol:

maximize our Marketing,

commit to the Core Menu, and

double down on the $4Dsof$ delivery, digital, drive$-$through, and development. ${?}_{(})$

Kempezinski's Accelerating the Arclies growth initiative builds on the work his predecessor, Steve Easterbrook, CEO between $2015$ and $2019.$ Under Easterbrook, Kempezinski served as president of McDonald's USA oversecing all aspects of $14,000$ restaurants. Jointly. they had worked hard to turn McDonald's around by simplifying the menu and improving the customer experience. Those improvements in drive$-$through technology and digital ordering paid off during the Covid$-19$ pandemic, as people were forced to social distance and use drivethrough and delivery services. The pandemic required the company to find new ways of working and becoming more efficient, but also created new challenges related to staffing and health protocols.

MeDonald's Corporation is the world's largest hamburger fast food restaurant chain, with $40,000$ restaurants in over $100$ countries, $$23$ billion in annual revenue, a net income of $$6$ billion, and $200\mathrm{.}000$ employees globally $($ Exhibits $1,4).$ McDonald's operates a franchise business model, with the majority of its restaurants owned and operated by independent franchisees $(15$ Exhibits $5-6).$ System$-$wide sales, which include McDonald's company$-$owned and franchised restaurants, stood at some $$120$ billion. McDonald's is also a realestate holding company, owning $55\%$ of the real estate and $80\%$ of the building in its franchise system. MeDonald's revenues are mainly from its franchise royalty fees and lease payments $(60\%)$ and company$-$operated stores $(40\%).$