McDonald's Corporation franchises and operates more than 30,000 fast service restaurants in 119 countries. Buffalo Wild Wings franchises and operates more than 500 restaurants in the U.S. Buffalo Wild Wings features chicken wings and a full bar in its restaurants.

Financial information for each company follows. EBI denotes after-tax earnings before interest expense.

Buffalo Wild Wings McDonald's

	2007	2008	2009	2010	2011		2007	2008	2009	2010	2011
# of stores operating at year-end:
company-owned	161	197	232	259	319		6,906	6,502	6,262	6,399	6,435
franchised	332	363	420	473	498		24,471	25,465	26,216	26,338	27,075
Revenues ($ in millions):
company-owned		379.7	488.7	555.2	717.4			16,560.9	15,458.5	16,233.3	18,292.8
franchised		42.7	50.2	58.1	67.1			6,961.5	7,286.2	7,841.3	8,713.2
TOTAL		422.4	538.9	613.3	784.5			23,522.4	22,744.7	24,074.6	27,006.0

REQUIRED:

1. Determine the amounts of sales revenue per company-owned store and franchise fees per franchised store for each year and each company. In these computations, use the average number of stores open during the year

2. Assume that for both companies sales at company-owned stores are the same (on a per store basis) as sales for the same company's franchised stores. Estimate each company's franchise fee rate, which is stated as a percentage of each franchisee's sales revenues.

3. Perform a cause-of-change analysis from 2008 to 2011 for each company to disaggregate the increase in revenues from company-owned stores between growth in the average number of average stores open and growth in revenues per store.

4. perform a similar analysis for franchise fee revenues.

5. what do your analses from requirements 4 and 5 tell you about the companies' growth strategies?