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McDonald's Corporation (MCD) operates company-owned and franchised restaurants in over 100 countries. The company operates primarily as a franchisor with approximately 85% of its current

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McDonald's Corporation (MCD) operates company-owned and franchised restaurants in over 100 countries. The company operates primarily as a franchisor with approximately 85% of its current restaurants operated by franchisees. McDonald's goal is to franchise approximately 95% of its restaurants in the long term. McDonald's operations are divided into the following segments: - United States: Restaurants throughout the United States - International Lead Markets: Restaurants in Australia, Canada, France, Germany, and the United Kingdorm - High Growth Markets: Restaurants in China, Italy, Korea, Poland, Russia, Spain, and Switzerland - Foundational Markets \& Corporate: Restaurants not contained in the preceding segments plus corporate activities McDonald's belleves that the High Growth segment has significant potential for rapid growth and expansion. Recent data (in millons) for the first three primary segments are as follows: a. Determine the profit margin for each of the three segments. Round to one decimal place. b. Determine the investment furnover for the three segments. Round to two decimal places. Investment d. Analyze and interpret the results of (a), (b), and (c). 1. The U.S. segment has the highest profit margin and ROI but the lowest investment turnover. This may be due to its high level of invested assets. 2. The International Lead segment has the highest profit margin and investment turnover but the R.OI lower than the U.S segment. This may be due to a low-pricing strategy. 3. The High Growth segment has the lowest profit margin and investment turnover but the highest Ro1, This may be due to promotions and a low-pricing strategy that attempts to grow market share

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