Question
McDonald's has recently been rolling-out automated kiosks for order (like the one pictured below) across most of its stores in the U.S., and its European
McDonald's has recently been rolling-out automated kiosks for order (like the one pictured below) across most of its stores in the U.S., and its European locations. McDonald's stock price responded very strongly as investors believe this move will cut production costs in the long-run. Yet, McDonald's has been much less aggressive at rolling out the automated kiosks in places like South America and Mexico.Explainin detail from an economic perspective, why rolling out kiosks in these other countries might not have the same impact of minimizing cost in the long-run. In doing so, think about the conditions for long-run cost minimization andwhat specific thingsmight be different between the US and other countries like South America and Mexico that account for the difference; namely, differences related to both labor and technology than might justify the different production methods.
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