The Founder(2017)

Plot Summary

• Ray Kroc (Michael Keaton) is a traveling salesman selling Prince Castle brand milkshake mixers in 1954 but with little success. While he has a supportive wife, Ethel (Laura Dern), and has saved enough to live a simple and comfortable life in Arlington Heights, Illinois, he craves more. After learning that a drive-in in San Bernardino is ordering an unusually large number (8) of milkshake mixers, Ray drives to California to see it. What he finds is McDonald's, a highly popular walk-up restaurant with fast service, high-quality food, disposable packaging, and a family-friendly atmosphere.Ray meets with the two McDonald brothers, Maurice "Mac" (John Carroll Lynch) and Richard "Dick" McDonald (Nick Offerman). Ray tours the kitchens and notes the employees' strong work ethic. Dick explains the high-quality food and lightning-fast service are the backbones of their diner. Ray takes the brothers to dinner and is told the origin story of McDonald's. The brothers tell them how they re-invented their original drive-in business by systematically removing every bottleneck in customer service and cost control.The next day, Ray suggests that the brothers franchise the restaurant and discovers that they had previously attempted to do so only to encounter absentee owners and inconsistent standards which ultimately led to the failure of the endeavor. Ray persists and eventually convinces the brothers to allow him to lead their franchising efforts on the condition that he agree to a contract which requires all changes to receive the McDonald brothers' approval in writing.Initially, Ray begins building a McDonald's restaurant in Des Plaines, Illinois while attempting to entice wealthy investors (specifically fellow members at the country club he and Ethel were members of) to open franchises. Kroc recruits Fred L. Turner as his business partner.Ray encounters the same poor management ethic which doomed the original franchise efforts. Ray hits on the idea of franchising to middle-class investors, who are more likely to be hands-on and willing to follow the McDonald's formula. Ray puts the franchisee directly into the work-space and working alongside their staff. Kroc sees rapid gains and continues to expand, traveling to St. Paul to oversee the first opening in the Twin Cities.This proves successful, and new franchises begin opening across the Midwest, with Ray representing himself as the creator of McDonald's. During this time, Ray meets Rollie Smith (Patrick Wilson), an upscale restaurant owner in Minnesota who wishes to invest, and his wife Joan (Linda Cardellini), to whom Ray is immediately attracted.Despite his success, Ray begins to encounter financial difficulties as his share of franchise profits is limited due to his contract. At the same time, Kroc stresses against rising pressure from financial operating costs and falls behind on his payments. Kroc is unsuccessful at renegotiating his contract with the McDonald brothers, and, when his bank calls his home, Kroc's wife, Ethel, discovers her husband put the house up as collateral without her knowledge. Kroc later files for divorce from Ethel.Owners are encountering higher than expected costs, particularly for refrigeration of large quantities of ice cream for milkshakes. Joan suggests a powdered milkshake to Ray as a way to avoid these costs, but the brothers refuse to compromise the quality of their food. With his debts mounting and the threat of foreclosure on his house (as he had mortgaged it for extra capital), Ray goes to his bank to attempt to renegotiate his loan, but it refuses.Fortunately, he is overheard by Harry Sonneborn (B. J. Novak), a financial consultant for Tastee-Freez, who agrees to review Ray's books. Sonneborn explains to Ray that the business operator model will fail under the contract terms restricting him. He realizes that the real profit opportunity is in providing real estate to the franchisees, which will not only provide a revenue stream, but give Ray leverage over his franchisees and over the McDonald brothers. Ray incorporates a new company, Franchise Realty Corporation, and attracts new investors. This move upsets the brothers and emboldens Ray: he increasingly defies them by circumventing their authority and providing powdered milkshakes to all franchisees.Ray renames his company to The McDonald's Corporation and demands to be released from his contract and buy the brothers out, the news of which sends Mac into diabetic shock. Ray visits him in the hospital and offers a blank check to settle their business. The brothers agree to a $2.7 million lump sum payment, ownership of their original restaurant in San Bernardino, and a 1% annual royalty.When the time comes to finalize the agreement, Ray refuses to include the royalty in the settlement and instead offers it as a handshake agreement. The brothers reluctantly agree, and Kroc becomes the sole owner of the McDonald's Corporation. Dick asks Kroc why the latter didn't just take the idea and run with it. Kroc admits he always wanted the restaurant for himself because of the brothers' last name, with Kroc lamenting his own Slavic last name isn't "American" enough, but that McDonald's represents American values.The film ends with the brothers being forced to change the name of their original location, and Kroc begins construction of a new McDonald's immediately across the street in San Bernardino. Kroc, now married to Joan, prepares for a public speech that California Governor Ronald Reagan will attend, heavily plagiarizing a speech he listened to earlier in the film, arguing his success came from persistence.An epilogue reveals several facts about the company: Kroc's secretary, June Martino, became a part owner in the McDonald's Corporation. Sonneborn was made president and CEO but quit after falling out with Kroc a few years later, never speaking of McDonald's again for the rest of his life.Turner succeeded Kroc as senior chairman of the company, expanding the company worldwide. Kroc and Joan remained married until Kroc's death in 1984. Kroc's San Bernandino McDonald's drove the McDonald brothers' original restaurant out of business in a few years. Kroc did not honor his handshake deal - the McDonald brothers were never paid their royalties, which would eventually have been over $100 million a year. McDonald's feeds about 1% of the world's population every day.

Storyline

• Ray Kroc , a salesman who turned two brothers' innovative fast food eatery, McDonald's, into the biggest restaurant business in the world, with a combination of ambition, persistence, and ruthlessness. 1954. Having worked as a salesman most of his adult life, Ray Kroc has been a hustler in most senses of the word. That hustling has made him the target of derision among certain circles for peddling what have ended up being more novelty or faddish than useful products, but it has also placed more than a comfortable roof in Arlington Heights, Illinois over his and his wife Ethel's heads. Ethel, however, wishes that he placed as much effort into being at home with her as he does in selling; his current job of peddling five-spindle milkshake makers for Prince Castle which has him constantly on the road going from one drive-in restaurant to another. It is because of the beefs he has with the whole drive-in experience (bad food, bad service) in constantly eating at such establishments while on the road that he becomes enthralled with the concept of McDonald's Restaurant in San Bernardino, California, owned and operated by brothers Richard McDonald and Maurice McDonald - Dick and Mac. Unlike most of Ray's customers who will only require one five-spindle milkshake maker at any given time, the McDonald brothers end up purchasing eight machines for their single restaurant. Primarily on Dick's initiative, the brothers have redesigned the whole concept of the drive-in restaurant to focus on quality food through a smaller menu of only the most popular items (hamburgers, fries, sodas), consistency in product so that customers know what to expect from time to time, change in the target market from lounging teenagers to families, and perhaps most importantly speed in having any order ready within seconds, many of these goals achievable through assembly line styled production. They had tried franchising previously, but failed in that they lost control over many of those aspects which made their San Bernardino restaurant successful. Despite believing Ray a bit off kilter (in other words, crazy), the McDonald brothers somewhat hesitantly enter into a contract with him to be their head of franchising. Ray's experience in the job is not without its problems, especially as his franchisees seem to be making more money than he is, he who is only breaking even. He is not averse to advancing ideas provided to him to get ahead - original ideas which are not his forte - he seeing the brothers as his biggest problem in they thinking small. These differences lead to a standoff between Ray and the brothers, the former who has a different goal for "his" business in profit and stoking his own ego seemingly his main priorities. — Huggo In 1954, Ray Kroc is an unsuccessful traveling salesman selling Prince Castle brand milkshake-mixers. While he has a supportive wife, Ethel, and has saved enough to live a simple and comfortable life in Arlington Heights, Illinois, he craves more. Ray also observes that many of the drive-in restaurants that he tries to sell to are inefficiently run, with a long waiting time for orders and carhops more concerned with avoiding the groping from greasers than getting the orders right. After learning that a drive-in in San Bernardino is ordering an unusually large number of milkshake mixers, Ray drives to California to see it. What he finds is McDonald's: a highly popular walk-up restaurant with fast service, high-quality food, disposable packaging, and a family-friendly atmosphere. Impressed by the revolutionary Speedee Service System of American brothers, Richard McDonald and Maurice McDonald , over-the-hill 52-year-old milkshake-machine salesman Ray Kroc , drives to their small drive-in restaurant in 1954 San Bernardino, California. After tasting a fresh, scrumptious, 15-cent hamburger from grill to counter in just 30 seconds and learning all about the ingenious brothers' secret of success, Ray Kroc has an epiphany: what if the business of the innovative duo was franchised? As one thing leads to another and Ray manages to strike a business deal with the McDonald brothers, what follows next is a tale of hard work, persistence, and determination, peppered with equal amounts of manipulation, ruthlessness, and greed. In an increasingly competitive world, just how far is one willing to go to seize a once-in-a-lifetime opportunity? — Nick Riganas