Legal & Political factors having significant impact on the U.S. restaurant industry – Taxes – Restaurants have a very wide impact by the tax laws and other financial regulations that include card swipe fees, food donations rules & depreciation (amortization) write offs etc. Tax credits offered, sales tax and other regulations are to be always known for any changes and its impact on business. Export & Import laws also have a considerable impact on restaurants. Human Resource – Proposed wage and immigration laws are the biggest issues for any restaurants worldwide. Being the leading work opportunity creators, restaurants in the U.S. have to deal with many workforce related issues such as, health care/insurance, leaves, tip allowances & union organizing. Compulsions/Mandates – Nutrition related issues like obesity, diseases, food safety & menu labeling are among the political factors affecting the restaurants in the U.S. The government has laid down certain amount of nutrition level required in the food and also the hygiene of the kitchen area used to cook & also to store food in the restaurants. There are certain mandatory food products to be listed on the menus of the restaurants. Helping the environment – Energy initiatives, agricultural policies and packaging restrictions affect how you do business. Some restaurants view obstacles as opportunities. They’re off- loading used fryer oil to alternative fuel providers or advertising sustainable use policies that attract eco-minded customers, such as featuring local produce and products. McDonald’s in the U.S. Despite many published reports on fast food industry and child obesity, there is very minimal or no government intervention in the operations of McDonald’s in the U.S. The political system as a whole tends to be far more committed to laissez-faire economics and the fast food industry has an aggressive and concentrated presence in the capital of which McDonald’s plays a very significant role. The fast food industry is politically savvy enough to avoid or negate any proposed regulation that can hamper their growth. Thus it has defeated proposed restrictions on Trans Fat content, proposed soda tax on drinks and policies aiming to control the amount of sugar, salt and fat in children’s meals. All countries in which McDonald’s operates, has some form of public health inspection systems with regards to restaurants and food producers. In U.S. it is the Food and Drug Administration. Every employee with food handling capabilities must take part in the food hygiene training at the company’s expense. McDonald’s adds additional controls to those required by the health agencies. Even their website states “there are at least 70 checks on beef and chicken every day. Due to this, their dedication to food safety over and above of what is required by the law is used as a marketing tool, to emphasize their commitment to quality. McDonald’s also adheres to the number of employment laws in U.S., including those .

1. Legal & Political factors having significant impact on the U.S. restaurant industry –
Taxes – Restaurants have a very wide impact by the tax laws and other financial regulations that
include card swipe fees, food donations rules & depreciation (amortization) write offs etc. Tax
credits offered, sales tax and other regulations are to be always known for any changes and its
impact on business. Export & Import laws also have a considerable impact on restaurants.
Human Resource – Proposed wage and immigration laws are the biggest issues for any
restaurants worldwide. Being the leading work opportunity creators, restaurants in the U.S. have
to deal with many workforce related issues such as, health care/insurance, leaves, tip
allowances & union organizing.
Compulsions/Mandates – Nutrition related issues like obesity, diseases, food safety & menu
labeling are among the political factors affecting the restaurants in the U.S. The government has
laid down certain amount of nutrition level required in the food and also the hygiene of the
kitchen area used to cook & also to store food in the restaurants. There are certain mandatory
food products to be listed on the menus of the restaurants.
Helping the environment – Energy initiatives, agricultural policies and packaging restrictions
affect how you do business. Some restaurants view obstacles as opportunities. They’re off-
loading used fryer oil to alternative fuel providers or advertising sustainable use policies that
attract eco-minded customers, such as featuring local produce and products.
McDonald’s in the U.S.
Despite many published reports on fast food industry and child obesity, there is very minimal or
no government intervention in the operations of McDonald’s in the U.S. The political system as
a whole tends to be far more committed to laissez-faire economics and the fast food industry has
an aggressive and concentrated presence in the capital of which McDonald’s plays a very
significant role. The fast food industry is politically savvy enough to avoid or negate any
proposed regulation that can hamper their growth. Thus it has defeated proposed restrictions on
Trans Fat content, proposed soda tax on drinks and policies aiming to control the amount of
sugar, salt and fat in children’s meals.
All countries in which McDonald’s operates, has some form of public health inspection systems
with regards to restaurants and food producers. In U.S. it is the Food and Drug Administration.
Every employee with food handling capabilities must take part in the food hygiene training at the
company’s expense. McDonald’s adds additional controls to those required by the health
agencies. Even their website states “there are at least 70 checks on beef and chicken every day.
Due to this, their dedication to food safety over and above of what is required by the law is used
as a marketing tool, to emphasize their commitment to quality. McDonald’s also adheres to the
number of employment laws in U.S., including those regulating the maximum of an employee’s

2. daily and weekly working hours, requirements of breaks and facilities, tax and payroll
requirements, business registration and accountancy standards to be followed to report the profits
and losses.
Solution
Legal & Political factors having significant impact on the U.S. restaurant industry –
Taxes – Restaurants have a very wide impact by the tax laws and other financial regulations that
include card swipe fees, food donations rules & depreciation (amortization) write offs etc. Tax
credits offered, sales tax and other regulations are to be always known for any changes and its
impact on business. Export & Import laws also have a considerable impact on restaurants.
Human Resource – Proposed wage and immigration laws are the biggest issues for any
restaurants worldwide. Being the leading work opportunity creators, restaurants in the U.S. have
to deal with many workforce related issues such as, health care/insurance, leaves, tip
allowances & union organizing.
Compulsions/Mandates – Nutrition related issues like obesity, diseases, food safety & menu
labeling are among the political factors affecting the restaurants in the U.S. The government has
laid down certain amount of nutrition level required in the food and also the hygiene of the
kitchen area used to cook & also to store food in the restaurants. There are certain mandatory
food products to be listed on the menus of the restaurants.
Helping the environment – Energy initiatives, agricultural policies and packaging restrictions
affect how you do business. Some restaurants view obstacles as opportunities. They’re off-
loading used fryer oil to alternative fuel providers or advertising sustainable use policies that
attract eco-minded customers, such as featuring local produce and products.
McDonald’s in the U.S.
Despite many published reports on fast food industry and child obesity, there is very minimal or
no government intervention in the operations of McDonald’s in the U.S. The political system as
a whole tends to be far more committed to laissez-faire economics and the fast food industry has
an aggressive and concentrated presence in the capital of which McDonald’s plays a very
significant role. The fast food industry is politically savvy enough to avoid or negate any
proposed regulation that can hamper their growth. Thus it has defeated proposed restrictions on
Trans Fat content, proposed soda tax on drinks and policies aiming to control the amount of
sugar, salt and fat in children’s meals.
All countries in which McDonald’s operates, has some form of public health inspection systems
with regards to restaurants and food producers. In U.S. it is the Food and Drug Administration.
Every employee with food handling capabilities must take part in the food hygiene training at the

3. company’s expense. McDonald’s adds additional controls to those required by the health
agencies. Even their website states “there are at least 70 checks on beef and chicken every day.
Due to this, their dedication to food safety over and above of what is required by the law is used
as a marketing tool, to emphasize their commitment to quality. McDonald’s also adheres to the
number of employment laws in U.S., including those regulating the maximum of an employee’s
daily and weekly working hours, requirements of breaks and facilities, tax and payroll
requirements, business registration and accountancy standards to be followed to report the profits
and losses.