Question #54511
McDonald’s restaurants do the bulk of their business at lunchtime, but have found that promotionally-priced meals at breakfast and dinner make a significant profit contribution. Does the success of McDonald’s restaurants in this regard reflect an effective application of the marginal profit concept or the incremental profit concep
Expert's answer
In this case McDonald`s implement incremental profit concept, which allows to use promotional-priced meals to increase profit contribution. Additionally sold breakfast and dinner actually provides company wit additional (incremental) profit
