Day 041 - 28 Oct 94 - Page 39

     
     1        see it coming back to me with interest".  Is that all fair
     2        comment?
     3        A.  Yes, I would agree with that.
     4
     5   Q.   "Of course, it comes back in different forms and that may
     6        be the reason a begrudger cannot appreciate it.  He has a
     7        narrow vision that allows him to see income only in terms
     8        of cash in his register.  Income for me can appear in other
     9        ways.  One of the nicest of them is a satisfied smile on
    10        the face of a customer".  Is that reasonable?
    11        A.  Yes.
    12
    13   Q.   "That is worth a lot because it means that he is coming
    14        back and he will probably bring a friend.  A child who
    15        loves our TV commercials and brings her grandparents to a
    16        McDonald's gives us two more customers.  This is a direct
    17        benefit generated by advertising dollars".  Is that all?
    18        A.  Yes.
    19
    20   Q.   "But the begrudger has a hard time appreciating this.  He
         wants to have his cake and eat it too".   Apart from the
    22        "having his cake and eating it too" (which I do not quite
    23        understand) is that all fair comment?
    24        A.  Yes, I think so.
    25
    26   MR. JUSTICE BELL:  You agree with that, do you?
    27        A.  Yes, I think that is perfectly sound.
    28
    29   MR. MORRIS:  That, I believe, was in, whenever it was -- it was
    30        obviously before he died -- 1984.  But that kind of
    31        approach, would you say that was something which
    32        underwrites how you spend your money and your strategy,
    33        that kind of philosophy?
    34        A.  In simplistic terms -- I mean, obviously that is just
    35        one part of the bigger equation, but I do not have any
    36        problem with those words.
    37
    38   Q.   You said before this morning that when you were
    39        establishing a new product or, in fact, establishing the
    40        company here, you had to put a lot more money into Ronald
         McDonald at that time to establish him.  Is that correct?
    42        A.  Yes.
    43
    44   Q.   Because it was unknown?
    45        A.  That is right.
    46
    47   Q.   When you are establishing a whole new section in a country
    48        where there is no McDonald's, presumably, advertising has a
    49        very important role at that time?
    50        A.  Yes, it does. 
    51 
    52   Q.   I am going to quote to you now from a book called "Behind 
    53        the Arches" by John Love.  Are you aware of this book?
    54        A.  Yes, I am aware of it.
    55
    56   Q.   Are you aware it is an authorised book by the company?
    57        A.  Yes.
    58
    59   Q.   Do they distribute it to people sometimes?
    60        A.  Not that I am aware of.