McDonald’s and Starbucks have both reported declines in sales and profits — and both corporations blame boycotts by supporters of Palestine amid Israel’s war in Gaza as a factor in their weak results.
McDonald’s yesterday reported that its global sales declined for the first time since 2020, with its net profit declining 12 percent compared to the same period last year. Starbucks announced Tuesday that sales in North American stores dipped 2 percent, and sales in the rest of the world dipped 7 percent. It also reported that its total international profits dropped by 23 percent.
Although the companies point to currency fluctuation, slowdown within the Chinese market, and consumer reaction to rising menu prices to account for the change, the chief executives of both corporations cited the conflict in Gaza when discussing problems the businesses face. ….more
