McDonald's Is Using AI to Dynamically Price Its Burgers
rnz.co.nz
rnz.co.nz
I have a nephew in high school. There’s a McDonalds that’s a close walk. A lot of kids hang out there and, in aggregate, they spend a ton of money. My nephew would often order through the app and his friends would give him cash. He’d end up with a bunch of rewards.
So, from McDonalds perspective he’s a customer buying tons of crap. Do you know what the true reward was? Price gouging, that’s what. In the app, everything was more expensive for him than it was for me.
So, since winning the lotto by having a McDonalds beside a high school isn’t enough, they’re ripping off their regulars. I hope they go broke. My family doesn’t spend money there anymore. We’re not price sensitive, but we’re definitely “getting ripped off” sensitive.
Screw McDonalds.
> McDonald's has power over decisions that can make or break a franchisee's business, such as their eligibility to renew or open new stores.
You're free to reject their prices but they're free to refuse to renew your contract. After all, what is the government going to do, force two parties to do business with each other and renew a contract? Freedom for all.
In the end the economy is more like a religion than science - reliant on people's faith in the system. As that faith erodes and as central command structures fail to regulate the economy and people, it's going to be interesting to see what emerges from the chaos.
If one can call it food.
The inflation and preemptive price increases are really making things unaffordable.
I think this is just the Covid era price increases and its aftermath. And we haven’t seen the second wave that’s going to come from the recent oil shocks.