Guy Russo, CEO of McDonald’s Australia, responded to criticism over a lack of product and marketing innovation at the chain in 2000 by blaming the introduction of the goods and services tax.

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Industry watchers pointed out that the Australian arm of the restaurant chain would need to develop the diversification and menu flexibility of its US parent if it is to boost its performance. The fastfood chain retained a 44% share of the market during 2000, but its main rival Burger King was able to increase its own share.


Sales at the chain in 1999-2000 were up by only 0.6% to A$1.74bn.

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