{"id":12589,"date":"2016-11-04T17:23:09","date_gmt":"2016-11-04T21:23:09","guid":{"rendered":"https:\/\/digital.hbs.edu\/platform-rctom\/submission\/two-sustainably-all-beef-patties-special-sauce-lettuce-cheese-pickles-onions-on-a-you-know-what\/"},"modified":"2016-11-04T17:39:21","modified_gmt":"2016-11-04T21:39:21","slug":"two-sustainably-sourced-all-beef-patties-special-sauce-a-bit-of-lettuce-cheese-pickles-no-onions-on-a-sesame-seed-bun-the-bun-is-3-extra","status":"publish","type":"hck-submission","link":"https:\/\/d3.harvard.edu\/platform-rctom\/submission\/two-sustainably-sourced-all-beef-patties-special-sauce-a-bit-of-lettuce-cheese-pickles-no-onions-on-a-sesame-seed-bun-the-bun-is-3-extra\/","title":{"rendered":"Two sustainably sourced all-beef patties, special sauce, a bit of lettuce, cheese, pickles, no onions on a sesame seed bun (the bun is $3 extra)"},"content":{"rendered":"

Over the second half of the 20th<\/sup> century, McDonald\u2019s climbed to the top of the restaurant industry food chain by providing\u00a0consumers with an accessible, low-cost dining option. Even in the face of growing nutrition concerns and alternative fast casual dining options, McDonald\u2019s has managed to maintain an edge because of its low prices. That said, global climate change could change all of that. Representing one third of its total expenses, McDonald\u2019s food and beverage ingredients are incredibly susceptible to the impacts of rising temperatures. [1]<\/p>\n

All across the globe, the agriculture industry is bracing for a future of lower overall crop yields and increased input costs due to warmer temperatures, a shrinking water supply, longer insect breeding seasons, and increased climate related regulation. [2]\u00a0The downstream cost implications won\u2019t only impact McDonald\u2019s tomatoes, lettuce, and potatoes. Sugarcane, grain, and coffee farmers will experience similar problems and McDonald\u2019s ketchup, soda, bread, and coffee supplies will suffer cost increases as a result.<\/p>\n

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In addition to produce, the increasing frequency and severity of droughts and high temperatures are placing a huge strain on the cattle industry. Scientists predict that the overall health and reproductive rates of cattle will decline with climate change. [2]<\/p>\n

Change in Consecutive Dry Days (1971-2000 compared to 2070-2099 forecasts)<\/strong><\/p>\n

\"Change<\/a><\/p>\n

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How much of these increased costs can McDonald\u2019s pass on to its customers and still maintain a low-cost competitive edge? Is there anything the fast-food chain do to avoid this future world?<\/p>\n

Thankfully, as the largest restaurant chain in the world, McDonald\u2019s is one of the few companies that has real power to influence how it\u2019s food suppliers do business. One year ago, McDonald\u2019s joined dozens of other companies in signing on to President Obama\u2019s American Business Act on Climate Pledge. [3] According to the pledge, McDonald\u2019s has committed to shrinking its carbon footprint by shifting food procurement to more sustainable sources, increasing energy efficiency, promoting the growth of competitive renewable energy sources, and reducing waste. More specifically with respect to its food supply chain, McDonald\u2019s has pledged to:<\/p>\n