GEB 206            Global Culture and Citizenship

Part IIa: Commodity Culture: McDonald’s

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1. What is commodity?  Why do we need to talk about commodity culture?

1.1.   Commodity and social institution

1.1.1.                Commodity refers to the goods or services produced for economic transaction.  Everything you can buy or sell at a price in the market is commodity. 

1.1.2.                Non-Commodified goods or services: e.g. housewife doing housework.  Usually she does not earn a regular wage paid by her husband or other family members.

1.1.3.                Commodity’s nature depends on social institution and social relations: e.g. housewife and housemaid

 

1.2.    Commodity market: a self-regulating market?

1.2.1.                Economics textbook viewpoint: demand and supply determined by “the law of market” (About the critique of the notion of “self-regulating” market, please read 許寶強2002)

1.2.2.                Alternative approach: a detailed description of commodity production, distribution, circulation and consumption

1.2.3.                Searching for the social relations (historical and socio-cultural) behind the commodity world

1.2.4.                Example: Why do we need “marketing strategy”?  Every businessman knows that in reality, commodity transaction would not happen automatically according to the law of market.  All companies work very hard to create and increase people’s demand and shape people’s way of life and consumption.

 

1.3.   Commodity fetishism and “globalization”

1.3.1.                The belief in the law of market or “economic law” can be called commodity fetishism.

1.3.2.                Our task is to demystify the fictional world of commodity and goes into the social relations behind it.

1.3.3.                Globalization is often understood as a steady expansion of commodity production and circulation.  If it’s true, this is not an automatic result.  Instead, there might be some social mechanism behind it.

1.3.4.                Social relations and human interactions really matter. 

 

2.       Case study: McDonald’s

2.1. History:

-In 1954, Ray Kroc invested in milk shake maker and invested in the hamburger stand run by brothers Dick McDonald and Mac McDonald.  Kroc began the first franchising restaurant in 1955 (Des Plaines, Illinois).

-In 1963, the sales of hamburger reached 1 million a day. 

-In 1975, the first drive-through operation started while the first shop opened in Hong Kong. 

-In 2002, there are 208 outlets in Hong Kong.

 

2.2. Standardization: There is a 600 pages Operation and Training Manual.  Each kind of food is cooked and served in a standard way or more precisely in an industrial way. 

2.3. Industrialization: There is no chef in this restaurant and it produced food in the way of factory’s assembly line. 

“McDonald’s sells … … a system, not products.” (Robert Kwan, Managing Director of McDonald’s in Singapore, 1993)

2.4. Educating customers

-Queuing-self-provisioning, self-seating

-Egalitarian model: customers interact with the service workers face-to-face.

-Cleanliness, efficiency, reliability and hygiene become the criteria for judging a restaurant.  For example, McDonald’s toilet in Hong Kong (1970s). 

 

Although the headquarter in the US attempts to sell a specific culture of food to everywhere, the company president and the local franchisers are very sensitive to the local taste and situation.  The president even rejects the idea of “multinational”. The goal of McDonald’s “becomes as much a part of the local culture as possible … … People call us a multinational.  I like to call us multilocal.

(James Cantalupo, President McDonald’s International 1991)

 

2.5. McDonald’s in Hong Kong (http://www.mcdonalds.com.hk)

2.5.1. 漢堡包=hamburger?

In Hong Kong, at least during the 1970s and 1980s, hamburger is a sort of heavy snack rather than ordinary meal. 

2.5.2. McDonald’s vs. Chinese restaurant: Young people and children vs. Adult: Freedom vs. Constrain

2.5.3. Restaurant as a youth center and community center: According to a survey in 1995, Hong Kong people take 20-25 minutes for a meal in McDonald’s.

2.5.4. The rise of McDonald’s is parallel to the rise of the new generation and their consumption power (In 1995, there was a survey pointing out that Hong Kong teenagers had U$105 as pocket money per month). 

2.5.5. McDonald’s as a public space and a private space for youth. 

2.5.6. McDonald’s targeting at children and children culture: birthday party

2.6. McLibel: http://www.mcspotlight.org/case/index.html

 

3.       Commodity culture

3.1. Commodity culture is a very sophisticated cultural management or even social engineering although many people are not conscious of.   

3.2. Consumers do not fully accept the cultural management by the multinationals.  They adjust their own everyday life and make creative use of the dominant culture. 

3.3. If these commodity cultures represent the influence of global power, they also imply localization.  Local cultures do not remain unchanged; instead they transform themselves to counter against, to adapt to, to make use of, and to transform the dominant and global cultural industry.

 

 

Multimedia

The Best of Broadcast Commercials: Sneakers, Laptops, and the Homeless. (Films for the Humanities & Sciences) AVV659.14 SNEA

 

Appendix:

An exercise for next week discussion

Find out the origin of the word “Mall” from internet or other sources.

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