McDonald's Japan turns Big Macs into big profits

The American burger chain achieves record group net profits in 2009, but still plans to close 433 underachieving stores

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McDonald's in Japan, like in America, can be a beacon in the night for highway drivers. (Photo by Flickr user midorisyu)

McDonald's Japan super-sizes its profitability

American burger chain McDonald's Japan reported record profits for 2009 -- ¥12.81 billion, up 3.4% from 2008. This is the highest recorded group net profit since the company began to be listed on the Jasdaq securities exchange. Free Happy Meals for the entire board of directors!

Despite this healthy financial situation, McDonald's is not just going to rest on its golden fried laurels. The chain still plans on shutting down 433 under-performing stores while renovating 200 and opening 90 more.

The success of McDonald's Japan in the recession may say that Japanese eaters are more and more satisfied with the chain's ever-changing calvacade of special theme burgers. Or conversely, McDonald's Japan may be the perfect example of an 'inferior good' -- the economics term for a product where demand increases as incomes drop.

Whatever the case, somewhere Mr James is smiling.

In other news

Toyota to recall cars in Japan: The car maker has had a relatively a slow response to the recall crisis brewing in the United States, but now under pressure from the Japanese government, Toyota will recall 180,000 Prius cars in Japan.

Sayonara, newspaper train: Just when we find out there was a whole train reserved for transporting evening newspapers to the Boso Peninsula, the publishers are moving their operations to cheaper trucks. Where is the romance in newspaper trucks?

There is green in Tokyo?: Neuroscientist and tax-delinquent Kenichiro Mogi suggests a trip to Meiji Shrine to experience these rare things called "trees." There are apparently a few inside Tokyo if you know where to look.

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W. David Marx is CNNGo's Tokyo City Editor. Originally hailing from the American South, David studied East Asian Studies in New England and then worked for the magazine Tokion in the Lower East Side. After moving to Tokyo in 2003, he has completed a M.A. in Consumer Behavior, worked for an ad agency, written freelance for magazines such as GQ, Brutus, Weekly Diamond, and Nylon, founded numerous niche blogs, and recorded two albums on New York-based indie labels.