McDonald's operators typically haven't been allowed to operate any other retail business -- not even, say, automotive stores. The number of McDonald's they operate tends to be limited, too. Few McDonald's franchisees have more than 12 units.
Ben Scott Jr., a Dayton-area franchisee whose family operates nine McDonald's, will take over at least two Chipotle restaurants. Mr. Scott was chosen because he "runs great McDonald's restaurants," said a company spokesman, adding that specifics of the operating agreement were still being worked out.
"With the number of McDonald's restaurants in the U.S., no matter where they build these new brands, they're going to encroach and cannibalize a McDonald's," said Dick Adams, a former McDonald's franchisee and outspoken critic of McDonald's.