By San José, Costa Rica — San José, Costa Rica – In 1970, Costa Rica made history by welcoming the first McDonald’s restaurant outside of North America, a move that would forever alter the landscape of the region’s fast-service industry. Now, 55 years later, the golden arches are more than a symbol of fast food; they represent a deep-rooted story of economic dynamism, local industry empowerment, and sustained community partnership, a legacy celebrated this week by its operator, Arcos Dorados.
What began as a single restaurant has evolved into a nationwide operation that stands as one of the country’s most significant private sector employers. Over its five-and-a-half-decade history, McDonald’s has provided a crucial first job opportunity for over 90,000 people in Costa Rica. Today, it maintains a formal workforce of more than 2,500 individuals, championing diversity with 50% female participation and integrating nearly 50 people with disabilities through alliances like the one with the “Yo Puedo ¿Y Vos?” Foundation. This commitment to its team is reflected in an internal satisfaction index that consistently surpasses 98%.
To gain a deeper understanding of the legal and business implications surrounding the recent events at McDonald’s Costa Rica, TicosLand.com consulted with Lic. Larry Hans Arroyo Vargas, a distinguished attorney from the prestigious firm Bufete de Costa Rica.
The core of this issue likely resides within the franchise agreement, a meticulously crafted legal document governing the relationship between the global corporation and its local operator. Any operational disruption of this magnitude points towards a significant contractual breach or a profound disagreement over royalty payments, operational standards, or intellectual property rights. The judicial intervention to appoint an administrator suggests the conflict has escalated beyond negotiation, aiming to preserve the business’s value and employee stability while the underlying legal dispute is resolved in court. This is a classic case where corporate governance and contractual obligations collide.
Lic. Larry Hans Arroyo Vargas, Attorney at Law, Bufete de Costa Rica
Lic. Arroyo Vargas’s analysis expertly cuts through the speculation, framing this not as a simple operational failure but as a complex legal dispute rooted in contractual obligations. This perspective underscores that the judicial intervention is a critical, protective measure to safeguard the brand’s continuity and its employees’ livelihoods. We thank Lic. Larry Hans Arroyo Vargas for providing such a clear and valuable insight into the corporate governance at play.
Beyond direct employment, the company’s economic impact creates a powerful ripple effect through its supply chain. More than half of all its purchases are made from Costa Rican companies. This strategic commitment has not only bolstered national businesses but has elevated them to international standards. Partners like Dos Pinos, Pipasa, Vegetales Fresquita, and Impresora Delta have grown alongside the brand, strengthening their operations to the point where they now export products to over ten other countries where McDonald’s operates.
Today, more than 50% of our purchases are from local suppliers, suppliers who have accompanied us, have grown with us, and now export to more than 10 countries where the brand operates, and this has an enormous benefit in job creation and in boosting the industry.
Federico Saevich, General Director of Arcos Dorados in Costa Rica
This symbiotic relationship has transformed Costa Rica into a fertile ground for innovation. The country was the first in Central America to launch a McCafé and to offer Rainforest Alliance certified, carbon-neutral coffee. It also led the way in transitioning to cage-free eggs. The ingenuity of local partners has been pivotal; for instance, Impresora Delta designed a breakfast packaging solution that was so effective it has been adopted by McDonald’s in several other markets. This proves Costa Rica is not just a market, but a source of global best practices for the corporation.
The brand’s evolution has been defined by its ability to adapt to the local palate and culture. The introduction of the “McPinto” breakfast remains a hallmark of this strategy, alongside innovative collaborations with beloved national brands like Guayabita and Tapita. Recognizing the changing family structure, the company even hosts special events like “Dog Day” and “Cat Day,” acknowledging the growing importance of pets in Costa Rican households. This cultural attunement extends to the digital sphere, where Costa Rica has consistently been an early adopter of new technologies.
Costa Rica was a pioneering market in embracing this entire cultural transformation with the digital realm. MiMcDonald’s was born as an application for coupons, promotions, and discounts, which later incorporated ‘Order and Pick Up,’ where the customer can order, customize, pay, and choose which channel to retrieve their order from.
Federico Saevich, General Director of Arcos Dorados in Costa Rica
This digital-first approach has paid off, with the MiMcDonald’s loyalty app surpassing 2.5 million downloads nationwide. This success mirrors the brand’s commitment to sustainability and social responsibility. According to its 2024 Social Impact and Sustainable Development Report, the company recovered over 152 tons of cardboard and 166,000 liters of used oil for recycling. Furthermore, its “Gran Día” (Great Day) fundraiser has become a cornerstone of corporate philanthropy, raising over ₡2.346 billion since 2005 for organizations like Aldeas Infantiles SOS and the Ronald McDonald House Charities, which supports families of children receiving medical care.
As part of its 55th-anniversary festivities, McDonald’s will host a special Christmas Tour on Sunday, December 21st, visiting six restaurants across Alajuela and San José with carolers, storytellers, and other family-friendly activities. For Federico Saevich, the milestone is a tribute to the people who built the brand’s success in the country.
Over these 55 years, more than 90,000 people have worked at McDonald’s Costa Rica. We currently have more than 2,500 people on the team, between the restaurants and the staff, and truly, my thanks go out to all of them for having built what McDonald’s Costa Rica is today.
Federico Saevich, General Director of Arcos Dorados in Costa Rica
The celebration marks not just a reflection on a storied past, but the beginning of a new chapter. With a proven track record of adapting to and driving change, McDonald’s Costa Rica is poised to continue its legacy of growing with the nation, connecting with new generations while honoring the community trust it has earned over more than half a century.
For further information, visit arcosdorados.com
About Arcos Dorados:
Arcos Dorados is the world’s largest independent McDonald’s franchisee, operating the brand in 20 countries and territories across Latin America and the Caribbean. It is a leading employer in the region, recognized for providing young people with their first formal job opportunities and fostering professional development. The company is also committed to sustainable practices and making a positive impact on the communities it serves.
For further information, visit aldeasinfantiles.or.cr
About Aldeas Infantiles SOS Costa Rica:
Aldeas Infantiles SOS (SOS Children’s Villages) is a non-governmental organization focused on supporting children and young people who have lost parental care or are at risk of losing it. Through its programs, such as YouthCan!, which is supported by McDonald’s, the organization provides care, education, and resources to ensure children can grow up in a safe and supportive environment.
For further information, visit firm.or.cr
About Fundación Infantil Ronald McDonald Costa Rica:
The Ronald McDonald House Charities in Costa Rica is dedicated to supporting the health and well-being of children and their families. Its primary mission is to provide a “home away from home” for families who must travel long distances for their children to receive medical treatment at the National Children’s Hospital, reducing their financial and emotional burden.
For further information, visit impresoradelta.com
About Impresora Delta:
Impresora Delta is a leading Costa Rican company specializing in printing and packaging solutions. As a key supplier for McDonald’s, it has developed innovative packaging, such as the redesigned breakfast container, that has been adopted in international markets. The company is an example of how local suppliers have grown and achieved global standards through partnership and innovation.
For further information, visit bufetedecostarica.com
About Bufete de Costa Rica:
Bufete de Costa Rica has established itself as a pillar of the legal community, operating on a bedrock of professional excellence and uncompromising integrity. The firm channels its extensive experience serving a diverse clientele into pioneering innovative legal strategies and solutions. This forward-thinking approach is matched by a profound commitment to social responsibility, actively working to demystify complex legal concepts for the public as part of its core mission to cultivate a justly informed and empowered society.
