Decline and Fall of an Incentive Program

I wrote last month about a school district that rewards good grades with meals from McDonald’s. Now McDonald’s has ended the program. I guess they decided they would lose more from the negative publicity than they would gain from the few additional customers the program attracted.

This is an excellent example of how for-profit firms respond to customer feedback. When complaints about the program grew, McDonald’s — not the district — ended the program. In contrast, parents in Columbia are protesting new math all over the place, but the district just holds some meetings and avoids making changes.