McDonald's is using AI algorithms to dynamically price its menu items based on estimated customer willingness to pay at individual locations, resulting in significant price differences even between nearby stores. While franchisees can technically set their own prices, the company pressures them to follow AI-based recommendations, tracking compliance and integrating usage into new business standards. This surge pricing approach has sparked legal and ethical concerns amid declining customer traffic and public backlash similar to other retailers experimenting with dynamic pricing.
https://www.engadget.com/2272211/mcdonalds-is-reportedly-using-ai-to-dynamically-price-its-burgers/