The following video is part of our "Motley Fool Conversations" series, in which consumer goods editor/analyst Austin Smith discusses topics across the investing world.

In today's edition, Austin explains why he owns shares of McDonald's. This is one of his favorite holdings and here are just a few of the reasons: (1) Dividend Aristocrat. (2) One of the strongest global brands. (3) Cash-generation machine through real estate. Incoming CEO Don Thompson has expressed his commitment to McDonald's highly praised Plan to Win strategy. Not only that, he's a company veteran and the man behind the wildly successful McCafe line. Also consider that McDonald's has an immense opportunity by expanding into China and you can see that even at a P/E of 18, you're still buying a lot of company with a lot of potential.

These factors helped McDonald's make our list of "3 American Companies Set to Dominate the World." You can read about the other two by clicking here now.

This article represents the opinion of the writer, who may disagree with the “official” recommendation position of a Motley Fool premium advisory service. We’re motley! Questioning an investing thesis -- even one of our own -- helps us all think critically about investing and make decisions that help us become smarter, happier, and richer.