If this happened to any Owner/Operator they'd be
Unexpandable and Non-Rewritable no matter where
their stores were located - for years.
Is McOpCo now Non-Rewritable?
.
June 26, 2009
June 25, 2009
Sit-Down Discounting
This New York Times article details the stress
being put on "fast casual" chains.
A TGIF franchisee says, “My ultimate goal as
an operator is I need to drive traffic, and if
that traffic is going to Applebee’s or going to
Chili’s, I need to take that traffic away,”
That sounds like a typical corporate goal but
the job of the restaurant operator is to make
a profit on every transaction and to stay in
business. You can't do that on customer counts
alone.
.
being put on "fast casual" chains.
A TGIF franchisee says, “My ultimate goal as
an operator is I need to drive traffic, and if
that traffic is going to Applebee’s or going to
Chili’s, I need to take that traffic away,”
That sounds like a typical corporate goal but
the job of the restaurant operator is to make
a profit on every transaction and to stay in
business. You can't do that on customer counts
alone.
.
Fed Revs Up Franchise Terminations
As a franchisee does it make you nervous that
the federal government can move in and force,
if not encourage, auto manufacturers to terminate
dealer franchise agreements?
This article compares car dealers to McDonald's
and Wendy's
.
the federal government can move in and force,
if not encourage, auto manufacturers to terminate
dealer franchise agreements?
This article compares car dealers to McDonald's
and Wendy's
.
Fenton's Golf Folly

Here's the latest on the whistleblower lawsuit over Oak
Brook's alleged development of a complex scheme to hide VP
Tim Fenton's country club memberships.
This all involves $2,940 in a year when Fenton made more
than $3.5 million in total compensation!
This has to appear absurd to McDonald's Owner/Operators
who have watched while McDonald's Corporation and it's
executives (past and present) have their sticky fingers
in most of the suppliers and privately held entities set
up by McDonald's as "approved vendors" selling goods
and services back into the system.
Just the tip of the iceberg. The real nondisclosure is
in the billions.
CNN Money article is HERE
.
June 23, 2009
Wage Hike to Squeeze QSRs

Every time the minimum wage goes up the discussion centers around cost cutting at the restaurant level. Since most of the impacted stores are franchised - where is the discussion about the franchisor backing off on some fees and royalties?
As in This Dow Jones ARTICLE investors comfort themselves in the fact that the corporate entity is "Insulated" by being heavily franchised.
It sure was a good time to sell off all those McOpCos!
.
June 22, 2009
McDonald's Ad Power is "Carpet Bombing"
Here's an excellent article about and McDonald's vs. Burger
King advertising. Since it's written for an audience in the ad
business the premise is: advertising can solve all problems
(such as causing QSR customers to become attracted to
specialty coffee drinks),.
For years I've been telling the investment community that
Burger King is not a real threat to McDonald's because
McDonald's franchisees have far less stores on average
than Burger King franchisees. The BK structure just can't
compete with the "hands -on", localized operations of
McDonald's USA.
Advertising Age article is HERE
.
King advertising. Since it's written for an audience in the ad
business the premise is: advertising can solve all problems
(such as causing QSR customers to become attracted to
specialty coffee drinks),.
For years I've been telling the investment community that
Burger King is not a real threat to McDonald's because
McDonald's franchisees have far less stores on average
than Burger King franchisees. The BK structure just can't
compete with the "hands -on", localized operations of
McDonald's USA.
Advertising Age article is HERE
.
June 11, 2009
BK O/Os Still Fighting Unprofitable Hours

Represented by Robert Zarco BK franchisees are still disputing extended
late-night and early-morning operating hours.
Miami Herald is HERE
.
One Way to Force Owner/Operators to Give Away Food
McOpCos - mixed in among dominant Operator
owned stores - offering free sandwiches
with any purchase.
What's new in Kalamazoo
.
owned stores - offering free sandwiches
with any purchase.
What's new in Kalamazoo
.
June 8, 2009
June 3, 2009
June 2, 2009
Update on Card Check
Both President Barack Obama and Vice President Joe Biden were co-sponors of prior versions of the legislation when they served as senators
QSR Magazine Reports
.
QSR Magazine Reports
.