It's difficult to make investors concerned about restaurant profitability. They may be brilliant when it comes to the corporate balance sheet, but still do not understand how sales increases do not always make it to the restaurant bottom line. Or they may be very judgmental about how much a franchisee is allowed to take home. And they sure don't understand it when the CEO talks about " franchisee cash flow" without factoring in franchisee debt service.
So the following article is a pleasant surprise in that it explains:
"The real question is whether the company's value strategy can generate enough traffic to outrun the margin pressure it creates for its operators".
2 comments:
About Trefis: https://www.trefis.com/info/about-trefis/
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Imported from previous post:
The 2026 price mandate by corp could cost you your franchise license if you do not cooperate with it and do all the discounting and price fixing that corporate dictates.
Isnt this ILLEGAL?.
Where is the FTC?? NFLA??? NOA??, Lawsuits ????
We are not independent business people anymore. We are merely employees and tenants!
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