On a day when the market cap of McDonald's is $68 Billion.
.
5 comments:
Anonymous
said...
Heck, we should have bought them, converted the good locations to McDs and closed the rest, killing the brand. Guess spending $3 bill on coffee makes more sense.
That probably would have been a better investment than McCafe but taking over a chain and closing locations is a messy and expensive business.
Part of the purchase is responsi - bility for the existing franchise contracts. A new owner can't just go around closing stores. Of course, there would be a few sites where the franchisee might want out but many would have to be cashed out.
And Wendy's is a real business where the franchisee often owns the building and land. Even if the Wendy's operation isn't making money it might be paying the mortgage and the franchisee might be building equity in the real estate.
Wendy's has many very bad locations. Seems when the franchisees bought the sites they took secondary quality to save money. One of their major problems.
5 comments:
Heck, we should have bought them, converted the good locations to McDs and closed the rest, killing the brand. Guess spending $3 bill on coffee makes more sense.
That probably would have been
a better investment than
McCafe but taking over a chain
and closing locations is a
messy and expensive business.
Part of the purchase is responsi -
bility for the existing franchise
contracts. A new owner can't
just go around closing stores.
Of course, there would be a few
sites where the franchisee might
want out but many would have
to be cashed out.
And Wendy's is a real business
where the franchisee often owns
the building and land. Even if
the Wendy's operation isn't
making money it might be paying
the mortgage and the franchisee
might be building equity in the
real estate.
Franchisees building equity...
What a concept!
.
Wendy's has many very bad locations. Seems when the franchisees bought the sites they took secondary quality to save money. One of their major problems.
And theyre dumping Anderson too. Good Move
Kerrii Anderson - another accountant who screwed up a perfectly good restaurant company.
Post a Comment