Posted on 05/03/2024 5:56:13 AM PDT by Red Badger
(Epic Economist)—Over the past four years, many of us have had the unpleasant surprise of learning that our go-to restaurant, coffee shop, or fast food joint was closing doors for good. Thousands of well-established companies have gone out of business since the pandemic accelerated the descent of the U.S. economy, and conditions have been particularly tough in the restaurant industry. Even during the best of times, managing a restaurant comes with plenty of uncertainty. Though a brand can be incredibly popular amongst consumers, there’s a variety of factors that can result in mass closings, and in some cases, bankruptcy.
We tend to think that the biggest restaurant chains in America are better prepared to handle these challenges, but the truth is that many of them are, in fact, more exposed to financial problems due to their enormous expenses and extensive brick-and-mortar footprint.
Both inflation and deflation can cause drastic changes in consumer behavior, leading to lost sales and rendering some locations regrettably unprofitable. On top of that, something most people do not know is that, despite being backed by huge corporate entities, lots of restaurants have been struggling to stay afloat for quite a long time, and recent developments have just been the last straw for them.
That’s why a considerable number of chains is closing multiple locations right now. While for some this is goodbye forever, for others, the closings are necessary to restore the health of their business. Executives are citing issues like underperformance and slowing foot traffic, as well as broader concerns about the strength of the American buying power over the long run, as some of the reasons behind the latest closures. Meanwhile, other companies are simply shuttering locations suddenly and without warning, leaving customers and even employees wondering what went wrong.
Here’s the list:
* Cracker Barrel
* Applebee’s
* TGI Friday’s
* Denny’s
* Boston Market
* MOD Pizza
* Hooters
* Carrabba’s Italian Grill
* Hardee’s
* Tijuana Flats
* Noodles & Company
* Krystal
* White Castle
* Bagger Dave’s
* Chili’s
Cracker Barrel used to be the most reliable meal on road trips with the family, and meeting MrTatt for lunch on occasion. Have not been in years, for many reasons, but more and more, chains seem to struggle to maintain quality food and service. Signs of the times I guess.
Tatt
McDonalds bought Boston Market and then dumped it.
Their marketing department was terrible, and their mascot was disgusting. I wasn't surprised at all by that crash and burn.
McDonald’s made it because they never change.
Back in 2005, our youngest daughter graduated from high school and we decided to take her to Applebees for her graduation dinner afterwards.
Big mistake…. we ordered, waited forever for our food, they brought us a relish tray and the celery had visible DIRT on it. I told them to take it back, and when they returned it, it STILL had dirt on it. We didn’t eat it. I never got the beer I ordered, and we had to wait over an hour for our food, which we never received.
We had enough- I told the waitress to forget it-we were leaving. I chewed the manager out after paying for my wife’s glass of wine, and he seemed rather unconcerned. After we got home, I fired off an email to Applebees corporate.
There response when I got it- a coupon for a reduction in price for our next visit.
You want to know the best part? THERE WAS ONLY ONE OTHER COUPLE IN THE PLACE.
No, we didn’t go back. I hate that place.
I HOPE THEY ALL CLOSE DOWN…..
I saw them in NY. I don’t know if they are Boston based or New England based or not.
They are Bankruptcy based..............
It’s an old joke.
only one i goto is the local Chili’s, and if that closes i’m down to only two places to take the youngens
they like it and the menu so it makes for an easy fun night out that are getting less and less, as they grow up so damn fast...
“ Meanwhile, local diners and non-chain restaurants are booming.”
That was my thought as I was reading this.
Humans have allowed Deep State to price them out of the labor market.
“Lousy food and high prices, who would have thought that could end a restaurant??”
Even if the food is okay, the high prices, tips and not a positive experience can end going to a restaurant.
One of our DIL’s took my wife out to lunch for Mother’s Day and the bill for two of them was more than the bill for four with basically the same orders, from 3 years ago.
They ranked their service this year at a C- versus great 3 years ago.
It’s not just the USA.
There were pubs in England that date from before the Norman Conquest, that closed as a result of corona, and the inflation spikes after.
For a while, about 15 years ago, Quizno’s had a “prime rib” sandwich that I really liked. I was always skeptical that the meat used truly fell within the standard definition of “prime rib,” but the sandwich, which had a garlicky sort of special sauce, actually quite tasty. After a couple years, they reclassified it as their “prime style steak sandwich” or somesuch marketing mumbo-jumbo and downgraded the meat quality to something nearly inedible. I stopped going. And then by 7 or 8 year ago, nearly all of the Quiznos around here had shut down.
“Energy prices started going up the day after Biden was elected.”
You just proved my point. Who raised the prices in one day even though their costs had not gone up yet? Even though Biden had not passed anything yet? The utility companies or Biden personally?
See, day one the utility companies started price gouging using Biden as the “excuse” to do so. Everyone jumped on the bandwagon and did the same thing.
75% is Biden’s policies. 25% is pure opportunism and greed.
I have no idea how it has stayed in business for so long. It shouldn’t even be classified as a food joint, more like a social experiment to see how much people will tolerate abuse.
“McDonald’s has noted that the income has decreased, people quit coming. “
Revenue and earnings both were up in latest quarter and previous quarters, although most recent fell slightly below analysts’ estimates. The increase in revenue isn’t due to price increases as those have stabilized.
I love the Waffle House but during college, then my drinking days, I’m not sure we had one in my area.
Well, how about an executive order requiring them to not close?
Then they’d have to stay open. It’s just common sense.
See?
“McDonalds bought Boston Market and then dumped it.”
They bought them for the locations in 2000 but then decided to keep them operating till they sold in 2007.
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