Burger King sold its double cheeseburgers for a buck and then had a full-scale franchisee revolt on its hands. Choosing to ignore any lessons from that debacle, McDonald’s is pushing its franchisees to start selling all fountain drinks for $1, no matter the size. The hamburger giant wants to undercut convenience stores like 7-Eleven and Circle K, and be the go-to place for refreshment this summer. Franchisees still haven’t signed off on the deal, reports the Wall Street Journal, primarily because the steep discount would eat into their substantial beverage profits. A large soda typically costs $1.39 at McDonald’s, so it’s understandable that the new $1 price tag would be hard for franchisees to swallow. “We can use the sales, but these are very costly sales to get,” said one franchisee.
Free fallin’ in love? She’s a good girl, loves her mama, loves Jesus and America too. He’s a bad boy, ’cause he don’t even miss her, he’s a bad boy for breakin’ her heart. Sound familiar? It should, because it’s the slightly modified lyrics from a great Tom Petty song. But it could also be the theme song for the drama shaping up between Wendy’s and Carl Jr. She’s a cute little redhead with adorable pig tails, and he’s the bad boy of burgers with attitude and hormones to spare. The burning question: will they hook up? A new report suggests that Nelson Peltz, the owner of Wendy’s, is considering a $1 billion takeover of CKE Restaurants Inc., the owner of Carl’s Jr. The only problem is that randy Carl is too busy playing the field. In fact, CKE has already agreed to be bought by private equity firm Thomas H. Lee Partners for $928 million. But that doesn’t mean old Carl is ready to tie the knot. The company said it would actively seek better offers until April 6. We’ll soon find out if Wendy can land her man.
Cup runneth over. First came Cup O’ Soup, and now a new franchise concept wants to put everything else in a cup, including waffles, grilled cheese, meatballs, corn and potatoes. If you can put food on a stick – like omelettes and chocolate-covered-bacon – it somehow doesn’t seem so weird to stuff some waffles in a cup. Cup It, founded by a 34-year-old entrepreneur, was launched a year ago and now has four locations in the New York metro area. The franchise is hoping to expand to 20 more locations at malls across the country. New franchisees should expect to spend between $50,000 and $80,000 on their initial investment, including a $15,000 initial franchise fee, plus the cost of equipment, supplies, and marketing for a kiosk.