Foodservice

Food

Costco to Supply Its Own Chickens

The chicken business in the U.S. is an oligopoly, dominated by the likes of Tyson, Pilgrim's Pride and Perdue. Costco, which reported selling 78 million of its $4.99 rotisserie chickens in 2014, wants to keep the price of that loss leader low, but the price of chicken has increased 24 percent over the last ten years. The company is moving to gain more control over the price and quality of the chicken it sells, including raw chicken, by establishing its own vertically integrated chicken business in eastern Nebraska.

Dealing with Online Reviews

Good ratings significantly affect a restaurant's revenues, writes Dennis Zink in the Herald-Tribune, a Sarasota, Florida, newspaper, citing Harvard Business School researcher Michael Luca. A quick scan of a Luca research paper about Yelp reveals that, according to him, Yelp's ratings have little effect on chains, but significant effect on independent restaurants.

Jack in the Box Planning on Selling Head Office Building

Jack in the Box has confirmed that it plans to sell the building housing its corporate head office and move into a smaller building next door. The company has been in the news much of late, what with rumors of the sale of the company itself, accompanied by news of soft sales. Moreover, its independent franchisee association has called for the ouster of CEO Leonard Comma, as well as filed a complaint in California against the company for its change in handling franchisee restaurant leases. Association members consider the lease change a threat to their financial well-being.

What Working One Day at a Chick-fil-A Taught a Reporter

What can a journalist learn that might interest us from working just one day at Chick-fil-A? We already know that the chances of being accepted as a franchisee after applying are slim, if not none. But what else?

Kathleen Elkins, CNBC reporter, spent one day at a Manhattan Chick-fil-A, which she writes is one of the brand's busiest locations, completing up to 3,500 transactions some days.

Feces Traces Found on UK McDonald's Touchscreen Kiosks

An eye-opening study in the United Kingdom has found traces of gut and fecal bacteria on touchscreens at all eight McDonald's locations that were inspected. It pointed up a problem that all owners and managers with restaurant touchscreens must consider: how to reassure customers that their screens are sanitary and safe to use just before a meal.

Franchisee Association Files Complaint with California over New Jack in the Box Leasing Arrangement

The National Jack in the Box Franchisee Association announced today that they have filed a complaint with the state of California over changes to their lease agreements that were made without their consent. The association, whose members own approximately 2,000 franchised restaurants out of 2,200 Jack in the Box locations in the United States, say the new arrangement could threaten their businesses.