4 ms·

I've always wondered how local/regional chains, In-n-Out/Dicks, tend to be as cheap as national ones while usually having better food and paying much better tha

I've always wondered how local/regional chains, In-n-Out/Dicks, tend to be as cheap as national ones while usually having better food and paying much better than national chains. Usually they are also in higher COL areas as well so I'd assume they pay more in Tax/Rent etc.

sundaeofshock 5y ago
They are privately held. I think it's safe to assume the owners are taking a smaller profit in order to maintain quality and treat their employees well.
Der_Einzige 5y ago
Lack of advertising, far smaller menu, and motivated workers. I really wish Americans would stop choosing objectively worse food (McDonalds) over In-n-Out... That being said, it's long been time for In-n-Out to stop using American cheese and switch to Cheddar, but that's a whole industry problem...
- mcphage 5y ago
  > I really wish Americans would stop choosing objectively worse food (McDonalds) over In-n-Out Most Americans don't have that option, sadly. > it's long been time for In-n-Out to stop using American cheese and switch to Cheddar Please no—American cheese melts better. Or you need to have heavily processed cheddar to melt as nicely, and then there's not much of a difference.
nonameiguess 5y ago
Don't know about all small businesses that provide quality employment and a quality product at low price while remaining in business, but In n Out is famously family owned by an extremely religious family with no desire to grow fast, take over their industry, or go public to turn investors into multibillionaires. They don't even have investors. Perfectly happy to just be ordinary millionaires and share the value of the company with their employees. Rents might be high in Southern California, but the bulk of their rapid expansion was in the 70s and 80s when land was still reasonably cheap and they may actually own many of their own buildings.
- jeffbee 5y ago
  Maybe they do, but I checked the ones in my county and the sites are owned by East Coast REITs. I'm sure they are able to negotiate reasonable long-term leases, of course.

sundaeofshock 5y ago

They are privately held. I think it's safe to assume the owners are taking a smaller profit in order to maintain quality and treat their employees well.

Der_Einzige 5y ago

Lack of advertising, far smaller menu, and motivated workers. I really wish Americans would stop choosing objectively worse food (McDonalds) over In-n-Out... That being said, it's long been time for In-n-Out to stop using American cheese and switch to Cheddar, but that's a whole industry problem...

mcphage 5y ago
> I really wish Americans would stop choosing objectively worse food (McDonalds) over In-n-Out Most Americans don't have that option, sadly. > it's long been time for In-n-Out to stop using American cheese and switch to Cheddar Please no—American cheese melts better. Or you need to have heavily processed cheddar to melt as nicely, and then there's not much of a difference.

nonameiguess 5y ago

Don't know about all small businesses that provide quality employment and a quality product at low price while remaining in business, but In n Out is famously family owned by an extremely religious family with no desire to grow fast, take over their industry, or go public to turn investors into multibillionaires. They don't even have investors. Perfectly happy to just be ordinary millionaires and share the value of the company with their employees. Rents might be high in Southern California, but the bulk of their rapid expansion was in the 70s and 80s when land was still reasonably cheap and they may actually own many of their own buildings.

jeffbee 5y ago
Maybe they do, but I checked the ones in my county and the sites are owned by East Coast REITs. I'm sure they are able to negotiate reasonable long-term leases, of course.