SECULAR ISSUES FACING THE RESTAURANT INDUSTRY

When you think about the bankruptcy cycle, chain restaurant companies are not the first thing that comes to mind. Most restaurant companies don't need working capital to survive, as a result this is the primary differentiator between restaurants and other consumer companies.




  • Three themes to take away from companies that have gone bankrupt:

    (1) Family dining and Casual Dining make up the bulk of companies that have gone bankrupt.

    (2) Inefficient consumer proposition

    (3) Executive suite revolving door