A Wendy’s Franchisee Helps Turn Around the Chain
Investors are betting Wendy’s is finally building momentum after company restaurants posted a surprising 330-basis-point improvement in operating margins. Credit Wendy’s President J. David Karam, who owns the 150-unit Cedar Enterprises, among the Columbus, Ohio-based restaurant chain’s largest franchisees. He expects to add another 100 basis points in 2010 in his quest to top 500 by 2013.
Karam explains the advantages he has as a franchisee in the top corporate spot to Chain Leader Senior Editor David Farkas.
Franchisees, especially those with large operations, often say that corporate can’t run stores the way franchisees can. You’re living proof given the last 18 months at the helm of a troubled chain.
It was troubled. We had been losing share since 2002, and frankly we are not out of the woods yet. We have a long, long way to go. There are no generalizations that apply in life, and certainly not in situations like this. I have also heard the indictment that franchisees don’t have the skill to manage a franchisor’s challenges. It’s another form of bias that really that clouds judgment. It’s a case-by-case basis. I certainly haven’t been the only one responsible for Wendy’s turnaround. We have the support of our franchise community.
RestaurantNews.com provides restaurant press release distribution.
For more information: http://www.RestaurantNews.com/press-release/
