Economy Red Lobster closing more than 50 restaurants auctioning off furniture and equipment as it prepares to file for bankruptcy

[Scerpi]

lol...

The Border
Defund the Police

The about face on some of these policies is hilarious

 

[HockeyBjj]

I went the other day to a Red Lobster restaurant and experienced really bad service along with dirty tables around me. Food was just alright nothing special so no wonder they are going out of business.

It's basically an Olive Garden but for seafood. So the same meh (not bad) quality but more expensive menu items.

And someone wanting to go out for seafood, is in a mood for some damn good seafood not just something ok. Whereas you can go out for Itialian just because why not.

 

[jefferz]

McDonald's Issues Dire Warning Amid Economic Concerns

"This is not just about McDonald's; it's a signal about the broader economic landscape," says Steven Van Metre, a financial analyst. "The fact that McDonald's feels the need to promote low-cost meal options aggressively indicates that a significant portion of their customer base is struggling...

www.webpronews.com

McDonald’s Issues Dire Warning Amid Economic Concerns
"This is not just about McDonald's; it's a signal about the broader economic landscape," says Steven Van Metre, a financial analyst. "The fact that McDonald's feels the need to promote low-cost meal.

In a surprising announcement, McDonald’s has issued a dire warning that underscores the financial struggles facing U.S. consumers and the broader economy. The fast-food giant, known for its global reach and consistent sales performance, is grappling with a significant pullback from low-income customers. This development, highlighted by McDonald’s recently introducing a $5 meal deal to lure customers back, suggests deeper economic troubles than previously understood.

The recent move by McDonald’s to offer a $5 meal deal is a stark indication of the challenges facing the American consumer. McDonald’s has been a bellwether for consumer spending, particularly among lower-income earners. The company’s robust performance during the pandemic, bolstered by government stimulus checks and increased demand for convenient dining options, masked underlying economic vulnerabilities now coming to light.

"This is not just about McDonald’s; it’s a signal about the broader economic landscape,” says Steven Van Metre, a financial analyst. “The fact that McDonald’s feels the need to promote low-cost meal options aggressively indicates that a significant portion of their customer base is struggling financially. This is a red flag for the overall health of the economy.”

Recent economic data echo McDonald’s concerns, suggesting that the financial cushion provided by pandemic-era stimulus measures has eroded. With inflation continuing to outpace wage growth, many consumers are finding it difficult to maintain their standard of living. This economic strain is particularly evident among low-income households, who are often the first to feel the effects of an economic downturn.

Despite headline data suggesting a robust economy, the reality on the ground paints a different picture. Steven Van Metre, a financial analyst, pointed out that while political leaders tout economic growth, many consumers are running out of money. This issue has become increasingly visible at McDonald’s, where sales and traffic are weakening, especially among low-income earners who constitute a significant portion of the chain’s clientele.
McDonald’s is seeing a shift in consumer behavior due to the lack of disposable income among low-income families,” Van Metre explained. “This is particularly concerning because it signals broader economic issues that start from the bottom and move up through the ranks.”

The decline in consumer spending at McDonald’s indicates a larger economic slowdown. Historically, lower-income households first feel economic downturns before spreading throughout the economy. The fact that McDonald’s is now emphasizing affordability with its new meal deal is a stark indicator that many consumers are prioritizing essential expenses over dining out.



McDonald’s doing this and Red Lobster closing 50 restaurants are red flags for the economy.

People do not have enough disposable income to go McDonald’s which means the economy is in bad shape.

McDonald's forgot that they got big by selling decent food at reasonable prices. Now it's low quality food at high prices.
I haven't had McDonald's in a long time, but they had a coupon for a free Big Mac if you spent over a dollar. I didn't realize how far they've fallen. I would rather grab a pizza from Hot Stuff than pay $12 for a Big Mac meal.

 

[Sinister]

Lol@BDS

I swear conservatives will say anything to blame corporate failure on anyone except corporations. Company Man covered this 2 weeks ago and his videos are pretty in-depth as to why these giant entities go belly-up:

 

[Sinister]

McDonald's forget that they got big by selling decent food at reasonable prices. Now it's low quality food at high prices.
I haven't had McDonald's in a long time, but they had a coupon for a free Big Mac if you spent over a dollar. I didn't realize how far they've fallen. I would rather grab a pizza from Hot Stuff than pay $12 for a Big Mac meal.

Its incomprehensible that in the 90's, a value meal was like $2.99, $3.49 for an expensive one. McDonald's isn't merely guilty of biting the hands that feed them, they're now biting the hands they feed. They've engaged not only in price gouging, but shrinkflation as well. Seeing them cry about slower sales is hilarious.

 

[spamking]

It was over once they allowed you to buy their crab cakes at Walmart. That was the hook to get you to stay and eat the rest of their mediocre shit.

And their biscuit mix . . .

 

[Cajun]

It's basically an Olive Garden but for seafood. So the same meh (not bad) quality but more expensive menu items.

And someone wanting to go out for seafood, is in a mood for some damn good seafood not just something ok. Whereas you can go out for Itialian just because why not.

There are so many options now and they have remained largely unchanged over the transition. You are right that italian is much easier to go random and inexpensive. When people want seafood it is usually an upgrade. Here in Houston, there are so many seafood restaurants that they dont get many looks imo. They have one close to the house. I'm curious if they are going to close that one. One of the negative sides of this... when people see financial issues with a restaurant, they may assume even the quality they had will slip or has slipped. Its hard to come back from that kind of spiral.

 

[Cajun]

Lol@BDS

I swear conservatives will say anything to blame corporate failure on anyone except corporations. Company Man covered this 2 weeks ago and his videos are pretty in-depth as to why these giant entities go belly-up:

At work but will watch. I am not one of those conservatives I guess. I'm not sure what they did wrong but its basic supply and demand... if there is no demand through mismanagement or quality issues... who else is there to blame?

 

[method115]

Not surprised the one in my area isn't on that list, the parking lot at that place always seems to be 3/4 of the way full. I can't remember the last time I ate at one but Bonefish Grill shits all over Red Lobster.

Yea I wonder if the one near me is closing. It's always busy the same way. I've always wanted to eat at red lobster but I've never gone. Don't really know why.

 

[Cajun]

Its incomprehensible that in the 90's, a value meal was like $2.99, $3.49 for an expensive one. McDonald's isn't merely guilty of biting the hands that feed them, they're now biting the hands they feed. They've engaged not only in price gouging, but shrinkflation as well. Seeing them cry about slower sales is hilarious.

Seems like it is getting ridiculous everywhere. A few months back, I bought 2 combos, one for me and one for my dad. That stupid thing was nearly $30.00. We laughed about that at the time but really... getting silly.

 

[DoctorNick]

Its incomprehensible that in the 90's, a value meal was like $2.99, $3.49 for an expensive one. McDonald's isn't merely guilty of biting the hands that feed them, they're now biting the hands they feed. They've engaged not only in price gouging, but shrinkflation as well. Seeing them cry about slower sales is hilarious.

I feel like McDonalds hasn't figured out that when you can get something like Chipotle for the same price, people are probably going to choose the more filling, fresher option that doesn't give them diarrhea.

Damn Joe Biden for creating this dystopia where poor McDonalds can't thrive.

 

[Satsui Ryu]

I'm surprised they have lasted this long. And I find it hard to believe OP gives two shits about this outside of some kind of political angle. Fact is chain restaurants have been losing favor with the population for a very long time. People tend to prefer eating local at more specialized places. Only places where chains are viable for the most part are completely out of the way places where the people think Panda Express is exotic.

 

[Rhood]

I feel like McDonalds hasn't figured out that when you can get something like Chipotle for the same price, people are probably going to choose the more filling, fresher option that doesn't give them diarrhea.

Damn Joe Biden for creating this dystopia where poor McDonalds can't thrive.

You can get better deals and more food for your money's worth at Taco Bell than McDonald's, Burger King, and Wendy's combined.
Maybe Demolition Man accurately predicted the future after all.
Pretty soon toilet paper will be obsolete, and you'll be stuck with seashells to handle your business.

 

[Sinister]

At work but will watch. I am not one of those conservatives I guess. I'm not sure what they did wrong but its basic supply and demand... if there is no demand through mismanagement or quality issues... who else is there to blame?

It definitely doesnt have sh*t to do with Biden.

 

[Cajun]

It definitely doesnt have sh*t to do with Biden.

LOL did someone in here say that? They have been foundering for years.

 

[Sinister]

Seems like it is getting ridiculous everywhere. A few months back, I bought 2 combos, one for me and one for my dad. That stupid thing was nearly $30.00. We laughed about that at the time but really... getting silly.

The politicization of this issue is kinda dumb. But the Chamber of Commerce and the other NRA are highly political, advancing of corporate interests. In the absence of gigantic consolidated corporate restaurants, REAL American industry can flourish with regional businesses that make every American town unique and drives commerce in multiple ways. One of the worst things to happen here was every damn highway rest stop consisting of the same 5-6 corporate mega chains. Now we will hear a lot about how small restaurants also have a hard time, but that is also due to the gouged costs of raw materials, and absurd leases driven by algorithmic pricing.

I couldn't give a f*ck less if giant corporate chains lose steam or go bankrupt if it translates into local legal structure favoring more regional businesses. Right now in Vegas those roadside taco stands are popping up everywhere, they're not regulated so its eat at your own risk, but the City voted to give them paths to being licensed and inspected for safety whereas the local restaurant industry (driven by corporate chains) wanted them rendered illegal.

 

[Cajun]

Yea I wonder if the one near me is closing. It's always busy the same way. I've always wanted to eat at red lobster but I've never gone. Don't really know why.

Because they arent great haha

The politicization of this issue is kinda dumb. But the Chamber of Commerce and the other NRA are highly political, advancing of corporate interests. In the absence of gigantic consolidated corporate restaurants, REAL American industry can flourish with regional businesses that make every American town unique and drives commerce in multiple ways. One of the worst things to happen here was every damn highway rest stop consisting of the same 5-6 corporate mega chains. Now we will hear a lot about how small restaurants also have a hard time, but that is also due to the gouged costs of raw materials, and absurd leases driven by algorithmic pricing.

I couldn't give a f*ck less if giant corporate chains lose steam or go bankrupt if it translates into local legal structure favoring more regional businesses. Right now in Vegas those roadside taco stands are popping up everywhere, they're not regulated so its eat at your own risk, but the City voted to give them paths to being licensed and inspected for safety whereas the local restaurant industry (driven by corporate chains) wanted them rendered illegal.

Food trucks are huge in Houston and top quality chefs putting out product. Low overhead and higher profit margins. Really like your take on some of the corporate takeover of so many places vs regional unique markets. Small restaurants do have a hard time (they always have) but they can survive more easily without the large cookie cutter comp. I AM conservative and do favor freedom of business in general, I dont mind when some of these guys fade out.

 

[method115]

Because they arent great haha

Food trucks are huge in Houston and top quality chefs putting out product. Low overhead and higher profit margins. Really like your take on some of the corporate takeover of so many places vs regional unique markets. Small restaurants do have a hard time (they always have) but they can survive more easily without the large cookie cutter comp. I AM conservative and do favor freedom of business in general, I dont mind when some of these guys fade out.

I want to find out for myself dammit

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[Corona]

Lol at red lobster. That place and sizzler remind me of the heckler from Happy Gilmore. I imagine the people who eat there look like him.

 

[Jballer]

I feel like McDonalds hasn't figured out that when you can get something like Chipotle for the same price, people are probably going to choose the more filling, fresher option that doesn't give them diarrhea.

Wait, you’re saying Chipotle DOESN’T give you diarrhea?