The Briefing Room

General Category => Economy/Business => Topic started by: PeteS in CA on July 30, 2020, 07:13:34 PM

Title: Dunkin' to permanently close 800 US stores in 2020, 8% of US restaurants
Post by: PeteS in CA on July 30, 2020, 07:13:34 PM
Dunkin' to permanently close 800 US stores in 2020, 8% of US restaurants

https://www.foxbusiness.com/markets/dunkin-coronavirus-closing-800-us-stores (https://www.foxbusiness.com/markets/dunkin-coronavirus-closing-800-us-stores)

Quote
Dunkin' expects to permanently close approximately 800 U.S. locations by the end of 2020, the company said Thursday.

The closures, which include 450 locations in Speedway gas stations that had previously been announced, account for 8 percent of the donut coffee chain's domestic restaurant footprint and approximately 2 percent of its U.S. systemwide sales in 2019, according to a regulatory filing.

I was unable to find a list of closing stores.
Title: Re: Dunkin' to permanently close 800 US stores in 2020, 8% of US restaurants
Post by: GtHawk on July 30, 2020, 08:17:40 PM
Not the first time for them, at least here in California.
Title: Re: Dunkin' to permanently close 800 US stores in 2020, 8% of US restaurants
Post by: catfish1957 on July 31, 2020, 12:27:05 PM
Guarantee this won't be the first chain announcing these type of cuts.  Outside those with an established business model including delivery, the blood letting in this sector is going to get pretty ugly.
Title: Re: Dunkin' to permanently close 800 US stores in 2020, 8% of US restaurants
Post by: libertybele on July 31, 2020, 12:47:19 PM
Guarantee this won't be the first chain announcing these type of cuts.  Outside those with an established business model including delivery, the blood letting in this sector is going to get pretty ugly.

The shutdown has been a disaster on the economy and I think we are just now starting to see and feel the impact.  Several chain retail stores have closed around here, though some were struggling due to Amazon's share of the market.  Restaurants took a hit as well and some  have shuttered permanently.  We have a strip mall not far from here that most of the stores are now closed.  I don't see any coming back from this, what type of business is going to thrive in those empty retail spaces now?? 
Title: Re: Dunkin' to permanently close 800 US stores in 2020, 8% of US restaurants
Post by: catfish1957 on July 31, 2020, 02:12:01 PM
The shutdown has been a disaster on the economy and I think we are just now starting to see and feel the impact.  Several chain retail stores have closed around here, though some were struggling due to Amazon's share of the market.  Restaurants took a hit as well and some  have shuttered permanently.  We have a strip mall not far from here that most of the stores are now closed.  I don't see any coming back from this, what type of business is going to thrive in those empty retail spaces now??

What is sad, is the economic baseline for a Biden admin, will be set so low, that even his mishandling might yield some faux decent results. 
Title: Re: Dunkin' to permanently close 800 US stores in 2020, 8% of US restaurants
Post by: roamer_1 on July 31, 2020, 02:15:11 PM
Guarantee this won't be the first chain announcing these type of cuts.  Outside those with an established business model including delivery, the blood letting in this sector is going to get pretty ugly.

And not JUST this sector... This is coming across the board. Food services is just the most vulnerable.
Title: Re: Dunkin' to permanently close 800 US stores in 2020, 8% of US restaurants
Post by: catfish1957 on July 31, 2020, 02:21:04 PM
And not JUST this sector... This is coming across the board. Food services is just the most vulnerable.
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Well, just behind the travel industry.
Title: Re: Dunkin' to permanently close 800 US stores in 2020, 8% of US restaurants
Post by: libertybele on July 31, 2020, 02:30:45 PM
What is sad, is the economic baseline for a Biden admin, will be set so low, that even his mishandling might yield some faux decent results.

True. He will be seen as a 'hero' after a failed Trump economy!  So sad and most will buy into the hype.
Title: Re: Dunkin' to permanently close 800 US stores in 2020, 8% of US restaurants
Post by: roamer_1 on July 31, 2020, 02:31:07 PM
[/b]

Well, just behind the travel industry.

Right. And heavy industry is not faring any better.... Home Depot can't put lumber on the shelves (in friggin Montana no less) Because even though the Big Box stores were deemed essential, the loggers, the mills, and etc were not. A whole lot of folks are wrecked.
Title: Re: Dunkin' to permanently close 800 US stores in 2020, 8% of US restaurants
Post by: libertybele on July 31, 2020, 02:35:39 PM
Right. And heavy industry is not faring any better.... Home Depot can't put lumber on the shelves (in friggin Montana no less) Because even though the Big Box stores were deemed essential, the loggers, the mills, and etc were not. A whole lot of folks are wrecked.

I ordered a small GE chest freezer to put out in the garage in April, it was supposed to have been delivered this week.  Because of the unavailability of parts to build freezers which are in demand, the delivery has been delayed till September!  The woman I spoke to running the dispatch said that her husband works on airplanes and they also cannot get parts.

So ... is this because everything was shutdown or does this also have to do with the tariffs on China??
Title: Re: Dunkin' to permanently close 800 US stores in 2020, 8% of US restaurants
Post by: catfish1957 on July 31, 2020, 02:40:15 PM
I ordered a small GE chest freezer to put out in the garage in April, it was supposed to have been delivered this week.  Because of the unavailability of parts to build freezers which are in demand, the delivery has been delayed till September!  The woman I spoke to running the dispatch said that her husband works on airplanes and they also cannot get parts.

So ... is this because everything was shutdown or does this also have to do with the tariffs on China??

Thanks for sharing.  i have heard that there are more and more examples of supply chain disruptions.  To answer your question above, I am guessing it is a little bit of both.
Title: Re: Dunkin' to permanently close 800 US stores in 2020, 8% of US restaurants
Post by: roamer_1 on July 31, 2020, 02:51:08 PM
I ordered a small GE chest freezer to put out in the garage in April, it was supposed to have been delivered this week.  Because of the unavailability of parts to build freezers which are in demand, the delivery has been delayed till September!  The woman I spoke to running the dispatch said that her husband works on airplanes and they also cannot get parts.

So ... is this because everything was shutdown or does this also have to do with the tariffs on China??

Probably a bit of both - But I opined early on in the shutdown about what would happen, and this is as predicted... Not that it is any great feat. The culprit (beyond the political asshats and plandemic organizers) is JIT (just in Time) manufacturing...

Because of insane tax laws on inventory, JIT production was more or less invented to prevent as much inventory as possible... We cannot sustain a prolonged shutdown - or any shutdown at all - Because there aren't inventories to act as a buffer.
Title: Re: Dunkin' to permanently close 800 US stores in 2020, 8% of US restaurants
Post by: libertybele on July 31, 2020, 03:02:27 PM
Probably a bit of both - But I opined early on in the shutdown about what would happen, and this is as predicted... Not that it is any great feat. The culprit (beyond the political asshats and plandemic organizers) is JIT (just in Time) manufacturing...

Because of insane tax laws on inventory, JIT production was more or less invented to prevent as much inventory as possible... We cannot sustain a prolonged shutdown - or any shutdown at all - Because there aren't inventories to act as a buffer.

Thanks for the enlightenment; perhaps those tax laws need to be rethought and reworked?
Title: Re: Dunkin' to permanently close 800 US stores in 2020, 8% of US restaurants
Post by: mrpotatohead on July 31, 2020, 03:12:30 PM
I ordered a small GE chest freezer to put out in the garage in April, it was supposed to have been delivered this week.  Because of the unavailability of parts to build freezers which are in demand, the delivery has been delayed till September!  The woman I spoke to running the dispatch said that her husband works on airplanes and they also cannot get parts.

So ... is this because everything was shutdown or does this also have to do with the tariffs on China??
I tried to purchase a freezer as well.  I found that there was a run on freezers as people weren't eating out as much during this ordeal.  We can't get a freezer for months also.
Title: Re: Dunkin' to permanently close 800 US stores in 2020, 8% of US restaurants
Post by: roamer_1 on July 31, 2020, 03:14:29 PM
Thanks for the enlightenment; perhaps those tax laws need to be rethought and reworked?

Oh yeah... That would be about the biggest boon to business that there is...

It is a tough nut though... The problem is, a business can predict tax rate. In order to avoid the taxes, in the past the business would invest into inventory, because at the time, you were not taxed for stock on hand (or at least lightly taxed), which means less money doled out to the old non-working partner, Uncle Sam... And the taxes could be evened out across quarters as the inventory sold.

Now, in order to stop that practice, inventory is taxed hard. So it only makes sense to business not to carry the inventory anymore. Thus JIT.

In my mind, I should be able to write off inventory as materials invested toward a sale. I have hard money tied up in that product. Why should I be taxed on it? It should be a write-off. Let Uncle take his unfair share after the sale when the profit is in hand.
Title: Re: Dunkin' to permanently close 800 US stores in 2020, 8% of US restaurants
Post by: libertybele on July 31, 2020, 03:45:11 PM
Oh yeah... That would be about the biggest boon to business that there is...

It is a tough nut though... The problem is, a business can predict tax rate. In order to avoid the taxes, in the past the business would invest into inventory, because at the time, you were not taxed for stock on hand (or at least lightly taxed), which means less money doled out to the old non-working partner, Uncle Sam... And the taxes could be evened out across quarters as the inventory sold.

Now, in order to stop that practice, inventory is taxed hard. So it only makes sense to business not to carry the inventory anymore. Thus JIT.

In my mind, I should be able to write off inventory as materials invested toward a sale. I have hard money tied up in that product. Why should I be taxed on it? It should be a write-off. Let Uncle take his unfair share after the sale when the profit is in hand.

Sounds perfectly logical to me. Something needs to be done, otherwise more and more businesses are going to have to shutter.