Fast Food - Providing Jobs

Government at various levels already says buckle your seatbelt, don't smoke and be sure to recycle, so it shouldn't be any surprise that the Los Angeles City Council is preparing to tell people to eat their peas. Council members, concerned about the proliferation of fast food restaurants in a low-income area of South Los Angeles, are considering an area ban on additional fast food joints such as McDonalds (MCD), Burger King (BKC) and Wendy's (WEN). Libertarians and other cranks might ask: Is this a legitimate role for government and, by the way, where's the legal authority for such action? So far, government's answer is: Never mind - we know what's best for you. Hush, now. The Los Angeles City Council says fast food restaurants lead to obesity and seeks to encourage sit-down eateries that serve salads and other healthy food to set up shop in the area. But how likely is it that Darden Restaurants (DRI) would open a moderately expensive Olive Garden in a low income area - especially when the eatey's Italian-themed menu offers ample opportunity to be naughty with pasta while skipping the vegetables? What would the City Council say about Chipotle (CMG)? You can eat smart with chicken, vegetables, rice and salsa or, if you're feeling wicked, you can gunk up your meal with guacamole and sour cream. Perhaps the answer is a city monitor, tape measure in hand, stationed at each restaurant to quickly assess the girth of each customer and say yay or nay to piling on the guac. Cynics would say the monitors could be unionized and become a reliable voting block for council members seeking life-time tenure in city government, but you know cynics. Few would argue that fast food restaurants serve health food. But some states require restaurants to post the nutritional value of meals in plain sight, including calories, grams of fat and salt content. Isn't providing the information needed to make an informed decision enough? Don't citizens make their own decisions in a free society? Probably not. Some bright, concerned member of the City Council is bound to ask: What if people make the wrong decision? Fast food restaurants provide jobs and appear to be the only industry that wants to be in the low-income area of Los Angeles. How does limiting employment, especially for young people who are learning how to balance outside responsibilities with school, benefit low-income residents? Don't ask. The all-knowing City Council probably has a ten-point program for that, too. Those same philosopher kings also appear ready to take on the weighty problem of plastic shopping bags. A ban appears likely, which is sure to upset environmentalists because someone has to cut down trees to make eco-friendly paper bags. Anyone who takes out the trash will be certain to curse the council, because paper bags get soggy and the bottom falls out. Perhaps this unfortunate circumstance requires community classes teaching folks how to mop the kitchen floor - and be happy about it. The possibilities for "good for you" government intervention are endless. There's always chatter somewhere about banning cigarettes and other merchants of coffin nails, never mind the legality of tobacco products or the unhappy experience with Prohibition in the 1920s. But maybe it's simpler than that. If you're a Los Angeles City Council member, why worry about inadequate public transportation, building in canyons prone to wildfires and mudslides or even potholes when you can preen and bellow about fast food?

YUM! Brands

The Colonel Plays A Politcal Game Of "Chicken"
Posted By:Jane Wells
Topics:Marketing
Sectors:Food and Beverage Media
Companies:Cadbury Schweppes, PLC Yum! Brands Inc

Oh those marketing geniuses at Yum! Brands
YUM BRANDS INC
YUM
34.84 -0.29 -0.83%
NYSE
Quote Chart News Profile[YUM 34.84 -0.29 (-0.83%) ]
and Dr. Pepper Snapple (formerly Cadbury Schweppes
Cadbury PLC
CSG
49.12 -0.02 -0.04%
NYSE
Quote Chart News Profile[CSG 49.12 -0.02 (-0.04%) ]

Slogans like "Finger Lickin' Good," and people dancing around singing "I'm a Pepper" just don't cut it anymore in the age of dogs riding skateboards on YouTube and products which promote "going commando." Sigh. I miss wanting to teach the world to sing, in perfect harmony.
But we live in different times. Politically intense times. The era of eBay.
So KFC, owned by Yum! Brands, is playing a political game of chicken this election year by selling "Right Wing" and "Left Wing" T-shirts. (See images.) For undecided voters, there's a shirt saying "Tastes the Same to Me." The slogans are printed on American Apparel T-shirts (man, read Margaret Brennan's past blogs on THAT company), and all proceeds go to charity. While being sold at www.kfc.com, the company is also flooding Young Republican and Young Democrat events with the tees, and hoping to convince some celeb to wear one. But what about Bob Barr fans? "Wingless"? Ralph Nader? Maybe just an egg.
Dr. Pepper couldn't give a hoot about the election. He's a lover not a fighter. And he recognizes crass commercialization when he sees it! A Virginia bride named Kelly Gray auctioned off a spot at her wedding on eBay to help pay for the $7,000 event. The winner, out of 23 bids, was Dr. Pepper! Paying $5,700! Actually the winner was "Nick" from Dr. Pepper, as in PR guru Nick Ragone (www.nickragone.com) who came up with the idea. Ragone says the company will actually pitch in $10k for the wedding and supply all the drinks. Gee, what drinks they'll provide?
Ragone says, "We're finding that traditional media just isn't reaching our target audiences anymore, and so we're taking on more 'disruptive' tactics - things that get inside a story in a way that connects with people." ABC's "Good Morning America" is doing a story on the stunt, but, of course, being on my blog is the true sign of successful. After all, I "broke" the story when Dr. Pepper offered everyone in America a free soda if Axl Rose finished his 17-year-in-the-making epic "Chinese Democracy." "We've caught lightning in a bottle again," says Ragone, who makes more money than I do, thinking up stuff like this.

The Colonel Plays A Politcal Game Of Chicken
But you don't think Nick is actually going to the wedding, do you? Dr. Pepper plans to launch a website to help Gray find a guest to actually show up in Ragone's place.
Still...forget being a wedding guest! Fake Jane wishes she could just marry the good doctor...he's rich and famous, and he wouldn't require much from her. Plus, she can always "can" him in the recycling bin if things don't work out.

Coca-Cola Completes Franchise Buy

Coca-Cola FEMSA completes Brazil franchise buy
Coca-Cola FEMSA completes $364.1 million acquisition of Coca-Cola Brazil franchise Remil
June 27, 2008: 06:54 AM EST

NEW YORK (Associated Press) - Coca-Cola FEMSA SAB de CV, the largest Coca-Cola bottler in Latin America, said late Thursday it completed the purchase of Coca-Cola Co.'s Refrigerantes Minas Gerais Ltda. franchise territory for $364.1 million.
Coca-Cola FEMSA said the deal will expand its footprint in Brazil by more than a third.
Founded in 1948 in Belo Horizonte, Remil sold 114 million unit cases of sparkling beverages, water, still beverages and beer in 2007. The franchise serves the cities of Belo Horizonte, Contagem, Curvelo, Divinopolis, Governador Valadares, Ipatinga, Juiz de Fora, Lavras, Leopoldina, Mariana, Montes Claros, Janauba and Petropolis.
Coca-Cola FEMSA's operations in Brazil, including both of its franchise territories, will now represent about 30 percent of the Coca-Cola bottling system in Brazil.
Mexico's Coca-Cola FEMSA produces and distributes Coke, Sprite, Fanta and other Coca-Cola drinks in Mexico, Guatemala, Nicaragua, Costa Rica, Panama, Colombia, Venezuela, Brazil and Argentina. The company has 30 bottling facilities in Latin America and serves over 1.5 million retailers.
Coca-Cola Co. owns a 31.6 percent stake in the company.

www.cocacola.com
www.francorpconnect.com
www.francorp1.com

Buying a Franchise

College Grads: Want a Franchise With Those Fries?
Posted by Raymund Flandez
Is buying a franchise a good route to take for recent college grads?

Look closely: Can you spot a 20-something franchisee?Photo credit: hrindspnks via flickr
We recently came across this list from alternative-investments site NuWire Investor of what it called five types of franchises for young people:

pet care
painting services
children’s services
nonmedical home care
an existing franchise business (rather than buying new unit)
We’ve noticed articles in the past year that spotlight 30-and-unders who have gone into franchising. Last summer, the New York Times featured young people wanting to be their own boss and running a business, with no experience or cash. Some franchises, like Wing Zone, recruited on a college tour.

One catch: Many young would-be business owners use their parents’ money to support their new venture or to secure bank loans.

With some franchise start-up costs running to $150,000 to $300,000-plus, is being a franchise owner really a smart move for new college grads? Can enthusiasm and energy pull a 20-something through the long hours, sweat and, not to mention, potential debt?