Dairy Queen Faces Franchisee Revolt

Dairy Queen Faces Franchisee Revolt

AP   |   February 28, 2008 09:11 AM

Read More: Berkshire Hathaway, Dairy Queen, Dairy Queen Franchises, Dairy Queen Rebellion, Dairy Queen Revolt, DQ, Franchisee Associations, Warren Buffett, Breaking Business News
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Dairy Queen is facing a dilly of a problem -- a rebellion against the revamping of restaurants by a growing number of mostly mom-and-pop franchise owners.

Claiming that DQ is forcing them to increase the size of restaurants or add table service under the threat of losing their franchises, owner associations with members in 10 states are now suing the chain.

Resistance to the Minneapolis-based corporation began in Michigan last month.

This month, franchisee associations with members in Arizona, West Virginia, Ohio, Virginia, Maryland, Pennsylvania, Kentucky, Missouri and Illinois filed suit to block the corporation's plans.

The lawsuit pits entrepreneurs who mostly own one or two restaurants against International Dairy Queen and its corporate parent, Berkshire Hathaway Inc., the investment company of billionaire investor Warren Buffett.


 
 

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- KCFreedom See Profile I'm a Fan of KCFreedom permalink

Hey I was told by the media Warren Buffett was the "good/people's billionaire" that we should all love.

Why should franchises fork out so much money to please Wall St. How could any small-town DQ afford that?

    Favorite    Flag as abusive Posted 12:05 PM on 02/29/2008
- drkazmd65 See Profile I'm a Fan of drkazmd65 permalink

Sometimes,... 'Progress' just isn't.

    Favorite    Flag as abusive Posted 10:08 AM on 02/28/2008
- Perdurabo See Profile I'm a Fan of Perdurabo permalink

The coffee machines at McDonald's cost $100,000.00 per store to install?

Man, this country is so out of control it's unreal.

    Favorite    Flag as abusive Posted 10:03 AM on 02/28/2008
- Rockwell See Profile I'm a Fan of Rockwell permalink

Dairy Queen is an American icon that services a lot of small towns like the one I grew up in. My old DQ is still the same little walkup window shop that it was in the 60's. And they close in the winter. I think that's cool, and obviously so does the owner. Does everything really have to have the latest driveup window and plastic seating? Do I really need a cheeseburger from Dairy Queen?

Let the owners of these franchises serve their markets the best way they see fit. Warren Buffet will have a significant publicity problem on his hands if he pushes this issues.

    Favorite    Flag as abusive Posted 09:55 AM on 02/28/2008
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