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.