Steak & Shake, American Classic or Franchise Failure.


Kyle Ciresi

Steak ‘n Shake, it’s not everyone’s first choice, unless you’re my brother; however as the Steak ‘n Shakes in Ohio close down, you must ask why? So I asked around, seeing how were people’s experiences at Steak ‘n Shake. What happened there, how long did it take to get your food, was it clean, just overall how was it?

Max Close says, “I Love Steak ‘n Shake.”

Adam Musleh says, “Every Time I’ve gone, it’s really only taken 5 to 10 minutes to get my food, and the restaurant was very clean. The Bathrooms were a different story.”

I would give Steak ‘n Shake a good 6 out of 10 because the food is tasty. The service is always fast, and the servers are very kind.

So obviously it isn’t the service, many of the other people I talked to echoed this opinion. In my research, I found that the franchise spends 1 million dollars on cherries per year. The missing piece to this puzzle is obviously in the multiple lawsuits over not paying workers for overtime. Along with the 10.7 million in losses the company had to pay out over 3 million in damages to workers. On top of that, they had to pay 2 million dollars in legal fees just last year.

I looked into purchasing a franchise, specifically the one near Fairview hospital, and this is where I found one of the biggest problems, you can only own 1 franchise and Steak ‘n Shake corporate take nearly 40% of all profits.

My overall opinion on Steak ‘n Shake is that the corporate aspect is what is ruining it. The food is good and the shakes are “shmakin”.