Business Decisions

Just recently, Jersey Mike's was selling subs for 1 dollar each, and the outcome was not pretty. There were numerous amounts of people just yesterday willing to line up for what is basically a free sub sandwich. The amount of resources being used seem liked they were about to lose a large amount of money. Comparing Jersey Mike's to McDonald's, Jersey Mike's seems to use fresh ingredients compared to McDonald's where almost everything is frozen or pre-made. I know this is a marketing scheme but it seems the marketing wouldn't work at all, losing vast amounts of money in short time. Due to this Jersey Mike's would have to sacrifice quality for quantity, basically having frozen packaged food rather than the usual fresh food. This can make a difference being cheaper to obtain and having almost no repercussions in the customer's eyes. This could be a smart decision if it were true as word of mouth will get around of how great the sandwiches can be, which can result in more customers and more revenue. In the short run it is probably a bad idea, but in the long run it will be worth it.