Obesity In America

The fast food industry is a growing industry considering America’s obesity problems. According to the Fast food industry analysis by Franchise Help, there are over 200,000 restaurant locations and revenue has grown at an 8.6% annualized rate. Our economy seems to be going downhill and many Americans don’t want to spend ridiculous amounts of money on fast food, which in return leads to a key survival factor for many of these fast food restaurants, which I will later talk about in further detail. America is finally being struck by the fact that over one-third of adults are obese, so a certain few of them want to take action. Obesity leads to diseases, which then could lead to an easily preventable death. With that in mind, it’s going to cause
Although, I believe the fast food industry should consider the health consciousness of people, there are many restaurants that already revolve around that type of food. There are different types restaurant for all the different types of people. If people want to be healthy, they have options such as Subway, Chic-fil-A, or Jason’s Deli. If some people don’t care and just want food, there’s Fuddruckers, Five Guys, or Burger King. If someone just wants something cheap, McDonalds is the ‘king of the dollar menu’. Each of these restaurants attract different customers, so the profitability is there. According to an article on Forbes, Chic-fil-A averages over $3.1 million a year per store. McDonald’s is in second with $2.6 million per store. These are great numbers and shows how this industry can definitely be profitable. And the fact that this industry is growing backs that statement even more. Whenever there’s a Wal-Mart in a certain location, (which usually has a McDonald’s in it) and another McDonald’s is built within a mile that definitely says something about growth. McDonald’s is doing so well that they have to put another location to attend more customers as well as increase their ease of access. With all that said, this industry is definitely fragmented. There are so many competitors and the fact that there are very few barriers to enter this industry proves that. Over the next five years, there is no doubt that attractiveness and profitability of this industry is going to continue to grow. I’m sure there are going to be many new competitors in the market, some will stay and some won’t last but one thing is likely, and that is that the restaurants mentioned in this analysis will probably still be around and maybe up to about $3.4 million for Chic-fil-A and $3 million for