Increasing menu prices to offset higher commodity costs may not be the best solution
Escalating commodity costs are forcing both restaurant executives and investors to make some tough decisions. Even as costs spiral upward, many restaurant companies are guiding their investors to expect mid-single-digit increases in 2011. At the same time, a growing number of companies are contemplating or instituting price increases to help maintain margins and meet those projections. Those price increases, however, are putting them on uncertain fiscal ground. So far restaurant stocks ...
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