New_Acanthaceae709 t1_jaerbtu wrote
Reply to comment by CreativeGPX in ELI5- Given the average cost of a cup of coffee is marked up about ~80%, why hasn’t a company come in and charge significantly less to take a greater share of the market? by Educational_Sir3783
Diners use cheaper ingredients, and don't throw any coffee out, while paying their staff much less than minimum wage.
Diners make their money on turnover; more customers across more of the day.
Car dealerships use the same cheaper ingredients as the diners, but yeah, the coffee is subsidized entirely as a perk, not a for-sale-item.
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