Subway Faces Franchisee Revolt Amid Sales Slump
Emergency Meeting Convened to Address Concerns
WEB Subway, a global sandwich chain, is facing a potential franchisee revolt after abruptly calling an emergency meeting to address concerns over declining sales and proposed changes to franchise agreements.
According to sources such as the New York Post, Subway's North American franchisees were informed of the meeting on short notice, with some expressing shock and concern.
Reasons for the Sales Decline
- Increased competition from other fast-food chains
- Changing consumer preferences and tastes
- Internal issues such as supply chain disruptions and menu changes
Franchisee Concerns
- Subway is allegedly proposing to increase franchise fees
- New franchise agreements would give Subway more control over operations
- Franchisees are worried about the impact on their profitability
One franchisee, who operates nearly 20 Subway stores, described the meeting as "an emergency event" and expressed fears that the changes could threaten their livelihoods.
Subway has not yet publicly disclosed the details of the proposed changes or the reasons for the emergency meeting. The meeting is scheduled to take place on August 15, 2023.
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