Dunkin Donut CEO Who Makes $4,887 an Hour Outraged at $15 Minimum Wage

[Glassunion]

121. Your math is still wrong.

I laid it out how the increase would not only be 65 cents. You insist that all employees are full time and working a full 2080 hours a year. This is untrue. Your math is based on the assumption that all 260,000 employees work 2080 hours each, when in all probability only 1/3 of them do.

Now, your explanation of Reaganomics aside. Prices go up all of the time, and business flourishes just fine. Every day, rent, utilities, taxes, payroll, etc, increase and businesses have to decide how to absorb that cost. For example, just last year the price of coffee shot up. There was a shortage due to weather and rust (a disease effecting coffee), that left retailers with a choice over what to do. My company was one of them. Do we keep prices the same and lose profit, do we raise the price a little and lose a little profit and hope to make it up in volume, or do we match the market? We instead, raised our prices a bit but not enough to maintain margin, but we then raised the prices on other low margin items to increase their margin to make up for the shortfall. Our customer count still increased over last year, our item movement was not effected and we made our profit projections. Which is awesome, because 1/3 of all company profits are shared with the employees (all of us) in the form of cash compensation. The remaining 2/3 are used for benefits and company growth.

I never stated that price increases should be arbitrary. But you can indeed increase the prices of several items to absorb a cost. Coffee ain't all dunkin' sells. A good marketing team can figure it out and make it happen.

Keep in mind that dunkin' raised their coffee prices last year at about 9% or about 22 cents a cup. They still managed to sell 1.7 billion cups of coffee last year.

Raising prices does not cause demand to drop. This is also a false assumption. It would in your absurd method of making an egg-white breakfast sandwich $100. But making a big and toasted with hash browns 6.39 as opposed to 6.19 will in all likelihood have a nominal to zero effect on purchases.