Wendy’s Serves Up Big Kiosk Expansion As Wage Hikes Hit Fast Food

[Albertoo]

15. Labor costs evidently drive fast food costs

Restaurants are a service activity = labor is a greater share of income than in industry, while less than pure service like, say, accounting.

Labor is in the vicinity of 20% of the price of a burger vs about 10% for a can of beer.
Doubling the labor cost at McDonald's would raise prices by about 20%
http://www.forbes.com/sites/modeledbehavior/2013/07/30/doubling-mcdonalds-salaries-a-great-way-to-get-workers-replaced-by-machines/#72d6c02617f4