In-N-Out family drama
The LA Times ran a story today exposing a lawsuit among the family that owns the In-N-Out hamburger empire. Free registration required for the LA Times.
In-N-Out is still a privately held company and none of its stores are franchised. The lawsuit will reveal previously hidden details of the company’s internal workings. The Times story tells of the drama centered on the 23 year old heiress of the empire, who allegedly wants to accelerate expansion into regions where elder members of the family have been reluctant to go. Those lusting for a Double-Double in other parts of the country might get their wish, that is, if the company doesn’t falter under the weight of overambitious expansion. Remember Krispy Kreme’s rollercoaster IPO and subsequent market collapse?
Note to heiress: sometimes, slow growth is better.
For those of you not in the Western USA, this legendary California fast food burger chain dates back to 1948. Many of America’s international fast food empires started in post-war California. To this day, southern California is home to this country’s best hamburgers of the chain and gourmet types. Fatburger, Original Tommy’s, In-N-Out . These are burgers that have been imitated all over the world. I’m especially fond of the Japanese chain MosBurger, which makes burgers that look every bit as good as their ads. How many corporate chains can you say that about? Their Spicy MosBurger, with chili and jalapeno peppers, kept me happy on many a late night. If you have a great burger chain where you live (especially if you’re from outside the US), please leave me a note and tell me about it.
January 8th, 2006 at 1:40 pm
Is this the same Mos Burger with a couple of locations in Santa Ana?
January 8th, 2006 at 1:48 pm
AFAIK, the Santa Ana shops have no relation whatsoever with the Japanese chain, except for the name.
January 9th, 2006 at 10:47 am
Prof, i just read a link on this. It was interesting to learn that biblical references have been secretly printed on In & Out wrappers. Very cool.
http://www.zenlemur.com/innout.shtml
January 10th, 2006 at 12:56 pm
That was interesting about the bible verses. I never noticed them. I am a California burger fan and while I love all of the above burger chains, but here are a few Mom and Pop places you might want to try in the L.A. Area:
Capitol Burger - on Pico just west of Crenshaw. Looks like a run down place but they have great burgers and the longest fries in town.
The Big Burger - Corner of Avalon & Victoria across the street from Cal State Dominguez Hills. Huge burgers and the tastiest Charbroiled Turkey Burger I ever had.
B&R Burger - On Rosecrans and Cerise in Hawthorne. Homestyle Hand-made burgers. Good things take time so be prepared for a wait.
January 11th, 2006 at 7:12 am
You gotta love Tommy’s double cheese… there’s nothing like it.
January 11th, 2006 at 6:58 pm
In British Columbia we have an excellent burger chain called White Spot. As they say in their advertising, their burgers are “legendary.”
February 6th, 2006 at 2:26 pm
In-N-Out Burger always had the option of NOT funding all their expansion efforts themselves; but could have gotten Private Equity funding, cash not debt, from a “benevolent” source who would NOT have requested any involvment with any aspect of “Management”.
Example would be Warren Buffet, through Berkshire Hathaway (spelling?), like they have done with Sees Candies for many years, Dairy Queen (I think) in the mid-west, and others. Had they done this, lets say for discussion purposes here, 5+ years ago, they could have been a truely growing “National” Chain. They have missed out on a TREMEDOUS Opportunity!!!
March 24th, 2006 at 4:27 pm
Maybe a dumb question…..but do you know the biz background of the 23 yr old heiress?…..My buddies would have a nervous breakdown if they couldn’t make their weekly run to In-N-Out each week, if anything were to happen to the place.