Question
Chick-Filet is a fast food restaurant, largely operating in the Southeastern United States. It specializes, obviously, in fast food chicken products. Chick-Filet is also well
Chick-Filet is a fast food restaurant, largely operating in the Southeastern United States. It specializes, obviously, in fast food chicken products. Chick-Filet is also well known for being a very pro-Christian business.
As such, Chick-Filet closes every Sunday. It only operates 6 days a week; Chick-Filets are not open on Sundays. However, when compared to McDonald's and other fast food chains in the Southeastern United States, Chick-Filet consistently has a larger profit per store.
In your opinion, (please support using microeconomic concepts in class), does closing one day a week, help or hurt Chick-Filet? In other words, could Chick-Filet make a greater profit if it was open 7 days a week, or does closing Chick-Filet one day a week,actually sparkmore demand due to the constrained supply (open less hours)?
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