Schlotzsky's gourmet deli franchise store#

Abstract

This instructional case examines quantitative and qualitative information in the decision to acquire a franchise store of a Gourmet Deli chain. In particular, it illustrates to students how commonly requested quantitative information in practice, such as an income statement, needs to be tailored to the decision-making context. The case integrates and tests students' introductory understanding of income statements for managerial purposes, cost behaviour, break-even calculations, cost-benefit analysis, regression applications in management accounting, and corporate overhead cost allocations. #While some of the numbers included in the case information were extracted directly from the Schlotzsky's website in February 2002, the data presented in the case and the analysis provided in the teaching notes are intended for classroom discussion only and should not be used as the basis for making an actual Schlotzsky's franchise investment decision. The information contained within this case study was not compiled with the assistance of Schlotzsky's, Inc., nor has it been verified by Schlotzsky's, Inc. Nothing contained herein shall be considered an offer or sale of a Schlotzsky's franchise.