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Old Posted Dec 10, 2010, 6:36 PM
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freeweed freeweed is offline
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Join Date: Sep 2006
Location: Dynamic City, Alberta
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Quote:
Originally Posted by Rusty van Reddick View Post
Interesting discussion on chowhound the other day: Sushi Motto had a $20 for $50 of sushi deal on Deal of the Day (red flag deals' groupon type site) and they sold more than 4000. Some of us are concerned how a resto can survive this sort of "success." They are selling more than $200,000 worth of food for $80,000- and a chunk of that $80,000 goes to red flag. How do restos make money with these things? Drinks?
Make it up with volume? This worked in the dot-com era...

Seriously though, it's just an indication of insanely high markups. Plenty of retail operates this way too. The Winnipegger in me still whispers "never pay full price for anything". It's a way of life for an entire city, and somehow businesses still survive.
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