Selective and Innovative Investments for the Fast Food Industry

Lalit A Patel

Soon after the Wright brothers succeeded in fulfilling mankind’s dream of flying in the open sky, other developers, entrepreneurs, and investors all over the world started pouring in innovations, companies, and investments aimed at making better and bigger skyships. Thousands of airplane companies were born and thousands of airplane models were developed. While many passengers and developers lost their lives in adventures, many entrepreneurs and investors lost their money in ventures. After the initial surge gave way to stability, people started paying attention to the safety of lives and investments. The necessity of compatibility of products with users’ expectations wiped out many ventures and reduced undue competition. This trend of progression from competition to compatibility is quite common in most industries and the fast food industry is no exception. Based on a few revolutionary manufacturing practices and numerous evolutionary business practices, and while serving fatty food to the innocent kids and public, the fast food industry has become too fat-skinned and dangerous for society’s well-being. It is now time for the Securities Exchange Commission (SEC), banks, investors, entrepreneurs, and developers to tune their policies and resources to the well being of fast food consumers and workers.

It is unfortunate that many government agencies in the United States, like in almost all other countries, function asynchronously and without regard for a common goal. It is due to this pattern of functioning that blacklisted people get visas and illegal immigrants get driving licenses. The health department and the investment agency have their own agenda, and there is no connecting link between them. It is desirable that when the health department alerts the public about health concerns of certain fast food products and processes, the investments agency prompts the fast food industry investors to take long-term corrective actions. The SEC can, for example, make and enforce certain regulations whereby the fast food industry finds it difficult to consume money at an enormous rate or in an unethical fashion. The SEC can force fast food corporation executives to abide by rules and regulations of health and other departments. One effective and efficient way of doing this would be to mandate each corporation to be audited by a certified public safety officer and present its audited safety statement along with its audited financial statement. This will improve the present mechanism of controlling the fast food industry not only from the investors’ perspective, but also from the consumers’ perspective.

Though giant-sized fast-food corporations may not be begging banks for loans, their franchisees are. Almost all franchisees in the fast food business approach banks for financial support. Though banks have their own priorities, and getting a good return on their investment is their primary motive in extending financial support to fast food shops, the banks should not become conducive to what is not good for the public at large. The banks should make it clear to loan applicants that loans will not be sanctioned at the cost of public safety. Banks should keep in mind that finance is the blood for a business organization and the blood is supposed to transport antibodies required to kill pathogenic business malpractices. The banking industry can become a driving force in cultivating good habits in the consumers-interfacing segment of the fast food industry. While doing this, though some banks may find it hard to survive their own financial pressures, almost all banks will create a good image in the vast majority of the banking facility users and thereby gain in the long run. Moreover, the loan processing banks should be aware of the fact that “some chains prefer to play follow the leader: when a new McDonald’s opens, other fast food restaurants soon open nearby on the assumption that it must be a good location” (Schlosser  65). Instead of getting brainwashed by market survey reports received from loan applicants, the banks should use their own yardsticks to measure the sustainable competition. Such measures, though hard to digest, will prevent premature deaths of ventures and create a healthier investment environment.

When it comes to an investment, no one can afford to be an altruist. It will be futile to preach to private investors and entrepreneurs to be generous and strictly law abiding. What can be preached, however, is that what can happen to others’ kids can happen to one’s own kids. History has many tales to tell that no one can be happy by exploiting or enticing others’ kids. Private investors and entrepreneurs can and should be judicious in their business and should treat the public in general and the kids in particular just as they would treat their own family members. The founding fathers - and mothers - of McDonalds, Carl’s Jr, Disney, and such other pioneering corporations had noble intentions in starting and raising their enterprises, paid personal attention to the safety of consumers and workers, and “would not walk away from [their] obligations” (Schlosser 28). Only by sticking to those noble intentions, the fast food industry can continue to earn and digest profits. The consumers-interfacing segment of a fast food chain can make or break the chain, and would consequently rise or fall, by sticking to or striking out good business practices.

Developers fueling the fast food industry with appropriate technologies have a lion’s role to play in improving this industry. They should understand that the fast food industry has a huge requirement of new technologies. In the absence of appropriate technologies, it is very difficult today to test food products cost effectively. A chemical nose technology – a smell counterpart of the optical bar-code scanning technology - would enable food controllers, manufacturers, vendors, and users to detect a bad food product before it was too late. A database network in line with ATM or computer virus definitions can become handy in recalling a bad food product. These developments are now possible in view of much technical advancement. The commitment from developers and technocrats will make a big difference.

Despite many of its shortcomings and despite a lot of criticism from the public, the fast food industry is going to stay. The SEC, bankers, and investors should now listen to the public criticism of the fast food industry and ban investments that encourage wrong practices in the fast food industry. Entrepreneurs and developers should try to resolve some technical issues faced by the fast food industry. This kind of move will surely benefit the fast food corporations, investors, and consumers - now and forever.

Work Cited

Schlosser, Eric. Fast Food Nation. Houghton Miffin Company, 2001.