Quiznos
Quiznos' 2014 bankruptcy followed years of decline from 5,000 locations to under 1,000, illustrating how franchise conflicts can destroy restaurant chains. The company's franchisees filed lawsuits alleging the franchisor profited from supplier markups at franchisee expense. When franchisees became unprofitable, they closed stores. The mechanism failure was franchisor-franchisee mutualism breakdown—the franchisor extracted value that franchisees needed to survive.
Key Facts
1981
Founded