There is a reason the value meals are only returning on a limited basis, says Shubhranshu Singh, associate professor of marketing at the Johns Hopkins Carey Business School, who has studied the economics of fast-food value meals.
"They want customers to get the value meal and then buy more, the idea isn't that the consumer will buy a value meal and walk away," Singh said.
"If consumers do that, selling that value meal will be such a bad idea."
"How can they serve $5 value meals with that minimum wage and still make a profit?
But he added, "We are not upset about the value menu, but I don't speak for those that have higher cost pressures than I do."
Persons:
Shubhranshu Singh, Johns, it's, Singh, Burger, Scott Rodrick, CNBC it's, Nick Snowberger, Snowberger, McDonald's franchisee's
Organizations:
Johns Hopkins Carey Business School, CNBC
Locations:
Burger, McDonald's, California, Northern California, Montana and Wyoming