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Subway Is a Large Chain of Franchise Sandwich Shops

Question 114

Multiple Choice

Subway is a large chain of franchise sandwich shops.Marcia owns three Subway stores in a large city.At the end of the year,she notes that sales rose from 2 to 5 percent over last year's sales at Stores 1 and 2,but fell 2 percent at Store 3.Based on this information,which of the following is the best course of action as to how Marcia should reward (or punish) her store managers?


A) She should give bonuses to the managers of Stores 1 and 2,and put the Store 3 manager on probation.
B) She should ignore the sales data; they are not an appropriate marketing metric.
C) She should give each manager a raise,tied to the store results.
D) She should review at least 10 years of sales data about her stores' performance before making a decision.
E) She should seek more information about why the stores had different results before making a decision.

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