Originally Posted by iahphx

Well, it's interesting how people feel about this.

I remember 20 years ago thinking that Starbucks wouldn't be very successful because people wouldn't be willing to pay a lot more money for a little better cup of coffee (and, honestly, Starbucks coffee wasn't usually so great). But obviously there is a segment of the population that doesn't mind the extra money for a little "luxury" on what is still an affordable item.

With rare exception, I don't pay a lot of money for fast food burgers. I actually think the McDouble at McDonalds is an astonishing value at a buck. I know folks like to find fault with McDonalds' food, but it's a tasty burger. The Double Stack at Wendy's -- also usually about a buck -- is an even better burger.

So why should I pay 5 bucks to eat a fast food burger when I can pay a buck? For $5, I'll eat something else (after all, how many burgers can you eat?). I've always thought that the worst business to get into was the fast food burger business because McDonalds does a good job and they are so darn cheap. Who could compete with that?

That said, when I am in an In-n-Out locale, I will choose them over McDonalds if I want a burger. Of course, the surcharge at In-n-Out is very modest. If it were 4 bucks, I'd stick with McDonalds or Wendys.