Case Study
In-N-Out Burger 1. Why do some business analysts say that In-N-Out's business model is "counter intuitive"?
In-N-Out’s business model is considered to be counter intuitive as it is opposite to the commonly found business model in the fast-food industry. Firstly, all the stores are privately owned by the promoter family only unlike other chains which use franchise based model to expand their business. Such conservative and slow expansion policy as adopted by In-N-Out is quite unique in its industry which usually focuses on rapidly expanding all across the country and abroad. This is why in spite of being in business since 1948; the numbers of stores of In-N-Out are far lesser than its peers like Burger King. McDonalds, Wendy’s, etc. Another aspect of In-N-Out which is unique is its menu and ambience offerings, which are same since decades. While normal fast-food chains have decided to improvise and adapt with changing times, In-N-Out has focused on its original burgers and fries along with same old theme of styling and furniture. Moreover, contrary to other fast food chains, In-N-Out does not focus too much on advertising and sales promotion, and rather garners its customers from word of mouth publicity. Also, another unique aspect of In-N-Out’s business model is the fact that the employees are treated very well and paid handsomely which is certainly not the case in other fast food joints, which are hampered by high attrition rate problems.
Hence, we can see that In-N-Out’s business model is totally opposite to the industry in many aspects and hence can be considered counter-intuitive.

2. Why is it said that In-N-Out Burger has a type of "cult following"?
In-N-Out Burger is said to have a “cult following” because its customers are like those group of fans which can go to any extent to have its burger. There are many customers of