TL;DR
Taco Bell's tortilla shortage was caused by its supplier, not an internal issue. The shortage affected sales in select locations but did not prevent overall sales growth of 10% and same-store sales growth of 7% in Q2.
Although Taco Bells' "Tortillapocalypse" has been over for a few weeks, the fast-food chain has kept relatively silent about the cause of the shortage. According to an article on RestaurantDive, the tortilla drought has officially been blamed on Taco Bell's supplier as opposed to an internal issue.
On a recent earnings call, Yum Brand's CEO Greg Creed acknowledged last month's viral event, claiming that the shortage affected sales in select locations. Still, Taco Bell saw an overall sales growth of 10% and same-store sales growth of 7% in Q2.
As the article points out, "this shortage highlights how important suppliers are to companies' operations...supplier's risk factors are important metrics for companies to follow."
While the "Tortillapocalypse" did result in one passionate 911 call, it appears that Taco Bell made it through unscathed.
In this story
This story was originally published in 1851 Franchise on August 6, 2019. Burnaze summarizes and links to the original reporting.
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