Part 5/11:
Mrs. Fields pioneered the cookie shop concept in the 1970s, offering warm, freshly baked cookies that became an instant hit. Despite strong early growth and decent margins, the company struggled to cope with economic downturns in the 1990s, leading to an inability to compete with the resurgent demand for frozen desserts and other low-cost treats. Ultimately, Mrs. Fields shifted to a franchising model but suffered decreased earnings and competition from new players in the market.
Conversely, Insomnia Cookies capitalized on late-night cravings, primarily targeting college students. Their unpredictable growth is due in part to their real estate strategy; however, they faced challenges in price competitiveness and limited expansion opportunities, which led to a ceiling for revenue growth.