Part 4/10:
As stagnation set in, Krispy Kreme was acquired by private equity in 2016, leading to a restructuring of operations and a shift to a Hub and Spoke model wherein centralized production replaced individual store kitchens. While the Hub and Spoke model improved efficiencies and product quality, it did not fully address demand challenges. The company attempted to reinvigorate interest with limited-time flavors and tie-ups with popular candies, yet it remains fundamentally challenged by a waning novelty and fragile margins.