Papa John’s: Better Ingredients. Better Pizza. Worst Spokesperson

Subject: Management
Pages: 1
Words: 185
Reading time:
< 1 min
Study level: College

John Schnatter is the founder of Papa Johns’s, one of the largest pizza delivery chains. The origin of the company dates back to 1984, and ever since, the business has managed to skyrocket and gain support from many customers on a national level (Kinicki, 2020). However, while the organization gained popularity and grew from a broom closet business to one of the most well-known restaurants, it faced numerous problems. Among the most significant issues is bad publicity and declining revenue, along with restaurant closures. The leading cause of such troubles is CEO Schnatter’s behavior, more specifically, his inappropriate comments.

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Considering the fact that the resignation of Schnatter did not bring any improvements and he remains one of the most significant shareholders, the only solution seems to be to either change the name of the organization or buy the 19% stock position, Schnatter. The latter does not seem possible since it is unlikely that the former CEO will agree to give up his shares. On the other hand, it could be possible to change the name of the corporation in order to regain its good reputation.

References

Courtemanche, C., Carden, A., Zhou, X., & Ndirangu, M. (2019). Do Walmart supercenters improve food security? Applied Economic Perspectives and Policy, 41(2), 177-198.

Kinicki, A. (2020). Organizational behavior: A practical, problem-solving approach. McGraw-Hill.