Monday, May 17, 2010

Do we invest into a fad?

By some accounts, the love affair over cupcakes is just a fad. My view: How can it not be? How many cupcake places can Washington support? And if it were a fad (and if I believed it to be a fad) would I expand? What does it imply when Georgetown Cupcake expands into Bethesda?

1. It makes sense because there aren't as many cupcake eateries in Bethesda?
2. It is a fad but GC isn't too heavily in debt and hopes to cash in on the fad while it can?
3. Geez, if it isn't rational then they wouldn't be doing it, would they? (The Chicago school of cupcakes.)

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