University of Rhode Island Hospitality IHOP and Applebees Case Study

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Business Finance

University of Rhode Island


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In this case study, you will examine the impact sexual harassment has had on Dine Equity.


What is the effect of social media publicizing these issues regarding sexual harassment?  What implications are there on the brand name of the restaurants?

Did IHOP/Applebee’s (as a company and franchisor, AKA Dine Equity) take any measures to circumvent these issues in their restaurants. Was it an effective solution?

What do you think of EEOC’s actions towards sexual harassment cases? Are they effective? How could they be improved?

What do you think about the unit management’s position and actions following the accusations in the mentioned examples? Could they have handled the cases better?

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Explanation & Answer

View attached explanation and answer. Let me know if you have any questions.

IHOP and Applebee's – Outline
Thesis Statement: Sexual harassment is a vice that can be executed in various ways at the
workplace. It is the responsibility of an organization’s leadership to take preventive measures to
prevent the occurrence of the vice within their premises; a premise which was inexistent at IHOP
and Applebee's.

The Effect of Social Media Publicizing these Issues Regarding Sexual Harassment
A. Increased sensitization and encouragement for victims to share their exploits collectively.
B. Primary form of activism
C. Source of awareness about the vice
D. Disciplinary actions
E. Increased cognizance and responsiveness to sexual harassment allegations
F. Cases are dealt with efficiently and swiftly
G. Backlash against the parties or companies


Implication on the Brand Name of the Restaurants
A. Negative publicity
B. Declining competitiveness
C. Tarnished image; both internally and externally.


IHOP/Applebee’s Measures and their Effectiveness

A. Yes
B. Nonviable/ineffective measures
C. Management and owner continuously overlooked any allegations
D. Differentiation and positioning- Investment of $40 million

EEOC’s Actions Towards Sexual Harassment

A. Rightfully objective; but, ineffective
B. The organization files the cases individually against franchisees
C. Involving the parent companies
D. Stop dealing with the cases as isolated incidences, and treat them as a pandemic issue

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