What the IRS Says About Panera’s Pay What You Want

After closing all of their Panera Cares Cafes where customers were supposed “pay what you want,” Panera might have a problem with the IRS.

When Pay-What-You-Want Does Not Quite Work Out

Unexpectedly, Panera’s pay-what-you-want cafes couldn’t bring together the normal lunch crowd and people who could not afford a meal.

The Restaurant That Lets You Pay What You Want

When “pay what you want” is used to determine restaurant prices, it creates incentives for consumers on the demand side that typically eliminates profit.