It's a Tough Inflation Environment: DineEquity CEO

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Nov. 11 (Bloomberg) -- DineEquity CEO Julie Stewart discusses the strength of the U.S. consumer and health-care reform on Bloomberg Television's "Street Smart." (Source: Bloomberg)

Now.

When you look at the u.s. and talk about the economic recovery gain and me met, what are you seeing?

Are people willing to spend the extra dollars and people taking their family out to dinner?

The environment is lumpy and bumpy, so we have to be ready to go.

I think the work we do in different branches of the most important work we can do.

I will tell you that guests want value.

Not just about price but the experience they get.

People want a $10 -- $20 treat for $10. they want great service and great food, but they wanted at a great price.

There is so much competition out there.

You have to be willing to offer these.

And to try new things.

We spend most of her time on innovation and creativity.

Trying to be out there with new and fresh ideas.

Everything from food to technology, we are trying to be innovative.

Lex how do you control the quality?

As many as you do, it must be mind-boggling.

It is, and it isn't. we start with a great troop -- great group of experience.

We know going in we have a great partnership.

Our job is to make sure we lay out things they must do, ways they must cook and serve.

That works.

We continually reinforce every day and then we raise the bar.

They rather like it that way.

The partnership is a really good partnership.

Tell us what you see from franchise owners and how you're thinking about obamacare and how double plays into the business.

I think in the very beginning there was incredible concern.

It took quite a long time to even write the law.

A lot of concern about what it made and was going to do.

The reprise temporarily has lessened peoples fears.

I think they're still trying to figure it out.

Obviously every single franchise is different.

It is not universal impact.

Impacts people very differently.

Right now the hope is still the government they reconsider what mandates or constitutes a full- time employee.

The law right now is 30 hours constitutes a full-time employee.

Our hope is to go to 40. do you think people will get reduced?

Absolutely.

Obviously we want to make sure.

It is not like we make claims.

Our average check is like $13 or $11. i think there is a misnomer about how it is made.

To talk so often about the fed as far as inflation.

People e-mail us all the time.

They can cost more in the cost more.

Real estate cost more.

What is your inflation view?

One of the things we did when we made acquisition, we have a purchasing co-op.

We were very fortunate in that we have a purchasing co-op and can minimize the inflation.

It is one of the things that is a competitive advantage for us.

Even so, i cannot buy some of those things.

The reality is we will see inflation in 2014. maybe it's not as other people do.

They take either a small price increase or none at all because pricing is so valuable right now.

You started as a food server at i hopped?

Exactly.

It is not like she slid into the ceo job room waitress.

That is true.

Like thank you for being here.

Julia stewart, chairman and ceo of dine equity.

This text has been automatically generated. It may not be 100% accurate.

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