location, these locations provide a greater
number of customers with the characteristics
of Rubio’s target market and more flexible
operating hours.
Under the Rubio family’s direction, the
exterior style and interior design of each of
Rubio’s restaurants is consistent throughout
their 12 locations. The typical unit features a
walk-up order counter with a large red-and-
white-lettered menu behind it. Paper menus,
which detail the company’s phone-in order
policy, are also provided. The units’ decor is
contemporary, with light wood, green wall-
paper, color framed prints, and Mexican tile
tables. A mural of the company mascot, Pesky
Pescado, usually appears on one wall. (Pesky
is an animated fish, standing upright on his
tail, with a taco shell wrapped around his
body.) The typical unit also features decora-
tions that emphasize a beach theme, including
surfboards, palms, green-and-white walls,
ceiling fans, and beach scenes. This upscale
atmosphere is further enhanced by a sound
system that plays authentic mariachi music.
Although the units vary slightly by loca-
tion, most have 2,200 square feet, with a
cooking area, a dining area for approximate-
ly 50 people, and an outdoor patio. Each
restaurant features an area where customers
may purchase deli items and/or a variety of
promotional items, such as T-shirts, bumper
stickers, and decals. All units, other than the
original one near Mission Bay and the SDSU
location, have beer and wine licenses, a fea-
ture intended to strengthen Rubio’s image as
a fast-food alternative to fine Mexican restau-
rants. Consistent with the company’s empha-
sis on service and convenience to the cus-
tomer, one restaurant site also features a
drive-through facility.
Each Rubio’s location also has a desig-
nated receptacle for recycling bottles and
cans used in the restaurant. Given that there
is no consensus on whether plastic or paper is
better for the environment, Rubio’s contin-
ued to use clamshell containers, which have
better thermal retention. Rubio’s did, how-
ever, switch to tray service to reduce the
amount of paper used in each facility.
Therefore, each facility also has an area des-
ignated for tray storage. As the recycling in-
frastructure grows, Rubio’s continues to
monitor plastic recycling. Once the decision
to recycle is made, each facility must also des-
ignate space for plastics recycling.
In addition to these 12 restaurant loca-
tions, in April 1990 Rubio’s joined the con-
cession lineup at Jack Murphy Stadium. By
May, Rubio’s had expanded to the plaza level
in an effort to meet the enormous demand at
the stadium for its product. More recently,
Rubio’s joined the concessions at the Irvine
Meadows Amphitheater.
Unit Operations
The typical unit has 15 to 25 employees,
depending on the amount of customer traf-
fic. Each unit has one general manager, two
assistant managers, a cashier, an expediter, a
prep clerk, four line clerks, a shift leader, and
a customer service employee. To ensure uni-
formity throughout its facilities, the compa-
ny has developed job descriptions for each of
these positions. A sample of these descrip-
tions is contained in Exhibit 2.
Despite the increase in the federal mini-
mum wage rate, Rubio’s employees have not
been affected. On average, the employees
make an hourly wage that already exceeds the
new federal minimum. Unit structure and
wage scales are presented in Exhibit 3.
In addition to a higher minimum wage,
full-time employees are also offered various
benefits, such as health insurance. Although
Rubio’s offers its full-time employees health
insurance, only 30 percent currently take ad-
vantage of this benefit. Rubio’s believed that
this may be a result of cultural differences. As
a result, Rubio’s engaged in direct marketing
of its health insurance plan to its employees
in an effort to increase participation rates to
70 percent. Rubio’s made this effort despite
the anticipated increase in costs to the com-
pany.
Marketing Strategy
Despite the fact that San Diego shares a bor-
der with Mexico, Ralph Rubio recognized
that no other restaurant in the area was serv-
ing authentic Mexican food. By offeringRubio’s: Home of the Fish Taco (A) 449