2013 has been the year of the doughnut. The deep-fried treats have been rediscovered by a hungry nation looking to start its day with a tall cup of coffee and 300 calorie sugar bomb. In the last six months doughnut fever has expanded around the globe as corporations rush to serve the sudden hunger for high-end pastry. Last summer in New York customers were waiting in line all night to get their hands on cronuts. Less than two months later Dunkin Donuts was selling knock-offs in its South Korean stores. There seems to be no end in sight. History suggests that’s exactly why we should be worried.
Doughnut fever is global but Winston-Salem, North Carolina based Krispy-Kreme (KKD) lies at the heart, or stomach of the craze. It’s a familiar spot for a 75 year old company with a Zelig-like knack for capturing the zeitgist of American culture. In 2000 Krispy Kreme capitalized on the stock market bubble by going public just three weeks after the NASDAQ peaked. The stock rocketed up 76% on its