If the restaurant doesn’t serve the same food as their neighbor, why would they lose money to them?

A common example though: A McDonalds Big Mac costs costs about $5.99 in , in Denmark it costs about $7. But in Denmark the worker is paid a minimum of $21. On top of that, they get paid maternity/paternity leave. The worker pays 2% of their pay into their pension fund, while the restaurant pays 11%. They get paid sickleave, they get 6 weeks of fully paid vacation per year.

If that’s possible for pretty much the same price of a burger, then the margins aren’t really as thin as you’ve been led to believe, but they make a hell of a lot more money by making you believe their lies.