Real-life resilience - Shake Shack

In this week’s edition of The Resilience Brief, I’m diving into the real-life resilience story of Danny Meyer and the massive pivot that led to the billion-dollar Shake Shack.
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When I think of my travels as a young boy, I remember the beaches and the people I was with. But when Danny Meyer reflects on the vacations he took as a child, he conjures up recollections of the type of mustard he had on a baguette in Paris. This is all the way back in the 60s before he turned 10.

Danny Meyer is the founder of the Shake Shack empire.

It’s clear that Meyer was consumed with food at a very young age, but his path through school and college led him in the exact opposite direction, toward becoming a lawyer. In fact, in the early 80s, he was all set to do his LSAT to enter into law school when he met his uncle and aunt at a restaurant the night before. Over dinner he openly admitted that he didn’t know why he was even sitting the exam, indicating he had no real interest in ever being a lawyer. His uncle understood his obsession with food and suggested he do something he actually cared about - such as opening a restaurant.

"Why don’t you just do what you’ve been thinking about your whole life?"

The words from his uncle would be a statement that instantly offered a classic ‘fork in the road’ moment, and Danny chose the path less travelled. He quit the job that was paying him a $125k annual salary to work in a restaurant as an assistant manager, at a wage of $250 a week ($12k a year). He used the experience to gobble up as much as he could learn on hospitality, food service, and the restaurant business. He eventually opened up several successful restaurants in New York, but Shake Shack would take another couple of decades.

“As you make big choices, while it may be tempting to do the thing others expect you to do, I challenge you to listen carefully to your gut, to follow your passion and heart, and to pursue what you really love.” - Danny Meyer

Fast forward to 2001 and Danny launched a modest hot dog cart in Madison Square Park in New York. The cart quickly became a local favourite, leading to the establishment of a permanent kiosk in 2004. They expanded to hamburgers and shakes (of course!) and that was the first Shake Shack.

From these simple beginnings, Shake Shack grew, eventually listing on the NYSE (with a market cap of $3.5b), and has grown into a beloved global brand with over 400 locations worldwide. ​

But it certainly wasn’t smooth sailing all the time. After the IPO, Shake Shack went through a period of rapid expansion which hit them with operational strains that really tested their resilience.

As a hospitality business, Shake Shack felt the full force of COVID in 2020 - sales plummeted, foot traffic vanished, and everything they’d built over time was instantly at risk. However, they were able to pivot quickly. They flipped their restaurants to takeout-only, leaned into delivery, and even launched DIY ShackBurger kits so people could bring a bit of hamburger joy into their home. But one of the most impactful things they did was to return a $10 million government loan because they recognized that other, smaller restaurants needed it more than they did.

They doubled down on safety, transparency, and long-term thinking when it would’ve been easy to panic. By that token, Shake Shack didn’t just survive, they demonstrated what resilience looks like: adaptability, ethics, and putting people first.

Despite being a brutal challenge, COVID was a pivotal moment that exemplified their values. They chose what was right over what was easy.

The key ingredients on display in this story

When I think about Danny Meyer's journey, I can’t help but think about the fact that he didn’t hesitate to make a full pivot, and it feels like he finally understood who he was when he let go of being a lawyer and focused on a career in food.

He turned down a safe salary and career to earn almost nothing, but found purpose and meaning in his work. Yes, it would have been scary on several fronts, but no doubt it was also extremely liberating. And when we think long-term, the short-term sacrifices don’t seem to be as intimidating.

So that’s the key - an understanding of what is truly important to us, coupled with our resilient minds. Because when we have a ‘North Star’, we know where we’re going. And with resilience, we have the unwavering faith that We. Will. Get. There.

So by that rationale, I would wager that resilience is the most important skill in our toolkit. It’s our ability to advance despite adversity, always moving forward to that goal that means something to us.

Anytime I discover stories like Danny and Shake Shack, I'm reminded that the difference between success and failure often comes down to having the ability to find a way forward. It matters in business, and it matters as individuals. It matters in our careers, and also our personal lives.

So let’s stay committed to our passions, believe in the end goal, and do the work to make sure we can weather any storm that tries to blow us off course.

Until next time friends, stay resilient!

Carre @ Resilient Minds

PS - if you liked this one, you may also like the story of Starbucks.