Not to steer the subject back, but ...
I would much rather have a locally-owned independent place start up than yet another Perkins or something.
It also saddens me when long-standing very successful places close, the various Caniglia joints being cited above. They closed not because their concept was poor, but because they didn;t have the next generation which was willing to carry on. I really don't blame them, running a restaurant would be about the last thing I would choose to do.
However, it seems like many of the newer openings are simply "ok" at best. This means, as mentioned above, not only the food but the total experience. Of course if the food is not prepared to the guests satisfaction, they will not return. If the seating and service are slow, they will not return. If the place is too noisy to chat, they will not return - hey, it's a breakfast joint, not a nightclub!
Not only will the disappointed guests not return, they will be sure to tell friends, neighbors, co-workers, etc., give poor Yelp and whatever reviews, post reviews in on-line fora, and others will choose to "pass" on the place as well. If the word gets out about high prices and/or small portions, it can kill a lot of potential business.