Well...it all depends.
I lean towards pre-shredded. Unless a BIG part of your business is cole slaw.
I have a deli (client) in which the primary draw is potato salad and cole slaw. People will travel from quite a distance to buy it. It is an item on the menu board that is a seperate selling entity (in and of itself) that brings customers to the place, and attracts the sale of other items.
If you are in business and this is a draw, I would consider investing the proper amount of money, for making very large quantities (on a daily basis), with a very fast & easy procedure, for in-house prep.
If it is a side item (appears on a plate with an entree) I may not designate the space, labor time, or make it in very large batches. Space IS a consideration, even for the smaller sized gadgets. There is only so much working & prep space, in a kitchen. More machines, and gadgets (small & large) take up space. Space is a premium, and there are several priority factors, to use (in a formula) to designate any precious space. It has to save a bunch of time and/or money, to get a spot. Or, you may have a VERY cluttered kitchen. If it serves more than one function, it is more of a consideration.
If it is for personal use, and not made on a daily basis, I would most definately use pre-shredded. The recipe for KFC (Todd Wilbur version) works great, and it is delicious. It is that much better with the right size and texture, of the cabbage. Long strands do not work, as well. I use a smaller amount of Hellman's extra heavy mayonnaise, so it binds better (stronger emulsion), stays creamier, and does not get soupy, and wilted, quickly. It is not sold in the Supermarket (as far as I know). I have seen it (years ago) available at either BJ's or Costco.
<message edited by CCinNJ on Sun, 02/8/09 1:56 PM>