CHAPTER 3: THE RESTAURANT BUSINESS

1. CHAPTER 3: THE RESTAURANT BUSINESS Mr. Lamberti

2. I. INTRODUCTION TO FOOD SERVICE • FOOD SERVICE PROVIDES BASIC NEED AND SOCIAL ATMOSPHERE • SALES GENERATED FROM FOOD SERVICE WAS AROUND $440 BILLION $$$$ • TO BE SUCCESSFUL ALL FOOD SERVICE MUST CONSIDER: MARKET, LOCATION, ATMOSPHERE, CONCEPT AND MENU

3. TWO GENERAL CATEGORIES OF FOOD AND BEVERAGE OPERATIONS: COMMERCIAL SITE ON-SITE FACILITY

4. II. COMMERCIAL SITES • FIRST TYPE OF FOOD SERVICE • THESE FOOD SERVICE INDUSTRIES ARE FOR PROFIT. • ONLY MARKETPLACE NEEDS AND CONSUMER PREFERENCES LIMIT THE VARIETY

5. FULL-SERVICE RESTAURANT A. FULL-SERVICE RESTAURANT THESE ARE DESTINATIONS WHERE • CUSTOMER SITS • GIVES ORDER / SERVED FOOD • ITEMS ARE COOKED TO ORDER- 3 TYPES

6. FINE DINING DISTINGUISHED BY • PRICE • SERVICE • AMBIANCE • LOCATION • MENU OPTIONS (FINE WINES)

7. CASUAL DINING FASTEST GROWING - CATERS TO • FAMILIES • BABY BOOMERS • MIDDLE CLASS RELAXED AND REASONABLE PRICING

8. B. LIMITED SERVICE FACILITY MOST PROFITABLE CATEGORY (QSR) SPEEDY SERVICE AND LOW PRICE SOME QUESTION LATELY ON HEALTH

9. Quick Serve Restaurants • Pizza Hut • Little Caesar’s • Jet’s Pizza • Hungry Howies • Domino’s • Sonic • Dunkin Donuts • Tim Hortons • Carls Jr • Arby’s • Dairy Queen • Papa John’s • Popeye’s • Jimmy John’s • Quizno’s • Culver’s • Del Taco • Big Apple Bagel • Einstein’s Bagels • White Castle • 5 Guys • Qdoba • Boston Market • Baskin Robbins • McDonalds • Subway • Starbucks • Burger King • Wendys • KFC • Taco Bell • Chipolte

10. SPECIALITY RESTAURANTS OFFER SOMETHING FOR EVERY TASTE. SOME OF THE SPECIALITY RESTAURANTS MAY INCLUDE:

11. Segments of Food • PIZZA/PASTA SNACK • CHICKEN ASIAN • STEAK MEXICAN • SEAFOOD • BURGERS • SANDWICH

12. III. TYPES OF RESTAURANT BUSINESSES • MANY STRATEGISTS BELIEVE THAT AN INDEPENDENT BUSINESS IS NOT ABLE TO COMPETE WITH A CORPORATE CHAIN OR A FRANCHISE, HOWEVER EACH TYPE OF HAS STRENGTHS THAT ARE DIFFICULT TO DUPLICATE

13. CHAINS PROMISE CUSTOMERS CONSISTENCY OF PRODUCT AND EXPERIENCE. (OUTBACK, OLIVE GARDEN) RELY ON STRENGTH OF BRAND AND ARE LESS RISKY.

14. FRANCHISES FRANCHISING IS THE SYSTEM OF EXPANDING OR OPERATING A BUSINESS UNDER A RECOGNIZED BRAND. FRANCHISEES CONSIDER THEMSELVES INDEPENDENT BUSINESS PERSONS WHO REPORT TO FRANCHISOR. (MCDONALDS)

15. INDEPENDENTS MOST SUCCESSFUL INDIES HAVE WELL KNOWN COMMUNITY MEMBERS RUNNING THEM. THE PERSONAL SERVICE IS DIFFICULT TO MATCH.

16. IV. RESTAURANTS WITHIN OTHER PROPERTIES • FREE STANDING FACILITIES AS WELL AS OTHER TYPES OF PROPERTIES HOUSE COMMERCIAL REST.

17. EXAMPLES • PRIVATE CLUBS-GOLF OR TENNIS RESORT • SPORTS OR THEME PARKS • RETAIL ESTABLISHMENTS- MALL • LODGING- GREAT WOLF LODGE

18. V. ON-SITE FACILITIES • 2ND TYPE OF FOOD SERVICE CATEGORY • PROVIDE MEAL OPTIONS FOR CUSTOMERS DIRECTLY INVOLVED W/ PROPERTY • FOOD IS NOT PRIMARY SERVICE • EXAMPLES:

19. ON-SITE FOOD SERVICE • PRIMARY/SECONDARY SCHOOLS • COLLEGES AND UNIVERSITIES • HEALTH CARE FACILITIES • BUSINESS AND INDUSTRY • MILITARY • CORRECTIONAL FACILITIES • AIRLINES/AIRPORTS

20. VI. RESAURANTOPERATIONS • THE SUCCESS OF A RESTAURANT IS DEPENDENT ON THE QUALITY OF ITS OPERATIONS. • A REST. IS DIVIDED INTO TWO AREAS: FRONT OF HOUSE AND BACK OF HOUSE • THE GENERAL MANAGER IS RESP. FOR BOTH OPERATIONS (SEE 3.2 PG. 60)

21. VII. FRONT OF HOUSE • INCLUDES THE FOLLOWING FUNCTIONS: INTIAL IMPRESSION GREETING TAKING AND TRANSMITTING ORDERS SERVING FOOD PRESENTING BILL

22. POSITIONS ASSISTANT MANAGER OPENING MANAGER CLOSING MANAGER CASHIER HOST/HOSTESS SERVER/BARTENDER BUSSER

23. VIII. BACK OF HOUSE • FUNCTIONS INCLUDE: PLAN MENU PREPARE FOOD DETERMINE PRODUCT SPECS OBTAIN BIDS/QUOTES SELECT AND CONTACT VENDORS PLACE ORDERS/CONTRACTS

24. POSITIONS EXECUTIVE CHEF- REPORTS TO GM SOUS CHEF- PREPARES SAUCES PREP COOK- PREPARING WORK AREA GARDE MANAGER- MAKES GARNISHES PASTRY CHEF- ESSERTS BAKER- BREAD, CAKE, PIE STEWARD- PLACE SETTINGS EXPEDITER- LINK FROM FRONT TO BACK