FOOD AND BEVERAGES SECTOR Flashcards
Communal Cooking: People cooked together in groups.
Early Inns: Offered basic food and drink.
Roman Era: Establishments served meat, bread, and wine.
Forerunner of Modern Restaurants: Developed in Rome.
Early History
Manors and Castles: Provided food for large groups.
Inns: Offered bread and wine to travelers.
Public Cook Shops: Opened in London in 1200.
Royal Families: Introduced cutlery, table linen, new foods, and taverns.
Middle Ages
British Inns and Taverns: Served one meal a day at a fixed time and price.
Ordinaries: Dining rooms where meals were served.
Fashionable Clubs and Gambling Places: Ordinaries became centers for social and
political activities.
Word “Restaurant”: Used in the late 18th century for a Paris dining room.
16th and 17th Centuries
Taverns and Inns: Similar to those in England.
Delmonico’s: Opened in New York in 1834.
20th Century: Hamburger, root beer stands, and fast-food establishments emerged.
Second World War: Brought changes to American public, including increased mobility and
suburbanization.
United States
Types of Restaurants
-Family or Commercial Restaurants
-Coffee Shops
-Cafeterias
-Gourmet Restaurants
-Ethnic Restaurants
-Fast-food Restaurants
-Deli Shops
-Buffet Restaurants
-Transportation Restaurants
Menu Selection and Pricing
* Wide menu of meat, potato, and other dishes.
* Price range appeals to average family income.
* Bright, inviting decor.
* Seating: Combination of counters, tables, booths.
* Location near residential areas and highways.
* Operating hours: early evening to midnight.
* Friendly, efficient staff.
* Medium to high initial investment.
Family or Commercial Restaurants
Fast-food Service Overview
* Quick service with limited menu.
* Simple, minimalist decor.
* Low prices.
* Location: Office buildings, shopping malls.
* High rent.
* Minimally trained staff.
* Peak periods: Lunch and coffee breaks.
* Operating hours: Early morning to early evening.
* Possible takeout service.
Coffee Shops
Self-Service Food Delivery Service
* Customers select food.
* Menu includes soups, entrees, desserts, and beverages.
* Location: Shopping centers and office buildings.
* Preparation area: Large space.
* Staff: Minimally trained.
* Alcohol beverages available.
* Fast service required for traffic volume.
* Operating hours depend on location.
Cafeterias
Investment-Driven Restaurant Business
* High-investment ambiance and decor.
* Target market: Discriminating diners.
* High-quality menu and wines.
* Highly trained staff.
* Primarily evening operating hours.
* Location is important but not critical.
* Success factors: Word-of-mouth advertising, repeat business.
Gourmet Restaurants
Restaurant Feature:
* Authentic cuisine from specific region or country.
* Ethnic motif decor.
* Staff training required.
* Prices range from budget to high.
* Alcohol beverages may or may not be served.
* High initial investment due to decor and staff training.
* Variable location and evening operating hours.
Ethnic Restaurants
Popularity and Business Model
* Increased popularity due to mobility.
* Common franchising model.
* Limited menu for low prices and efficient operation.
* Seven-day operation.
* No alcohol beverages.
* Staff well-trained for standards maintenance.
* Success factors: limited menu, efficient operations, disposable containers.
Fast-Food restaurants
Delicatessen Food Service Overview
* Offers cold cuts, cheese, sandwiches, salads.
* Limited seating, often takeout or counter service.
* Operates in shopping areas and office buildings.
* Operates from 9:00 AM to 5:00 PM.
* Low capital investment required.
Deli Shops
Buffet-style All-You-Can-Eat Buffet
* Offers alcohol with table service.
* Minimal staff for food preparation and service.
* Targets families seeking affordable dining.
* Operates from 5:00 PM to 11:00 PM.
Buffet Restaurants
Tour Group Catering Services
* Location: Along transportation routes, buildings, vehicles.
* Special facilities for quick service.
* Profitability: Depends on consistent market.
* Requirements: Cafeteria or buffet-type facilities.
Transportation restaurants
Franchising Services Overview
* Operational assistance: Guidance on daily operations.
* Training: Support for staff development.
* Layout and design assistance: Help with restaurant design.
* Location assistance: Advice on suitable locations.
* Managerial expertise: Guidance from experienced franchisors.
* Group purchasing power: Lower costs through bulk buying.
* Brand recognition: Benefit from a well-known, supported brand.
Benefits of Franchising
Franchise Rights Overview
* Individual franchise: Selling rights for a single restaurant.
* Regional franchise: Granting rights to develop multiple outlets in specific area.
Franchise Models
Types of Franchised Restaurants
- Fast-food chains: McDonald’s, KFC, Pizza Hut, A&W Root Beer, Burger King.
- Dine-in restaurants: Wendy’s, Pizza Inn.
- Carry-out establishments: Orange Julius.
- Table-service restaurants: Denny’s Steak and Ale, Victoria Station.
- Buffet-style restaurants: Bonanza.
- Global expansion: Many franchised restaurants.
is the difference between the selling price of a
menu item and its food cost. It represents the amount of
revenue remaining after accounting for the direct costs
associated with producing the item.
Gross profit
is the level of sales at which a business neither
makes a profit nor a loss. It occurs when total revenue equals total
costs.
Breakeven point
are essential planning documents for restaurants. They outline the offerings, pricing, and overall theme of the
establishment.
Menus
are a significant expense for restaurants. Effective management of labor costs is
essential for maintaining profitability.
Labor costs
is a key metric for measuring a restaurant’s profitability. It
indicates the proportion of sales revenue that is spent on food.
Food cost percentage
is a financial metric that indicates the average
amount spent by each customer during a specific period. It is
calculated by dividing the total revenue by the number of guests
served.
Average guest check
is a specialized field within the food service industry, with
unique challenges and requirements. Airlines spend significant amounts on
food, recognizing its importance in the overall passenger experience.
Airline catering
