Business of Restaurant Essay Example | Topics and Well Written Essays - 2000 words

Business of Restaurant - Essay Example traditional structures and balances in the world business environment. Understanding of economic changes and forces in the domestic economy is also of vital importance as such forces have the most immediate impact. Other domestic economic variables are the level of unemployment, the rate of inflation and the level of domestic interest rates, which affect the potential return from new investments and can inhibit the adoption and diffusion of new technologies. Indirect factors like competitive firms can also pose a threat to the restaurants so their activities should be closely monitored. It is therefore vital that firms continually monitor the economic environment at both domestic levels. Economic changes pose a set of opportunities and threats, and by understanding and carefully monitoring the economic environment, firms should be in a position to guard against potential threats and to capitalize on opportunities. Restaurants are unique places where the service has to be there where the customer is located .It is seldom that people visit a restaurant to enjoy the delicacies. The location has an important role to play in the establishment of restaurant. The prime areas where the density is more has the probability to entice customers as your restaurant will be placed in the choice of the customers. The visibility of your restaurant will be more in densely visited areas like the public offices, main junctions, and places near tourist attractions where the human hits are more. The market research has to done to know the viability of the business in that area. The profitability of your business in that area should be ascertained. The number of probable customers should... Restaurants are the places where personalized food and beverage services are rendered. Type of service differs according to different factors. The restaurants are in a continuous state of improvement as it strives to become more effective and competitive. The sector is affected by many other factors by shifts in the economy. The ever changing demographics as globalization shows its mark demands differentiation in the business. Predictions show that the economy will improve and as a result, the hospitality sector must be geared up to meet the current demands. However, the business exists within an external environment consisting of the actions of other players who are outside the business. The external environment consists of: competitors, the economic and political system, the social system, the monetary system, the political/legal system, the environmental system. Restaurants are unique places where the service has to be there where the customer is located. The eating habits have be en changing as the demographics .The employees and youth were inclined more towards fast food culture, to have a quick bite and resume their daily activities. The number working employees have had increased which has opened up a new market. Consumer research through surveys and focus groups can help assess dining demand specific to a particular sector. Consumer segments include residents, daytime population, and tourists and visitors.