The hospitality industry - Food and drink services

12 important questions on The hospitality industry - Food and drink services

In what 3 categories  can restaurants be arranged?

1. Quick service
2. Midscale
3. Upscale

What is the business model for independent restaurants?

Sell meals for roughly three times the food cost, to cover fixed overheads such as rent, wages, and to generate profit.

On what 3 things can a restaurant focus on?

1. Volume
2. Producing simple meals
3. Exclusivity with a more expensive range on offer.
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With what can a restaurant compete with other restaurants?

1. Location
2. Quality
3. Concept
4. Price.

What innovations have determined the growth of fast food chains? (4)

1. The introduction of standardisation and automation. Deskilled labour. Unskilled workers prepare and serve meals in fast food restaurants, leading to substantial reduction of wages.
2. Focus on children. 20th century with children deciding certain family purchases.
3. Standardised architecture. Fast food restaurants are distend to enhance their visibility and recognisability from nearby roads (billboards).
4. An aggressive franchise policy. McDonald's set the trend and 'turned franchising into a business model. 

What helps to explain the standardisation required to enable consistency across a chain?

1. Food engineering
2. Artificial and natural flavourings
3. The practise of making products available to the mass market
4. Concentrating supply in the argo food industry

What does monitoring multi-unit operations mean?

It means they can efficiently fine-tune menu offerings to customer demand.

What are 2 reasons to go to a fine dining chain?

1. Gastronomy and service
2. Following the trend in branded restaurants

What is slow food?

A movement which emphasises locally and sustainably food produced and served by independent businesses.

What does a catering company?

A catering company prepares food that will be served somewhere else. A restaurant can offer catering services.

Why are 'Function' or 'Event Catering' attractive business for restaurants or dedicated companies?

1. Meals are sold in advance
2. Margins are higher than in regular operations due to larger volumes and lower fixed costs.

What are Managed food services?

These are catering companies specialising in large-scale food production, in part because of the trend towards outsourcing of non-core activities in many organisations (hospitals, schools).

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