Introduction to Hospitality, Fourth Edition John Walker ©2006 Pearson Education, Inc. Pearson Prentice Hall Upper Saddle River, NJ 07458 Chapter 7 The Restaurant Business
Mar 30, 2015
Introduction to Hospitality, Fourth EditionJohn Walker
©2006 Pearson Education, Inc.Pearson Prentice HallUpper Saddle River, NJ 07458
Chapter 7The Restaurant Business
Introduction to Hospitality, Fourth EditionJohn Walker
©2006 Pearson Education, Inc.Pearson Prentice HallUpper Saddle River, NJ 07458
After Reading and Studying This Chapter, You Should Be Able to:
Describe the different characteristics of chain and independent restaurants
Identify some of the top chain and independent restaurants
List the classifications of restaurants Differentiate the characteristics of chain
and independent restaurants
Introduction to Hospitality, Fourth EditionJohn Walker
©2006 Pearson Education, Inc.Pearson Prentice HallUpper Saddle River, NJ 07458
Restaurants Vital part of everyday life Patronized several times a week for
social purposes as well as to eat and drink
Offer society a place to relax and “restore”
Offer an opportunity to enjoy the company of friends, family, colleagues and associates
Introduction to Hospitality, Fourth EditionJohn Walker
©2006 Pearson Education, Inc.Pearson Prentice HallUpper Saddle River, NJ 07458
More About Restaurants
50% of the food dollar is spent away from home
Multi-billion dollar business Employs 11.7 million people
Introduction to Hospitality, Fourth EditionJohn Walker
©2006 Pearson Education, Inc.Pearson Prentice HallUpper Saddle River, NJ 07458
French Cuisine and Its Foundation
The French are credited with culinary art, largely due to two main events
French Revolution Thomas Jefferson
French cuisine and its foundations Mother sauces Nouvelle cuisine (lighter cuisine)
American Adaptation Infusion
Blending of flavors and techniques of two cuisines
Introduction to Hospitality, Fourth EditionJohn Walker
©2006 Pearson Education, Inc.Pearson Prentice HallUpper Saddle River, NJ 07458
Culinary Greats Auguste Escoffier
Patron Saint of Cooking Julia Child Emeril “BAM” Lagasse Bobby Flay Charlie Trotter
Considered America’s finest Alice Waters Paul Prudhomme
Introduction to Hospitality, Fourth EditionJohn Walker
©2006 Pearson Education, Inc.Pearson Prentice HallUpper Saddle River, NJ 07458
Chefs of Today Need to Possess:
Cooking skills Employability
traits People skills
Introduction to Hospitality, Fourth EditionJohn Walker
©2006 Pearson Education, Inc.Pearson Prentice HallUpper Saddle River, NJ 07458
Figure 7-1Approximate Market Share of Restaurant Segments
Introduction to Hospitality, Fourth EditionJohn Walker
©2006 Pearson Education, Inc.Pearson Prentice HallUpper Saddle River, NJ 07458
Full-Service Luxury Restaurants
National Restaurant Association Good selection of menu items made on premises Haute cuisine Fine Dining Hall of Fame
Le Bec Fin Spago
There are few national chains Morton’s Ruth Chris’s Roy Flemings
Introduction to Hospitality, Fourth EditionJohn Walker
©2006 Pearson Education, Inc.Pearson Prentice HallUpper Saddle River, NJ 07458
Reasons for the Small Number of Luxury Restaurants
Labor intensive and require a higher level of skilled labor
Small percentage can afford high prices Overhead costs may not be reasonable Economies of scale are not as easily reaped Consistency and quality are not easy to
maintain Limited market appeal
Introduction to Hospitality, Fourth EditionJohn Walker
©2006 Pearson Education, Inc.Pearson Prentice HallUpper Saddle River, NJ 07458
Other Restaurant Classifications
Theme restaurants Celebrity-owned
Owned by celebrities such as Michael Jordan, Dan Marino, Steven Segal, Gloria Estefan, Junior Seau, Denzel Washington
Seau’s San Diego All Star Café House of Blues
Introduction to Hospitality, Fourth EditionJohn Walker
©2006 Pearson Education, Inc.Pearson Prentice HallUpper Saddle River, NJ 07458
Casual Dining and Dinner House Restaurants
Mid-scale casual restaurants Family restaurants Ethnic restaurants Specialty restaurants
Introduction to Hospitality, Fourth EditionJohn Walker
©2006 Pearson Education, Inc.Pearson Prentice HallUpper Saddle River, NJ 07458
Specialty Restaurants Quick Service
Theme related $111 billion annual sales Better known as fast food Limited menus Guest helps defray labor costs
Introduction to Hospitality, Fourth EditionJohn Walker
©2006 Pearson Education, Inc.Pearson Prentice HallUpper Saddle River, NJ 07458
Quick ServiceHamburger
McDonald’s and Ray Kroc Added breakfast Expanding overseas Co-develop sites with gasoline companies $33 billion worldwide sales Drive thru
Introduction to Hospitality, Fourth EditionJohn Walker
©2006 Pearson Education, Inc.Pearson Prentice HallUpper Saddle River, NJ 07458
Quick Service Pizza Local and regional chains all with
delivery service $20 billion market Four major chains
Pizza Hut Domino’s Papa Johns Little Caesars
Introduction to Hospitality, Fourth EditionJohn Walker
©2006 Pearson Education, Inc.Pearson Prentice HallUpper Saddle River, NJ 07458
Quick Service Chicken
KFC is market leader Home delivery “3 in 1” restaurants
Other chains Church’s Chicken Popeye’s
Introduction to Hospitality, Fourth EditionJohn Walker
©2006 Pearson Education, Inc.Pearson Prentice HallUpper Saddle River, NJ 07458
Other Types of Restaurants Steakhouses
New growth area Outback Steakhouse
Seafood restaurants Pancake restaurants Sandwich restaurants Family restaurants
Introduction to Hospitality, Fourth EditionJohn Walker
©2006 Pearson Education, Inc.Pearson Prentice HallUpper Saddle River, NJ 07458
Ethnic Restaurants Independently owned and operated Mexican restaurants are largest growth
segment Different types are developing
Thai Indian
Introduction to Hospitality, Fourth EditionJohn Walker
©2006 Pearson Education, Inc.Pearson Prentice HallUpper Saddle River, NJ 07458
Trends Demographics Branding Alternative outlets Globalization Continued diversification More twin and multiple locations More points of service More hyper-theme restaurants Chains vs. Independents