1. The Restaurant Business
Travel & Tourism
By: Allison Bentley

2. Objectives
Explain the difference between commercial and on-site food-service facilities.
Identify the various categories of the commercial food-service industry.
Describe types of restaurant businesses.
Identify and explain front-and back-of-the house operations.
Identify ways restaurants can increase profits.

3. Terms to Know Banquet Catering Specialized Dining Cafeterias Hospitals
A meal served to a group of people who all eat together at the same time and location
Catering
Special events
Involves feeding a large number of people on a variety of occasions and the guests eat at varying times
Specialized Dining
Restaurants that concentrate on a particular type of food or atmosphere
Cafeterias
Food service in which the food is displayed along a counter where the customer picks it up
Hospitals
Food service available to patients, employees and visitors
Business Cafeterias
Food service provided to employees
Corporate businesses
Concessions
Small, convenient locations where meals, snacks or beverages can be purchased by visitors
Theatre
Fair
Stadium
Concerts
Theme Parks

4. Types of Food Service Locations
Commercial
Full Service
Fine dining- Ruth’s Chris Steakhouse
Casual dining-fastest growing
Golden Corral
Limited Service Facilities-most profitable
Quick service facilities
Boston Market, McDonald’s, Starbuck’s
Specialty or Specialized Dining
Theme, ethnic, pizza, chicken, steak, seafood, hamburgers

5. Types of Food Service Locations
On-Site Facilities
Schools
Health Care Facilities
Business and Industry
Chick-Fil-A Corporate Cafeteria
Military
Airlines and Airports
Restaurants in airports and trade shows
Correctional Facilities
Convenience Stores

6. Types of Restaurant Businesses
Chain- a type of business that has more than one location and is under the same ownership
Outback
Olive Garden
Franchise-An agreement that is set up to allow a business to sell a companies products at their location
Subway
McDonalds
Independents-Not connected to other well known restaurants
Family Owned

7. Restaurants Within Properties
Private Clubs
Country Clubs
Theme Parks
Disney
Retail Establishments
Food courts
Lodging Establishments
Denney’s next to moderate priced motels

8. Restaurant Operations
General Manager
Person ultimately responsible for the operation
Front of the House
What services would this be?
Back of the House
Production and kitchen responsibilities
Like what?

10. Maintaining Inventory
Periodic Counts (daily and weekly)
Very important to control shrinkage
Liquor
Helps maintain balance between purchases and sales
LIFO/FIFO- inventory control method
What is Par?
The amount of a product a restaurant wants to keep on hand.
Missed Delivery
Spoilage

11. How do you increase your profits?
Controlling variable expenses
Payroll
Purchases
Utilities
Supplies
Breakage
Giveaways
Leftover food
Maintaining adequate inventory
Increase sales
Increasing unit sales
Suggestive selling – i.e. desserts (high markup)
Raising prices
Increase number of customers

12. Could you make a profit?