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Chapter Two: Kinds and Characteristics of Restaurants and Their Owners
• Various Kinds and Characteristics of Restaurants
• Chain vs.. Independent Restaurant Operations
• Lives and Contributions of Prominent Past and Present Restaurateurs
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TYPES OF RESTAURANTS
Quick-ServiceSteak HouseFine-Dining
Ethnic Theme
Chef-OwnerBakery-Cafe
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QUICK-SERVICE
• First fast food restaurant in 1870s
• Quick food production time is key
• Goal is to serve maximum number of customers in minimum amount of time
McDonald’s and Burger King
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QUICK-SERVICE CONT’D
• Computers are used to anticipate sales volume
• Precooked or partially cooked foods are ordered and then finished off to decrease production time
• Time, temperature, and meat thickness are used to determine doneness
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STEAK HOUSES
• Limited menu caters to a well-identified market
• Service ranges from walk-up to high end
• High food costs (as high as 50%) and low labor costs (as low as 12%)
• Majority of customers are men
Lone Star and Outback Steakhouse
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STEAK HOUSES CONT’D
High-end operations:• may have sales of $5m or
more per year• greater investment in
building, fixtures and equipment
• serve well-aged beef• high percentage of wine and
hard liquor sales
Low-end operations:• sales of $500,000 per year• beer and moderately priced
wine
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TYPES OF STEAK• Steaks vary from a few ounces to well over 1lb• Tenderloin is most tender, runs along backbone
(most popular)• T-bone is cut from small end of loin• Porterhouse contains T-bone and piece of tenderloin• Wet aged: meat that’s wrapped in cryovac, sealed,
and refrigerated for several days• Dry aged: controlled temperature, humidity, and air
flow
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FINE DINING
• Found in wealthy areas • Cuisine and service is
expensive and leisurely• Usually proprietor- or partner-
owned• Restaurants are small, usually
less than 100 seats• Very low table turnover (can
be <1)• Customers dine on special
occasions and to impress business relations
Daniel and Charlie Trotter’s
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ECONOMICS OF FINE DINING
• Expensive, average check runs $60 or more• High rent• Large PR budgets• High labor costs due to the necessity of highly
experience employees• Much of profits come from wine• Tables, linen, dishes, décor very costly
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FINE DINING MENUS• Expensive, imported items
– Foie Gras– Caviar– Truffles
• Presentation very important• Focus on visual, auditory,
and psychological experience
• Extensive, expensive wine list
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THEME
• Built around an idea emphasizing fun and fantasy
• Glamorize sports, travel, eras in time
• Celebrities are central to many theme restaurants (some are owners)
Planet Hollywood and Hard Rock Cafe
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THEME LIFE CYCLE
• Short life cycle compared to other types popular of restaurants
• Do well outside major tourist attractions
• Locals tire of the hype when food is often poor
• Most of the profits come from merchandise, not food sales
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THEME COSTS• Require large investments
and budgets• Often fail because too much
is spent on image and not enough on food and service
• High capital and operational costs
• Extreme décor can be very pricey
• Often require excessive labor– Curators, consultants, animal
handlers, etc.
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THEME CATEGORIES
• Hollywood and the movies
• Sports and sporting events
• Time- the good old days
• Travel- trains, planes, and steamships
• Ecology and the world around us
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ETHNIC
• Many types– Mexican, Italian, Moroccan, Chinese,
Thai, etc, or combinations several
• Often owned or operated by persons of ethnic background
• Feature dishes native to the country
• Can be argued that every ethnic restaurant is also a theme restaurant, with the national culture as the theme
Olive Garden and Panda Express
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• Part of American tradition of family restaurants– Husband is operator/chef – Wife is hostess– Children serve, bus, etc.
• Publicity is key in gaining attention
• Wolfgang Puck best known– Owns Spago in Beverly
Hills, with his wife as partner
CHEF-OWNERSpago and Emeril’s
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• Having an experienced, highly motivated person in charge
• Name often already known and synonymous with great food
• Can be very profitable
ADVANTAGES TO CHEF OWNERSHIP
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DISADVANTAGES TO CHEF OWNERSHIP
• Chefs often less knowledgeable about “the numbers”
• Can often make more money working as a chef in a name restaurant
• Possibility of marital or partner dispute
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BAKERY-CAFE
• Different than a bakery in that they serve soups, salads, and sandwiches
• Mainly quick-service establishments
• Many bake off goods that are prepared elsewhere or do final proofing after receiving goods
• Use central commissary systems
• Variety of setting, products, and ambiance
Panera Bread Company and La Madeleine
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The End