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Chapter 2

REVIEW OF RELATED LITERATURE

INTRODUCTION:

A Literature Review is the perspectives of organizational, marketing and strategic

management theories provide a reliable theoretical groundwork to understand the

important managerial aspects of menu. For instance, organization theory explicitly

emphasizes the influence of external environment both on the decisions of firm

managers and the survival of firms on the long run. More specifically, external

environment is one of the central themes of organization theory and the relevant

studies) Primarily propose that managers essentially consider the influential external

factors that create uncertainty, diversity and volatility while making their decisions.

Planning and operating menus in a restaurant context involve considering external

factors such as customers, rivals, and vendors that have a great potential in creating

uncertainty, diversity and volatility in the restaurants' immediate business

environment. Complementing this view, marketing theory recognizes the importance

of identifying the needs and expectations of customers, and developing and improving

products and service perfectly fit to those needs and expectations. Additionally,

pricing, promoting and distributing the products and services should also be consistent

with the customers' needs and expectations on the one hand, and with the firm's

objectives on the other hand. Thus, in the restaurant context, it is imperative that menu

as the food and beverage combinations offered by a restaurant reflects the

expectations and needs of customers. Moreover, managing menus involves planning,

pricing, designing, distributing and promotional decisions which are also the main

issues of marketing. (Caliskan, 2014)


Eatery Carinderia is a popular small food business in the Philippines which has its

capability to grow bigger and even bigger in the food industry. Most of it is a home-

based, a small space is needed to accommodate your kitchen equipment and one two

small tables for your customers could complete a carinderia business. Finding a good

location for your food kiosk is extremely important. A place very near or easily

accessible to your target customers would be ideal. Decide how many meals you will

serve for the day and prepare a menu plan for at least a week. Some carinderia owners

stick to a fixed menu plan particularly if they already established best-selling dishes.

(Bartleby, 2018) A local eatery locally known as karinderya or turo-turo is a commonly

observed type of business in the Philippines. Whether you’re near the market, schools,

bus terminal, or office buildings, a karinderya is not difficult to find. And it’s not too

difficult to start the business either. With accessible sources of ingredients, a complete

set of utensils, and available space, you can even begin your eatery business right at

your home. (Pinoy Negosyo, 2021)

Eatery is a food stop commonly seen by the road side of a frequented place, came

from the word kari, the Tagalog word for curry. Before the term was coined in the

1920s, it was said to be called as karihan, where native Filipino dish kare-kare is being

served. Karehan originated back in the time where Indians, or sepoys, who married

Filipinas and resided in Taytay and Cainta, sold curry dishes by the street.This is why

it isn’t a surprise that, before various popular eating hubs carved their names in the

food industry; they came from their carinderia roots, which they uphold up until today.

After all, what inspired many of these are that they ate and grew up with right in the

comforts of their home. (Business Mirror, 2018)

1. Procedures in Starting Eatery Business (1st Concept)


If you’ve wanted to start a restaurant for years, it might be time to sit down and draw

up a plan to open your own business. To help you create a recipe for success, we’ve

put together a how-to-get-started guide to make sure you have all the ingredients you

need to open your restaurant with confidence. While starting a restaurant is exciting,

it’s also time-consuming and one of the toughest businesses to successfully launch.

In fact, 60 percent of restaurants fail in the first year. We’re not telling you this to temper

your passion. We’re merely pointing out that if you want a successful restaurant, you’ll

need to invest some serious time and money.

1.1 Gauge how much investment you need

Your investment should be able to cover the lot, store renovations, equipment,

inventory, and expenses. Assess the lot size you have and identify how much space

is available for the kitchen and dining area. Most of the usual equipment that is used

are a wok fryer, 2 burner stove top, Bain Marie (display tray for the food), rice cooker,

and a refrigerator. Unlike restaurants, you do not have to follow a strict guideline on

food safety, but it is still advised to maintain quality in the meals you serve. You may

buy your equipment second hand, but be aware of the risks of maintaining and

acquiring obscure spare parts. (Pinoy Negosyo,2021)

1.2 Register your business

No one wants go where there’s no guarantee to safely eat your dishes. Aside from

reputation, legalizing your business may make you eligible for tax incentives or

exemptions as well as acquiring better terms with your creditors and suppliers. For

sole proprietorships and partnerships, you can register with the Department of Trade

and Industry (DTI). For corporations, you must register with the Securities and

Exchange Commission (SEC). (Pinoy Negosyo, 2021)


1.3 Prepare your menu

Carinderias often follow a set list of food to be prepared for the week. A schedule

can help you organize your ingredients better for their allocation for a specific day and

avoid wastage. The main attention-grabber for this business is the variety of dishes

you can serve which can cater to many different customers of varying taste.Popular

breakfast options are the “silog” dishes and champorado. For lunch, you can choose

to cook afritada, adobo, sinigang, longanisa. The most common merienda served is

goto and arroz caldo. Dinner can be just a similar set-up as lunch. Important to thing

to remember, is to taste your food as this will be what customers will be coming for

and if they taste something that shouldn’t be there, be prepare for a barrage of

complaints. Customers deserve quality food to be served, so the least you can do is

taste your own dishes to gauge their tastefulness. (Pinoy Negosyo, 2021)

1.4 Find a good location

As your business showcases a variety of dishes at a low price, it is generally a

good idea to set up where is high foot traffic. Your usual customers will be office

workers, blue-collar workers, students, and adjacent neighbours. You can annex your

carinderia beside your house if you are able to, as this will save you from rent, capital,

and monthly expenses. (Pinoy Negosyo, 2021)

1.5 Keep the place clean

A common issue that is rampant among these types of businesses are rodent

and insect infestation, so much that they may contaminate the food or be accidentally

cooked with the dish. You must guarantee that your food is safe to eat as your

customers will be wary for these types of establishments. Things like sanitizing your

utensils in hot water with anti-bacterial solutions, disposing your garbage immediately,
proper segregation of equipment to avoid contamination, sweeping the floor often, and

keeping out stray animals are just one of the few things you can do to avoid a health

code violation. (Pinoy Negosyo, 2021)

2. Effective Ways to have Successful Eatery Business (2 nd Concept)

We’re not telling you this to temper your passion. We’re merely pointing out that if

you want a successful restaurant, you’ll need to invest some serious time and money.

What’s the biggest reason for failure? Lack of planning. Before you ever make dinner

for a customer, you’ll spend a lot of time figuring out every detail of your restaurant.

From kitchen appliances and menus to floors plans and staff selections, the planning

stage will make or break your restaurant. (Jamal, 2015)

2.1 Have a solid business plan in place

You can’t scratch a business plan out on a cocktail napkin. You need a detailed

business plan that charts the course for your success. That said, we suggest beginning

with a Lean Plan that keeps the business planning process simple. Think of your

business plan as a living document that you return to regularly to help you plan for

growth and measure your progress. Your business plan should include market

research, a comprehensive look at your competitors, information on your target

audience, an outline of your marketing plan, and a solid financial and budgeting

projection. To get you started, check out these templates specifically for restaurant

planning, or check out LivePlan business planning software, that will walk you through

the process. As you think about what you want your restaurant to look like, don’t forget

to keep an eye on industry trends. As with any start-up, timing is key. (Furgison, 2018)

2.2 Test your menu


Approach building your menu like an experiment. Consider having a dinner party

featuring your proposed menu where you ask people for their honest feedback. But

don’t just invite your closest friends and family members. You might love the taste of

a certain dish, but if customers won’t pay for it or aren’t keen on its taste, you won’t

make money. When you ask for feedback, consider using a method that allows

anonymous comments so that you get people’s honest reactions. Do your market

research. Visit another eatery to get a sense of appropriate pricing. (Furgison, 2018)

2.3 Secure funding and manage your cash flow

Generate startup capital: As with every business, make sure you know how much

money you need to get your restaurant off the ground.You’ll need three pools of

money. The first pool is for one-time costs like equipment (check out this calculator to

help you figure out startup costs). The second pool is to cover the restaurant expenses

for at least six months, and the third pool is to cover your personal bills for at least six

months. You’ll want to have at least six months of cushion because you’ll probably find

that your expenses outpace your revenue for at least that long. Plan to lose money for

the first six months: Restaurants aren’t profitable overnight. It takes time to market

your new place, attract a crowd, and get people to come back for more. Some say you

shouldn’t plan on making money for at least the first six months. Plan for bumps in the

road: It’s easy to go over budget when you’re first starting out, so make sure that you

have some additional money to cover the unexpected. If you’re not sure about how to

do this, consider a business line of credit. When you do hit a bump, evaluate the

numbers and your processes, Lambrine Macejewski says. For example, when she first

opened her restaurant, she realized her food costs were too high. She called her

vendors and switched from a five-day delivery schedule to a two-day schedule. She

saved the money she needed by investigating the problem and looking for a solution.
Watch your food cost: You’re in the business of making food, but if your food costs are

out of line, you’ll end up losing money. Make sure you keep track of your inventory,

prepare food well, avoid waste, and keep prices competitive. (Furgison, 2018)

2.4 Keep Marketing

You can’t depend on repeat customers, so you’ll need to keep your marketing efforts

up to make sure your revenue stream doesn’t thin out. Establish a strong social media

presence, try an ad in your local paper, participate in the local fair, or host a small non-

profit get together at your restaurant to keep marketing your business. (Furgison,2018)

2.5 Have the right intentions

To be successful, you’ll invest a lot of time and money so make sure that starting a

restaurant is your passion, not just a business venture you hope will make money. “It’s

harder than you can imagine,” says Omer Orien, “but people do it all the time. It’s not

at all dreamy.” In these early days, it’s also a good idea to figure out what you want

your restaurant to look like. What will be your restaurant’s aesthetic? What furniture

will you need to purchase to fit the theme? How will you lay your restaurant out? Trent

Furniture, a British furniture company, has a great article on the topic to help you get

started. “A lot of it has to do with figuring out what kind of environment you want to

work in, what will make you feel the way you want to feel. It also doesn’t hurt to have

people in your life who have an eye for design.” Orien sat down with his co-founders

and built a 3-D model to plan the layout of their first location. And ultimately, they did

most of the work to build out the space themselves. Furgison,2018)


3. How the restaurant industry adapted during COVID-19 restrictions (3 rd

Concept)

The purpose of this systematic review is to highlight some of the business model

changes restaurants, bars and beverage producers undertook to modify their

operations in order to not only stay in business but also to better serve their employees

and communities during the COVID-19 crisis. (Norris, 2021)

3.1 Expansion of take-out operations

As restrictions to quell the spread of COVID-19 began being implemented,

specifically closing restaurants for dine in operations, restaurant owners and

corporations across the country varied in response. For some restaurants, the decision

was much easier than for others, fast-food, fast-casual, and casual dining restaurants

were already acquainted with to-go/carry-out operations and the pivot happened

seamlessly (Luna, 2020). For others such as fine dining, where delivery or carry-out

were never a part of their business model, the task seemed insurmountable. While

others opted to close completely, amongst them Union Square Hospitality Group,

Craftworks Holdings (Luna, 2020) And many other smaller chains (Adams, 2020),

citing reasons such as to protect their employees and to take social distancing as far

as possible to stop the spread of the virus (Selvam, 2020).

Many restaurants that opted to make the pivot to delivery/carry-out only models

eventually ended up closing temporarily, the most often cited reason was for the safety

of their employees and customers alike (He, 2020). First Watch CEO, Chris Tomasso

noted that the primary motivation for closing their restaurants was employee safety
and easing the burden on those that chose to continue working (Ruggles, 2020). Yet,

others expressed they were outmatched as Johnny Nunn of Verdigris says “I'm a cook.

I'm not qualified to make decisions about people's wellbeing in the face of a crisis”

(Feldmar, 2020).

Of those that successfully maneuverer their operations to carry-out/delivery only

operations, a variety of reasons were provided, most often citing the desire to keep

employees working and to support their suppliers, especially the farmers whose

products would otherwise go to waste (Krupnick, 2020)(Thorn, 2020). Of the articles

collected, 82 dealt with the shift in operations towards carry-out and delivery

expansion, from these articles several themes presented themselves including:

adjusted operating schedule and employee roles, re-imagined dining rooms,

new/limited menus, online ordering and third-party delivery, collaboration and lastly

communication with customers and employees. (Feldmar, 2020)

3.2 Online ordering and third-party delivery

In an effort to maintain social distancing and limit contact points, many restaurants

launched online order platforms for their websites, expanded their third-party delivery

partnerships and/or created drive-thru lanes. AlixPartners launched a survey to

determine preferred method of food ordering during the pandemic finding that 43% of

consumers said drive-thru is the preferred method followed by takeout and curb side

pickup at 33%, third-party delivery was the least popular, consumers said they would

rather order directly from a restaurant (Luna, 2020).


The past year has expanded third-party delivery to include Door Dash, Grub hub

and Uber Eats and says that “delivery and mobile orders have become key channels

for the business” (Luna, 2020). With the only option for generating sales being delivery

or carry-out, many corporate chains including Noodles all launched free delivery

promotions (Luna, 2020). Wingstop Inc. saw same store sales increase 30% in April

due to the free delivery promotion (Ruggless, 2020). Many restaurants signed up for

delivery partners not only as a way to feed the community but also to continue to

employ restaurant workers (Elliott, 2020).

The Coronavirus pandemic however is bringing to the surface the myriad of issues

with third-party food delivery apps and forcing some restaurants to consider direct

delivery. Chain restaurant, Noodles and Co. and even independent restaurants such

as delivery in March as it generates more revenue for the company by avoiding the

commission fees from third-party delivery apps (Adams, 2020). found that in the first

week of the direct delivery launch, orders increased drastically (Adams, 2020). The

Uncaged Chefs in Washington D.C. found that doing direct delivery allowed them to

hire their own drivers and therefore provide work for restaurant employees who were

furloughed (Plumb, 2020).

Some independent restaurants are using the down time to permanently pivot to fast-

casual or to-go formats adding drive-thru lanes, walk-up windows for take-out and grab

and go counters (Canavan Dixler, 2020). A few corporate restaurant chains are

opening to-go restaurant concepts, Buffalo Wild Wings opened a “go” model

restaurant in May which featured a walk-up counter for orders and heated takeout

lockers for those who ordered online (Ruggless, 2020). Brands restaurants are others

that are also experimenting with to-go locations (Ruggless, 2020). The decisions that

are made will be individual to each operation based on location, market presence,
capital, consumer demand and staffing levels. Delivery either through third-party app

or direct through the restaurant has been a key to success for some restaurants.

3.3 Communication with customers and employees

Communication is key to any successful operation, more so during a global

pandemic where keeping your customers and employees informed of operational

changes is critical. Social media platforms have helped many operators keep their

customers up to date, posting daily specials/promotions or adjustments to hours of

operation. Slap fish founder Andrew Gurel said they have been able to keep sales

afloat by “remaining engaged in the community, listening to their customers and

providing them what they need” (Thorn, 2020). Underbelly Hospitality group in

Houston in response to the question “how did you advertise to customers, what got

the best response,” noted they used their newsletter, social media and traditional

media and that “social media response from our guests was very strong” (Brown,

2020). Bryan Davis of Agricole Hospitality Group stated, “established businesses did

well with social media, newer businesses did better with guerrilla advertising” (B.

Davis, 2020).

Aaron Corsi, owner of 8th Wonder Brewery and Distillery in Houston in a phone

interview indicated, “continual, clear and honest communication” not just from the top

down but back and forth communication with the employees as a best practice (A.

Corsi, 2020). Indiana based Patachou restaurants launched an open information site

which has become the hub for the dissemination of critical information during this time

(Hoover, 2020). Bryan Davis of Agricole Hospitality Group, in response to the question

“if you could go back in time, what is one piece of advice you would give yourself?” he
said, “I wish we had the ability to communicate with all employees across a single

platform” (Davis, 2020).

In addition to staying in contact with customers and employees, an open line of

communication with local health and government officials has been vital for North

Carolina based chef Ashley Christensen. She says, “we've been in constant contact

with the governor and county reps; any time any document is produced, we have direct

access to it, and we distribute it to a number of colleagues” (Feldmar, 2020). While

many health and government agencies have not been able to provide all the answers

restaurant owners seek, being the first to know what is coming next is vital during the

initial phase of closures and regulations that are changing almost daily.

The expansion and in some cases addition of to-go style service has created new

opportunities for restaurant owners and chefs to keep income flowing for not only the

restaurant but also the employees whose livelihood depends on it. The themes that

were uncovered in these articles shed some light on best practices and can be

adjusted for any style of operation. Some restaurants went a step further and used

innovative thinking to adjust their business models to ensure their survival during the

pandemic.

3.4 Pop-up markets/grocery store partnership

In March when state governments were implementing new rules and closing dining

rooms, grocery stores had an influx of bulk buying and were running low or out of stock

on many staple items. The restaurant community found a way to solve three problems

at once:
Grocery stores were out of stock on staple items restaurant suppliers could not move

large amounts of stock due to depleted demand decreased sales. By turning dining

rooms into pop-up corner markets, restaurants could continue to employ staff, support

suppliers, create additional revenue and provide additional value to their customers by

limiting the number of trips outside the home (Houck, 2020). Several large chain

restaurants jumped on this trend including Panera, Subway, California Pizza Kitchen,

Big Boy, Just Salad, Potbelly Sandwich Shop and Dog Haus, (Kelso, 2020). Andre

Vener Co-owner of Dog Haus said, “grocery stores are being decimated, but

restaurants and their distributors are sitting on so much product that it would be a

shame to not find a way to still feed our guests” (Kelso, 2020).

Many independent restaurants are also embracing this trend from Sandwich shops

to award winning restaurants, using their network of suppliers to open their storerooms

to customers and selling some popular restaurant items in packaged form. For many

this includes dubbing the pop-up market with a new name, Olmstead in New York City,

an exclusive fine dining restaurant is operating as Olmstead Trading Post, selling pre-

packaged popular menu items as well as produce from local farms (Warerkar, 2020).

Ledger Restaurant and Bar is operating as Ledger Basket offering a variety of

prepared foods and pantry items (Brien, 2020). The Grill in Washington D.C.

transitioned to a pop-up market called The Butchery, offering marinated meats,

prepared meals, staple ingredients, and sanitation supplies (Krishnamoorthy, 2020).

Phil Lempert a food and drink writer for Forbes, muses if this is the beginning of a new

concept (Lempert, 2020). Noting that grocery stores have moved into the foodservice

arena as “grocerants” with success, offering fresh soup and salad or sushi bars,

restaurants are now doing the same to create additional revenue and added

convenience for customers (Lempert, 2020).


As such, grocery stores also reached out to local restaurants to supply pre-

packaged take and bake meal options. Rouses Market in New Orleans is featuring

popular dishes from local favourites, Commander's Palace, Saba, Ye Old College Inn

and Bywater Bakery. Famous chefs have always had a home in grocery store aisles,

“but it's much rarer for them to make fresh items to be sold in deli sections” (Maynard,

2020). To local restaurants to supply take and bake dishes. In an interview with

Lindsey Brown of Underbelly Hospitality Group in whose restaurants have been

supplying take and bake items to grocery stores said the biggest considerations they

had to make in executing this idea was “how to package the items – what materials to

use and whether we could purchase enough. Also, which dishes would work best as

take and bake items and how to get them delivered to each store” (L. Brown, email,

May 5, 2020). The partnerships have been beneficial to restaurants who have been

able to re-hire staff and capture revenue through this new channel of selling goods

(Maynard, 2020)
3.5 Family meals/meal kits

Some restaurants specialize in family meal style of service, however for the greater

majority family meals never had a place on their menu until COVID-19 forced many to

re-evaluate their menu and offerings. Family meals have gained popularity as people

are stuck at home and are losing motivation when it comes to cooking (Maynard,

2020d). Family meals provide the consumer with easy dinner solutions, something for

the whole family instead of selecting individual items for each person, which also

creates ease for the restaurant in preparation and packaging. In conjunction with the

idea of limited/rotating menu items, Boka in Chicago, is offering three family meals per

day including one vegetarian option (Selvam, 2020). Different variations of the family

meal exist as some restaurants are creating quarantine meals, with more of an

individual person in mind. is selling jars of their specialty items like five spice tofu or

spicy beef sauce which can be paired with noodles, rice or dumplings and can create

four to five meals at home (Kravitz Hoeffner, 2020). Similarly, is focusing on three-

course dinner packages for two (Plumb, 2020).

In addition to prepared family meals, meals kits have become increasingly popular

during quarantine. All the necessary ingredients are provided to be assembled and

prepared by the individual and in some cases include video call conferences with chefs

who provide guided instructions on how to assemble the contents to create the meal

(Adams, 2020). For the budget conscious, fast food restaurants like Chick-fil-A,

offering chicken parmesan meal kits and Shake Shack launched cook-at-home burger

kits, selling more than 8,000 in the first two-weeks (Kelso, 2020c). Or for those seeking

organic, locally sourced ingredients, Fat Rice in Chicago meal kits which are designed

to feed two adults and includes 30-min or less recipes with videos posted online for

customers to follow along (Selvam, 2020). Other operations are upping the ante by
offering their meal kits along with rolls of toilet paper or hand sanitizer (Kravitz

Hoeffner, 2020).

For both those that have become a pop-up market or selling family meal/meal kits

or perhaps a combination of both, subscription services were mentioned in multiple

articles. The subscription service would allow customers to enrol in the program and

receive a box of products each week from the restaurant. The Hitchcock Restaurant

Group in Seattle created an 8-week subscription for produce boxes to support local

farms (Flaherty, 2020). Provisions, a weekly subscription that includes butcher's boxes

of meat, snacks, bread, and do-it-yourself meals (Krishnamoorthy, 2020) And

Zingerman's Deli launched a weekly subscription that includes ingredients from nine

different Zingerman's concepts (Maynard, 2020)

4. Worst Restaurant Problems and Solutions to Each of Them (1 st Study)

The road to becoming a successful restauranteur has its ups and downs. While you

will celebrate a lot of milestones and successes, you’ll also have to overcome various

problems. Here are the most common restaurant problems and solutions that will help

you nip them in the bud. From kitchen problems to budget issues, what do restaurant

owners struggle with, and what can they do about it? (Voicu, 2021)

4.1 Unique Selling Proposition

The problem is One of the main factors affecting the restaurant business is the

difficulty of coming up with a unique selling point in an oversaturated industry. What

will you be bringing new that your competitors don’t already have? How will you stand

out? The solution regardless of whether you want to open a casual dining or a fine
dining restaurant, having good food and excellent customer service is not enough.

Many restaurants can pride themselves on that. (Laura,2020)

4.2 Food Security Issues and Challenges

The problem is the food security being one of the main ethical issues in food service.

Since food is at the center of every restaurant, you should treat it with the utmost care.

As a restauranteur, you can encounter many foods transportation issues such as the

items not arriving on time, needing temperature-controlled transportation, or being

contaminated. These can lead to other poor food safety problems like customers or

staff getting sick. The solution Restaurant problems that have to do with food have to

be tackled one step at a time. First, find a trustworthy food transportation company in

your area. Take your time researching a few to find one that won’t break the bank but

also won’t compromise on quality. Next, train your staff on proper health and hygiene

practices and make sure they abide by them. Everyone who comes into contact with

the food must wash their hands, wear gloves, hairnets, clean clothing, and use the

proper tools. The equipment and tools must be cleaned and sterilized, and the

surfaces sanitized. When in doubt, always do the right thing by your customers –

there’s no in-between. For instance, if your fridge breaks down and you don’t know

precisely when, you have to throw away perishables even if it means it will cost you

more. You don’t want to risk getting anyone sick. (Laura, 2020)

4.3 Eatery Management Team Structure

The problem the truth is even if you know how to manage restaurant staff, you won’t

have the time to do that and also keep a close eye on day-to-day operations. The
solution is you can’t do it all as a restaurant owner. You need a manager or a

management team that you can trust. They will keep things running smoothly and

come up with much-needed restaurant staff rules, while also helping the restaurant be

profitable. That is not to say you shouldn’t be involved. On the contrary, you should try

to be there every day, especially in the first year. To avoid chaos and money waste,

schedule the workforce carefully. You don’t need five servers when the restaurant is

empty, nor can you manage with two when the restaurant is bustling. Both instances

will lose you money and potentially prompt negative reviews. When you’ve found the

perfect balance, train your staff on how to handle different situations. Offer them

materials and incentives if they do a good job and reach individually established goals.

You also need to inspire them, keep them motivated, and align them with your

restaurant’s philosophy and concept. Everyone should have a clear view of their

responsibilities, hierarchy, and team structure. Problem solving for restaurant

managers shouldn’t be the owner’s concern, but that depends heavily on finding

someone you feel comfortable letting take the reins. Any HR issues in restaurants

should be their responsibility, and they should have a strong work ethic. Remember

that even assigning shifts can be an ethical problem. They should be allocated on

skills, performance, and seniority, not based on whom the manager likes more.

4.4 Customer Service

The problem is plenty of restaurant problems and their solutions have to do with

customer service. To turn customers into return customers, you need to keep them

happy and offer them a flawless dining experience. This can be particularly challenging

when they’re disrespectful or disruptive, such as when they’re clearly inebriated and

are asking for more alcohol. The solution is customer problems in a restaurant can

escalate quickly. Train your staff to be accommodating but firm. If the customer is
perfectly pleasant, treat every step of the dining experience with the same care. It’s

not just the food that matters Keep in mind that customers might leave you online

reviews. If you get a lot of negative ones, it can impact your popularity and

trustworthiness online. That said, no number of good reviews is worth anything if the

customer is rude or even aggressive toward the wait staff. Over serving alcohol is

another ethical issue restauranteurs encounter. What do you do when a customer has

had enough? Do you cut them off? When? How? As a restaurant owner, you should

empower your staff to make their own decisions when it comes to stop serving alcohol.

After doing so, they should inform the customer of their decision and offer to call them

a cab. You don’t want to sacrifice your guests’ and staff’s well-being over getting more

money. (Laura,2020)

4.5 Eatery Marketing Challenges

The problem is when you think of restaurant problems and solutions, marketing is

probably not in the top three. Still, marketing is something you cannot go without as a

restaurant owner. If you don’t have a dedicated marketing budget, you don’t

necessarily have to get one. You can promote your restaurant for free and still get

great results. The solution is Bad reviews on websites like Yelp and TripAdvisor can

damage your online reputation. The trick is to learn from these reviews and use them

to improve your business. Always reply to them and do your best to solve the problem.

To market your restaurant online, you first need a restaurant website. The website

should be optimized and responsive to give the customers exactly what they’re looking

for. (Laura, 2020)

5. Customer Satisfaction in the Restaurant Industry (2nd Study )


Found Customer satisfaction with the product and services of company as the

strategic factor for competitive advantage. In the context of relationship marketing,

customer satisfaction is the way that leads to long term customer retention because

un satisfied customers have very high switching rate (Lin, 2011)

5.1 Customer’s Satisfaction

Satisfaction can be regarded as a broad principle; support good quality is a

component of satisfaction. Client satisfaction is usually defined through conditions.

that it's this consumer’s fulfilment result. It's a ruling that a products or services feature,

or this products or services per serve, comes with a pleasurable level of intake linked

fulfilment. In other words, it does not take total level of wellbeing that has a service

/product knowledge. (Azadavar, 2012)

5.2 Service Quality

Top quality includes 2 main factors: (1) the merchandise fulfils wants or even (2)

around those levels it truly is free from insufficiencies. Service is kind of performance

that's proposed by 1 get together to an alternative and also within corporeality can be

an ought to part of it. Through acknowledged the necessity associated with methods

associated with program excellent quite a few scientists most often make use of

program excellent in order to measure customer satisfaction (Zeithaml, 2011).

5.3 Product quality or reliability

Product quality has same importance in full-service restaurant industry as like

service quality. More you are reliable in terms of your product quality more customers

will be satisfying with your product. It is the part of Customer relationship management

that how much your customer depends upon reliability of your core product. Once

customer is satisfied on reliability of full-service restaurant, he would not only become


loyal customer but also will become brand ambassador and will add in customer equity

of the restaurant. (Zeithaml, 2011)

5.4 Price

Price has a significant role in selecting a product. For company point of view price

is reward or value given in return of need fulfilment to company. Perceived customer

expectations and price should be in accordance with each other.(Skindaras, 2011)

5.5 Physical Design

On the view associated with actual physical layout, environment psychologists

declare that people answer areas along with two generals, and also opposite, types of

actions: strategy or even prevention It is advised of which besides the actual physical

measurements of the organization attracting or even deterring assortment, actual

physical layout of the organization can also influence the amount associated with

accomplishment consumers attain after within. This involves research about the

“ambiance” which is “artificial environment” and also how it influences both clients and

also workers within the program process. (Bitner, 2012)

SYNTHESIS:

Food products, generally of high protein content, produced by new technological

methods from such nutritive substances as proteins or their component amino acids,

carbohydrates, fats, vitamins, and trace elements. Synthetic and artificial food

products usually imitate natural food products in appearance, taste, and Odor.

Synthetic food products are derived from chemically synthesized food substance. This

research offers several practical implications which will assist the industry should

another similar event occur in the future. The systematic analysis describes and
documents some suggestions as well as practices to be mindful of in preparing

contingency plans for the future. (Norris, 2021)

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