Food and Beverage Operations

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Ruth's Chris Steak House

Brenda Leake

HTM 310: Food and Beverage Operations Management

Professor: Israel Johnson

November 26, 2011

Abstract

In this paper I will cover the four questions in regards to Ruth's Chris Steak House restaurant, though the case states that the management team felt the market development model was the most obvious mode of entry, I feel they were quick to disregard the penetration model. The fact that their only limiting factor was that “fine dining establishments would never be as ubiquitous as quick service restaurants like McDonalds” (Kutpetz and Alon, 2006) leads me to believe they did not give it enough thought. Otherwise, they would have realized that comparing fine dining to fast food is like comparing apples to oranges, and they should not base such an important decision on the result of this comparison.

Introduction

This paper focuses on the creation of a unique and innovative fine dining atmosphere will differentiate us from the competition. The restaurant will stand out from the other restaurants in the area because of the unique design and decor. We will offer a fine dining experience in an electric atmosphere. Product quality: great food, great service and atmosphere. The menu will appeal to a wide and varied clientele. Our eclectic menu features regional specialties around the country. Employee retention and development programs will be a primary focus and success platform for this business. Through these programs, we will be able to draw seasoned and elite professionals and build a committed work force. We have budgeted for a stock option program for Chef and Management positions to subsidize a lower salary base. This lowers our immediate overhead and attracts quality staff.

Joint ventures can be promising; they are equity based where Ruth’s Chris can outsource operations and still maintain partial ownership. They could increase their number of international restaurants and...