The new idea business restaurant Essay Example | Topics and Well Written Essays - 1000 words

The new idea business restaurant - Essay Example I found an appropriate site last month and lease negotiations are set to be complete before this month ends. I chose Crockett Street because there is a large population of the target market. After signing the lease, I will raise the start up funds required for construction. Apparently, the construction period will take approximately two months. After completion of this phase, Vegas restaurant will open and start serving consumers with nutritious food. However, if the restaurant meets its projections within nine months of operation, we will scout for another location and establish plans for setting up another restaurant. Apparently, our four-year goal is having three restaurants within Texas with a joint yearly profit of between $ 600,000 and $1,000,000. Market Analysis According to Ariss (2010), the restaurant industry faces increased competition but lifestyle alterations resulting from contemporary living continue to propel growth in the industry. Baruch (2004) affirms that that sev eral people have minimal time and resources to prepare a meal on their own. Vegas restaurant will perform better because it is likely to offer healthier foods at affordable prices. The industry happens is the third leading industry in America. Additionally, it accounts for approximately $ 250 billion yearly in sales. However, individual restaurants contribute to fifteen percent of this total. Bevitt (2008) affirms that an average American uses fifteen percent of income on meals away from their residence. Moreover, this number is increasing over the last 7, and four years. This industry has outperformed the GNP by approximately forty percent. Over six hundred restaurants open monthly and over three hundred required in offsetting the increasing demand for fast foods. A report released by ‘National Restaurant Association’ revealed that as contemporary lifestyle creates demand, it would force individuals to consume more meals away from their residence (Halverson & Tirmizi, 2008). Consequently, Vegas restaurant focuses on attracting several consumers leading to higher profits. Products Vegas restaurant will offer food and beverages with a unique image. It will incorporate two ways of purchasing products namely; table service and take away. The Vegas menu offers a variety of ethnic foods that are nutritious. As earlier stated, the prime goal is to develop an image of light, satisfying and healthy foods. This is attributable to increased awareness on consuming healthy and nutritious foods. Food production will occur at the restaurant’s kitchen using fresh vegetables and dairy products. However, the chef will conduct strict sanitation standards, quality production, and packaging. As they purchase food, customers may sit on one of the sixty seats at the dining room that will allow waiters to attend to them. A separate counter will service clients, who opt to consume food away from the restaurant. Competition An average of twenty restaurants within C rockett Street sells food at equivalent prices. Although this situation creates a clear challenge regarding market share, it also indicate the existence of a strong potential to obtain customers. The new competitors have made a successful entry into this restaurant industry based on novelty. However, this should not restrict Vegas Restaurant from venturing into the industry because it will present an inventive product using an equivalent style at a