Feasibility Of Opening A New Restaurant

3763 WordsNov 3, 201416 Pages
Literature review This report is an analysis of the feasibility of opening a new restaurant in invercargill with a primary concentration on the economic and social trends which contribute to the success and survival of the business in any given region. ECONOMIC TRENDS According to a report released by Barnes Reports and entitled Full-Service Restaurants Industry, restaurant profits in large countries grow by an average of 3-7% a year. Confidence levels in the hospitality industry are higher than any other; 42.5% of hospitality operators (as surveyed by the Restaurant Association) indicated confidence that business levels in 2011 will improve, with only 12% expecting increased hardships. These results compare to a national average of 27% of business owners expecting to see business confidence improvements (National Bank of New Zealand, 2010). http://aut.researchgateway.ac.nz/bitstream/handle/10292/2211/RANZ%20Report%202011.pdf?sequence=2 Current social trends of the restaurant industry- The current social trends indicate that with the expansion of technology and the world becoming a town people are exposed to a lot more cultures and cuisines which is now a day’s is reflected in their food habits. People enjoy going out and trying out new and different food. With expansion of the economy and the increase in the spending power people are spending more money on their food and entertainment in Invercargill from ever before. Some of the key characteristic
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