Fundamental Economic Problem

The main purpose of this research study is to come up with a strong analysis on the performance level the restaurant. The following objectives have been brought forward with regard to this purpose.

* Determinant attributes- product or service features that are important to the buyer and where competing brands may differ.

Restaurants are considered a luxury product, not necessarily a necessity. This industry thrives when the economy is growing and people have disposable income, however a decline in the economy would undoubtedly cause much stress and worry among restaurant

The market price of a good is determined by both the supply and demand for it. In the world today supply and demand is perhaps one of the most fundamental principles that exists for economics and the backbone of a market economy. Supply is represented by how much the market can offer. The quantity supplied refers to the amount of a certain good that producers are willing to supply for a certain demand price. What determines this interconnection is how much of a good or service is supplied to the market or otherwise known as the supply relationship or supply schedule which is graphically represented by the supply curve. In demand the schedule is depicted graphically as the demand curve which represents the

There are an infinite number of factors that drive economies toward a certain direction. Supply and demand for example, vary with the price of inputs, technology, and decisions made by policy makers to name a few. Depending on the goods, complimentary products or substitutes can change quantity demanded and price. Price elasticity represents the change in demand in relation to the change of price. Quantity demanded is the number of products a person is willing to buy and this directly affects prices causing fluctuations in supply and demand. These wavers between supply and demand are

5) The bargaining power of suppliers: The cost of factors of production (e.g. labor, raw materials, components, and services such as expertise) provided by suppliers can have a significant impact on a company's profitability. As such suppliers may refuse to work with the firm or charge excessively high prices for unique resources.

Changes in demand factors other than price of the good will result in a change in demand. An increase in demand is depicted as a rightward shift of the demand curve. An increase in demand means that consumers plan to purchase more of the good at each possible price. A decrease in demand is depicted as a leftward shift of the demand curve. Income is another factor that can affect demand. If a good is a normal good, increases in income will result in an increase in demand while decreases in income will decrease demand. If a good is an inferior good, increases in income will result in a decrease in demand while decreases in income will increase demand. Other factors affecting supply include technology, the prices of inputs, and the prices of alternative goods that could be produced. An advance in technology, a decrease in the prices of inputs, or a decrease in the prices of alternative goods that could be produced will result in an increase in supply. A deterioration of technology, an increase in the prices of inputs, or an increase in the prices of alternative goods that could be produced will result in a decrease in

Supply are products that are produced or are willing to be offered on sale for a different market price such as Walmart and Meijer’s. They both offer the same products but the only difference is the name of the store. In my opinion, people just start at one store and they make a decision to always go that particular store because that is the store they get in a routine of going to buy their products. Another example is the poor potato harvest is being effected by the bad weather conditions which

Supply is defined as amount of producers willing and able to sell at a given price. There is a direct/ positive relationship between price and quantity supplied. Positive relationship means that the two variables changes in the same directly. This concept can apply in this article because when government increases the sugar subsidy, the cost production of sugar will decreases.

Which of the following is not a determinant of the demand for a particular good?

The regression problem involves the dependent variable customers’ satisfaction, a quantitative independent variable average meal price and a qualitative variable type of restaurants with two levers (Italian and seafood/steakhouse). These variables are defined as follows;

The amount of supply can affect the quantity demanded in an inverse relationship and vice versa, or the price of a good can affect the amount demanded and the same goes for the price of a

efficient supply chain. There are two main factors that go towards deciding the actual point of

Using appropriate diagrams, discuss how an increase or an improvement in the following non-price determinants of supply would change equilibrium prices and quantities.

The paper presents an analysis of the different factors influencing the restaurant industry and how these factors increase or decrease the demand for such services. The hypothesis that will be examined is that the performance of restaurants is mostly based on the type of food chosen by customers when they decide to go out for dinner, lunch, breakfast, or simply for a snack. What type of food refers mainly the nationality or concept of the food, (traditional American, Italian, Indian, Latin, or from any other type of culture). This factor is important because when customers go out to for dinner; they decide what to eat before deciding where to eat. That is why this factor is considerably important according to the hypothesis.