INTRODUCTION
Restaurants play a significant role in our lifestyles, and dining out is a favorite social activity.
Everyone needs to eat—so, to enjoy good food and perhaps wine in the company of friends
and in pleasant surroundings is one of life’s pleasures. Eating out has become a way of life
for families. Today, more meals than ever are being eaten away from home. This chapter
outlines the history of restaurants, and the various aspects of opening restaurants are
reviewed.
OBJECTIVES
After reading and studying this chapter, you should be able to:
Discuss reasons why some people open restaurants.
List some challenges of restaurant operation.
Outline the history of restaurants.
Compare the advantages and disadvantages of buying, building, and franchising
restaurants.
CHAPTER OUTLINE
Introduction
Restaurants play a significant role in our lifestyles
o Dining out is a social o Restaurant concept
activity determines talents required
o No substitute for experience
Reason for going into the restaurant business
o Money o Habit
o Potential for buyout o Fun lifestyle
o Place to socialize o Too much time on your
o Changing work environment hands
o Challenge o Opportunity to express
yourself
Early History of Eating Out
Long history
o 1700 B.C.E. taverns o 1200 London cooking
o 512 B.C.E. Ancient Egypt houses
public dining place o 1550 Constantinople café
o 70 A.D. Herculaneum, Rome o 1650 Oxford coffee house
French Culinary History
Public dining room-First restaurant 1782: Beauvilliers- First restaurant
1767: Boulanger-sold soup as a Grand Tavern de Londres
restorantes or restorative
1794: French Revolution o Some stayed and opened
o Chefs to the former nobility restaurants, some went to
suddenly had no Europe; many fled to
employment. America
Birth of Restaurants in America
1634: Coles Ordinary, Boston 1826: Union Oyster House, Boston
Massachusetts Massachusetts
1783: John Adams Tavern
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, Delmonico’s
1832-1900: New York City o 1848: Sweeney’s
o 1832: Delmonico’s o 1888: Katz’ Deli
American Style Restaurants
1919: 42,600 restaurants in Elegance and deluxe
America dining
o Continued expansion
Reponses to Changing Times
1921: White Castle-First hamburger 1929: Great Depression rebound-
chain Rainbow Room, Trader Vic’s
1927: Drive-ins, root beer and ice
cream stands
WWII Influence o Rapid development of
o Americans took to the road hotels and coffee shops
Fast Food Restaurants
Kentucky Fried Chicken, “Colonel”
Harland Sanders
McDonald’s, Ray Kroc o Emergence of chains (e.g.,
o 1960s and 1970s: Taco B
Challenges of Restaurant Operation
Include
o Long hours; fatigue and o Possibility of losing
burn out. investments and investors
o Little job security for o Consumers careful how they
managers working for spend their money
others
Restaurant operators and staff must
o Enjoy serving people o Be able to withstand
o Handle frustration easily pressure
o Be tireless and outgoing o Have knowledge of food
o Have lots of energy and (highly desirable)
stamina
Starting a restaurant involves high risk
o Must be taken to achieve success
Results of Dr. Parsa’s study
o Three year period Failure o While family owned
rate: 59% restaurants survive the
o Many fail due to personal start-up period, many
reasons involving the owner restaurants fail because of
or owners family problems. Too many
hours
o Too much energy, no
energy left for balanced
family life.
o When husband and wife team, both must enjoy the
operate a restaurant as a business and be highly
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