RESEARCH

PROJECT REPORT

ON
COMPARATIVE ANALYSIS FAST
FOOD RESTAURANTS & HOTEL
RESTAURANT

SUBMITTED BY: SUBMITTED TO:

SOMENDRA SINGH CHAUHAN Ms. REHANA
140428 RASOOL
 ACKNOWLEDGEMENT

This Project Work titled ________________________________ is a

successful out come of my hard work with the help and guidance of my
respectable _________________.

I sincerely acknowledge the contribution of the suggestions given by

____________________ without which his project could never became a
ratify. Last but not least I acknowledge all my friends who gave me
suggestion and full support by heart.
 GUIDE CERTIFICATE
TO WHOMSOEVER IT MAY CONCERN

This is to certify that the project Report entitled

COMPARATIVEANALYSIS FAST
FOOD RESTAURANTS & HOTEL
RESTAURANT
Carried out by SOMENDRA SINGH CHAUHAN ,
Roll no 140428 been accomplished under my guidance and
supervision.

ATUL GUPTA Ms. REHANA RASOOL

DATE DATE
 INDEX

ACKNOWLEDGEMENT

ABSTRACT

INTRODUCION

LITERATURE REVIEW

RESEARCH METHODOLOGY

QUESIONNAIRES

CONCLUSION

BIBLIOGRAPHY
 PREFACE

Indian fast food have appeared in recent years and are likely to continue
further. Fewer contributions have been made in books about operating and
working of a successful food service operation in the traditional food
market.
The project is an attempt to assemble back ground information about the
evolution of these outlets and how to run these outlets profitably in the
present scenario taking into account all the threats and problems that the
industry has to face.
The operator must be able to design and market it properly. The aim is to
maximize the profit and thereby reducing the problems arising due to
improper working.
The operator must be aware of latest trends, products launched in the
market, which can help them out in reducing the workload and resulting in
better quality.
ABSTRACT
The purpose of this study is to enhance an understanding of service quality
in fast-food restaurants by developing a conceptual framework and
measurement scale. Based on an extensive literature review, qualitative and
empirical research, a multi-dimensional and hierarchical model of service
quality for the fast-food restaurant is proposed. Data were collected from
571 students through self-administrated questionnaires. Exploratory factor
analysis and structural equation modeling were used to analyze the
reliability and validity of the data. This study extends restaurant service
quality literature by providing a psychometrically sound conceptual
framework and measurement scale. The findings of this study help fast-food
restaurants formulate and implement effective marketing management
strategies to cope with the keen competition in the restaurant industry as
well as to boost their profit margins.
New trends for customers are being developed today against the fast food.
One of the new trends is the fast casual system. Fast casual restaurants
offer a fast, healthy and quality eating experience to those with a busy
schedule. The goal of this study is to determine the value customers perceive
in practice for the fast casual restaurants. The study covered 247 participants
and exploratory and confirmatory factor analyses (DFA) have been
performed. Four basic dimensions have been determined; product, support
services, service and price, and also the customers have expressed that the
atmosphere of the restaurant is important
INTRODUCTION

Upto the year 1995 Indian food market was predominantly dominated by the
traditional dhabas, potential restaurants in the customers colony and some
restaurants in a five star hotel. Having fast food i.e., burgers, pizzas etc., was
considered to be an option for eating out. It was not at all synonymous with
the American concept of fast food as a quick takeaway bite or a substitute
for lunch.
Apart from fast food being available at the local colony restaurants and at
some five star restaurants, Nirulas was the only fast food chain existing in
the country with its restaurants expanding with every passing year since its
inception. It has been almost 50 years now since its set up and there is hardly
any one who doesnt know that Nirulas exists. Nirulas was the first one to
bring fast food to India back in the 50s since then it has evolved into an
eating place with a tremendous brand equity and brand recognition. It
proved to be a perfect eating place for an average middle class who wants to
eat out at an affordable price who cant afford the five-star restaurants and
would not want to go to the local dhabas.
Nirulas almost had a monopoly for decades due to the way it has been
placed. It is a place where a person from an average middle class group to
upper class group can go to eat out. Its popularity has increased over the
decades. With the trends changing and the incomes rising almost anybody
who can afford to eat out could go for a snack at Nirulas.
However the year 1995-96 witnessed a drastic change. 1996 is considered to
be the year of Indias entry into the world food market. International giants
such as McDonalds, KFC, TGIF, Dominos, Pizza Hut all bombarded the
Indian food market.
Its been the American international giants i.e., McDonalds, Pizza Hut etc.,
who have targeted their restaurants to the families. Apart from the foreign
and Indian fast food chains setting up shop, there are a range of specialty
restaurants offering varied fare such as Chinese, Mexican, French, Italian
etc. These places however offer range of items different from burgers, pizzas
etc, but they definitely are competition to both foreign and Indian fast food
chains.
It is only these international joints and specialty restaurants which are
gradually coming up and some Indian restaurants which have made up the
food market. Prior to this it was only the local restaurant which became
visible while passing by or through local banners etc., and the five star
restaurants were for the elite class out of reach by the average middle class
customer. There was hardly any awareness or promotion to beat competition.
Each of the foreign food joints that have come into the country have their
own strategy lined up to differ from the rest. Each of these studied the Indian
tastes and style and thereby targeted the Indian customer. An average Indian
restaurant goer is no convenience eater, unlike the Indians.
If he is paying, he is paying for food that tastes good (Spicy, soft, savory
etc.), not for how pleasantly the stuff is served or how spotless the widows
are. He wants food for that can make him come back to the restaurant. An
Indian food joint owner would definitely understand this but an American
company which comes and places itself directly without knowing the
customer is definitely in for trouble.
Almost all the fast food chains both Indian i.e., Nirulas and foreign i.e.,
McDonalds etc., are targeting the families. This serves to be an advantage
because the turnaround time is short and family has higher propensity to
spend because different members order larger variety of dishes.
INTRODUCTION TO HOTEL RESTAURANT
Everyone in the food world is always trying to pinpoint the trend of the
moment. What's hot? What's next? What's going to fill seats? But right now,
there is a trend mash going on. The best chefs and restaurateurs are leaving
behind the recent comfort-food fad and heading off in strange new directions
pop-ups, comebacks, smaller small plates, bigger big plates, richer
dishes, light touches. It's all a little confusing, and much of it is wonderful.
We're here to celebrate the wonderful.
As someone in hospitality it is your job to make sure that guests enjoy their
stay from check-in to check-out. One area of the hotel stay that you may be
overlooking is the dining experience. According to the Cornell Hotel and
Restaurant Administration Quarterly customers often equate the friendliness
of wait staff at a hotel restaurant to hotel staffs friendliness as a whole.
Furthermore, comfort with servers at a hotels restaurants increases positive
emotions guests associate with the hotel and therefore increases the guests
likeliness to return to your property. It is clear that you can no longer ignore
the impact food and beverage has on your property. Now is the time to use
social media monitoring to improve the food and beverage offerings of your
hotel. If you dont, youre not only risking the guest experience; youre
risking revenue.
The Center for Hospitality research found that satisfaction is significantly
correlated to ancillary spending. Meaning, if a customer is satisfied with
outside aspects of the hotel theyre more likely to spend money in other
areas of the hotel, like the spa, room service, etc. In fact, delighted
customers spend an average of $48 extra in comparison to the dissatisfied
customer, who only spends $27. Additionally, data from newBrandAnalytics
shows that 38% of hotel guests cite a positive food and beverage experience
as a motivation factor to return to the property.
The first step to make sure you dont miss out on extra revenue from a
satisfied customer is to improve your breakfast service and coffee offerings.
Chef David Garcelon, Direct of Culinary at the Waldorf Astoria NYC says,
Breakfast is the most important meal of the day to any hotel. Not all hotel
guests will have lunch or dinner, but most will have breakfast, so it must be
outstanding. Guests love waking up and ordering room service or taking an
elevator to have a quick, fresh, hot breakfast prepared for them. In fact,
breakfast is usually the most lucrative meal in most hotels and drives a
significant portion of the food and beverage profit. To capitalize on your
breakfast, use social media monitoring to search out something that guests
love about your propertys breakfast offerings. You can then take this
information and market this popular breakfast offering to draw in a crowd.
Additionally, monitor for speed of service during breakfast. Guests love a
quick breakfast so it is important to make sure that servers operate
efficiently and provide excellent service. Not only is breakfast itself an
important draw for hotel guests, but also data from newBrandAnalytics
shows that coffee service is highly valued by guests when choosing a hotel.
Since guests want to ability to start their day quickly when in a new city or
traveling for business the speed and quality of coffee service in either the
room or hotel lobby are critical factors in guest retention.
It is also important to note that hotels will be far more successful in
competing with consistent quality food and beverage offerings than trying to
compete on price or trying to catch the latest trend. Susan Terry, VP of
Culinary Operations for Hyatt Hotels and Resorts states, The lack of quality
in your food and beverage program will cripple your hotels ability to drive
average rate and compete in the market for RevPAR share. Therefore,
social media monitoring is a necessity to look out for areas in which the
quality of your menu offerings is lacking. Another valuable tactic is to
monitor the social media information of competitors to see what their
highest quality and most popular items are. Then, use this information to
imitate the same dishes in your hotel restaurant or improve areas where
youre falling behind the offerings of competitors in terms of quality. For
example, if your competitors guests rave about the cocktails offered during
happy hour, look to improve your happy hour offerings with higher quality
liquor and wine.
OBJECTIVES OF THE STUDY
The following objectives are formulated to conduct this study:
1) To understand the demographic profile and food consumption behaviour
of the respondents.
2) To measure the perceptions of respondents towards organized food
outlets.
3) To understand the decision making styles of respondents with respect to
organized food outlets.
4) To study the association between sources of information and decision
making styles of the respondents.
5) To investigate the influence of perceptions on decision making styles of
respondents.
6) To segment the respondents based on their decision making styles for the
organized food service sector.
SCOPE OF THE STUDY
The scope of the study is confined to understanding the perceptions and
decision making styles of youth aged between 15-24 years with respect to
fast food outlets coming under organized food service sector in the study
area.

PROBLEM STATEMENT
Most of the previous studies on restaurant management efficiency observed
dine-in restaurants. Although concepts on how physical characteristics
impacted customer emotion were studied (Carbone and Haeckel 1994; Fynes
and Lally 2008), few of the studies measured how these characteristics were
met in fast-food restaurants. The closest study has been to evaluate the effect
of queue length on customer choice between similar restaurants
LITERATURE REVIEW
In general, restaurants can be divided into five categories; quick service,
family dining, casual dining, dinner house and fine dining (Walker, 2011, p.
34-40). Quick service restaurants are restaurants where the food and drink
are paid for before being served. The critical points for this type of
restaurant are to have staff and food ready to serve the maximum number of
customers in the least amount of time. The menus offered are usually limited
and include burgers, sandwiches, hot dogs, tacos, burritos, fried chicken and
so on. Family restaurants developed from coffee shop-style restaurants,
offering simple menus and providing service for the family market segment.
Due to their market type, most family restaurants do not serve alcoholic
drinks. Casual restaurants or casual dining offers a relaxing lifestyle,
signature food items, wine service, bar and comfortable dcor. Fine dining is
a type of restaurant that offers expensive cuisine and beverages such as
wine, elegant service and luxurious ambiance. The table turnover is usually
only once an evening. Other sources (Jackson, 2011; Walker, 2011; Knutson,
2000) mention that the fast food restaurant is often categorized under quick-
service restaurant, even though not all quick-service restaurants serve fast
food. The main characteristics of quick-service restaurants are speedy
service, inexpensive food items, simple dcor, limited menu normally
displayed on a wall, and convenience. This type of restaurant may also
provide drive-thru, delivery, and take-out services. Simplicity and limitation
in a menu are important in a quick-service operation due to speed of service
and high turnover rates to achieve high sales volumes. To realize speed,
several factors are required: minimum food handling by food production
staff, minimum handling by the service staff, and the ability to withstand a
holding temperature since most of the food items are precooked (Drysdale
and Galipeau, 2009, p. 207-208). Restaurants fall into the category of a
service industry. As such, researchers analyze the efficiency of restaurant
services. Hummel and Murphy (2011) mapped out an entire service system
to depict the impact of efficiency management on a restaurant and its
industry. This technique was termed service blueprinting. One of their
findings was that optimizing the time to serve the customers paying their
bills would earn the restaurant three additional dining tables in a peak hour.
Hummel and Murphy highlighted that the difficulties in producing a
conclusion were due to service blueprinting requiring extensive research that
observes larger samples than had previously been utilized. Restaurants
balance efficiency-for-profitability with customer satisfaction. As defined by
Carbone and Haeckel (2002), customer satisfaction includes functional,
mechanical, and humanic clues. Kimes (2004) discussed that efficiency and
profitability could be represented in numbers, whereas customer satisfaction
measurement was subjective. Sulek and Hensley (2004) showed that choice
of foods, restaurant atmosphere and the fairness of the seating contributed a
large part to a customer satisfaction model. Wall and Berry (2007) added
performance, appearance, and behavior of the employees to the above
dimensions.
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RESTAURANT OR HOTEL REVIEWS: WHY THEY ARE SO

IMPORTANT FOR YOUR BUSINESS
Its easy to lose sight of the importance of reviews to your business. But if
you understand word-of-mouth, you can understand reviews its word-of-
mouth on an international, nearly infinite level. Where a dissatisfied
customer once would have told a friend or two about a bad experience, he
can now post it online and reach literally millions.
PEOPLE READ REVIEWS
As many as three quarters of travelers check reviews before booking a hotel
surveys indicate reading six to eight reviews is average. And as many as
half of restaurant goers read reviews before deciding on a night out.
MANAGE YOUR REVIEWS
Read and respond to reviews. Address what issues you can that are pointed
out in negative reviews. Thank writers of positive reviews. Remember also
to keep your website up-to-date. Potential customers frequently turn to
reviews to get information they were unable to find on your site.

SOLICIT FEEDBACK
In a perfect world, youd take care of unhappy customers quietly, in person.
Happy customers would broadcast their delight to the world. You cant
control everything, but if a customer thanks you in person for great service,
you can encourage them to review you online. If youre confident that the
reviews for will be positive, list links for Yelp, Google, Trip Advisor or local
review sites on your comment cards or other marketing materials.
USE SOCIAL MEDIA
Encourage people to share their experiences positive or negative on
Facebook or Twitter. Its simple to manage and respond to them there. Dont
delete negative comments unless they are abusive or profane. Address the
customers concerns with tact and concern.
Watch your Attitude.
Its critical that you dont come off as defensive or uncaring when you
respond to unhappy patrons. Most people can forgive a mistake. But
handling it badly can cause long-term ill effects. Apologize, correct the
problem and move on.

WHAT'S MORE IMPORTANT AT RESTAURANTS: FOOD OR

SERVICE?
Welcome to our weekly recap of Bravos Best New Restaurant, where we
share our unapologetically opinionated musings on the ups and downs of
dining out..
If you had to choose one, which would you pick: amazing food and poor
service, or mediocre food and flawless service? Great restaurants
consistently deliver both excellent food and service, but even the best places
occasionally get things wrong. So when it comes down to it, does good
service beat out good food? Or does food trump all? Last nightsBest New
Restaurant finale had some answers.
WHY FOOD MATTERS
Weve talked before about how food isnt the only reason we go to
restaurantswe also go for the atmosphere, the company, and because we
dont have to wash dishes afterwards. But the best service in the world isnt
going to make up for less-than-great food. Successful dining experiences are
all about trust between the restaurant and the diner, and nothing cements that
trust better than well-cooked food. A large part of why Dolce won last
nights finale was because they chose dishes they knew they could master,
like creamy polenta with spinach and agnolotti filled with duck and foie
gras. Meanwhile, with just five hours to prep for dinner, LApicio took a
super-risky move and decided to serve duck confita dish that can
take days to prepare. The kitchen tried to speed up the confit process. When
the finished duck salad went out to the diners, many agreed it tasted fineit
just wasnt the confit that was promised. A slip-up like that wont necessarily
ruin a night out, but we did discover later that the duck was the main reason
LApicio lost the competition.
WHY SERVICE MATTERS
Some diners would argue the best food in the world wont make up for lousy
service. Remember what we said about how a good dining experience is
built on trust? Its the servers or hosts responsibility to initiate that trust;
theyre the first point of contact a diner has. Conversely, great service can be
enough to make up for things that go wrong in the kitchenlike
when LApicio sent a diner a plate of chicken that was still raw on the inside.
This seems like an unforgivable offense, but when the diner told the floor
manager about the mistake, she immediately apologized, had the kitchen
make another chicken dish, and poured him a complimentary glass of wine.
In three swift moves, LApicio turned the kitchens mistake into a positive
experience for the diner.
WHICH MATTERS MORE?
So which is more important: food or service? The real answer isnt so clear-
cut. In restaurants, as in life, mistakes happen. Servers will mess up orders.
Food will get cooked improperly. Someone will have a bad day. But its not
so much about whether its worse to have an overcooked steak or a surly
hostess. Perfection isnt what makes a restaurant greatits being able to
gracefully tackle mistakes as they happen.
Last nights winner, Dolce, wont always get everything perfect. But as
weve seen throughout the season, theyve found a formula for great food,
service, and hospitality that keeps diners wanting more. Theres no specific
recipe a restaurant can follow to make people happy. We just know it when
we see it.
METHODOLOGY
The research was done in a fast casual restaurant operating in Eskiehir. The
data was collected via a questionnaire; the questionnaire includes 25
variables which were determined based on a review of literature on customer
value and restaurants. While determining these 25 variables, which were
grouped under 4 dimensions (factors), the researchers took several studies as
references (Oh, 2000; Al Sabbahy, et al., 2004; Khalifa, 2004; Mavi et al.,
2007). On different days in January 2012, 300 randomly selected customers
seated in the fast casual restaurant in Eskiehir were interviewed and survey
data was collected through a questionnaire. Since some of the questionnaires
turned out to be including false or mis-coded data, the analysis was done out
of 247 questionnaires. The questionnaires, which were based on a 1 to 5
Likert scale, were analyzed using the Structural Equation Modeling (SEM).
Structural equation models are comprehensive statistical techniques which
are used to test the causal relationships among observed and unobserved
(latent) variables. It has been proven that these models are also useful in
dealing with problems that might occur while formulating conceptual
constructs (Reisinger and Turner,1999; Ylmaz, 2004).
FINDINGS
The data collected from the 247 customers who prefer fast casual restaurants
were first analyzed using SPSS 17.0 statistical program and an explanatory
factor analysis was done. Before reporting the results of this analysis, the
study presents information about respondent profiles. As can be seen in
Table 1, 60,7% of the respondents are female and 39,3% are male. Also,
70% of the respondents fall into 19-30 age group. The percentage for
respondents in 32-40 age group is 13.8% and 12.1% of the respondents are
below 18. These findings reveal that fast casual restaurants are mostly
preferred by people under 40 years of age.
Table 1: Demographic Features of the Respondents
Sex N %

Female 150 60.7

Male 97 39.3

Age N %

18 and below 30 12.1

19-30 173 70

31-40 34 13.8

41-50 7 2.8

51 and above 1 0.4

Income N %

1-1000 TL 136 66

1001-2000TL 42 20.4

2001-3000 TL 13 6.3

3001-4000 TL 6 2.9
4000 TL and above 9 4.4

As far as the income levels (personal income) of the respondents are

concerned, it is seen that most of them have incomes up to 1000 (66%), 20%
of the respondents reported that their income is between 1000 and 2000,
13.6% of the respondents reported that they earn more than 2000
Considering these results, we can conclude that fast casual restaurants
generally serve customers from lower income level groups and are preferred
by people with low income.
Table 2: The Frequency of Respondents Eating Out
How often do you eat n %
out?

At least once a week 178 72.1

Every fortnight 34 13.8

Once a month 15 6.1

Every two months 2 0.8

Rarely 18 7.3

As can be seen in Table 2, 72.1% of the people who prefer fast casual
restaurants eat out at least once a week. However, only 8.1% reported that
they prefer eating out every two months. These findings show that most of
the people who prefer fast casual restaurants mostly prefer to eat out. In
addition to this, when we take a look at the frequency of respondents eating
in the restaurant chosen for the study, we can clearly see that the percentage
of people who come to the restaurant at least once a week is 27.9% (Table
3). The percentage for people who rarely come to the restaurant is 24.7%.
Table 3: The Frequency of Respondents Eating in the Restaurant
Chosen for the Study
How often do you eat in this restaurant? n %

This is my first time 14 5.7

At least once a week 69 27.9

At least once a fortnight 49 19.8

Once a month 45 18.2

Every two months 09 3.6

Rarely 61 24.7

An explanatory factor analysis was done on the data in order to determine

the variables in the value scale for customer value in fast casual restaurants,
which were determined in accordance with literature on customer value, and
the factors under which the variables were grouped. All 25 statements
(items) in the questionnaire were included in the factor analysis. The
statements which were not among the factors determined as a result of the
explanatory factor analysis and which had a factor loading value below 0.40
were excluded from the analysis (Hair et al., 1998: 111). As a result of the
explanatory factor analysis, grouped under 4 factors, namely, Product,
Support Services, Service and Price 16 statements were determined. As
can be seen in Table 4, Cronbachs Alpha value for reliability of the scale
was found to be 0.782. It is important that this value be over 0.700 for the
scale to be considered to be reliable. (Hair et al., 1998: 118). Moreover,
KMO value, which indicates the samples sensitivity to the application, was
found to be 0.834. This result indicates that the sample size is sufficient for
factor analysis.

RESTAURANTS AND FAST FOOD CHAINS

 NIRULAS
A). AN OVERVIEW
History and Background

Nirulas today is a well-known name in the hospitality industry.

Nirula family was the First to offer Western style fast food in India. They
realised the paucity of good eating places in and around Chandigarh, began
Hotel India in 1934 with 12 rooms and a restaurant with a bar license.
They also specialized in Catering to parties and soon Nirulas catering
became famous.

The Brasserie was a popular Self-service restaurant serving beer and

liquor with a limited menu of Indian and Western food. The Brasserie
gave way to the Cafeteria, the First of its kind in India with a Variety of
Dishes and the guests could help themselves to whatever they fancied.

Before 1947, Nirulas had also opened the First Fruit Preservation unit in
Delhi. The jams and squash and other preserves were marketed under the
name of Nirulas and had an all India distribution. With the partition of
India in 1947, the supply of raw material was disrupted and this unit was
stopped.
In 1950, Nirulas started the Chinese Room, which was again a First
restaurant of its kind in India. Nirulas created history by being the First
Indians of non-Chinese origin to have a Chinese food restaurant in
India.

In 1954, Nirulas were the First ones to introduce Espresso coffee in India.
Gaggia, the inceptors of espresso coffee machines gave Nirulas sole
distribution rights for their machines and Nirulas sold these to the luxury
hotels and first class restaurants. Nirulas store was opened in the 1950s
with a section for cold meat and delicatessen products and a separate
section for bakery and confectionery produce.

Nirulas Hotel was started in 1958 and was the First modern 3-star hotel in
India. In 1960 two specialty restaurants were opened. La Bohame was a
modern restaurant where tea, coffee, snacks and meals were very popular.
It was the most popular restaurant of its time in India. Gufa was an Indian
restaurant with Indian style seating and an all Silver thali service in a
romantic atmosphere.

The Pastry shop was independently introduced in 1972 and did externally
well. The quick-service food business was again ventured into by the
opening of the Snack bar in 1972 and Hot Shoppe in 1977, which was
instant success. The First Ice Cream Parlour in India was started in 1978.
Potpourri restaurant with the First salad bar in India and the Pegasus
Bar were started in 1979. All of these exist till today.

.
THE DIFFERENCE BETWEEN FAST FOOD AND RESTAURANTS

Nowadays, there are so many fast food restaurants, food carts, food stalls,
food courts, restaurants, and fine dining restaurants in our country. Of
course, these places may serve the same type of food or cuisine but differ in
prices. Why is that? There are so many reasons that I can think of why
places serve the same meal but differ in prices. Here are some differences
between eating at a Fast Food and Restaurants:
QUALITY OF FOOD There are so many places that serve the same thing
like burgers, pizza, pasta, meat dishes, and a lot more. They also serve
similar cuisines like Filipino dish, Chinese, Japanese, European, Italian, and
American but still, prices are not the same. The reason behind this is the
quality of their food. Dont get me wrong, fast food dishes taste good. I eat
there almost every other day but if you tried one of the casual or fancy
restaurants, they taste differently compared to McDonalds, Burger King,
and Jollibee. Sometimes they taste better, sometimes they taste the same,
and sometimes they taste less compared to fast food places.
The prices are different because of the ingredients. Fast food suppliers are
different from restaurants. Some may even get their supplier from other
countries or from expensive kind of ingredients. In Japanese fast food, they
may use ordinary rice to make their Maki or sushi but in expensive Japanese
restaurants, they may use authentic Japanese rice that is stickier than
ordinary rice which makes the taste different.

DECOR In fast food places, the chairs and tables are ordinary looking.
They are similar to cafeteria you see in school or in the office but in
restaurants, they have elegant chairs and tables. They even use tablecloth
for their tables. They have added decor like painting, vases, plants, and
whatever decor they want to add to enhance their restaurant.
SERVICE For me, this is much more noticeable than the quality of food.
I have been to so many fast food places and restaurants and the service is
what I always notice. The food from the fast food and from the restaurant
may taste very similar but the service is very different.

DIFFERENCES BETWEEN FAST FOOD RESTAURANTS AND SIT

DOWN RESTAURANTS
Fast food restaurants are designed for individuals who have to get up early
in the morning for work. Some people have to get up say around 5 o'clock in
order to be at work at say 6:45am or 7 am.
It's kind of hard to fix breakfast this early in the morning especially when
you have to get dressed and that takes time. So in order to get to your job on
time, it's a lot quicker, and easier to just stop at a fast food restaurant such as,
Mcdonald's, or Burger king, to pick up breakfast on your way to the job. It
also depends on your shift. If you have do to a second shift then most likely
you would be able to fix breakfast at home and get dressed on time as well,
but you may have to stop for lunch on your way in.
Some people like to wait until they go in and purchase their food at their job.
Now sometimes it may be costly to buy food at McDonald's or Burger king,
but it may also be costly to buy food at your place of work so you may want
to do some pricing before you decide where to purchase your food.
Now I would like to talk about sit down restaurants. Sit down restaurants are
designed for a group of people such as, family, friends, co-workers, and so
forth. People who work a lot may not have the option of going to a sit down
restaurant as much as they do fast food restaurants because of their jobs.
Some people have to do overnight jobs and hardly ever see their families. A
lot of times people who have to work quite a bit only have the option of
going to fast food restaurants rather then going to places to eat where they
are spending time with their family, friends, co-workers and so forth. There
are advantages and disadvantages for people who have to work and for
people who don't have to work.
The advantages for people who have to work even though they may not have
enough time to for recreation with their families as far as going to a sit down
restaurant is they can arrange time for this with their families and even their
friends when they have time off work. The disadvantages are having to
spend money for bills and so forth and not having enough money to take
their families out for recreation.
The advantages for people who don't have to work is they have enough time
to spend with their families and friends for recreation and so forth. The
disadvantages are they are limited on how much they can spend for
recreation with their families and friends. A lot of people have limited
incomes and the restaurants are a bit expensive these days. Restaurants such
as, Burger king, McDonald's, and so forth vary in prices.
McDonald's has meals that are pretty cheap and Burger king has meals that
are not as cheap as McDonald's, but even still you have to be able to afford
the prices in order to take your families to the places to eat out for
recreation. Sit down restaurants are a lot cheaper than fast food restaurants.
So people who have enough money from their jobs have a better chance for
successful recreation with their families and so forth than people who don't
work. These are the differences between fast food restaurants and sit down
restaurants
CUSTOMER SATISFACTION STEADY FOR FULL-SERVICE
RESTAURANTS; FAST FOOD DECLINES AS CONSUMERS WITH
MORE PURCHASING POWER PREFER QUALITY OVER PRICE

Customers are less satisfied with fast food as their discretionary income
improves and preferences shift in favor of quality over price, according to
new data from the American Customer Satisfaction Index (ACSI). Customer
satisfaction with full-service restaurants holds steady at 82 on ACSIs 100-
point scale, while fast food restaurants fall 3.8 percent to 77, the lowest
score in five years. The gap between fast food and full-service restaurants is
the largest since 2010.
The job market is the strongest it has been in years, which is having an
interesting effect on supply and demand, says Claes Fornell, ACSI
Chairman and founder. On the demand side, consumers with greater
discretionary income seem to put quality ahead of price in their decision-
making. On the supply side, restaurants are finding it harder to hire and
retain qualified and motivated workers, which can have an adverse impact
on service quality.
The aggregate of small fast food restaurants, while still near the top of the
industry, falls 4 percent to 81 and is a major drag on the industrys overall
ACSI score. Panera Bread rounds out the top three companies with a first-
time score of 80.
The fast casual segment of quick service restaurants is nicely situated for
the confluence of changing consumer tastes and a rebounding economy,
says ACSI Director David VanAmburg. Consumers have a bit more money
in their pockets, but are still pressed for time. Fast casual outlets offer
higher-quality ingredients, freshness and fast service all at a reasonable
price.
Pizza chains suffer from changing consumer preferences. The four major
pizza purveyors in the study endure large customer satisfaction losses. Papa
Johns and Yum! Brands Pizza Hut each shed 5 percent to 78, while
Dominos falls 6 percent to 75. Little Caesars loses the most, diving 8
percent to 74. Over the past several years, pizza chains have increasingly
competed on price, sometimes at the expense of quality ingredients, and that
is now beginning to have a negative effect on customer satisfaction.
Established fast food entities like McDonalds (-6% to 67), Burger King (-
5% to 72), KFC (-1% to 73), Wendys (-6% to 73), Arbys (debuts at 74) and
Taco Bell (unchanged at 72) remain at the bottom of the industry. As the
largest fast food company in the United States, McDonalds weak customer
satisfaction puts downward pressure on the overall industry score. Company
revenue has dropped for six straight quarters. As the economy improves,
McDonalds needs higher levels of customer satisfaction if it is to reverse
the revenue trend.
Dunkin Donuts is the only fast food chain to improve customer satisfaction
in 2015. The company climbs 4 percent to 78, jumping ahead of Starbucks (-
3% to 74). In 2014, Dunkin Donuts rolled out a beverage rewards program
tied to its mobile app with seemingly positive results. The chain is extending
its U.S. presence beyond its Northeast stronghold to the West, hoping to gain
traction against not only premium outlets like Starbucks, but also
McDonalds, which offers quality coffee at lower prices.
In the full-service category, the aggregate of smaller chains scores 83 and
shares the lead with ACSI newcomer Texas Roadhouse. Dardens LongHorn
Steakhouse debuts at 81, but Outback Steakhouse slides 3 percent to 78.
Another new ACSI entrant, Cracker Barrel Old Country Store, scores 80,
coming in just ahead of Dardens Olive Garden (-1% to 79).
The competitive landscape once had full-service restaurants expanding their
menus to broaden appeal, but the trend now is toward simplification and
shorter menus. As of yet, however, these changes do not seem to have had
much of an impact for companies like Red Lobster (-1% to 77) and Chilis
(unchanged at 74). Other full-service restaurants new to the Index are Red
Robin Gourmet Burgers (77), TGI Fridays (76), Dennys (75) and Ruby
Tuesday (73).
In addition to company and industry customer satisfaction scores, the ACSI
measures critical elements of the dining experience that affect patron
satisfaction. These customer experience benchmarks include the quality and
variety of food and beverages, restaurant layout and cleanliness, and service
elements such as staff courtesy, food order accuracy, and speed of food
delivery to the customer.

TYPES OF RESTAURANT

Various types of restaurant fall into several industry classifications based

upon menu style, preparation methods and pricing. Additionally, how the
food is served to the customer helps to determine the classification.
Historically, restaurant referred only to places that provided tables where one
sat down to eat the meal, typically served by a waiter. Following the rise
of fast food and take-out restaurants, a retronym for the older "standard"
restaurant was created, sit-down restaurant. Most commonly, "sit-down
restaurant" refers to a casual dining restaurant with table service, rather than
a fast food restaurant or a diner, where one orders food at a counter. Sit-
down restaurants are often further categorized, in North America, as "family-
style" or "formal".
In British English, the term restaurant almost always means an eating
establishment with table service, so the "sit-down" qualification is not
usually necessary. Fast food and takeaway (take-out) outlets with counter
service are not normally referred to as restaurants. Outside of North-
America, the terms fast casual dining restaurants, family style, and casual
dining are not used and distinctions among different kinds of restaurants is
often not the same. In France, for example, some restaurants are called
"bistros" to indicate a level of casualness or trendiness, though some
"bistros" are quite formal in the kind of food they serve and clientele they
attract. Others are called "brasseries", a term which indicates hours of
service. "Brasseries" may serve food round the clock, whereas "restaurants"
usually only serve at set intervals during the day. In Sweden, restaurants of
many kinds are called "restauranger", but restaurants attached to bars or
cafes are sometimes called "kk", literally "kitchens", and sometimes a bar-
restaurant combination is called a "krog", in English a "tavern".
In Dishing It Out: In Search of the Restaurant Experience, Robert
Appelbaum argues that all restaurants can be categorized according a set of
social parameters defined as polar opposites: high or low, cheap or dear,
familiar or exotic, formal or informal, and so forth. Any restaurant will be
relatively high or low in style and price, familiar or exotic in the cuisine it
offers to different kinds of customers, and so on. Context is as important as
the style and form: a taqueria is a more than familiar site in Guadalajara,
Mexico, but it would be exotic in Albania. A Ruth's Chris restaurant in
America may seem somewhat strange to a first time visitor from India; but
many Americans are familiar with it as a large restaurant chain, albeit one
that features high prices and a formal atmosphere.

FAST FOOD
Fast food restaurants emphasize speed of service. Operations range from
small-scale street vendors with food carts to multi-billion dollar corporations
like McDonald's and Pizza Hut. Food is ordered not from the table, but from
a front counter (or in some cases, using an electronic terminal). Diners
typically then carry their own food from the counter to a table of their
choosing, and afterward dispose of any waste from their trays. Drive-
through and take-out service may also be available. Fast food restaurants are
known in the restaurant industry as QSRs or quick-service restaurants.
FAST CASUAL
Fast casual restaurants are primarily chain restaurants, such as Chipotle
Mexican Grill and Panera Bread. More of the food is prepared at the
restaurant than is the case at fast food chains. Fast casual restaurants usually
do not offer full table service, but many offer non-disposable plates and
cutlery. The quality of food and prices tend to be higher than those of a
conventional fast food restaurant but may be lower than casual dining.
CASUAL DINING
A casual dining restaurant is a restaurant that serves moderately-priced food
in a casual atmosphere. Except for buffet-style restaurants, casual dining
restaurants typically provide table service. Chain examples
include Harvester in the United Kingdom and TGI Friday's there and in the
United States. Casual dining comprises a market segment between fast food
establishments and fine dining restaurants. Casual dining restaurants often
have a full bar with separate bar staff, a larger beer menu and a limited wine
menu. They are frequently, but not necessarily, part of a wider chain,
particularly in the United States. In Italy, such casual restaurants are often
called "trattoria", and are usually independently owned and operated.
FAMILY STYLE
Family style restaurants are a type of casual dining restaurants where food is
often served on platters and the diners serve themselves.[4] In some regions,
alcoholic beverages are not sold at family-style casual dining restaurants.
FINE DINING

The Fat Duck, a fine dining restaurant in Bray, UK

Fine dining restaurants are full service restaurants with specific dedicated
meal courses. Dcor of such restaurants features higher-quality materials,
with an eye towards the "atmosphere" desired by the restaurateur. The wait
staff is usually highly trained and often wears more formal attire. Fine dining
restaurants are almost always small businesses and are generally either
single-location operations or have just a few locations. Food portions are
visually appealing. Fine dining restaurants have certain rules of dining
which visitors are generally expected to follow, often including a dress code.

CASUAL DINING VS QUICK SERVICE

The Restaurant Industry The Restaurant industry is one of the most
fragmented industries that accounted for more than $ 550 billion worth of
sales and employed close to 13 million people in 2008. Food and Beverages
establishments records close to $ 400 billion in sales, but is an extremely
labor intensive industry. Although, the employment in this industry is quite
high, the sales per employee stood at around $60,000 in the US, significantly
lower than other industries. Restaurants can follow various formats, but
some commonly known formats are the Quick Service, Fast Casual and
Casual Dining formats. Among the most common Restaurants formats are
the following:
CASUAL DINING: Serves moderately-priced food in a casual atmosphere.
Except for buffet-style restaurants, casual dining restaurants typically
provide table service. They usually have a full bar with separate bar staff and
a limited wine menu.
QUICK SERVICE: Speed of service and low cost are key considerations in
this format. A feature that distinguishes them from traditional restaurants is
absence of crockery and cutlery. The customer is expected to eat the food
directly from the disposable container it was served in.

TYPICAL RESTAURANT FORMATS

Even though all Restaurants serve a combination of food and beverages to
its customers, there exists some specific formats based on pricing,
preparation methods and menu style. Additionally, there are two aspects that
characterizes this industry:
a) Highly fragmented with innumerable single unit ventures
b) Presence of large franchisee operators that help propagate the Restaurant
brand and menu type across the country and the world
FAST CASUAL: Promises a somewhat higher quality of food and
atmosphere than Quick Service. Average prices charged are higher than
quick service prices and non disposable plates and cutlery are sometimes
offered. This category is a growing concept that fills the space between fast
food and casual dining
FINE DINING: These are full service restaurants with specific dedicated
meal courses. Dcor of such restaurants feature higher quality materials with
an eye towards the ambience desired by the restaurateur. The wait staff is
usually highly trained and often wears more formal attire. For the purpose of
this study, we have compared Quick Service with Casual Dining formats.
Fast Casual and Fine Dining are not explicitly considered.
Cognizant has worked across Fine Dining, Casual Dining, Fast Casual and
Quick Service formats. While engaging with our customers to solve the
various business and technical problems, it was evident that the Casual
Dining and Quick Service formats faced some unique challenges. The
solutions to these problems almost always required an understanding of the
nuances of the specific domain and sometimes required application of
different tools.
The functionalities are categorized into Front Of House, Back Of House and
Corporate systems and processes. Front Of House (POS and Portals) - Key
takeaways Quick Service menus are much more standardized than a Casual
Dining menus. Even though Combos and customizations are a norm in
Quick Service, the number of choices in a Casual Dining menu poses some
challenges for mobile ordering and menu management Handheld POS is
used in both formats but in different situationsDine-In Ordering for
Casual Dining as opposed to Curbside ordering for Quick Service Currently,
self service kiosks are more common in Quick Service and is used mostly as
a queue busting device. However, there is no restriction on Casual Dining
restaurants to use it, especially with the advent of Microsofts Surface
Computing technology, for enhanced guest experience Online Ordering has
taken off in Casual Dining and Fast Casual. Fast Casual formats such as
Pizza Hut has pioneered the concept of Online ordering and delivery. There
is a school of thought that Quick Service menu is not amenable to Online
Ordering, however the jury is still out on that. Online ordering is becoming
extremely popular as a sales channel
FRONT OF HOUSE: POS and PORTALS
FRONT OF HOUSE (POS AND PORTALS) - Key takeaways Quick
Service menus are much more standardized than a Casual Dining menus.
Even though Combos and customizations are a norm in Quick Service, the
number of choices in a Casual Dining menu poses some challenges for
mobile ordering and menu management Handheld POS is used in both
formats but in different situationsDine-In Ordering for Casual Dining as
opposed to Curbside ordering for Quick Service Currently, self service
kiosks are more common in Quick Service and is used mostly as a queue
busting device. However, there is no restriction on Casual Dining restaurants
to use it, especially with the advent of Microsofts Surface Computing
technology, for enhanced guest experience Online Ordering has taken off in
Casual Dining and Fast Casual. Fast Casual formats such as Pizza Hut has
pioneered the concept of Online ordering and delivery. There is a school of
thought that Quick Service menu is not amenable to Online Ordering,
however the jury is still out on that. Online ordering is becoming extremely
popular as a sales channel

FRONT OF HOUSE (CRM AND CHANNEL MANAGEMENT) - KEY

TAKEAWAYS
Media (print and TV) advertisements and associated even sponsorships are
much more common for Quick Service restaurants than their Casual Dining
counterparts Customer profiling, segmentation and Campaign management
is more common in Quick Service format. This seems to be an area of
opportunity for Casual Dining restaurants to invest in Up-selling and cross-
selling is prevalent in both formats, but is more effectively used in Casual
Dining, given the broader menu range Group ordering is prevalent in Casual
Dining and Banquets and has not been adopted in Quick Service The need to
manage multiple channels is currently more important in Casual Dining and
Fast Casual, given that restaurants have already started experimenting with
New Age Ordering channels such as Online and Mobile. We believe that
there is no restriction for Quick Service restaurants to start using these
channels

BACK OF HOUSE - Key takeaways Inventory Management complexity is

higher for Casual Dining given the number of menu variations possible.
Additionally, Shrinkage tracking gains importance in Casual Dining because
of high value items such as wine and some types of seafood. Conversely,
Quick Service is in more advanced stages of RFID adoption for inventory
tracking Owing to the nature of its format, Prep Projection is more scientific
and regimental in Quick Service. Hence, continuous forecasting and higher
replenishment frequency is a norm in this format Labor Scheduling
complexity and scheduling periodicity are higher in the Casual Dining
formats. This is because of the number of job code variants are higher and
the nature of the task tends to be more non-standard than in the Quick
Service formats. However, the routine nature of the job leads to a higher
employee turnover in the Quick Service format Serve time is important in
both formats, but assumes greater importance in QSR to reduce queue
waiting time. Given the nature of the menu, the actual time to cook is lesser
in QSR than Casual Dining and hence assumes lesser importance as a
customer service metric
A RESTAURANT FROM FAST FOOD TO FINE DINING

With so many choices for dining-out, you may need a restaurant guide to
help you make sense of them all. Want to know the difference between fast
food and casual dining? Curious about what sets fine dining establishments
apart from their casual cousins? If so, then this restaurant guide can help!
There was a time when the word restaurant referred specifically to an
eatery where customers were sat at tables and served by waiters. However,
with the rise of fast food and take-out restaurants, the meaning of the word
has grown quite broad.
FAST FOOD RESTAURANT
Fast food (or take-out) restaurants are those that emphasize low cost and
speed of service above all else. The fast food category covers a wide variety
of eateries, from small scale street vendors to globe-spanning franchises. For
the sake of convenience, these restaurants typically serve their food in paper
or plastic containers, providing disposable plastic cutlery if necessary.
Most fast food establishments offer a variety of low-maintenance, easy-to-
eat sandwiches and finger foods. These food items are often prepared ahead
of time so theyll be ready to serve as soon as theyre ordered. However, one
popular variation of the fast food model is the delicatessen, where made-to-
order sandwiches and salads are served from behind a counter.
By its very nature, fast food has a reputation for being unhealthy. However, a
number of fast food restaurants have amended their menu to offer fresh and
nutritional alternatives to their traditional fare.
CASUAL DINING RESTAURANT
Casual dining restaurants offer food that is moderately priced in an
atmosphere that is laid-back and informal. Most casual dining
establishments adhere to the traditional restaurant service model, where the
diner sits at a table, orders from a menu, and is attended by a server.
However, some casual dining restaurants offer a buffet-style serving line,
while others provide counter-service (similar to fast food restaurants, where
the customers place their order and pay at a counter, then carry their food to
their own table).
Casual dining restaurants typically provide a wider menu selection than fast
food eateries. Meals are served on proper plates, and actual cutlery is
provided. Many casual dining restaurants also include a full bar, with a
reasonable selection of beers and a limited wine menu.
Casual dining includes a wide variety of restaurant types, including
cafeterias, pubs, bistros, all-you-can-eat buffets, Mongolian barbecues, and
Japanese teppanyaki grills.
FINE DINING RESTAURANT
Fine dining restaurants are full service, offering high quality meals in a
formal atmosphere. Most fine dining establishments offer prix fixe menus
(limited menus that change daily or weekly). The food is expertly prepared
by chefs and often served in a manner that is creative and visually appealing.
With fine dining, the meal itself is an event, often delivered over a number
of set courses.
A fine dining restaurant usually features an extensive wine list that
compliments its menu. It also offers a variety of top shelf liquors, as well as
a selection of brandies, cognacs, and other after-dinner drinks.
Customers of fine dining establishments can expect to receive attentive
service from a well-trained and formally-attired wait staff. The servers are
knowledgeable and quite capable of making menu suggestions, or answering
questions. The atmosphere is traditionally that of fine china and linen
tablecloths, although some trendier restaurants may opt for modern
furnishings and bold colors. Lighting is generally subdued, and music is
often played subtly in the background.

FACTORS TO BE CONSIDERED
Expenditure for eating out surprisingly shows little relationship to income
levels. Nor is the age as important as determinant as is commonly supposed.
There is however a strong co-relation between family size and per capita
income in determining the expenditure away from home foe r food with
larger families spending less though not eating out less frequently. This
suggests that families are not taking their children out for relatively
expensive meals.

WHEN DO CONSUMERS EAT OUT

Study provides strong documentation for the frequently made assertion that
working wives make greater demand for food away from home. While there
is a higher incidence of food away from homes consumed by males,
particularly at lunch, this phenomenon appears to be indicative simply of
higher employment levels among males rather than any direct behavioral
pattern (preference).

TYPE OF CUSTOMERS:

Customers can affect the type of food served because of the following
factors:
Age
Sex
Occupation

The young boys will need substantial meals, whereas the young girls would
prefer dainty and small-portioned dishes. A group of farmers, who are used
to eating well will need a good quality of food and emphasis will be on
palatability and wholesome food.

CAPABILITIES OF KITCHEN STAFF:

The kitchen staff capabilities have to be seen, whether they will be able to
cope with the high-class cookery. Whether they are experienced and have the
skill and knowledge. If the staff is not capable, it will be difficult to produce
good meals.

EQUIPMENTS OF THE KITCHEN:

While planning the menu it is important to see that the kitchen is well
equipped as to be able to cope up with preparation of the various dishes. care
should be taken to see that the method of cooking is not repeated otherwise
certain equipments will be overloaded.

FOOD PREPARATION PREMISES:

By law no food establishment is allowed to carry on in any unsanitary

premises. A well-planned layout largely depends upon:

Receiving supplies
Storing of food properly
Food preparation
Cooking
Servery
Scullery

Intelligent placing of machinery, sinks and work tables are a contributing

factor to the total daily kitchen mileage off foods and unnecessary traveling
by the kitchen staff. A perfect planned kitchen is one, where raw and cooked
materials need the minimum of movement and require only to cover the
same route once. Attention must be given to lighting; wiring, ventilation,
planning, hot and cold-water service and appropriate specialist should be
consulted.

SURROUNDINGS AND ENVIRONMENT:

In any establishment a clients first impression on entering dining room are

of great importance. A customer may be gained or lost on these impressions
alone. The creation of an atmosphere is therefore a contributing factor to the
success of the restaurant. A careful selection of items in terms of scope
design and color enhances the overall dcor or theme and contributes
towards a feeling of total harmony. The choice of furniture and its placing,
linen, tableware, small equipments and glassware will be determined by
considering:

The type of clientele expected.

The site or location.
The layout of the food service area.
The type of service offered.
The funds available.
These are certain managerial handouts for the planning of surroundings and
environment for a successful food service outlet.

QUESTIONARE FOR RESTAURANTS

Name: Designation:
Outlet:
 WHAT is difference between fast food meal & hotel restaurant meal

____________________________________________________

Difference of price in fast food joint & hotel restaurant

How do compare food of fast joints & hotel restaurant

_____________________________________

Is there change of menu in fast food joints & hotel restaurant

How is ____________ positioned vis-a-vis other fast food joints?

___________________________________________________________

____________________________________________________________

How are the services of your restaurant, differentiated vis--vis the services of
the other restaurants?

___________________________________________________________

____________________________________________________________

Who are the target audience?

___________________________________________________________

____________________________________________________________

Where does you restaurant stand in the matched vis--vis other restaurants.

___________________________________________________________
____________________________________________________________

How much emphasis is placed on each of the following promotional tools:

- Advertising

- Sales Promotion

- Public Relation

Any particular advertising agency/PR firm handling your account?

___________________________________________________________

____________________________________________________________

On what basis are, the product at your restaurant priced?

___________________________________________________________

____________________________________________________________

How do you operate your distribution network?

___________________________________________________________

____________________________________________________________

Any specific period of the year when some special promotional schemes are
introduced?

CONCLUSION
The retail sector has played a phenomenal role throughout the world in
increasing productivity of consumer goods and services. It is also the second
largest industry in terms of numbers of employees and establishments.
There is no denying the fact that most of the developed economies are very
much relying on their retail sector as a locomotive of growth. The Indian
Retail Industry is the largest among all the industries, accounting for over 10
per cent of the country's GDP and around 8 per cent of the employment.
The Retail Industry in India has come forth as one of the most dynamic and
fast paced industries with several players entering the market. But all of
them have not yet tasted success because of the heavy initial investments
that are required to break even with other companies and compete with
them. The India Retail Industry is gradually inching its way towards
becoming the next booming industry.
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