In the restaurant industry there are diverse types of restau

In the restaurant industry, there are diverse types of restaurant ownership. What is the fastest growing trend of characteristics of restaurants today? Back up your answer with some research either from our textbook or any other reliable sources. Don’t forget to always cite your source in APA format at the end of your post.

Solution

Fast-Casual is the emerging phenomena in this new era

Full service restaurants are receiving check average of $20 which least among various types of food stores. So most of the food chains are specializing in certain type of foods. This is the reason full service restaurants are in trouble.

Today fast casual can be opened as little as $300,000 with minimum three to one investment ratio. Rather than investing in elsewhere people can enter into the fast-casual business. This industry also benefits from high unemployment in the country. Once hired people find it difficult to switch to another industry.

No wonder Subway is fast expanding than any other fast casual. It has very low start up cost and competition is also low. As the same time, it offers high volume of sale. Contrary McDonald has high investment cost nearly three times to that of Subway and offer same volume of sale. This makes difference to the business case of the Subway.

This new unit will continue to shape the industry and economy of this industry. It will pressurize establish brands to work out the new way and reduce cost / start-up pressure for franchise. This will give rise to many more emerging brands.

Source - 10 Trends Reshaping the Restaurant Industry by Aaron Allen - Global restaurent consulting