Case Study on Multicultural Cuisine Restaurant

This case study presents a comprehensive business plan for a multicultural cuisine restaurant in the UK. It includes an analysis of the restaurant industry, market research methods, ethical dilemmas faced by the management, and the application of legislation related to zero-hour contracts. The stu...Read More

CASE STUDY

TABLE OF CONTENTS
INTRODUCTION...........................................................................................................................1
TASK 1............................................................................................................................................1
Industry.......................................................................................................................................1
Location......................................................................................................................................1
Target customer...........................................................................................................................1
Business model...........................................................................................................................1
Business name.............................................................................................................................2
Visual identity.............................................................................................................................2
Business value for promoting business.......................................................................................2
REFERENCES................................................................................................................................2
TASK 2............................................................................................................................................1
Conducting market research........................................................................................................1
REFERENCES................................................................................................................................1
TASK 3............................................................................................................................................3
Resolving the ethical dilemma....................................................................................................3
REFERENCES................................................................................................................................3
TASK 4............................................................................................................................................5
Application of legislation related with Zero-hour contract ........................................................5
REFERENCES................................................................................................................................6
TASK 5............................................................................................................................................7
Description of business asset, liabilities, expenses and gains.....................................................7
Methods for avoiding cash flow problems..................................................................................8
REFERENCES................................................................................................................................8

INTRODUCTION
The present report is categorised in 5 tasks in which first is reflecting business plan of
restaurant in UK as Multicuisine restaurant and then development of market research in next
task. It has articulated about ethical dilemma and then compliance with equality and diversity
act. The last task describes about business assets and liabilities with £20000 budget.
TASK 1
Industry
This business will be developed in restaurant industry as UK restaurant numbers are
dropping as they are suffering due to fall in value of pound with reference to British vote as it
has made ingredients very expensive, increment in staff costs and partly because of increment in
minimum wage. Furthermore, UK industry's growth happened in too rapid aspect as it is
welcoming creativity at mid-scale level with context of ambitious chains investing in innovative
menus, quality ingredients and smart technology. The business will be operating as combination
of multi-speciality food almost of each type such as Italian, Mexican, Chinese, Thai and
continental.
Location
It will be situated at London in United Kingdom between corporate area and university as
it is business-oriented city with desire to perform and determination is specified as guaranteeing
possibility of career and especially in business and restaurant industry which is highly
competitiveness (Working in the restaurant industry in London, 2018).
Target customer
This business will be targeting young generation and professionals because they give
preference to variety of cuisines rather than single type. The young generation has desire for
consuming variety of foods and less source of income so affordable prices are set. In the similar
aspect, the professionals generate income so they give preference to spending in hygienic,
qualitative and good taste along with affordable price.
Business model
It will be adopting subscription or revenue business model as in this industry it will
operate with huge customer acquisition cost. There will be adoption for retaining customers for
long term contract and to secure recurring margin through repeat purchase of service of product.
In this aspect, there will be continuous monitoring and high focus will be given to Italian menu
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because majority of people prefer Italian food with similar atmosphere and culture. Henceforth,
it will be implying variance analysis for extracting deviations and to take corrective decision
related to break even has been acquired or not.
Business name
The business will be named as Multicultural Cuisine as it is reflecting theme and type of
food which will be offered through restaurant. This will be memorable, easy to spell or
pronounce and most essential is that concept of restaurant will be reflected. As its USP is also
reflected that it will be providing 5 types of foods with appropriate hygiene, quality and best part
is affordable pricing.
Visual identity
This will be including visuals with appropriate presentation of restaurant design, although
with great food and customer service are important for bringing back the customers. Apart from
that, brand development and branding are highly important visual concerns as this will be
covering logo signage, menu, interior design and websites as well. In this visual identity, there is
huge requirement of attractive website and high performance is highly important. The interior
design of restaurant will be giving vintage shade to its interior and welcoming staff.
Business value for promoting business
This business will be sourcing ingredients through local vendors and farm as patrons love
restaurants as contribution to society. In restaurant business, the major risk is of huge wastage
which will be manage by restaurant by giving food to feed poor individuals and animals. During
hiring of staff, the firm will comprise with Equality Act and employment legislation like
occupational health and safety, discrimination Act, etc. which replicates discrimination absence
of gender, race and caste as it is also economically good for restaurant and it will be promoting
diversity in this workplace.
REFERENCES
ONLINE
Working in the restaurant industry in London. 2018. [Online]. Available through
<https://sagitterone.co.uk/working-restaurant-industry-london>.
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TASK 2
Conducting market research
Primary research: For opening the restaurant business in UK the primary research will
be carried out with conducting survey. In this process questionnaires will be prepared and
specific the profession and young generation from the London will be interviewed. These
methods are chosen to determined views of chosen respondents about the UK food industry The
research will focus on their taste and preferences of young people for the food and the prices that
they will be willing to pay for particular cuisine.
Secondary research: In the secondary resources data and information from books,
journal and articles will be taken and evaluated. Focus will be kept on the relevant information
for successful restaurant in UK. The causes for present fall in UK food industry along with
identification of the measures that business must adopt for long term survival and growth
(Market Research For Restaurants, 2018). The authors will be renowned chefs, owner of food
chains and famous economist etc. Also, facts and figures will be taken from books and journals
reflecting the success factors of the restaurants in London.
Quantitative research: In the research all the numerical figures and data collected from
primary and secondary sources will be analysed in statistical form. The outcomes will be
presented in form of mean, median and mode from, which will be calculated through use of
SPSS and other analytical tools (Qualitative research, 2018). In this systematic empirical
investigation of the observations collected through interviews, questionnaires, books and journals
will be evaluated through statistical techniques because it provides the perspective of consumers
and food industry viably.
Qualitative research: This is another method that will be applied for analysing the data
so collected through primary and secondary sources. In this thematic presentation of the data
will be selected as which his critical evaluation of the data can be carried out. This present the
management a clear and precise results regarding the information so collected.
REFERENCES
ONLINE

Market Research for Restaurants. 2018. [Online]. Available through
:<https://restaurantsuccess.touchbistro.com/touchbistro-blog/market-research-for-
restaurants-101>.
Qualitative research. 2018. [Online]. Available through :<https://esrc.ukri.org/about-us/what-is-
social-science/qualitative-research/>.
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TASK 3
Resolving the ethical dilemma
For the given case where the owners of the business got an offer to published their
business on a website at discounted rate, which is well known for unfair treatment with its
employees. The website business is offering low prices with discount that can cut the cost for
promotion of their restaurant. This also offer great popularity of the restaurant as it has a vast
coverage of the consumers and audiences (Resolving Ethical Conflicts in the Workplace, 2018).
The association with that website present two issues that is damage to the brand image of the
restaurant along with demotivation of the employees. The ethical dilemma faced by the
management of the restaurant is determined as: to choose between reputation and moral interest
of employees or to get into with other business offering low cost promotion which is indulged in
unethical and unfair practices towards its employees.
Ethical dilemma faces by the restaurant is a situation that, it has to choose between right
and right. This is a moral situation where a choice has to be made between two equally
undesirable situations. The restaurant management do not want to let go this offer but on the
hand it cannot risk its reputation and demotivate the employees as well. In general practice
stakeholder are given priority over the business objective of profit maximization (How to handle
an ethical dilemma, 2018). Employees are being internal stakeholder form essential part of the
restaurant and with this business engagement their morals is likely to get down. The ethical
morals and principles are related with psychology and code of conduct. This can directly affect
their performance, ultimately affecting the profitability and effectiveness of the firm as they can
feel disconnected with the business from entering into a contract with such organisation
conducting unethical practises with its employees. Moreover, on one hand getting business
promoted at lower cost and on the other hand getting the reputation of restaurant at risk will
definitely reduce the consumer approach towards entity. This present management of the
restaurant a clear option to opt for the brand name and employees over the profitability
prospective of the business as this is a right choice to be made for betterment and future growth
of the restaurant.
REFERENCES
ONLINE
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How to handle an ethical dilemma. 2018. [Online]. Available through
:<https://www.acuitymag.com/business/how-to-handle-an-ethical-dilemma>.
Resolving Ethical Conflicts in the Workplace. 2018. [Online]. Available through
:<https://www.workplaceethicsadvice.com/2016/10/resolving-ethical-conflicts-in-the-
workplace.html>.
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TASK 4
Application of legislation related with Zero-hour contract
Zero-hour contract:
Under a Zero-hour contract is that type of contract between employer and worker where
the employee is not bound to accept the work offered by employer, and the employer is not
obliged to provide minimum working hours to the worker.
Implication of Equality and diversity while selection of the applicant:
The equity and diversity in the recruitment and selection of the applicant for Zero-hour
contract defines as selection of the best person on the basis of their merits as per the job
description. The selection process must be free from bias and discrimination on the base of age,
sex, gender, religious beliefs, race etc. all the candidate must be given equal opportunity to prove
their calibre and present themselves fit for the job and for the contract they have been applying
(Zero hours contracts, 2018). The mangers of the restaurant will be vigilant to abide by all the
provision defined under Equality Act, 2010. In the recruitment process no one will be
discriminated, victimized or harassed. Moreover, every person present for recruitment will be
given equal chance. No preferences will be given for their race, gender, colour etc. The selection
will be purely based on the talent and merit of the person who is fit for the job. With not
complying with all this rules the reputation of firm can be hampered. Master card is one of the
international brand that is inclusion diversity in its business practices as getting older employees
in the company more active when it comes to social media.
Rights of new employees:
As per the UK governmental provision everyone employed under Zero-hour contract is
entitled to the all statutory employment rights and there is no exception to this rule. All the
employment rights provided to the other employees associated with restaurant business must be
given to the employees under zero-hour contract (Equality and recruitment, 2018). They are
given a status of employee in the restaurant. The employees are eligible to get at least the
national minimum wages, paid annual leaves and rest breaks. They have right to be protected
against discrimination at workplace under the Equality act, 2010. The employees have right to
be protected against unlawful deduction from the wages, from whistle blowing and not to be
treated less favourably on the basis of their employment contract.
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REFERENCES
ONLINE
Zero hours contracts. 2018. [Online]. Available through
:<https://www.gov.uk/government/publications/zero-hours-contracts-guidance-for-
employers/zero-hours-contracts-guidance-for-employers>.
Equality and recruitment. 2018. [Online]. Available through
:<https://www.staffnet.manchester.ac.uk/equality-and-diversity/equality/equality-and-
employment/equality-and-recruitment-/>.
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TASK 5
Description of business asset, liabilities, expenses and gains
The restaurant business (Multi-speciality cuisine) will be initiated with budget of 20000
pounds as its appropriate description of assets, liabilities, gains and expenses are stated below:
 Assets: The assets of restaurant are resources used for running its operation and to serve
its guests. These items will be range through food ingredients till land of outlet. The
assets in this category are categorised as long- and short-term assets as every category has
different quality with reference to business. The assets could be kitchen appliances, tools
and equipments, land, groceries and antiques for decoring.
 Liabilities: The best understanding of various liabilities of restaurant helps in better
controlling, managing and for taking steps to eliminate it. It must specify level of
protection for restaurant could have against food borne illness reflects as general liability
insurance policy. In the similar aspect, common liability is debt, accounts payable, taxes
and payroll along with lease warranties. The liabilities are related to bear expense of
food safety, employees accidents or delivery disaster.
 Expense: In restaurant business, expense as it has huge overhead cost along with high
potential with perspective of waste. Its largest expense is labour, food and beverage. As
beverage and food is categorised in cost of sales. The most important is related to
marketing, occupancy expense, administrative cost, repairs and maintenance.
 Gain: It is extracted with subtraction of expenses from revenue or total sales.
Particulars Figures (pounds)
Cash inflows
Operating cash 20000
Sales 11000
Other income 6000
Cash inflows (total) 37000
Cash outflows
Food and beverage 15000
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Marketing 10000
Labour 5000
Administration expenses 3500
Occupancy expense 2500
Repairs and Maintenance
Total expenses 36000
Cash Deficit 1000
Methods for avoiding cash flow problems
The cash flow is replicated as lifeblood of business, if cash flow is not managed in
efficient aspect then there is huge possibility for creating loss. In this aspect, there are various
methods for avoiding cash flow issues which are stated below:
 To create forecast of cash flow: The monthly expenses must be gathered for forecast of
business as with this implication financial situation could be better understood and
prepared with context of unforeseen circumstances.
 Inventory financing: This could be used for financing inventory as good fit for ramping
involved for season or to purchase inventory to fulfil order prior to pay for past work.
 Payments should be on prior aspect: All invoices must be promptly and quickly chase
for bills overdue. This will be worth setting for clear payment terms with suppliers from
start of business.
 Friendly relation with lenders: There might be requirement of cash boost through bank
or lender especially at starting with requirement off overdraft or credit for operations
perspective. So in this aspect, they must stay on good terms with lenders and informed
about unforeseen outgoings and alterations in forecasts which will help in maintaining
good relationship (7 tips to avoid a cash flow crisis, 2018).
REFERENCES
ONLINE
7 tips to avoid a cash flow crisis. 2018. [Online]. Available through <https://www.sage.com/en-
gb/blog/7-tips-to-avoid-a-cash-flow-crisis/>.
CONCLUSION
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