Restaurants feel sting of surging costs | Homework Help
A Wall Street Journal article titled “Restaurants Feel Sting of Surging Costs”. The article states that many restaurant chains are feeling the sting from the recession and the rising cost of food. As a result of the sluggish economy, many people are eating out less frequently. One owner of a small restaurant has decided to aID a 35-cent surcharge for sour cream. The owner raised the price of steak entrees by $1. And the owner stopped serving cherry cobbler, replacing it with less expensive apple cobbler. Question: Do you think it is a wise idea to charge extra for sour cream and to switch desserts in order to save money? What other things would you recommend to the owner in order to improve they operations so that the restaurant can return to profitability?
please SUPPORT your thoughts and suggestions. Usually two to three paragraphs is sufficient.
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