Recipient Organization
NEW MEXICO STATE UNIVERSITY
1620 STANDLEY DR ACADEMIC RESH A RM 110
LAS CRUCES,NM 88003-1239
Performing Department
Hotel, Restaurant & Tourism Management
Non Technical Summary
The restaurant Industry is the second largest employer in the U.S. and restaurant demand is projected to increase in future years. In an age where more restaurants are coming into business rapidly and also going out of business steadily, there is a need to develop some operational strategies for running a restaurant successfully. This study will examine success factors for independent restaurants using survey methodology, survey industry and students about their education and examine individual restaurants as case studies.
Animal Health Component
40%
Research Effort Categories
Basic
50%
Applied
40%
Developmental
10%
Goals / Objectives
The goal of the project is to provide information to current and potential restaurant operators by examining in depth specific factors and developing benchmarks in the course of the study. The purpose of this project is to investigate factors that contribute to success of food service businesses in New Mexico, USA by developing a variety of studies that focus on specific areas of the dining and beverage industry in New Mexico within independent restaurants and bars. The reasons restaurants are successful is a complex and diverse research topic and it provides an opportunity to develop diverse research threads that all will contribute to an improved understanding of the topic. The dining and beverage industry encompasses a wide variety of segments such as quick service, casual dining, fast casual dining, sports bars, nightclubs, lounges and fine dining that exist within diverse facilities that might be located in free standing restaurants or bars, hotels, bed and breakfasts, inns, motels, malls, clubs, supermarkets, convenience, stores, breweries, wineries, entertainment complexes, travel plazas, parks, schools, office buildings and healthcare facilities.The dining and beverage business is the second largest employer in the USA, trailing only government employment, and thus is one of the USA's largest private sector employers and the following facts provided by the National Restaurant Association (2014) indicate that in the U.S.A. the business produces in 2014: · 683.4 billion: Restaurant industry sales.· 3.6%: Restaurant industry sales increase in nominal terms.· 1.2%: Restaurant industry sales increase in real (inflation-adjusted) terms.· 990,000: Restaurant locations in the United States.· 13.5 million: Restaurant industry employees.· 10%: Restaurant workforce as part of the overall U.S. workforce.· 47%: Restaurant industry share of the food dollar.· Eight in 10: Restaurant owners who started their industry careers in entry-level positions.· Nine in 10: Salaried restaurant employees who started as hourly workers.· Nine in 10: Restaurants with fewer than 50 employees.· Seven in 10: Restaurants that are single-unit operations.In New Mexico, more than 3076 food service outlets exist that produce more than $3 billion in sales (NMRA, 2013). New Mexico restaurant industry employs an estimated 82,400 people that is expected to grow to 93,600 people in 2022. Local data indicates the Southern New Mexico restaurant industry is growing by almost 6% in the last year and will continue to grow at the same or an expanded rate (Economic Data on Tourism, 2013). There is a lack of information available on the reasons for success of restaurants in Southern New Mexico. It is hoped this study will be the basis for a research thread that will provide a more complete understanding of factors contributing to restaurant success beyond simple financial issues. There is a lack or real research on the subject and thus a lack of understanding of the restaurant industry in Southern New Mexico. This is especially critical due to changing demographics that appears to be increasing demand for a variety of sophistication and style in cuisine and atmosphere in Southern New Mexican restaurants. The industry appears to be in a major transition period leading to challenges for both new and established operators.There is a lack of information available on the reasons for success of restaurants in Southern New Mexico. It is hoped this study will be the basis for a research thread that will provide a more complete understanding of factors contributing to restaurant success beyond simple financial issues. There is a lack or real research on the subject and thus a lack of understanding of the restaurant industry in New Mexico. This is especially critical due to changing demographics that appears to be increasing demand for a variety of sophistication and style in cuisine and atmosphere in Southern New Mexican restaurants. The industry appears to be in a major transition period leading to challenges for both new and established operators.This project is expected to have a variety of implications and the information generated in New Mexico that might be utilized to improve or change the existing business and have the following objectives :1.Help potential investors to learn about common mistakes and enter the restaurant arena with a recipe of success.2. Assist restaurants owners struggling to attain the breakeven or to delay the downfall to come out of the crises by identifying the root causes3. The findings of the research might be useful to restaurateur to develop a competitive business model for a restaurant and understand current trends.4. The findings might be used by educational institutions and teachers to better prepare future operators and employees for the industry.5. Explore modern technology issues, social media and beyond as wells current technology trends to provide information to operators and improve success.6. By exploring ignored/unexplored issues, restaurant owners and operators will have an opportunity to share their experiences and to learn from the mistakes and successes of others in the same industry.7. Identify the discrepancies and issues relating to products and services offered by different players in the industry in New Mexico meeting the needs of the stakeholders.
Project Methods
The first study will use quantitative and qualitative survey methodsasking for respondents input on success factors for independent restaurants and beverage operations. This study will use the survey validated in the 2008 study of restaurants in Southern New Mexico. The research study will utilize both primary and secondary data focusing on restaurants in Dona Ana County in Southern New Mexico. The preliminary study will be completed by January 2016. The complete study will be completed by June of 2017 and be analyzedThis study, using quantitative survey methodology will report responses to ratings of factors for success from current owners and operators of successful restaurants inNew Mexico, USA. The factors will be categorized into the domain and sub-domains 1) External Environment- General and Specific, 2) Internal Environment- Operational and Personal, 3) Family Life Cycle.Students enter hospitaltiy and culinary education institutions with expectations of the experience and what skills/knowledge they will master.They discover how prepared they are for a culinary career after going to work in the industry.Employers expect students to enter the workplace with specific skills and abilities. This study uses survey methodology to examine current and graduated culinary student responses to educational skills attained. Both groups' perceptions are examined to determine what and how institutions might best prepare students for success in the workplace. Findings provide both similarities and differences among respondent groups. Implications for institutions, curricula, industry employers and students are discussed. This study will survey educators, students and industry about their perceptions of culinary programs and their graduates including how they address teaching students about food allergies and will be presented at academic at academic and professional conferences as well as published in refereed journal and industry publications.Using case study methodologyat least one case study per year for the duration of the project on best food and beverage practices examining signature New Mexican dishes in independent restaurants in Southern New Mexico. Other research threadsmay be developed as a result of these case studies.