benihana of tokyo (2)

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Page 1: Benihana of Tokyo (2)

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Page 2: Benihana of Tokyo (2)

Globally famed Benihana chain of restaurants has set foot in Delhi providing a taste of authentic Teppanyaki, Japanese style of cooking stated a PTI report. Benihana, which means red flower in Japanese, is a restaurant chain famed for chefs who spin knives, juggle food and do other theatrics while they cook. 

"We don't need a separate space for a kitchen because we cook in front of our customers and serve them immediately. Our concept is 'My Kitchen is your Table'," Keiko Ono Aoki, CEO, Benihana said. 

Keiko was in the city to firm up plans for the eatery's scheduled formal inauguration in April this year. The chain now boasts of 80 restaurants in the US and 23 in Asia, United Kingdom and the Middle-East. 

"India is huge market so we decided to open here. New Delhi has a lot of diversified market - both local as well as international eating chains," said Porche Prasertchoang, Director Opertions, Benihana Tokyo. 

"We are more of a community dinning table. According to 'Rocky' 50 years ago it was very difficult for people to sit together and eat especially in England. He introduced the concept of eating together," said Keiko. 

The restaurant which has opened here at Nehru-Place's Epicuria Mall can seat over 40 people simultaneously. To cater to the Indian palate the eatery incorporates a number of vegetarian dishes and also hosts separate tables for vegetarian customers. "The restaurant has begun to make its mark here and we are hoping that after our formal grand opening night which we are planning to do in April will make even more flutter in the food market here. We have plans to also open in other cities and one more branch is Gurgaon," said Keiko. 

"We especially train our chefs to give the customer 'eatertainment'. They have to perform and entertain their customers with stories or tricks to woe them and make eating out a fun concept," said Keiko. 

Page 4: Benihana of Tokyo (2)

Founded in 1964, Hiroaki Aoki (Rocky)

Started franchising in 1969

15 units till 1972

Target high traffic area

Primarily located in business district, though easy access to residential area (Market research and setup at highly populated area)

Highly trained chefs 3 yr formal apprenticeship 3-6 months course in English language and American manners Training chefs used continuously Paternal attitude towards all its employees

Unique combination of Japanese paternalism in an American setting

Page 5: Benihana of Tokyo (2)

Benihana is the originator of the unique Hibachi cooking style and ‘Eatertainment’ created in United States.

Offers casual dining in a distinctive Japanese atmosphere enhanced by the entertainment provided by its Benihana chefs.

Chefs prepare fresh steak, chicken and seafood in traditional Japanese-style at the customer's table.

Meals are prepared at a Teppanyaki table surrounded by a wooden eating surface in front of the guests (Teppan meaning "steel grill" or "griddle" and yaki meaning "grilled" or "broiled").

Limited menu consisting of three basic items: chicken, shrimp and steak.

High proportion for productive dining space. Only 22% total space is back of the house.

Page 6: Benihana of Tokyo (2)
Page 7: Benihana of Tokyo (2)

From start to finish, Total service time is 45-60 minutes.

Average turnover time at the Teppanyaki table was 1 hour and upto 1.5 hours in busy periods.

After a group of 8 people were seated, the waitress would take the order and bring whatever soup, salad and beverages were requested.

After this, the chef would arrive and begin his show on the table.

Page 8: Benihana of Tokyo (2)

Cost Head Typical Sit Down Restaurant

Benihana

Food Costs (% of food sales)

38-48 % 30%

Beverage Costs(% of Beverage sales)

25-30% 20%

Labor Costs 30-35% 10%

Management Salary 2-6% 4%

Rent 4.5-9% 5%

Advertising and Promotion 0.75-2% 10%

Space Occupancy 30% 22%

Construction cost Lower Higher

Page 9: Benihana of Tokyo (2)

Labor cost = $1.3 million / year * 10% = $1,30,000 / year

Chicaco Unit - 30 People Salary of 1 Manager - $ 15000 Salary of 1 AM - $ 12000 Salary of 2 Front Men - $ 9000*2 = $ 18000People Left- 26

Salary of 1 chef = $ 9000Salary of 6 chefs = $ 9000 * 6 = $ 54000

Salary of other staff = 75000/20 = $ 3800/year

Page 10: Benihana of Tokyo (2)

Income 13,00,000

Expenses

Food 3,90,000 30%

Labor 1,30,000 10%

Advertising 1,30,000 10%

Management 52,000 4%

Rent 65,000 5%

Depreciation 52,000 4%

Total Expenses 8,19,000 63%

Gross Profit(EBITDA) 4,81,000

Tax 7,215 1.5%

Profit after Tax 4,73,785 36%

Page 11: Benihana of Tokyo (2)

Physical items

Walls, ceilings, lights, etc. are from Japan and the materials are originally shipped to the United States.

Sensual benefits

Highly trained native Japanese chefs Cooking is mainly showmanship Courtsey of chefs and waitress

Intangibility

Psychological benefitsExotic surroundings Authenticity of the placeSatisfaction and pleasure through ‘Eatertainment’

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