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The Benihana of Tokyo restaurant and the expansion of its limited-menu model into the Benihana chain
Pages 3 (753 words)
Benihana Benihana first emerged as a restaurant in the United States in 1964 as a project of found Rocky Aoki (Sasser 2004). While the restaurant originally debuted as a small forty-seat unit in New York City, it has since expanded throughout the United States.
While there were initial attempts to enact franchises, the company ultimately determined that franchising would not be successful, as the largely Japanese staff didn’t translate well into the American climate. Cost Structure As noted above, Benihana implements a unique cost structure. In these regards, they are able to retain a relatedly low cost structure, as they do not have to implement a conventional kitchen. In these regards, Aoki as cited in Sasser (2004, p. 3) notes, I can give an unusual amount of attentive service and still keep labor cost to 10%-12% of gross sales (food and beverage) depending on whether a unit is at full volume. In addition, I was able to significantly increase the proportion of floor area devoted to productive dining space. Only about 22% of the total space of a unit is back of the house, including preparation areas, dry and refrigerated storage, employee dressing rooms, and office space. Normally a restaurant requires 30% of its total space as back of the house. Here it’s seen that through implementing the preparation of the food in front of the customer’s table strategy, the restaurant is able to offer a unique dining experience, attentive service, and low labor costs. Another important consideration is the nature of food storage. ...
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