If the demand for beef rises and the price in the feedlot market increases 3040 percent, Farm
Question:
If the demand for beef rises and the price in the feedlot market increases 30–40 percent, Farm Burger will be required to pay a premium of approximately $1.10 per pound, which is $0.30 per pound more than average for the beef that produces their main menu items. What can the owners do to make up for the additional cost and balance their expenses in order to maintain a healthy profit?
Farm Burger is a “farm and table” burger joint that was opened by George Frangos and Jason Mann in April 2010. Farm Burger seeks to create a superlative burger experience that directly connects the consumer to the producer. Farm Burger partners with local farmers, ranchers, and butchers in order to maintain an organic, sustainable, and humane system of beef production from pasture to processing and then directly to the restaurant. The burgers are made from 100 percent grass-fed beef. This means that the cattle roam freely through the pasture, grazing at their leisure, and they are never fed antibiotics, hormones, or grain. Farm Burger’s dedication to their craft and practice sustains a highquality product for their customers.
There are currently two Farm Burger locations in the Atlanta area. The first location was opened in Decatur, Georgia, which is dominated by residential urban communities. The second location was opened in Buckhead, Georgia, just 18 months after the Decatur property proved to be viable. The Buckhead location is positioned in a very active business district that drifts into the city of Atlanta.
Although its sales are approximately 30 percent lower than the Decatur property, Buckhead sees a heavy lunch crowd Monday through Friday that predominantly consists of business professionals working in the area.
Step by Step Answer:
Restaurant Concepts, Management, And Operations
ISBN: 9781119393580
8th Edition
Authors: John R Walker