Ricks is a popular restaurant for fine dining. The owner and chef, Rick Goetz, is pleased with his success and is now considering expanding his existing restaurant or perhaps opening a second restaurant. Before making his decision, Rick wants to find out more about his competitive position. There are three other restaurants that compete directly with him on food quality and price. Rick knows that his profitability depends on his ability to provide a satisfying meal at the market price. His first step was to gather some information about his customers, using an independent market research firm, which informed him that his customers were looking for taste, comfort (the ambiance, service, and overall presentation of the food), and enjoyment (the distinctiveness of the dining experience, a degree of excitement). He was surprised to find that comfort and enjoyment ranked highest.

First: Customer Criteria and Ranking
	Importance			Relative Importance
Taste		45			15.0	%
Comfort		95			31.7	%
Enjoyment		160			53.3	%
Total		300			100.0	%

Next, he worked with his key wait staff and chefs to try to identify the three main components, and related cost, of the service Ricks provided:

Second: Components and Cost
Components	Cost			Percent of Total
Menu and food preparation	$	8			30.77	%
Wait staff		12			46.15
Food ingredients		6			23.08
Total	$	26			100.00	%

Having the customer criteria and components, Rick now again worked with his staff to assess how each component contributed to the desired customer criteria.

Third: Determine How Components Contribute to Customer Satisfaction
	Customer Criteria
Components	Taste			Comfort			Enjoyment
Menu and food preparation		30	%		20	%		45	%
Wait staff		30			60			35
Food ingredients		40			20			20
		100	%		100	%		100	%

Required:

1.

Using the information Rick has developed, determine the importance index for each component (menu and food preparation, wait staff, and food ingredients). (Round "Importance Index" answers to 3 decimal places (i.e. .12345 = 12.345%).)

Ill just answer it myself, Thanks Chegg

Menu and food prep- 34.825%

Wait staff- 42.175%

Food ingredients-23.000%

Total 100%

2.

Calculate the ratio between the relative cost percentages for each component and your findings in Requirement 1. Determine what action Rick should take on each component. (Round "Ratio" answers to 2 decimal places.) 2. Menu and food prep - 1.13 Spend more Wait staff - 0.91 Spend less Food ingredients - 1.00 No action