1. our competitors on pricing of the foods



A century ago,
this place was a meeting point for the guild of bakers, milers and sailors but
now it is where Swiss people come to eat Swiss food. Pfistern restaurant is in
the Luzern old town facing lake side, its located in Konark 4 CH-6004 Luzern.
The interesting of restaurant remain Guild House around the local area with a fantastic
view of Chapel Bridge, which is an amazing spot for customers to stop by to try
the delicious classic Swiss foods or drinks and take pictures of the bridge
during the time they are there, and it is also easy access to public
transportation as well as it is also meet the customers need (Restaurant-pfistern.ch,

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Maps, 2018)




This restaurant has
been serving the customers for more than 500 years and it is where you can find
all type of Classic Swiss dishes such as geschnetzeltes with rösti, home-made
cheese fondue, etc… Its authentic, rustics interior and peaceful ambience
which make the evening so cozy. There are multiply seats area indoor, terrace
and outside but outside and terrace only open in summer. The restaurant
amenities are free WIFI, dog allow, access for handicap and restaurant with
terrace and garden. It offers lunch and dinner with À-la-carte – set menus;
opening time for Monday to Saturday at 9:00 to 24:00 and for Sunday is at 9:00
to 23:00(Tripadvisor.com, 2018).





2.      Description
of business and Competitors


restaurant is in the old town area of Luzern, next to the Reuss lake with an
amazing view of the Chapel Bridge and you can also explore the city of Luzern
by foot. This is the restaurant, where you can find all the Classic Swiss
Foods. Its take six minutes’ walk from Luzern Bahnhof to Pfistern and it is two
minutes by the bus (one stop) but then you must walk hundred meters to
restaurant. In the following paragraph, I will discuss about our competitors on
pricing of the foods and location. In the following paragraph, I will discuss
about our competitors and compare the price of the foods.



(Google Maps, 2018)



Our main
competitors are Brasserie Bodu restaurant and Rathaus Brauerei restaurant: –


Brasserie Bodu
is located next door to Pfistern. It is also a fine dining restaurant which
have similar ambience and the style of the restaurant to Pfistern but they
serve Classic French dishes (Französische Küche,2018).

Rathaus Brauerei
is in Unter der Egg 2, 6004 Luzern. In the distance wise, this restaurant closer
to the public transportation. It is not a hundred percent fine dining but more
like fining dining mix with chilling feeling in the sense that customers do not
have to wear formal dress to go there. The ambience of this restaurant is cool
as they also have the fantastic view of the Chapel Bridge and they serve Swiss
dishes (Pixmill GmbH, 2018).





Maps, 2018)







Meal Category

(Swiss Cuisine)

Brasserie Bodu
 (French Cuisine)

Rathaus Brauerei
(Swiss Cuisine)


9.00 – 20.00

10.00 – 14.00

9.00 – 18.00

Main Course

24.00 – 42.00

               26.00 – 44.00

24.00 – 43.00


7.00 – 15.00


8.00 – 17.00












3.      Supplier
Selection Theory and Proposed Suppliers: –


selection theory


A good supplier
should be able to meet the need of the customer such as the product quality,
price, reliabilities and customers services. To meet the benefit of both side
of businesses, good supplier must always communicate and keep a good
relationship with their partners. To prove that they are good suppliers, they
should remain competitive on the price of their competitors, do not deliver
damage product, take responsibilities of the product quality and cooperation
with third party (Anon, 2018).


selection is the process of selecting the product/material from the right
supplier that needs for the business. To select the suitable supplier for the
business, its involve the six steps of supplier selection.



According to
Ojugo, (2010) mentioned 6 steps of supplier selection are: –


Inspect the
premises – it is very important to inspect the premises to make sure that they
practice the food safety, staffs’ personnel hygiene, proper equipment and
standard operating procedure. For example, restaurant buy some products from
supplier, but they did not check on the products that they brought which have
been sold to the customers. In case of food poison, they would not know if it
from the supplier or restaurant which cost the reputation of the restaurant to
go down and lost the partnership with the suppliers (Cheshireeast.gov.uk, 2018).


Discuss quality
and quantity – to discuss about the quality and quantity, it can be done by
using the specification of the product. This would help the supplier to know
what we need. To clear the illustration, the supplier got an order from a
restaurant that they want a chicken, so supplier deliver the whole piece of
chicken for them, but they just want a chicken wing which cost more expense. In
this step, specification of a product is very important (The Balance, 2018).


Request for
price – the purpose of this step, it’s to request for price of products that
you need from supplier, to compare with other suppliers which help to lower
your expense.


Reference check
– it is the process of asking information from your friends or local around
that area about the supplier.


Trial period – it
is a period of time for testing on a product whether it is worth it for
business. So, it is also helping to verify that this company is up to standard
or not (Sheffield, 2018).


Sign the
contract – if the buyer is happy with the above steps. So, sign up the contract
with the supplier, win for both side.





For the
suppliers, I have chosen Pistor and Coop for the restaurant as they are very
well known throughout Switzerland. In the following paragraph, I will explain
why I have chosen these suppliers for the restaurant.




it is a food and
beverage supplier, located in Hasenmoosstrasse 31, 6023 Rothenburg/LU. Pistro
AG is the market leader for bakeries around Switzerland. They always be on
watch of the food safety on their products, to make sure that the buyers would
not lost their businesses because of their products. Over all suppliers, I have
chosen this supplier because its situated close to the restaurant which could
be consistency on time and how they take care of the products by not deliver
damage products, good and clean packaging, hygienic transportation and always
on time (Pistor AG, 2018).






 It is also a food and beverage supplier,
located in Rössligasse 18-20, 6000 Luzern. Coop was a small company but now
they became one of an international retail and wholesale in business. In terms
of delivery, they have home delivery, delivery by parcel service and pick-up
locations, this process could be more flexible for the buyer to used. For the
buyers who live in the cities, it would be more convenience for them because
when they order the products that they need, it will be delivered in 1 hour
(this process only possible from 12:00 to20:00 o’clock). Moreover, the products
were deliveries very fast, but the products were undamaged which prove that
they always take care of the products (Coopathome.ch, 2018).









Fruits and



Pistro and Coop

Dry goods







4.      Justification
of New Menu Items: –


The menu helps
the customers to give decision of what they want to eat, description of the
foods and give the suggestion about the wine that match with the food, show the
price of the foods and other information about restaurant such as concept of
the restaurant, WI-FI password etc. When the food is out of stock, the menu
should be immediately update (Mentalfloss.com, 2018).


In our new menu
items, we have 9 courses menu consists of 3 starters, 3 main courses and 3 desserts
of Swiss cuisine. For the starter, I have chosen seasonal leaf salad, variation
salad and chardonnay cream soup with herb, these three dishes are quite popular
for Swiss people. Especially chardonnay cream soup, it is very creamy with
freshness smell of white grapes (Amawaterways.com, 2018).


Next in the main
courses menu, I have chosen Veal with mushroom sauce and roasted potatoes, Chicken-wing
with special garlic sauce come with French-fries and Pappardelle with creamy
cheese potatoes sauce. In the menu, I have put one vegan dish for the


All the desserts
that I have put on the menu, it is mainly meant for taking during spring and
summer. For example, strawberry frappe would be nice when you have it during
summer and enjoy the sunshine.

(Canva.com, 2018)


Cost and Selling Price of New Menu
Items and Overall Food Cost Percentage: –


The most important costs of running a
restaurant are food and labor costs, this is also called as prime cost. To find
food and labor costs, calculate them as a percentage of the total volume sale.  The average food cost percentage should be between
25% to 35% for a fining restaurant, this number is based on the weekly
inventory and this also help to cover your overhead expenses
(Smallbusiness.chron.com, 2018).


According to Tetreault (2018) mentioned that
this are the steps for calculating the food cost percentage;

-List all food supplies you received at the
start of the week.

-Sum together the dollar value of each item.

-Track your purchases.

-Take inventory again at the beginning of
next week.

-Add together total food sales per shift.                                              

-Calculate actual food cost for the week.


In the above figure, I have found that
average food cost percentage is 30% which is between 25% to 35%. This are the
formula that the author used to find the cost of food per portion, selling
price per portion and food percentage;

cost of food per portion – take the total cost
of recipe divided by number of portion to get the cost of food per portion

selling price per portion – take cost of food
per portion divided by the food cost percentage times 100 to get the selling
price per portion

food cost percentage – take cost of food per
portion divided by selling price per portion times 100 to get the food cost

Average food cost percentage – take the total of
cost of food per portion divided by the total of selling price per portion
times 100 to get the average food cost percentage.


6.      Merchandising
Techniques Proposed: –


According to (Smallbusiness,
2018), “Merchandising is the arrangement of products in a physical or online
store to maximize sales. The objective of merchandising is to close the sale
after advertising campaigns bring customers into the store”. Merchandising is
to promote your goods by their presentation, this has become a huge success in
restaurant industry because it is really helps to increase the profits for the
industry by making a unique selling point.



A.     Starter
– Variation of salad with turkey:


Technique proposed: cooking in front
of the customers.


Justification: this process is done
by the waiter or waitress that they will take a wooden trolley to the table
with all the ingredients for a salad, then the waiters or waitresses will perform
a live cooking in front of the customers which its very attractive for other
customers to look at and they might want to order it when they are back here.
It is also to prove; how hygienic the process of cooking method has been done
for the customers. This technique also helps to alluring the people who walk by
the restaurant, to come over and try the foods from our restaurant which help
to increase the customers and profit at the same time. So, the staffs must be well
train by the chef, therefore they will not do anything wrong in front of the customers.









(Pinterest, 2018)



Main course – Swiss Veal with Mushroom
sauce and roasted potatoes.


Technique proposed: live cooking.


Justification: in this technique includes
the waiters or waitresses and chef in the role together. In the process, the
kitchen will prepare the pre-cook veal for the main chef and decorate the
plates and then put the roasted potatoes for the waiters/waitresses to take it
to the table, then the main chef will going to the table for performing his
live cooking by cutting the veal in pieces and put the boiling oil on the veal,
according to the customer’s choice if they want rare, medium or well done and
in the same time the chef will do a bit fire performance while cooking to make
the customers be more attractive. Overall, this technique is similar with the starter,
but it is more attractive because in this process the chef is showing fire performance
while cooking which will be alluring by many customers. In the below picture,
you can see that customers have to sit in the live cooking station but for
Pfistern I have changed by the chef have to go to the table for performing live










(Tripadvisor.com, 2018)


Desserts – Chocolate Fondue.


Technique proposed: separate dessert
station from the main kitchen.


Justification: our dessert station
will be place near the main entrance and place a big chocolate fountain machine
that should be visual for the customers to look at and they would surely know
that we have chocolate fondue for a dessert. Moreover, the people who wanted to
eat chocolate fondue and they walk by the restaurant would absolutely want to
try it out with an amazing view of the chapel bridge