Business Commons^™

The Left Bank Brasseries: The Evolution Of A French-Inspired Restaurant, John A. Sansone

Scholarly and Creative Works Conference (2015 - 2021)

Due to the high failure rates of restaurants in the United States, many studies have come up with various reasons to explain the underlying causes of such a phenomenon. One key study by Parsa (2005) suggests, “Restaurant failures have been attributed to economic and social factors […]” and “Restaurant failures can be studied from economic, marketing, and managerial perspectives.” In particular, lack of capital is a major contributing factor for restaurants failure and researchers agree that a restaurant without a sufficient amount of capital will not survive because of three major expenses: overhead, labor, and food cost. Today’s service industry …