RED STEER - Kevin Vyavahare

Vyavahare, K., Arora, R., IHM-A
INSTITUTE OF HOTEL MANAGEMENT,
AURANGABAD, INDIA
“Submitted in fulfillment of the requirement of the University of
Huddersfield, UK for BA (Hons.) in Culinary Arts”
2008 - 2009

DISCMAILER
The information contained here is no way to be constructed as a recommendation of the
institute of hotel management, of any industry standards or as recommendation of any
kind to be adopted by or binding upon any member of the hospitality industry. The
Information contained in this project is a result of compilation through information
through books and internet. Any discrepancies or clash of views on any point should not
take as a binding fact.

Declaration
We declare that this project is the result of our own collection effort and that it conforms
to university, department and course regulation regarding cheating and plagiarism.
No material contained within this project has been used in any other submission, by the
author for an academic award.
Kevin Vyavahare (c1023)
Rachit Arora (c1038)

Acknowledgements
We would like to thank our colleagues from the IHM-A, and elsewhere for their help and
guidance in the compilation of this work.
A special note of thanks to Mr. Rushad Kavina, project Guide, for his invaluable
support through out the entire project.

Index
Disclaimer………………………………………………………………………………….I
Declaration………………………………………………………………………………..II
Acknowledgment………………………………………………………………………...III
Index…………………………………………………………………………………… IV
Table and Figures Index…………………………………………………………………IX
CHAPTER 1: INTRODUCTION................................................................................. 12
1.1 Introduction....................................................................................................... 12
1.2 Conceptual Development.................................................................................. 13
CHAPTER 2: MARKETING PHASE ......................................................................... 16
2.1 Introduction.......................................................................................................... 16
2.2 SITUATION ANALYSIS: EXTERNAL .......................................................... 18
2.2.1 Introduction to the city of Aurangabad......................................................... 18
2.2.2 History Of Aurangabad..................................................................................... 20
2.2.3 Fact Sheet of Aurangabad............................................................................. 22
2.2.4 Aurangabad City Map................................................................................... 24
2.3 P.E.S.T ANALYSIS ............................................................................................ 25
2.3.1 Political Factors ............................................................................................ 25
2.3.2 Economic Factors.......................................................................................... 26
2.3.3 Social Factors............................................................................................ 27
2.3.4 Technological Factors:.................................................................................. 29
2.4 HOTELS AND RESTAURANTS IN AURANGABAD .................................... 32
2.4.1 Hotels............................................................................................................ 32
2.4.2 Eating out...................................................................................................... 32
2.5 COMPETITOR FACT SHEET AND S.W.O.T ANALYSIS ................................ 34
2.5.1 Fact Sheet of Amarpreet ............................................................................... 34
2.5.2 S.W.O.T Analysis of Amarpreet................................................................... 35
2.5.3 Fact Sheet of City Spice................................................................................ 36
2.5.4 S.W.O.T Analysis of City Spice................................................................... 37

2.5.5 Fact Sheet Of Angeethi................................................................................. 38
2.5.6 S.W.O.T Analysis of Angeethi ..................................................................... 39
2.5.7 Fact Sheet Of Kream N Krunch.................................................................... 40
2.5.8 S.W.O.T Analysis of Kream n Krunch.......................................................... 41
2.6 MARKET SHARE VERSUS FAIR SHARE ANALYSIS .................................... 43
2.6.1 Fair Share...................................................................................................... 43
2.6.2 Market Share................................................................................................. 44
2.6.3 Performance Ratio ........................................................................................ 45
2.6.4 Analysis of Fair Share versus Market Share of Market Share of
Competitors Alone.................................................................................................... 45
2.6.5 Analysis of Fair share versus Market Share ................................................. 46
2.6.6 Calculation of Revised Market Share of Competitors.................................. 47
2.6.7 Calculation of Revised Market Share Percentages of Competitors.............. 48
2.6.8 Fair Share versus Market Share: Overall Analysis and Summary............... 49
2.7 An overall Assessment............................................................................................ 49
2.8 Sample Questionnaire............................................................................................. 50
2.9 QUESTIONNAIRE SURVEY ANALYSIS........................................................ 54
2.9.1 Detailed Income analysis by Gender, Age Group ........................................ 54
2.9.2 Food Preferences (Vegetarian vs. Non Vegetarian) ..................................... 58
2.9.3 Restaurant Preferences.................................................................................. 63
2.9.4 Preferred Lunch and Dinner Timing preferences ......................................... 66
2.9.5 Preferred Service styles................................................................................. 67
2.9.6 Preferred locations ........................................................................................ 68
2.9.7 Restaurant Factor Analysis ........................................................................... 69
2.9.8 Beverage Preferences.................................................................................... 70
2.10 REVENUE GRID ANALYSIS ......................................................................... 72
2.10.1 An Examination of the revenue Grid.......................................................... 73
2.11 THE MARKETING MIX..................................................................................... 75
2.11.1 Product:....................................................................................................... 76

2.11.2 Price: ........................................................................................................... 76
2.11.3 Place:........................................................................................................... 77
2.11.4 Promotion:................................................................................................... 77
2.12 Fact sheet of Red Steer ...................................................................................... 78
2.12.1 S.W.O.T Analysis: Red Steer ..................................................................... 79
CHAPTER 3: OPERATIONAL PHASE ..................................................................... 81
3.1 INTRODUCTION ................................................................................................ 81
3.1.1 The Organization’s Goals ............................................................................. 82
3.1.2 The Vision................................................................................................. 82
3.1.3 The Mission .................................................................................................. 82
3.1.4 The Aim .................................................................................................... 83
3.1.5 Business Objectives .................................................................................. 83
3.1.6 Business Strategy – competitive advantage.............................................. 83
3.1.7 The Organization’s Strengths ................................................................... 83
3.1.8 The Organization’s Weaknesses............................................................... 84
3.2 RED STEER - THE CONCEPT.......................................................................... 85
3.2.1 Level and Style of Services........................................................................... 85
3.2.2 Cuisine .......................................................................................................... 85
3.2.3 Clientele Profile ............................................................................................ 86
3.2.4 Location and Positioning .............................................................................. 86
3.2.5 Duration of Operations ................................................................................. 87
3.2.6 Property Cost and Information: .................................................................... 87
3.3 LEGAL FORMALITIES – LAWS AND LICENSES ........................................ 88
3.3.1 Approval of the Project / No Objection Certificate ...................................... 88
3.3.2 Registration under Bombay Shops and Establishment Act, 1948 ................ 88
3.3.3 Police Registration Certificate (P.P.E.E) and License to Operate Place of
Public Entertainment (P.P.L).................................................................................... 90
3.3.4 No Objection Certificate from Fire Department........................................... 91
3.3.5 Maharashtra Prevention of Food Adulteration Act,1954.............................. 91

3.3.6 Eating House License ................................................................................... 93
3.3.7 Food and Drug Control Act License (F.D.A) ............................................... 93
3.3.8 NA Layout .................................................................................................... 94
3.3.9 State Excise and Prohibition License: FL- II................................................ 94
3.3.10 Electricity Connection (Commercial)......................................................... 94
3.3.11 Water Prevention and Control Act 1974..................................................... 95
3.3.12 Water Connection Certificate ..................................................................... 96
3.3.13 Clearance from the Maharashtra Pollution Control Board ......................... 96
3.3.14 Pollution Clearance..................................................................................... 97
3.3.15 Sanction of LPG.......................................................................................... 97
3.3.16 Sanction for Garbage Disposal ................................................................... 97
3.3.17 Receipts of Trade Refuse Charges.............................................................. 97
3.3.18 Approval for Cold Storage Installation....................................................... 98
3.3.19 Contract Labour License............................................................................. 98
3.3.20 Sales Tax..................................................................................................... 98
3.3.21 Land and Building Tax ............................................................................... 98
3.3.22 Availing of Fiscal Incentives ...................................................................... 99
3.3.23 Weights and Measurement Certificate........................................................ 99
3.3.24 Heavy Machine Operating Permission ....................................................... 99
3.3.25 Gradation License....................................................................................... 99
3.3.26 Employee State Insurance Scheme (ESIS) ............................................... 100
3.3.27 Professional Tax Certificate for the Employee and Employer ................. 100
3.3.28 Providend Fund Act.................................................................................. 100
3.3.29 Nokarnama of each Employee.................................................................. 100
3.3.30 Company Registration .............................................................................. 100
3.3.31 P.N.R for Eating House ............................................................................ 101
3.3.32 Trade / Storage License ............................................................................ 101
3.3.33 Structural Slab Certificate......................................................................... 101
3.3.35 Insurance................................................................................................... 101

3.3.36 Health Certificate for the Staff.................................................................. 101
3.3.37 Excise Account Register........................................................................... 102
3.3.38 Health License .......................................................................................... 102
3.4 HVAC and AIR CONDITIONING ...................................................................... 103
3.4.1 Costing of HAVAC and Air Conditioning ................................................. 104
3.5 AREA REQUIREMENT AND ALLOCATIONS ............................................... 105
3.6 FACILITIES PLANNING AND INTERIOR DESIGNING................................ 107
3.6.1 Décor and Atmosphere ............................................................................... 107
3.6.2 Flooring....................................................................................................... 108
3.6.3 Furnishings.................................................................................................. 108
3.6.4 Restrooms ................................................................................................... 108
3.6.5 Interior Costing........................................................................................... 109
3.7 INVENTORY REQUIREMENT AND COSTING............................................ 115
3.7.1 Cutlery inventory ........................................................................................ 115
3.7.2 Crockery inventory ..................................................................................... 116
3.7.3 Wine Room Accessories............................................................................. 117
3.7.4 Glassware Inventory ................................................................................... 119
3.7.5 Inventory of Cleaning Equipment............................................................... 120
3.7.6 Wine Inventory ........................................................................................... 122
3.7.7 Beer Inventory ............................................................................................ 126
3.8 EQUIPMENT REQUIREMENT AND THEIR COSTING................................. 127
3.8.1 Heavy Kitchen Equipment Costing ............................................................ 127
3.8.2 Light kitchen Equipment Costing........................................................... 129
3.9 STAFFING ..................................................................................................... 131
3.9.1 Hierarchy of service and kitchen staff ........................................................ 132
3.9.2 Staffing Requirements and Duty Roasters.................................................. 133
3.9.3 Salaries of the Employees........................................................................... 137
3.9.4 Employee uniforms..................................................................................... 138
3.9.5 Job Descriptions and Specifications of Restaurant Staff ............................ 142

3.10 MENU PLANNING ........................................................................................... 149
3.10.1 Menu Pricing............................................................................................. 150
3.10.2 Important Suppliers................................................................................. 151

Table and Figures Index
Table 1: Fair Share of Competitors………………………………………………………32
Table 2: Market Share of Competitors…………………………………………………...33
Table 3: Analysis of Fair share versus Market Share of Competitors Alone……………34
Table 4: Calculation of Revised Market Share of Competitors…………………….........36
Table 5: Calculation of Revised Market Share Percentages of Competitors…………….37
Table 6: Fair Share Versus Market Share: Overall Analysis…………………………….38
Table 7: Revenue Grid……………………………………………………………….......61
Figures 1: Male -Female Ratio…………………………………………………………..43
Figures 1: Male Age group Analysis…………………………………………………….44
Figures 2: Female Age group Analysis…………………………………………………..45
Figures 3: Male Salary Analysis…………………………………………………………46
Figures 4: Female Salary Analysis………………………………………………………47
Figures 5: Figure5: Male Food Preference (Vegetarian vs. Non Vegetarian)…………...47
Figures 6: Female Food Preference (Vegetarian vs. Non Vegetarian)…………………..48
Figures 7: Male Meat Preference………………………………………………………...49
Figures 8: Female Meat Preference……………………………………………………...50
Figures 9: Overall Meat preferences …………………………………………………….51
Figures 10: Restaurant preferences by males…………………………………………….52
Figures 11: Restaurant preferences by females………………………………………….53
Figures 12: Overall Restaurant Preferences……………………………………………...54
Figures 13: Preferred Eating Timing…………………………………………………….55
Figures 14: Preferred service Styles……………………………………………………..56
Figures 15: Preferred Locations………………………………………………………….57
Figure 16: Restaurant Factor Analysis…………………………………………………...58
Figure 17: Male alcohol Beverage Preferences………………………………………….59
Figure 18: Female alcohol Beverage Preferences………………………………………..60

CHAPTER 1: INTRODUCTION
1.1 Introduction
This project is a feasibility study which analyses the viability of establishing “RED
STEER”, a Steak House and Sizzlers in the area of Nirala Bazaar in Aurangabad. It seeks
to evolve an evaluative framework for the study, based on four critical aspects of food
and beverage enterprise planning, out of which the entrepreneurs will be covering the
first two aspects i.e., the Marketing Phase and the Operational Phase, which are as
follows:
1. Marketing Phase:
Using a structured and well-organized strategy, the Marketing Phase creates the
foundation of this project. It encompasses all marketing research activities undertaken by
the Entrepreneurs to investigate the viability of the concept vis-à-vis its environment,
internal as well as external.
2. Operational Phase:
The Operational Phase gives an insight into establishing the operations of the outlet, and
considers all costs expected to be incurred during the course of operations of the
enterprise.
In the succession as mentioned above, the two phases have been carried out by the
entrepreneurs in order to determine and study the feasibility of the opening and
establishing the proposed concept of a steak house and sizzlers, Red Steer.

1.2 Conceptual Development
One of the key stages of conceptual development is developing the idea of object
permanence.
Concept Development is the identification, definition and collection of ideas that
constitute what guests will see as the restaurant’s image. A holistic process, it challenges
The owner and planner to create a restaurant in which every component is designed to
Reinforce the perception favored by guests, and create repeaters.
Concept development involves finding and implementing an operating style that can
occupy a unique position in the minds of the target market and be consistently operated at
a profit. This is an inexact science, relying on an elusive ability to "see what's not there,"
but there are several identifiable characteristics of a good concept:
Flexible - the ability to evolve over time without loss of market identity
Simple - more classic than trendy with resulting potential for longevity
Profitable - the ability to generate excellent return on investment
Duplicable - the ability to regenerate and expand
Compatible - does not require extensive, expensive renovations to an existing physical
plant
Fresh and Exciting - not a "me too" approach
Appropriate - meets a real need and creates sufficient "gravity" to attract crowds of
guests
Consistent - can deliver on its promises using the prevailing labor market and existing
management capabilities
Distinct - uniquely fills a niche in the minds of the target market
Durable - can stand on individually in the market,
Complementary - does not require directly confronting a competitor while enhancing
the overall dining market
Any food and beverage enterprise begins with a concept potential market. All other
components revolve around these two important considerations. The following diagram,

extracted from Walker and Lundberg’s (2005), The Restaurant from Concept to
Operation, covers the various aspects of a concept.
Figure 1: Components of a Concept
Looking at a more wide-based, all-encompassing theory of conceptual development, the
Entrepreneurs have four distinct variables, as defined by Katisgiris and Thomas’ (2006)
that have assisted in developing the Red Steer Concept:
1. Food
Red Steer will be without doubt the best place to have steaks and the chief factor that
would makes this restaurant special will be the quality of the meat. A steak is only as
good as its cut and here you will get prime cuts.
Management
Price
Location
Atmosphere
Service
Menu
Quality
Food
Concept and
Market

Red Steer will also serve perfectly seasoned steaks sizzling on platters heated to 450
degrees, mouthwatering sides, and fantastic desserts.
A lovely wine room will be available for private events and occasionally will serve as an
additional bar.
2. Service:
The Entrepreneurs stress a lot on the importance of human resources in hospitality-based
services and feel that the overall aim of every service-oriented business should be that
guests feel reasonably well-cared and valued for by the employees who serve them.
The service would be impeccable with a touch of friendly, gracious, welcoming,
courteous and responsiveness.
3. Design & Décor:
Red Steer will have a sleek, polished look. The interiors will be welcoming with oak
paneling, brass accents, and black-and-white photos. The decor will be simple yet
elegant.
The outlet’s atmosphere has also been designed keeping in mind the likes of the targeted
market segments.
4. Uniqueness:
Red Steer, a Steak House and Sizzlers, in Nirala Bazaar, Aurangabad will itself be unique
since its only one of its kind in Aurangabad. Also Providing Wine Room for wine lovers,
which would make Red Steer, stand out.

In the Marketing Phase, our research will include interviews with the target market, site
visits to competitive and complementary restaurants, reviews of restaurants outside the
market area for elements of interest or value and the identification of strengths,
weaknesses and voids in the market.

2.2 SITUATION ANALYSIS: EXTERNAL
2.2.1 Introduction to the city of Aurangabad
Aurangabad is one of the important cities of Maharashtra and Central India. Aurangabad
is a historic city that traces its origins to the early Buddhist era of 200 BC. The City is the
gateway to the famous Ajanta and Ellora caves and the temple town of Shirdi.
The District is known as Aurangabad after the name of its headquarters. Malik Amber,
prime minister of Murtaza Nizam Shah II of Ahmadnagar, inhabited it on the site of the
Khirki village in 1610. After his death in 1626, the name was change to Fatehpur by his
son Fatehkhan. When Aurangzeb, the mughal emperor invaded Deccan in the year 1653,
he made Fatehpur his capital and renamed as Aurangabad. Since then it is known as
Aurangabad.
Aurangabad, commonly used as a base for a visit to the World Heritage Sites of Ajanta
and Ellora is seeped in medieval history. Named for Aurangzeb, the last of the great
Mughal Emperors, Aurangabad acquired plenty of monuments and a rich culture as its
heritage from the middle ages. The one single factor that determined Aurangabad's role in
the history of medieval India is its location. So strategic is its location at the cross roads
of north and south India, that Mohammed-bin-Tughlak and Aurangzeb, two powerful
kings attempted to translocate their capital from Delhi to Aurangabad. Their vision was
clear, from Aurangabad, they would be better able to control both northern and southern
regions of their empires. The fact they failed should not be attributed to the inherent flaws
in their scheme as it should on the less evident fact that their empires were crumbling.
Under Aurangzeb, Aurangabad became the seat of the powerful Mughal Empire for a
short while. His predecessors prefered Agra, Delhi or Lahore - all in the north, and
Aurangzeb's move was not unopposed. But the autocratic Emperor's were prevailed. The
Mughal court moved to Aurangabad and remained there till his death. Built during his
years in Aurangabad were such architectural gems as the Bibi-ka-Maqbara, a mausoleum

with a marked resemblance to the Taj Mahal and a medieval watermill. Aurangabad
became a thriving industrial centre with many fine academic institutions. Its textiles
became much sought after and even today, the weavers of Aurangabad produce fine
textiles like paithani, himroo and kimkhwab.
But Aurangabad's crowning glory is undoubtedly the famous Buddhist caves at Ajanta &
the magnificent rock temples of Ellora. Built between 200 BC and 650 AD, the viharas
and chaityas at Ajanta are masterpieces as are the incredibly ornate temples carved out of
hard rock at Ellora.
Apart from being a tourist destination, the city is also a major manufacturing centre. On
the outskirts of the city, the Shendre, Chikalthana and Waluj industrial estates set up by
the Maharashtra Industrial Development Corporation are home to major multinationals in
the automobile and consumer durables industry.
The City and Industrial Development Corporation of Maharashtra Ltd. (CIDCO)
expertise has brought in to develop a New Aurangabad into a well-laid out town, with
adequate provision for housing for low income groups, gardens, playgrounds, schools,
colleges, community centers, cinema halls, stadium and a bird sanctuary. Some very
successful city projects have been undertaken by CIDCO which are now managed by the
Aurangabad Municipal Administration.

Modern Aurangabad retains an Islamic ambience and still retains an old world charm.
Veiled women (in burkhas) move about in the Chowk area, the call of the muezzin can be
heard over the din and bustle of traffic, and come Friday, large crowds veer towards the
mosques for ritual prayers. But the city has donned a more contemporary face as a major
industrial centre for pharmaceuticals, automobiles, textiles and electronics and as the
gateway to the cave temples of Ajanta & Ellora.

2.2.3 Fact Sheet of Aurangabad
Coordinates: 19°32′N 75°14′E / 19.53, 75.23
Time zone IST (UTC+5:30)
Area
• Elevation
196 km² (76 sq mi)
• 513 m (1,683 ft)
District(s) Aurangabad
Population
• Density
1,414,918 (2006)
• 7,219 /km² (18,697 /sq mi)
Mayor Mrs. Vijaya Rahatkar
Codes
• Pincode
• Telephone
• 431 001
• +0240
Habitat
Aurangabad city is located in the northern part of the state of Maharashtra, in the western
region of India. 375 km away from the state capital, Mumbai, Aurangabad sits in a
strategic position on the Deccan Plateau. The city is surrounded by hills of the Vindhya
Ranges and the River Kham passes through it.
Climate:
The climate of Aurangabad is temperate with moderate winters in the months of
November-February and hot summers from April through to June.

2.2.4 Aurangabad City Map

2.3 P.E.S.T ANALYSIS
2.3.1 Political Factors
The city is administered by the Aurangabad Municipal Corporation (AMC). The
executive power of the corporation is vested in the hands of the Municipal
Commissioner, Shri. Dilip Band, (On 9th
June, 2008).
Aurangabad Municipal Corporation (AMC) being the local civil body, it is divided in six
zones, each overseen by the Deputy Municipal Commissioner for Administrative
purposes.
The Mayor Mrs. Vijaya kishor Rahatkar, appointed on 29th
Oct, 2007, heads the
corporation which consists of directly elected corporators. The mayor has few executive
powers.
Judiciary Aurangabad is a bench of the Bombay High Court, which is situated on Jalna
Road, Aurangabad. There is also a District and Sessions Court in the city. Jalna is an
administrative district in the state of Maharashtra in India.
Mr. Sanjeev Jaiswal, Collector & District Magistrate (Aurangabad), an IAS officer
appointed by the state government on 21st
May, 2007, is in charge of property records
and revenue collection for the central government. They also overlook the national
election held in the city.
Aurangabad contributes one seat to the Lok Sabha. The seat is currently held by Mr.
Chandrakant Khaire, MP of the Shiv Sena party. And two seats for Assembly,
Aurangabad West (Indian National Congress) and Aurangabad East (National Congress
Party).
The Aurangabad Municipal Corporation also initiates several measures to improve civic
services and is trying to make the city industry-friendly.

In the Pharmaceutical sector, Wockhardt, Shreya Life Science, Orchid, Lupin, Atra &
other have big presence. Incidentally a Bio-tech park from Wockhardt was inaugurated
by our Honorable President Dr. APJ Abdul Kalam in the year 2004.
Aurangabad being well connected to Mumbai and Delhi by air with flights operating
daily and the nearness to Mumbai Port and presence of Inland container Terminal greatly
helps in boosting exports.
All in all, a booming industrial zone helped the city to grow.
Aurangabad has also seen a spurt in financial activities. Almost all public sector and
private banks have opened up their branches in Aurangabad. The Major Banks that have
their branches include The State Bank of Hyderabad, Citibank, Deutsche Bank, Yes
Bank, Bank of India, State Bank of India, ICICI Bank, HDFC Bank, Axis Bank, IDBI
Bank and Bank Of Rajasthan.
2.3.3 Social Factors
Education
Since India's independence, Aurangabad is a major learning center of central
Maharashtra. Aurangabad is the headquarter of Government-funded Dr. Babasaheb
Ambedkar Marathwada University. It caters to government aided and recognized colleges
in the four adjoining districts. The City also has other Private Universities and
Autonomous institutions like Institute of Science, DOEACC, Govt. Engg. Colleges,
ICFAI College, Private Engineering Colleges, Dr Rafique Zakeria group of institutes etc.
Entertainment
Aurangabad has two multiplexes and 14 Movie theaters. Both multiplexes are situated in
new Aurangabad CIDCO region of the city. Both, PVR Cinemas and Fame Tapadia are
three screen multiplexes in the city.

The city also has three public auditoria:
1) Sant Eknath Rangamandir, 2) Tapadia Natya Mandir, 3) CIDCO Auditorium.
Media and Communications
Newspapers:
Apart from the City-Based Hindi National newspaper group Lokmat's Hindi Newspaper
Lokmat, Major Marathi newspapers published in Aurangabad include Sakaal, Punya
Nagari, Saamna and Loksatta. The Lokmat Group of Newspapers publishes three main
editions, Lokmat Times (English), Lokmat Samachar (Hindi) and Lokmat (Marathi).
Television:
Doordarshan's Sahyadri and DD News Territorial Television channels are available in
Aurangabad. Satellite television services are available through Doordarshan Direct Plus,
Dish TV and Tata Sky. One private Cable network MCN,in pact with Hathway, provides
cable TV services.
Radio:
City has Four FM radio stations. All India Radio has one FM station in the city, operating
at 101.7 MHz. The same feed is available in AM at 1521 kHz. Gyaanvani is FM Facility
dedicated to University learning and distance education. Radio Mirchi operates on 98.3
MHz and Ace FM at 93.5 MHz. Private Satellite radio WorldSpace, is also available
Telephony and Internet:
Mobile Telephony and Fixed Mobile Telephony services are provided by service
providers like Airtel, Idea Cellular, Vodafone, Reliance Communications, Tata Indicom
and the government controlled BSNL.

Fixed Telephony (Land line) is provide by BSNL, Airtel and Tata Teleservices.
BSNL, Reliance, Tata Indicom and Sify provide end user internet facilities, with BSNL
being the sole Broadband Service Provider.
The establishment of the Marathwada Development Corporation is one of the most
important landmarks in the history of the economic development in this region in modern
times. The Corporation has been set up recently primarily for undertaking promotional
activities and industrial development in this region. It is noteworthy that the activities of
this body would be oriented to strengthen the agricultural economy which is
contemplated to be basic to industrialization. The Corporation has undertaken certain
feasibility studies which are expected to encourage new industrial ventures in the region
2.3.4 Technological Factors:
Aurangabad is welcoming the latest trends in entertainment and retail – PVR and Fame
are already established here. Prozone Liberty, a joint venture between Provogue and
Liberty International of UK are setting up a shopping mall in Aurangabad. The malls will
accommodate hypermarkets, super markets, multiplexes, book and music stores and
multi-brand outlets. Entertainment World Developers and Hyper City Retail also have
plans to construct shopping mall-cum-multiplex projects in Aurangabad.
The State government is directing efforts towards making Aurangabad an investor
friendly destination. It has initiated the strengthening of infrastructure within the city and
has awarded contacts to the MSRDC on a build, operate and transfer basis for 5 flyovers,
5 rails over bridges, a subway and six roads. These moves are expected to have a positive
effect on the investment climate in Aurangabad.
In Aurangabad sixteen I.T. companies have already been established, and more are
waiting to establish their bases in this city, mainly because of it's large urban and

RAIL
Aurangabad is a Railway Station of South-Central railway on Manmad - Secunderabad
section. The city has direct rail links to New Delhi, Mumbai, Pune and Hyderabad.
The superfast Janashatabdi Express is the fastest and most comfortable train option to and
from Mumbai with a total traveling time of 6 1/2 hours and convenient timings. Two
overnight trains namely Deogiri Express, and Latur Express along with two day trains
Tapovan Express and Nandigaram Express also ply between Mumbai and Aurangabad on
a daily basis.
ROAD
Aurangabad is linked by national highways and state highways to all parts of the country.
Aurangabad has excellent road connectivity to all important cities in Maharashtra namely
Mumbai, Nagpur, Pune, Nasik etc. The excellent road connections make the journey to
the world famous destinations of Ajanta and Ellora very comfortable.
Mumbai can be reached by road via Pune or Nasik. The best option if you can not afford
flights is train though. Via road Pune is a faster option despite a bit longer distance.
MSRTC or private buses ply regularly and are an overnight journey. A few recommended
private buses to Mumbai would be Royal Cars (AC), Konduskar (AC), Neeta Volvo,
Khurana travels (Ac Sleeper), Ghatge Patil-Snozzer (AC Sleeper), Humsafar (Non AC
budget carrier). Book your tickets only from authorized travel agents like Welworth,
Manmandir, Baba petrol pump etc.

2.4 HOTELS AND RESTAURANTS IN AURANGABAD
2.4.1 Hotels
1) Hotel Windsor Castle – 4* 2) Hotel Taj Residancy – 5*
3) Hotel Rama International – 5* 4) Hotel Ajanta Ambassador – 5*
5) Quality inn Meadows – 3* 6) Hotel President Park – 3*
7) Aurangabad Gymkhana Club – 4* 8) Hotel Classic, Railway Station Road,
Aurangabad 2*
Good budget Hotels include:
1) MTDC Holiday Resort (Government Owned & Opetated) - Station Road
2) Hotel Amarpreet - Kranti Chowk
3) The Manor Hotel - Kranti Chowk
2.4.2 Eating out
Aurangabad has a fairly good restaurants and eating joints. Apart from the star category
hotels there are many restaurants in the city. If you are a full Indian meal lover then That-
Baat and Bhoj are just for you. Hotel Angeethi and Riviera offer good Non-Vegetarian
Indian cuisine. Smile Restaurant, Laadli are a few of the good pure vegetarian a-la-carte
and breakfast options. Good cakes and savouries can be enjoyed at Baker's Lounge in a
cosmopolitan and elegant decor. Kream n krunch is one place where you can catch up
with your peers over a cup of coffee. It also serves good dimsums and good desserts like
brownie sizzled with hot chocolate, is a delight to the palate. If you can digest extremely
hot n' spicy meat then you can visit The Maratha Hotel - a bit down-market place. Newly
opened Restaurant city Spice is a treat to Aurangabad, which serves good continental
food. Pit Stop –sports Bar is another attraction to the Auranagabad.

2.5 COMPETITOR FACT SHEET AND S.W.O.T ANALYSIS
SWOT analysis is a tool for auditing an organization and its environment. It is the first
stage of planning and helps marketers to focus on key issues. SWOT stands for strengths,
weaknesses, opportunities, and threats. Strengths and weaknesses are internal factors.
Opportunities and threats are external factors.
2.5.1 Fact Sheet of Amarpreet
ADDRESS Hotel Amarpreet,Kranti Chowk,Jalna
Road,Near Mseb Office
Nehru Marg, Aurangabad, 431001
CHAIN/INDEPENDENT Independent
TIMINGS Open for Breakfast, Lunch and Dinner
CUISINE SERVED Multi Cuisine- Continental, Indian, Oriental
NUMBER OF COVERS 140
AVERAGE COVERS DONE PER DAY 350, 140
AVERAGE CHEQUE PER COVER Rs 325-350
FASTEST SELLING FOOD ITEM Tandoori Kebab Platter
BEVERAGE PREFERENCE Orange Blossom
TYPE OF SERVICE Fine Dining
CLIENTAL Elite
PEAK DAYS Friday to Sunday (20:30pm-22:00pm)
UNIQUE SELLING PROPOSITION Variety and Quality of Menu

2.5.2 S.W.O.T Analysis of Amarpreet
Strengths:
Excellent Quality and Quantity of
food served.
Authenticity of both Indian and
Chinese cuisine is maintained.
Staff of the Restaurant is polite.
Offers an extensive bar menu.
Located in commercial and
residential area of Aurangabad.
Famous for its menu, having a
large variety of different cuisines
to choose from.
Has a huge flat home theatre
system, which may appeal to the
guest in times of sports matches.
Weakness:
Seating is not comfortable
Décor is plain and will become
repetitive for repeat customers.
The lighting in the restaurant is
very dark, and is not very
appealing.
Caters to high budget customers
No space for parking
Opportunities:
Re-decorate the restaurant and
change the lighting.
Scope for outdoor catering
Menu prices should be reduced to
attract more customers.
Can arrange special themes for
special days.
Threats:
Competition faced from other
inexpensive outlets in the vicinity.
More multi-cuisine restaurants
being established.

2.5.4 S.W.O.T Analysis of City Spice
Strengths:
Located near to fame cinemas.
Hence attracts a lot of movie
viewers and is also popular
among students and family.
Food Quality is good and tasty.
Well-furnished and Trendy
interiors.
Good portion size and have vast
variety of menu
Weakness:
Service is very slow
Less staff in service
Staff does not have enough knowledge about
service
Cutlery is not of good quality as they serve in
plastic plates.
Opportunities:
Can go for outdoor caterings
Can go for bar options
Can bring in ceramic cutlery.
Can bring good source of
entertainment.
Threats:
A lot of competition from existing restaurants
that are serving same cuisine but at lesser
price.

2.5.5 Fact Sheet Of Angeethi
ADDRESS 6,Mehar Chamber,Jalna Road
Vidya Nagar, Aurangabad, 431001
CHAIN/INDEPENDENT Independent
TIMINGS 12:00 noon – 11:00 PM
CUISINE SERVED Indian, Chinese and Continental
AREA 1750 sq ft
TOTAL COVERS 60 Covers
AVERAGE COVERS DONE PER DAY 140
AVERAGE CHEQUE PER COVER Rs 200
TYPE OF SERVICE Formal
UNIQUE SELLING PREPOSITION Murg Makhani

2.5.6 S.W.O.T Analysis of Angeethi
Strengths
Located in one of the prime areas
of Aurangabad. Hence attracts a
lot of business clients and is also
popular among students and
family.
Service is fast and speedy so it
wont disappoints you
Staff is very friendly and
courteous towards the guests
Economically priced menu
Weaknesses
Ambience requires improvement in terms of
furnishings, color, furniture and fixture.
Low number of service staff
There is a lack of parking space, so vehicles
have to be parked on the road.
Due to new flyover, restaurant is unnoticed
and approach is also difficult.
Opportunities
A constant market available as it is
a commercial area.
Due to the presence of certain
colleges like JNEC, MGM, and
IHM it has the ability of attracting
students.
Threats
Competition from other similar outlets
existing in the area.
Changing food trends in the market and
customer preferences.

2.5.8 S.W.O.T Analysis of Kream n Krunch
Strengths
Situated in prime location of
Nirala Bazar, which is a well
established market.
Food Quality is good and tasty.
interiors.
They cater to a vast category of
clients, as their menu is not highly
priced.
Have maximum number of
desserts listed on their menu.
The staff is well informed about
the menu.
Have home delivery facility.
Started giving packaged food to
cinema halls.
Weakness:
Seating arrangements are not
spacious. Thus creates
inconveniences to the guests.
During peak hours restaurant gets
tight on space.
Service is very slow.
Menu is not attractively designed.
Does not provide enough parking
spaces.

Opportunities:
Can open more outlets in prime
locations as their present outlet is
doing well.
They can have more trained staff
to serve fast as it is so popular and
demanding.
They can have some different
menu on weekends being so
popular and demanding.
Threats:
They have not refurnished their place since
it’s opened.
Lots of food and beverage outlets near by.

2.6.2 Market Share
Market share is defined as the amount of covers an outlet would sells compared with the
total number of covers in each outlet. The following table summarizes the Market share
figures and percentages of all four competing restaurants.
Outlet Market Share
(Number of Covers Done)
Market Share percentage
Kream n Krunch 200
32.52
City Spice 65
10.569
Amarpreet 210
34.146
Angeethi 140
22.764
TOTAL 615 100
Table 2: Market Share of Competitors
An example of the calculation of the Market share percentage figures is given below:
Amarpreet
Market Share, i.e., total number of covers = 105
Market Share Percentage = 210 × 100 = 34.146 %
615

2.6.3 Performance Ratio
The performance Ratio for a particular food and beverage outlet is calculated by dividing
the market share of the restaurant by its fair share.
Market Share
Performance Ratio = __________________
Fair share
As far as competing restaurants are concerned, the outlet with the highest performance
ratio is said to be performing the best. With respect to the proposed outlet, if the
performance ratio is greater than one, then the concept is worth venturing into, and if it
is lesser than one, it is not worth venturing into.
2.6.4 Analysis of Fair Share versus Market Share of Market Share of
Competitors Alone
Table 3: Analysis of Fair share versus Market Share of Competitors Alone
Outlet
Name
No. 0f
Covers
Fair
Share%
No. 0f
Covers
Market
Share%
Performance
Ratio
Kream n
Krunch 23 9.66 200 32.52 8.695
City Spice 50 21 65 10.569 1.3
Amarpreet 105 44.12 210 34.146 2
Angeethi 60 25.22 140 22.764 2.333
TOTAL 238 100 615 100 14.328

2.6.5 Analysis of Fair share versus Market Share
Considering the average number of covers in every restaurant in the a

2.6.7 Calculation of Revised Market Share Percentages of
Competitors
Using these revised market share figures of the competitors after the entry of Red Steer,
the revised Market Share Percentages of Competitors have been calculated.
Outlet Revised Market Share
(Number of Covers Done)
Revised Market Share
Percentage
Kream n Krunch
162.276 26.366
City Spice
52.735 8.574
Amarpreet
170.35 27.659
Angeethi
113.553 18.463
Red Steer
116 18.861
TOTAL 615 100
Table 5: Calculation of Revised Market Share Percentages of Competitors

2.6.8 Fair Share versus Market Share: Overall Analysis and
Summary
Outlet Name
No. of
Covers
Fair
Share%
No. of Covers
Done
Market
Share%
Performance
Ratio
Kream n
Crunch 23 8.156 162.276 26.366 7.055
City Spice 50 17.75 52.735 8.574 1.054
Amarpreet 105 37.25 170.35 27.659 1.62
Angeethi 60 21.276 113.553 18.463 1.892
Red Steer 44 15.602 116 18.861 2.636
TOTAL 282 100 615 100 14.257
Table 6: Fair Share Versus Market Share: Overall Analysis
2.7 An overall Assessment
The average performance ratio in the market after the entry of the proposed Steak House
and Sizzlers is 2.636. This figure, which is way above 1, is representative of the fact that
regardless of the overall less number of total covers that each outlet has, the turnover per
day is quite high. It must be remembered, that all the above restaurants are essentially
casual up market eateries or cafes. The performance ratios of all outlets even after entry
of the proposed outlet remains above 1, that is, on the whole, these would still be doing
quite well as far as cover turnovers are concerned.

Fill in the Followings (with genuine answers
wherever required)
1. How would you categorize yourself as a diner?
Vegetarian Non-vegetarian Both
2. If Non-Vegetarian, kindly rank your preference
for the following: (1 – being the highest and 4 –
being the lowest)
Beef
Lamb
4. Which restaurants do you visit most regularly?
Rank your preference( 1-5)
Kream n krunch
City Spice
Angeethi
Amarpreet
Other
5. What time of day do you most often eat at
this/these restaurants?
Afternoon
6. Do you know any Steak house restaurant in
your locality or one who serves it? (If Yes,
please mention it.)
Yes, No
7. What type of Steak house restaurant would
you look out for?
Silver service
semi -formal service
Carryout/Take-out
8. Where do you want the new restaurant (Red
Steer) to be situated?
Please fill in

Spouse/Escort
11. What are your views on our proposed Steak House and Sizzlers?
-----------------------------------------------------------------------------------------------------------
------------------------------------------------------------------------------------------------------------
------------------------------------------------------------------------------------------------------------
------------------------------.
For completing this questionnaire.
Results will be treated in confidence.

2.9 QUESTIONNAIRE SURVEY ANALYSIS
Here we have evaluated each question separately followed by their individual
interpretations and analysis.
2.9.1 Detailed Income analysis by Gender, Age Group
Gender Analysis
Male - Female Ratio
Male
53%
Female
47%
Male
Female
Figure 1: Male -Female Ratio
Analysis
This data helps us in analyzing the gender distribution of males and females from our
questionnaire. It clearly represents that out of total sample 53% of the respondents were
male and rest 47% were females. This shows that RED STEER would target a good ratio
of both males and females.

0
5
10
15
20
No. of
Females
1
Age-group
Female Age-group Analysis
20-25
26-30
31-35
36-40
41-50
50-60
60 & above
Figure3: Female Age group Analysis
Analysis and Interpretation
From the above graph, we can evaluate that the maximum male respondents lie under the
category of age 26–30. Out of 47 females surveyed around 17 males come under this
category, whereas 9 females come under the next age slab i.e. 31-35. The next category
i.e. 36-40 comprises of 11 females. While age groups of 20-25 comprises of 5 females
and 41-50 comprises of 3 females and the category of 50-60 holds very less number of
females i.e.3 males. The last category i.e. males above 60 has no females.
This shows that RED STEER would attract a clientele of both young and mid age
females i.e. around the age of 26-40.

Monthly Income Analysis
MALE SALARY ANALYSIS
0
5
10
15
20
10,000 -
14,000
15,000 -
20,000
21,000 -
25,000
26,000 -
30,000
31,000 &
above
Monthly Income Groups
NoofMales
Figure 4: Male Salary Analysis
From the chart above we come to know that most of the male respondents lie in the
income category of Rs. 21,000 – Rs. 25,000. Next is the income category of Rs. 15,000 –
Rs. 20,000 having 11 males out of the total of 53 male respondents. Then comes the
income category of Rs. 26,000 – Rs. 30,000 having a share of 10 males out of the 53
male respondents and the category of Rs. 10,000 – Rs. 14,000 consists of just 9 males.
And at last the Rs. 31,000 and above income category consists of 6 male respondents.

FEMALE SALARY ANALYSIS
0
5
10
15
20
25
10,000 -
14,000
15,000 -
20,000
21,000 -
25,000
26,000 -
30,000
31,000 &
above
Monthly Income Groups
No:ofFemales
Series1
Figure4: Female Salary Analysis
The chart above shows that most of the female respondents lie in the income category of
Rs. 15,000 – Rs. 20,000.Next is the income category of Rs10, 000 – Rs. 14,000 having 12
females out of total of 47 female respondents. Then comes the income category of
Rs. 21,000 – 25,000 having a share of 8 females out of total and the category of Rs.
26,000 – 30,000 consists of just females. And at last the 31,000 and above income
category consist of only 2 female respondents

32.54
21.3 18.93
27.21
0
10
20
30
40
% of Males
Chicken Beef Lamb Fish
Male Food preferences
Figure7: Male Meat Preference
As RED STEER will be offering a variety of non-vegetarian items on the menu, so
through this analysis we will be able to decide on the non-vegetarian course option based
on the preference of the male respondents who will be our future customers.
The analysis shows the highest demand of chicken, which is 32.5%; the next most
demanded meat is fish, which is 27.21%, after which comes beef with 21.3% of the total
demand and last is lamb which only 18.93% of males preferred.

26.82
21.95 20.12
31.09
0
10
20
30
40
%of females
Chicken Beef Lamb Fish
Female Food Preferences
Figures 8: Female Meat Preference
As RED STEER will be offering a variety of non-vegetarian items on the menu, so
through this analysis we will be able to decide on the non-vegetarian course option based
on the preference of the male respondents who will be our future customers.
The analysis shows the highest demand of chicken, which is 32.5%; the next most
demanded meat is fish, which is 27.21%, after which comes beef with 21.3% of the total
demand and last is lamb which only 18.93% of males preferred.
OVERALL MEAT PREFERENCE

2.9.3 Restaurant Preferences
RESTAURANT PREFERENCE BY MALES
0
5
10
15
20
25
Kream n
Krunch
City Spice Angeethi Amarpreet Others(Myth)
RESTAURANTS
NO:OFPEOPLE
Rank1
Rank2
Rank3
Rank4
Rank5
Figure 10: Restaurant preferences by males
From this graph we will come to know the preference of restaurant by males. The options
provided were, kream n krunch, city spice, angeethi, amarpreet, others (myth). Most male
respondents as one can see above preferred Angeethi as most male respondents gave it
rank1. The least preferred restaurant is Kream n Krunch as most male respondents gave it
rank5.

RESTAURANT PREFERENCE BY FEMALES
0
5
10
15
20
25
Kream n
Krunch
City Spice Angeethi Amarpreet Other(Myh)
RESTAURANTS
NO:OFPEOPLE
Rank1
Rank2
Rank3
Rank4
Rank5
Figure 11: Restaurant preferences by females
From this graph we will come to know the preference of restaurant by females. The
options provided were, kream n krunch, city spice, angeethi, amarpreet, others (myth).
Most male respondents as one can see above preferred Amarpreet as most female
respondents gave it rank1. The least preferred restaurant is Kream n Krunch as most
female respondents gave it rank5.

2.9.4 Preferred Lunch and Dinner Timing preferences
Eating Pattern Analysis
0
20
40
60
80
100
Morning Afternoon Evening
Time of the Day
No.ofPeople
Figure 13: Preferred Eating Timing
The graph shows that most of the respondents wants to visit restaurant during night and
very less during afternoon. Out of 100 respondents 93 respondents prefer to dine in
restaurant during night, while only 7 respondents wants to dine out during afternoon.
Thus this graph concludes that we have to be well prepared with our mis en place to serve
them fast and with efficiency without lacking quality.

2.9.5 Preferred Service styles
Service Preferences
7
94
13
1
10
100
Siver Service Casual Sevice Carry Out/ Take Out
Types of Services
No.ofPeople
Figure 14: Preferred service Styles
The graph above made us evaluate that most of respondents like casual service in their
favorite restaurant and they sometimes like to take away their orders.
So this graph lead us to conclude that we should have semi-casual service in our
restaurant and we should also have separate take away counter to deal with take away
orders so that take away order should also carry out efficiently along with sitting orders.

2.9.7 Restaurant Factor Analysis
RESTAURANT FACTOR-BASED ANALYSIS
0
1
2
3
4
5
6
Kream n Crunch City Spice Amarpreet Angeethi
Restaurants
Factors(Byaverage)
Location
Qualty of Service
Ambience
Cuisine
Entertainment
Value for Money
Figure 16: Restaurant Factor Analysis
The graph above gives a detailed comparison of the various factors as mentioned above.
As observed above and referring back to the SWOT analysis of these restaurants, it’s
clearly seen that all the above restaurants are quite good in all the factors except
entertainment. Thus the grey area of these restaurants is entertainment. The reason for
this could be:
Unable to provide good music.
No setting up of television screens to make atmosphere lively.
No source of appealing entertainment.
What needs to be really focused upon is that though food quality, taste and ambience are
primarily the most important factors in any restaurant, they still might fail to give their
restaurant the feeling of customer satisfaction as they were lacking good source of
entertainment.
Thus all these factors have been considered in priority for putting up RED STEER

2.9.8 Beverage Preferences
Male ( Alcohol beverage Preferences)
0
10
20
30
40
Beer Wines Spirits
Alcohol Beverages
No.ofMales
Figure 17: Male alcohol Beverage Preferences
From the graph above, we will come to know the preference of beverage by male
respondents. From the graph above we can clearly see that most male respondents
preferred beer i.e. 30 male respondents out of total of 53 male respondents. The second
preferred by male respondents is spirits i.e. 18 out of total male respondents.

Female ( alcohol Beverage preferences)
0
5
10
15
20
25
Beer Wines Spirits
Alcohol Beverages
No.ofFemales
Figure 18: Female alcohol Beverage Preferences
From the graph above, we will come to know the preference of beverage by female
respondents. As we can clearly seen that most female respondents preferred wine i.e. 20
male respondents out of total of 47 female respondents. The second preferred beverage
by female respondents is spirits i.e. 16 out of total male respondents.
As we wanted to keep just beer and wine in our alcohol menu, thus by looking both the
graphs we can conclude that the overall preferred beverages are beer and wine by both
males and females respectively. So we will keep only different types of beers and wines
in our alcohol menu.

2.10.1 An Examination of the revenue Grid
Age Group: 20 to 25 years
Persons in the age category of 20 to 25 years spend as much as 24.015 per cent of their
monthly income on dinning out, making them essentially, the one of the most profitable
market segment. Also, the APC of this particular segment, is Rs. 370.74, which is the
third highest across all segment surveyed, though monthly household income happens to
be the lowest in this segment.
Being the second highest number of total covers per month, and also spends as much as
24 per cent of their income on dinning out, the persons in this age group are clearly the
ones spending high on dinning out and thus is a potential segment for the market.
The demographic groups of 31 to 35 years are also potentially rather profitable, as it
generates as much as 11.67 covers. Also an average person spends as much as 20.803 per
cent at casual eateries.
With the highest number of total covers per month, also one of the highest average
monthly income, and the highest total spend as well, the persons in the age group of 36
years to 40 years are clearly the ones spending the highest when dinning out. This does
make it a profitable market segment. Also, the relatively percentage of their income spent
on dinning is highest i.e., 25.429 per cent. The marketers thus are of the opinion that this
particular segment is potential as well the most profitable segment. Monthly

On the other hand, with relatively lower APC of Rs.316.66 and a total spend of 2637.77,
an average person in the age group of 41 to 50 years is not much of a spender on dinning
out.
Age Group: 51 to 60 years and 60 years and above
Rather evidently, the oldest age group is the least profitable segment, with a mere 4.96
per cent spent of the monthly income on dinning out in the age group of 51 years to 60
years whereas 60 years and above age group spend 4.3 per cent when dinning out.

2.12 Fact sheet of Red Steer
Name of the Restaurant: RED STEER
Address: - Red Steer, Saraswati Sankul, Below VLCC, Nirala Bazaar,
Aurangabad- 431 001.
Tel no: 0240 23836363
Fax no: 0240 23836364
Property Status: Leased
Service: Table Service
No of Covers: 54
Average Check/Cover: 450 – 500
Cuisine Serve: Steaks and Sizzlers
Hours:
Mon-Sat
Lunch: 12:00 to 15:30
Dinner: 19:00 to 23:30
Sun
16:30 to 23:30
Payment Methods: Cash, Visa, Master Card,
Alcohol Served: Beer & wine (*wine room)
Dining Style: Casual Dining
Parking: Available/ Valet
Reservations: Recommended / Suggested
USP: An experience of wine room.

2.12.1 S.W.O.T Analysis: Red Steer
Strengths:
First of its kind in Aurangabad
Excellent Quality and Quantity of
food served.
Located in commercial and
residential area of Aurangabad.
Staff of the Restaurant is well
Trained and courteous towards the
guests
interiors.
Offers an Wine tasting room
Good portion size and have vast
variety of menu
Staff is very friendly and
courteous towards the guest.
Weakness:
Limited vegetarian menu
Only serves beer and wines
Since steaks are served, possibly
Religious People will hesitate to come.
Opportunities:
Could tap the young crowd as well
as the 30 – 40 working class
Community.
Good opportunity to tap the
foreign tourists.
Opportunity to spread wine trend
in Aurangabad.
Threats:
Competition faced from other outlets in
the vicinity which have been there for
long time.
More multi-cuisine restaurants being
established and many of them serving
Vegetarian menu.

CHAPTER 3: OPERATIONAL PHASE
NOTE:
This is to bring to the notice of the Readers and Examiners that in the marketing
Phase the entrepreneurs had considered 44 covers in their restaurant, but in the
operational phase after getting the actual area for the restaurant which is 2,150 Sq
ft, out of which entrepreneurs have given 1,505 Sq ft for dinning area and so we
have increased our covers from 44 to 55 covers. Thus in the operational phase, we
will be considering 55 covers for our proposed outlet –Red Steer
3.1 INTRODUCTION
In the previous section comprising of the market survey conducted by the researchers,
revealed the feasibility of establishing a Steaks and sizzler house in the city of
Aurangabad. The researchers have conducted a detailed market survey to understand the
likes and dislikes of the customers all which will now reflect in the decisions made in this
section of actually operating the restaurant. The operational issues (if it may be termed
so) which will be discussed in this section are as follows:
• The concept
• Legal formalities
• Area requirements and allocations
• Menu planning
• Staffing and scheduling
• Facilities planning and interior designing
• Inventory requirements and their costing
• Equipment requirements and their costing

3.1.1 The Organization’s Goals
The entrepreneurs internalized and articulated their thoughts and developed a vision and a
mission statement for their partnership firm ‘RK Associates’, which would be the driving
force behind their proposed food and beverage enterprise.
3.1.2 The Vision
“To globalize through a commitment that empowers the organization at every
level to strive for the highest levels of Quality, Customer Care and Shareholder
Value”
3.1.3 The Mission
“To give the Customer reasons to smile”
S.M.I.L.E
S: Satisfaction
M: Maneuvering
I: Innovative
L: Loyal
E: Exciting and Fresh

Apart from that, Red Steer has an atmosphere where everything from the lighting to the
seating has a no worries attitude, and everything is laid back with service that is unlike
any other organization.
Red Steer’s biggest strength and asset is our employee’s, with fully trained servers that
are always friendly and very knowledgeable of the menu and customer service and
satisfaction coming before everything else.
3.1.8 The Organization’s Weaknesses
There could be possibility of people not responding to Steaks as well as wines. Also
people due to religion restriction may not appreciate Red Steer Serving beef.

3.2 RED STEER - THE CONCEPT
If you appreciate good steak, you would know that nothing quite does it like a great cut of
sirloin, cooked to perfection and served with a side of vegetables, mashed potatoes and
caramelized onion rings. With Aurangabad being a city and home to major multinationals
in the automobile and consumer durables industry, there are many restaurants that serves
beef, but that aside, the city doesn’t has a single restaurants that specializes in serving
steak.
Thus we take the opportunity of setting up the first Steak house and Sizzlers (Red Steer)
in Aurangabad. Red Steer will be without doubt the best place to have steaks and the
chief factor that makes this restaurant special will be the quality of the meat. A steak is
only as good as its cut and here you will get prime cuts. Here waiters will whip out pens
and pads from holsters to take your order while good old country music plays in the
background.
3.2.1 Level and Style of Services
Being an Exclusive Steak House Restaurant with an attached wine Room catering
primarily to the upper class will provide a semi –formal style of service. Being an Up-
Market Restaurant, great focus will be laid upon providing the highest levels of service
through well trained, courteous staff.
3.2.2 Cuisine
Red Steer specializes in serving all types of Steaks and Sizzlers, and there will be no
doubt that you will spot something of your choice to relish, whether it's a pepper- steak, a
filet mignon, or aromatic vegetable sizzler.
Red Steer will also serve perfectly seasoned steaks sizzling on platters heated to 450
degrees, mouthwatering sides, and fantastic desserts.
A lovely wine room will be available for wine lovers and private events occasionally.

3.2.3 Clientele Profile
As seen earlier in the marketing phase, the researchers/entrepreneurs plan to target the
following age groups:
• 26 - 30
• 31 - 35
• 36 – 40
Rationale:
• High monthly disposable income
• High ACP
• High frequency of Visits
• Their mentality will match the concept.
• They naturally enjoy this kind of a concept as they can connect with it.
• Due to regular visits of this age group, they will yield more revenues and they will
also help in bringing more clients mostly of the same ages.
3.2.4 Location and Positioning
RED STEER is located in the heart of Nirala Bazaar, around which many industrial hubs
have been located, as a result there are many corporate offices come up, which provides
an elite establishment for the business corporate to entertain their clientele. It accessible
from all areas of aurangabad and since it falls in the middle which leaves for minimum
conveyance time.

3.3 LEGAL FORMALITIES – LAWS AND LICENSES
3.3.1 Approval of the Project / No Objection Certificate
Issuing authority: Municipal Corporation and fire Department
Registration Authority: Government of India
Purpose: As a clearance for operation of an establishment
Validity: Till the expiry of the Establishment
Fees: Rs.2000
Documents required:
Four Copies of the blue print of the Floor plan with an application to the ministry of
Tourism, Government of India, New Delhi
3.3.2 Registration under Bombay Shops and Establishment Act,
1948
This act is a social piece of legislation of the State Government enacted to prevent sweat
labourers of Un-organized sector and to regulate the condition of work and employment
and therefore to secure maximum benefits to the employees working in different
categories of establishment viz. Shops, Commercial Establishments, residential hotels,
restaurants, eating houses, theatres and other places of public amusement or
entertainments are mainly protected by the provisions of this act. For the jurisdiction of
Greater Mumbai by virtue of the statutory provisions of Section 43 of the said Act subject
to the overall supervisions of the State Government through the Commissioner of Labour,
Mumbai. The shops & Establishments Department is headed by the Chief Inspector,
Shops & Estds. The Chief Inspector, Shops & Establishments is assisted by Four Deputy
Chief Inspectors.

Issuing authority: Collector Office
Registration Authority: Chief Inspector (The shops & Establishments Department)
Registration: – Form A (Within 31 days of its commencement)
Renewal of Registration: – Form B (Last date 15th December)
Notice of Change: – Form E
Validity: One year
Registration Fees per year: Rs.600/- (for Shops and Establishment having 11 – 20
employees)
Fees for Renewal of Registration Certificate per year: Rs.600/-
Trade Refuse Charges per year: Rs.1800/-
Documents required:
• Memorandum of Articles of Association/Trust deed.
• Premises purchase Agreement.
• List of Directors / Managers.
• First Bank Account opening proof / Bank Account Number details.
• First Income Tax Assessment order/PAN
• AMC declaration
• Date of commencement of business
Forms and Formalities:
• Form 'A': This form is prescribed for registration of the Estds, under Bombay
Shops & Estds. Act, 1948. Registration is made under Sec 7(1)(4) of the said act.
• Form 'B': This is prescribed for the periodical renewal of registration certificate
say for one year or three at a time. Renewal is made under sec 7(2A) of the
Bombay Shops and Estds. Act
• Form 'E': This form is prescribed for making any subsequent change in the
information already submitted in form 'A'.

3.3.4 No Objection Certificate from Fire Department
Issuing authority: Aurangabad Fire Department
Registration Authority: Chief Fire officer
Purpose: Clearance of the establishment following fire safety norms
Validity: Renewable
Fees: Rs.1000/- onwards
3.3.5 Maharashtra Prevention of Food Adulteration Act,1954
The Prevention of Food Adulteration Bill was passed by both the house of
Parliament and received the assent of the President on 29th September, 1954. It came into
force on 1st June, 1955 as THE PREVENTION OF FOOD ADULTERATION ACT,
1954 (37 of 1954).
In this Act unless the context otherwise requires,—
(i) "Adulterant" means any material which is or could be employed for the purposes of
adulteration;
(ii) "Adulterated"—an article of food shall be deemed to be adulterated—
• if the article sold by a vendor is not of the nature, substance or quality demanded
by the purchaser and is to his prejudice, or is not of the nature, substance or
quality which it purports or is represented to be;
• if the article contains any other substance which affects, or if the article is so
processed as to affect, injuriously the nature, substance or quality thereof;
• if any inferior or cheaper substance has been substituted wholly or in part for the
article so as to affect injuriously the nature, substance or quality thereof;

• if any constituent of the article has been wholly or in part abstracted so as to affect
injuriously the nature, substance or quality thereof ;
• if the article had been prepared, packed or kept under in sanitary conditions
whereby it has become contaminated or injurious to health;
• if the article consists wholly or in part of any filthy, putrid, , rotten, decomposed
or diseased animal or vegetable substance or is insect-infested or is otherwise
unfit for human consumption;
• if the article is obtained from a diseased animal;
• if the article contains any poisonous or other ingredient which renders it injurious
to health;
• if the container of the article is composed, whether wholly or in part, of any
poisonous or deleterious substance which renders its contents injurious to health;
• if any colouring matter other than that prescribed in respect thereof is present in
the article, or if the amounts of the prescribed colouring matter which is present in
the article are not within the prescribed limits of variability;
• if the article contains any prohibited preservative or permitted preservative in
excess of the prescribed limits;
• if the quality or purity of the article falls below the prescribed standard or its
constituents are present in quantities not within the prescribed limits of variability,
but which renders it injurious to health;
• if the quality or purity of the article falls below the prescribed standard or its
constituents are present in quantities not within the prescribed limits of variability
but which does not render it injurious to health:
• Provided that, where the quality or purity of the article, being primary food, has
fallen below the prescribed standards or its constituents are present in quantities
not within the prescribed limits of variability in either case, solely due to natural
causes and beyond the control of human agency, then, such article shall not be
deemed to be adulterated within the meaning of this sub-clause.
Issuing authority: Director of the Central Food Laboratory
Registration Authority: Municipal Corporation, Health Department

3.3.8 NA Layout
Issuing authority: City Engineer
Registration Authority: Auranagbad Municipal Corporation (Head office)
Purpose: To approve the area for Restaurant
Validity: One- time Approval
Fees: Rs.33, 000/- for every 1.5 acres (to be paid by lessor)
Only after receiving the above mentioned approvals and licenses, the outlet can apply for
its liquor license.
3.3.9 State Excise and Prohibition License: FL- II
Issuing authority: Excise Department
Registration Authority: Asst. commissioner, Customs and Central Excise, Aurangabad
Purpose: To store and Serve Wine and Beer
Validity: One year
Fees: The new license being introduced by the excise department called ‘Wine and Beer’
with a fee of Rs.600/- per day. Therefore, the annual fee is Rs.2, 19,000/-
3.3.10 Electricity Connection (Commercial)
Issuing authority: Maharashtra State Electricity Board Co. Ltd
Registration Authority: Chief Executive Engineer
Purpose: Sanction of electricity
Validity: Till continuation of the outlet
Fees: Rs. / - per month or ---watts

Documents required:
The proprietor of the restaurant has to write an application in the favour of Chief
Executive Engineer for that particular reason.
3.3.11 Water Prevention and Control Act 1974
23rd March, 1974, An Act to provide for the prevention and control of water pollution
and the maintaining or restoring of wholesomeness of water, for the establishment, with a
view to carrying out the purposes aforesaid, of Boards for the prevention and control of
water pollution, for conferring on and assigning to such Boards powers and functions
relating thereto and for matters connected therewith.
Issuing authority: Maharashtra Pollution Control Board
Purpose: Prevention and Control of water pollution, Commencement of Establishment
Validity: Till continuation of the Establishment
Fees: Rs.2, 200/-
Documents required:
• Index /Site Plan showing the surrounding such as town, Transport Routes etc.
• Detailed layout plan of the Establishment premises showing structures, water
supply line, storm drain, sewers for domestic effluents, for trade effluents,
location of effluent treatment and its disposal and any other useful information,
drawing, tables etc.
• Xerox copy of consent granted under Air & Water (P&C.P.)Acts.
• Process flow sheet.
• Chemical reactions involved in each process.
• NOC from local body for proposed Establishment.
• Water budget calculations.

3.3.12 Water Connection Certificate
Issuing authority: Municipal ward Office – Water Department
Registration Authority: Junior Engineer, Sub Divisional Office (Aurangabad)
Purpose: Water Connection/Supply based on the grade of Restaurant
Validity: Till the Continuation of the Establishment
Fees: Grade I: Rs.40/ 1000 Litres for month
Documents required:
• Index /Site Plan showing the surrounding such as town, Transport Routes etc.
• Detailed layout plan of the Establishment premises showing structures, water
supply line, storm drain, sewers for domestic effluents, for trade effluents,
location of effluent treatment and its disposal and any other useful information,
drawing, tables etc.
3.3.13 Clearance from the Maharashtra Pollution Control Board
Issuing authority: Maharashtra Pollution Control Board
Registration Authority: Local bodies
Purpose: Operating Hot water/ Air
Validity: One time Registration
Fees: Nil

3.3.18 Approval for Cold Storage Installation
Issuing authority: Ministry of Agriculture
Registration Authority: Municipal Corporation
Purpose: Storage of food
3.3.19 Contract Labour License
Issuing authority: Aurangabad Municipal Corporation - Labour department
Purpose: Permission for Storage of food and Disposal of waste, following municipal
Guidelines
Validity: One year
Fees: Rs.100/- year
3.3.20 Sales Tax
Issuing authority: Commissioner Sales Tax
Purpose: Regulating the collection and payment of sales of food, liquor etc.
Validity: One year
3.3.21 Land and Building Tax
Registration Authority: Maharashtra State Govt.
Purpose: Payment of tax on value of Land and Building
Validity: Renewable
Fees: Depending upon the area and the type of establishment (Commercial, residential
etc)

3.3.22 Availing of Fiscal Incentives
Issuing authority: Dept. of Tourism
Registration Authority: Commissioner of Income Tax
Purpose: Approved under section 32, 33, 80 of the IT act
3.3.23 Weights and Measurement Certificate
Registration Authority: State Weights and Measurement Department
Purpose: Verification of weighing scales used on premises
Fees: Rs.450 per weighing scale of 100kgs limit
3.3.24 Heavy Machine Operating Permission
Issuing authority: Aurangabad Municipal Ward Office
Registration Authority: Chief Engineer –Building and Factory Department
Purpose: Required for the operation
Validity: Rs.500 per operating machine every 4 years
3.3.25 Gradation License
Issuing authority: Aurangabd Municipal Ward office
Registration Authority: Health Department
Purpose: Grades I, II OR III based on infrastructure, sanitary conditions and medical
examination of staff
Validity: One Year
Fees: Rs.1, 000/-

3.3.31 P.N.R for Eating House
Issuing authority: Income Tax Department
Purpose: Registration with income tax department for fillings of annual returns
3.3.32 Trade / Storage License
Registration Authority: Office of the Municipal Commissioner
Purpose: Permission to conduct Trade
3.3.33 Structural Slab Certificate
Issuing authority: Engineer authorized by the Municipal ward Office
Purpose: Certification of the strength of the Building / Structure after renovation
Fees: Rs.2000/- onwards
3.3.35 Insurance
Registration Authority: Insurance Agency
Purpose: Movable / Immovable Assets
Fees: Depending on the net worth of capital assets
3.3.36 Health Certificate for the Staff
Issuing authority: Aurangabad Municipal Office – Health Department
Purpose: Ascertaining if staff carry any infectious diseases that can be passed on to
consumers
Fees: Rs.300/- per employee

3.3.37 Excise Account Register
Issuing authority: Excise Department
Purpose: For maintaining records pertaining to sale of liquor
Fees: Rs.600/- each register.
3.3.38 Health License
Issuing authority: Municipal Ward office – Health Department
Purpose: Service of food and liquor
Validity: Renewable in December every year
Fees: Rs.200/- to Rs.28, 000/- Based on grade and Sq ft area of Eating House.

3.5 AREA REQUIREMENT AND ALLOCATIONS
The area allocation for each section of a restaurant involves significant research and
reckoning as it depends on a number of factors such as the theme of the restaurant,
number of covers , type of cuisine served, style of service, number of meals to be
prepared , number of staffs in the restaurant, storage etc. Based on the conceptual details
and area availability, the entrepreneurs have allocated the available space of 2,150 sq. ft
(carpet) for Red Steer as shown below.
The Area Distribution for RED STEER is as follows:
Total Area Leased 2,150
No. of Covers 55
Back Area 645 30.00%
Kitchen 295
Stores 60
Liquor stores 30
Pot wash 45
Dish wash 40
Walk-in 85
Staff Locker Room 90
Actual Restaurant Area 1,505 70.00%
Dinning Area 1105

Wine room Area 282
Guest Wash Room 80
Waiting Area 20
Cashier 18

3.6.2 Flooring
As you walk into Red Steer, you will walk on elegant but rustic brown wooden flooring
taking you into the past. The wine cellar would also have Terracotta flooring. The kitchen
and the pot wash areas will have a kota flooring due to its durability and scratch
resistance. The guest room will have Ceramic tiles while staff locker room will have
ceramic tiles but of cheaper quality.
3.6.3 Furnishings
RED STEER, being a Steak house, will provide guest with formal wooden tables and
chairs which will be a mixture of mahogany and rustic wood, which make one feel as if
they are at the king’s dinning table in the 18th
century.
3.6.4 Restrooms
RED STEER will have one English Styled restroom for both ladies and gentlemen.
Restroom will be decorated with wooden color tiles on the walls whereas the floor would
be of ceramic tiles.
The wash basin will be of jaguar whereas W.C will of Parryware Brands. There will also
be a hand dryer and some face napkins.
There will also be one English style staff restroom in the staff locker room.

3.6.5 Interior Costing
3.6.5.1 Floorings costing
Floorings
Area Flooring Rate / sq.ft Total Area (sq.ft) Cost Supplier
Restaurant Wooden 175 1,505 263375
Kitchen Kota 45 295 13275
Locker
room
Ceramic
Tiles
30 90 2700
Guest
Toilet
Ceramic
Tiles
50 80 4000
Wine
Room
Terracotta 200 282 56400
Total 3,39750
Classic Flooring and
Interior Pvt Ltd,
Lower Parel, Mumbai
– 400013
Tel -022-2497621
Swastik Tiles and
Ceramic Centre,
Opp. All India Radio,
Jalna Road,
Aurangabad - 431001
Phone(s) : 0240-
2326257
Mobile : 98220-
58499

3.6.5.3 Furniture Costing
Item Size Quantity Rate/Unit Cost Supplier
Dinning
Tables – oval
79"x43"x2
9"h
1 13,600 13,600
Dinning Table
- Rectangular
10.4 ft x
3.78 ft
1 21,250 21,250
Dinning
Tables –
round
51"x29"h 7 11,210 89,680
Dinning
Tables - round
35"x35"x3
9"h
5 8,050 40,250
Chairs 2ft ×1.5ft ×
3ft
52 12,00
62,400
Sofas L
shaped
10ft ×
2.16ft × 3ft
1 26,130 26,130
Sofas (3
seater)
5ft × 2.16ft
× 3ft
1 12,567 12,567
Sofas ( 5
seater)
7ft × 2.16ft
× 3ft
1 19,000 19,000
Service Door 3ft × 7ft 3 4,500 13,500
Main
Entrance Door
4ft × 7ft 1 8,400 8,400
Other doors 3ft × 7ft 9 2,300 20,700
Sideboards 3ft × 1.5ft
× 3ft
3 3,500 10,500
Side Table 2.5ft ×
1.5ft × 2ft
2 1,460 2920
Total 3,29,687
Woodland Furniture
Work,
Juna Bazar
Aurangabad - 431001
(Maharashtra) India
Phone(s) : 0240 -
2355567 , 2322233
Mobile : 9822050580
(Mr. Daulat Khan)
Gangagiri Glass,
Address: Plot No.
1099, Turbhe Navi
Mumbai, Belapur,
Maharashtra - 400 614,
India
Phone: +(91)-(7257)-
65217484
Supreme Status Doors
Address: Vijay Arcade,
Plot No. 16,
Dharamprth Extension,
Nagpur, Maharashtra -
440 010, India
Phone: +(91)-(712)-
2245612 Fax: +(91)-
(712)-2245612

3.6.5.4 Lighting Costing
Lighting Costing
Area Lighting
System
Rate/
unit
Watts/
Unit
No. of
units
Total
Cost
Total
watts
Supplier
Restaurant CFL
Bulbs
300 40 45 13500 1800
Wine
room
CFL
Bulbs
300 40 20 6000 800
Guest rest
room
CFL
Bulbs
300 40 6 1800 240
Staff
Restroom
Tube
Light
200 240 1 200 240
Kitchen Tube
Light
200 240 12 2400 2880
Main
Door Side
lamps
Foot light 35 150 2 70 300
Banner LED
Lighting
250 150 2 500 300
Total
24,470
Poonam Electricals
Shop No. 42, Oswal Market,, Near Pandharpur Bus-Stand, Waluj
Aurangabad - 431136 (Maharashtra) India
Mr. Jitendra Burad
Phone(s) : +91-240-2552324
Mobile : +91-9890448943
Fax : +91-240-2552324
R.K.
Electricals
Rehmania
Colony,
Aurangabad
- 431001
(Maharashtra)
India
Proprietor
Mohd.
Rafique

3.6.5.7 Fire Extinguisher Costing
Fire Extinguisher
Area Item Quantity Rate/ Unit Cost Supplier
Restaurant Extinguisher A 2 4,850 9700
Kitchen Extinguisher BC 3 4,850 14550
Total 24,250
Prachi Fire
Services,
Ekanth Nagar
Osmanpura,
Aurangabad,
431005.
Mobile-
09850141107
3.6.5.8 Electronic Accessories Costing
Electronic Accessories
Item Quantity Brand Rate/ Unit Cost Supplier
Telephone 2 1200 2400
Cordless
Phone
1 2300 2300
Computer 2 26,000 52000
Printer 2 4,750 9,500
Micros
Software
1 61,000 61,000
Total 1,27, 200
Luans Electronics,
Plot No. 27, Cidco Service Industry Zone,
Aurangabad, 431003, India
Electronic Sales
Corp.
Opp. Telephone
Bhavan, Nutan
Colony,
Aurangabad-
431001
Phone: 0240-
2330110

3.7 INVENTORY REQUIREMENT AND COSTING
3.7.1 Cutlery inventory
Item Cost/Unit Quantity in
Use
Quantity in
Stock
Total Cost Supplier
Large Knife 98 40 25 6370
Large Fork 98 40 25 6370
Steak Knife 105 60 45 11025
Small Knife 86 60 45 9030
Dessert Fork 45 60 45 4725
Fish Knife 74 16 20 2664
Fish fork 74 16 20 2664
Service fork 70 15 25 2800
Service Spoon 70 15 25 2800
Dessert Spoon 55 60 45 5775
Coffee Spoon 14 35 30 910
Tea Spoon 12 35 30 780
Total 55,913
Tej
Collection,
Shop A/1,
Saudi Market,
Near Bank Of
Baroda,
Paithan Gate,
Aurangabad,
431001
Duraware
Pvt Ltd,
B-5, M.I.D.C.
Area, Near
Railway
Station,
Aurangabad –
431005.
Telephone –
91 – 240 -
334085 /
335063.
Contact – Mr.
Mukund
Bhogale.

3.7.2 Crockery inventory
Item Cost/Unit Quantity
in Use
Quantity
in Stock
Total Cost Supplier
B n B Plate 54 65 80 7830
Dinner Plate 175 65 90 27125
Dessert Plate 80 110 200 21600
Fish Platter 145 60 90 21750
Platter (28 cms.) 240 60 90 36000
Platter (32 cms.) 290 60 90 43500
Entrée dish (8 inc) 115 60 40 11500
Entrée dish (7 inc) 105 60 40 10500
Salad Bowl 275 60 90 41250
Coffee/ Teapot (24
oz)
210 35 25 12600
Milk Pot 170 35 25 10200
Sugar Pot 145 35 25 8700
Cruet Set 30 70 30 3000
Tooth Pick Holder 25 45 25 1750
Sugar Sachet
Holder
25 35 30 1625
Water Jug 450 12 12 10800
Total
2, 69,730
Tej
Collection,
Shop A/1,
Saudi Market,
Near Bank Of
Baroda,
Paithan Gate,
Aurangabad,
431001
Duraware
Pvt Ltd,
B-5, M.I.D.C.
Area, Near
Railway
Station,
Aurangabad –
431005.
Telephone –
91 – 240 -
334085 /
335063.
Contact – Mr.
Mukund
Bhogale.

Wine Chiller
Stand
2000 3 1 8,000
Total 89,839

3.7.4 Glassware Inventory
Item Cost/unit Capacity
(oz)
Capacity
(ml)
Qty
in use
Qty in
stock
Total
cost
Supplier
High ball
glass
32 10 300 60 40 3,200
Red wine 98 8.5 255 58 35 9,114
White wine 94 6.25 187.5 58 35 8,742
Sherry
glass
89 4 120 20 10 2,670
Port glass 89 4 120 20 10 2,670
Champagn
e glass
94 5.25 157.5 20 10 2,820
Beer goblet 40 11 330 60 40 4,000
Crystal
decanter
1500 2 2 6,000
Saifi Stores,
Surana building,
Bhajimandi,
Aurangabad.
Duraware Pvt
Ltd,
B-5, M.I.D.C.
Area, Near
Railway Station,
Aurangabad –
431005.
Telephone – 91 –
240 -334085 /
335063.
Contact – Mr.
Mukund Bhogale

3
Naphthalene
Balls 10
3 15 180
Odonil
22
3 15
396
Vim
12
1 15 192
Stewarding
Caps 5
3 50 265
Commercial
Dustbin 265
3 1 1060
Total
6,067

3.7.6 Wine Inventory
Cost/
Bottle
Required/
Month
Cost/
Month
Required/
Year
Cost/
Year
Supplier
Champagnes & Sparkling
MOUTARD GRAND
CUVEE NV, BUXEUIL
FRANCE
2,632 1 2,632 12 31584
MOUTARD PRESTIGE
ROSE NV, BUXEUIL
FRANCE
2,675 1 2,675 12 32100
PERRIER JOUET
GRAND BRUT
3,579 1 3,579 12 42948
BOLLINGER SPECIAL
CUVEE NV
4,922 1 4,922 12 59064
PROSECCO DI
CONEGLIANO DOC
1,984 1 1,984 12
23,808
MOET ET CHANDON
BRUT IMPERIAL
ROSE
4, 950 1 4,950 12 59,400
MARQUIS DE
POMPADOUR
CHATEAU INDAGE
6,20 2 1,240 24 14,880
SULA BRUT SULA
VINEYARDS
1,500 2 3,000 24 3,6000
White Wines
ECHEVERRIA
UNWOODED
CHARDONNAY
2007/08, CHILE
1,346 1 1,346 12 16152
PINOT GRIGIO,
ANDREA DI PEC
2006/07, ITALY
1,547 1 1,547 12 18564

Red Wines
“THE BLACK”
SHIRAZ 2006/07,
GRIFFITHS,
AUSTRALIA
1,548 1 1,548 12 18576
ECHEVERRIA
MERLOT 2006/07,
MAULE VALLEY,
CHILE
1,548 1 1,548 12 18576
AUGUSTINOS PINOT
NOIR GRAND
RESERVA, 2007, BIO-
BIO, CHILE
1,746 2 1,746 24 20,952
GAMAY,COTEAUX
DU LYONNAIS 2006,
FRANCE
1,349 1 1,349 12 16188
BERTON RESERVE
2006, CABERNET
SAUVIGNON
COONAWARRA,
AUSTRALIA
1,807 2 1,807 12 21684
DON DAVID
RESERVE MALBEC
2006, ARGENTINA
1,746 1 1,746 12 20952
CHATEAU NEUF DU
PAPE 2004/05,
DOMAINE DU GRAND
TINEL
3,326 1 3,326 12 39912
MINER FAMILY
NAPA VALLEY
MERLOT
1,245 1 1,245 12 14940
CABERNET
SAUVIGNON
CHATEAU INDAGE –
RIVIERA
6,40 2 1,280 24 15360
Dessert Wines
NIVOLE MOSCATO
D’ASTI 2004, ITALY
HALVES
7,50 1 7,50 12 9000

BERTON RESERVE
BOTRYTIS SEMILLON
2004, AUSTRALIA
HALVES
8,50 1 8,50 12 10200
MINIMUM NO OF
BOTTLES PER
MONTH/ PER
YEAR
36 444
MINIMUM COST
PER MONTH/
YEAR
57,749 7,59,156

3.7.7 Beer Inventory
All the following brands of the beer will be supplied by Golden Eagle Wine Shop,
N-1 Aurangabad.
Items Capacity Cost per
Bottle/Can(Rs.)
Required /
Week
Cost/week
Kingfisher 330ml (Pint)
750ml
35
65
70
50
2,450
3,250
Budweiser 330ml (Pint)
750ml
38
65
35
20
1,330
1,300
Foster 330ml (Pint)
750ml
35
72
45
20
1,575
1,440
Hayward’s 5000 330ml (Pint)
750ml
35
65
35
20
1,225
1,300
Tiger 330ml (Pint)
750ml
35
66
25
15
875
990
Carlsberg 330ml (Pint)
750ml
46
80
35
20
1,610
1,600
Heineken 330ml (Pint) 83 25 2,075
Corona 330ml 96 25 2,400
Total Number of
Bottles required per
week
440
Total
23,420

Sink 1
Weighting Scale 7,000
1
7000
Water Cooler 9,800
1
9800
Fly killer ( Double
tube Light)
5,400
2
10800
Storage Racks 6,000
1
6000
Total
6,00,420
Phone: + (91)-(22)-
28512642
Icy Industries,
Plot No. EL-36, Opp.
Prachi Forge,
Chikalthana M.I.D.C.
Aurangabad - 431210
(Maharashtra) India
Phone : +91-240-
2483928
Fax : +91-240-
2488026

3.8.2 Light kitchen Equipment Costing
Item Description Price / Unit Quantity Total Cost Supplier
Sauté Pan 6’’
335
6 2010
Sauté Pan 8’’
390
2 780
Sauté Pan 14 ’’
650
1 650
Deep Frying Pan
1,140
1 1140
Chopping Board
1,450
6 8700
Conical Strainer
340
2 680
Plastic Boxes
45
18 810
Peelers
20
3 60
Knives 8’’ Blades
785
8 6280
Pairing Knife
135
2 270
Filleting Knife
1,270
1 1270
Butchers knife
345
2 690
Chopper
985
1 985
Whisks
50
4 200
Ladles
46
14 644
Spatula
50
3 150
Wooden Spoon
35
6 210
Flat Metal Spoon
35
4 140
Perforated Spoon 3 480
Duraware Pvt
Ltd,
B-5, M.I.D.C.
Area, Near
Railway Station,
Aurangabad –
431005.
Telephone – 91 –
240 -334085 /
335063.
Contact – Mr.
Mukund Bhogale.
Sudershan
Equipment and
Designs
Address: S. No.
13/6A/1,
Nanded Phata,
Sinhagad Road,
Pune, Maharashtra
- 411 041, India
Phone: +(91)-
(20)-
32901375 Fax:
+(91)-(20)-
24392980

3.9 STAFFING
In today’s highly competitive foodservice industry, service is often the key role to
success. One of the most important resources for any service oriented business is its staff.
Staffing is the practice of finding, evaluating and establishing a working relationship with
future employees.
The staff needs to be recruited and trained in accordance with the requirements of the
restaurant. It is mandatory for the management of an enterprise to ensure that staff is
adequate and competent so that they may be able to ensure the success of the restaurant.
Recruitment, pre-employment testing, interviewing, selection, employment, placement,
orientation and training are key aspects in finding the right people and preparing them to
work successfully in the restaurant.

3.9.1 Hierarchy of service and kitchen staff
The entrepreneurs of RED STEER will be overlooking the entire start up and operation of
the establishment, and thus will handle the roles of the Executive Chef and the Restaurant
Manager.
Executive
Chef/Restaurant
Manager
Assistant Restaurant
Manager 1
Sous Chef
Stewards
Assistant Restaurant
Manager 2
Utility Worker
Security Guard
Commis
Kitchen
Kitchen Stewarding

The Duty Roster for the Font Operation Area Staff will be prepared by the Restaurant
Manager. This duty roaster will be prepared after every two weeks and will be displayed
on the notice board in the back area of the restaurant.
A sample of the Duty Rota for the restaurant is shown below for the service staff
S.No DESIGNATION MON TUE WED THU FRI SAT SUN
1 Restaurant
Manager
B OFF B B B B E
2 Assistant
Restaurant
Manager 1
B B OFF B B B E
3 Assistant
Restaurant
Manager 2
OFF B B B B B E
4 Steward 1 B B B OFF B B E
5 Steward 2 OFF B B B B B E
6 Steward 3 B B OFF B B B E
7 Steward 4 B OFF B B B B E
8 Steward 5 B B B OFF B B E
9 Utility Worker 1 B B B B B B OFF
10 Utility Worker 2 B B B OFF B B E
11 Security Guard 1 E E E OFF N N N
12 Security Guard 2 N N OFF E E E E

Back Area Operations
The requirement of staff for Back Area Operations is as follows:
DESIGNATION NUMBER
Executive Chef O1
Sous Chef 02
Commis 04
Kitchen Stewarding 02
TOTAL 09
Duty timings for the Back Area Staff
Following are the shifts for the Back Operational Area:
• Break Shift [B]
11:00 HRS – 15:30 HRS
19:00 HRS – 23:30 HRS
• Morning Shift [M]
10:00 HRS – 19:00 HRS
• Evening Shift [E]
1400 HRS – 23:30
The duty roaster for the Back operations staff will be prepared by the Executive Chef.
This duty roaster will be prepared every week and will be displayed on the notice board
in the back area of the restaurant.

Duty roaster for the Back Area Operation staff is displayed below:
S.No DESIGNATION MON TUE WED THU FRI SAT SUN
1 Executive Chef
OFF
B B B B B E
2 Sous Chef 1 B OFF B B B B E
3 Sous Chef 2 B B B OFF B B E
4 Commis 1 M M OFF M M M E
5 Commis 2 E E E E OFF E E
6 Commis 3 B B M OFF B B E
7 Commis 4 OFF B B B E B E
8 Kitchen
Stewarding 1
B B OFF B B B E
9 Kitchen
Stewarding 2
B OFF B B B B E

3.9.4 Employee uniforms
Uniform is a very important aspect for the ambience of any restaurant. The uniforms of
the employees should be matching to the color of the restaurant, which should look smart
on the individual. The uniforms of RED STEER have been designed on the basis of its
lounge theme, which suite the entire concept.
The uniform code for the Food & Beverage department will be as follows:
Restaurant Manager: Blue Business suite with a White shirt, pink and purple strip satin
tie, with blue trouser and also Black business suite with a white shirt and blue and golden
strip satin tie with black trousers, Black belt and oxford shoes.
Cost of Uniform for Restaurant Manager
ITEM RATE Nos COST (Rs.)
Shirt 400 03 1,200
Blue Trouser 550 01 550
Black Trouser 550 01 550
Blue Jacket 1,500 01 1,500
Black Jacket 1,500 01 1,500
Tie 150 02 300
Belt 250 01 250
Oxford Shoes 900 01 900
Total 6,750

Assistant Restaurant Manager:
Black business suite with a white shirt, Black and white strip satin tie, black trousers and
oxford shoes.
Cost of Uniform for Assistant Restaurant Manager
Shirt 300 06 1,800
Black Trouser 350 04 1,400
Tie 95 02 190
Blazer 700 02 1,400
Oxford Shoes 550 02 1,100
Total 5,890
Stewards:
White shirt, black waist jacket, black trousers, pin strip apron and black shoes.
Cost of Uniform for Stewards
Shirt 200 10 2,000
Black Trouser 300 10 3,000
Waist Jacket 300 05 1,500
Pin strip Apron 110 10 1,100
Black Shoes 450 05 2,250
Total 9,850

Commis:
White chef coat with black and white chequered trouser, black apron and black shoes.
Cost of Uniform for Commis
Chef Coat 475 8 3,800
Trousers 450 8 3,600
Apron 100 8 800
Black Shoes 550 4 2,200
Total 10,400
Kitchen Stewarding/ Utility Worker: Blue t-shirt and black trousers, blue cap and
black shoes.
Cost of Uniform for Kitchen Stewarding/ Utility Worker
T- Shirt 150 8 1,200
Trouser 200 8 1,600
Cap 60 4 240
Shoes 350 4 1,400
Total 4,440

RED STEER - Kevin Vyavahare

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