HFT1000 FSU exam 2 – Flashcards
Unlock all answers in this set
Unlock answersquestion
Primary reason to enter hospitality industry
answer
low barriers to entry (lower start up costs & fewer restrictions)
question
independent operator
answer
someone who operates a business on their own without any large corporation and infrastructure behind them. Goal is for revenue growth, not necessarily unit growth.
question
entrepreneur
answer
someone who is willing to take the risk to start a business, manages a business, & assumes the risk and rewards of a business. Goal is to grow business revenue and number of units.
question
advantages of independent operator
answer
easy to implement changes, no corporate policies/procedures that could slow down any changes
question
disadvantages of independent operator
answer
do not have backing of corporate headquarters financially or operationally, economies of scale (less volume=higher costs), not a proven name to public (adv. and marketing become more critical)
question
business plan
answer
written document that lays out the foundation of where, when, how and why of a new company. Important to show a need exists for the new product or service.
question
angel investor
answer
one who is interested in investing in a new business or concept; gives capital in exchange for ownership equity in the company
question
legal structures of ownership
answer
sole proprietorship, limited liability corporation, S corporation. Type to set up is dependent on type of business, size of business, and amount of liability coverage
question
sole proprietorship
answer
very easy to form, no costs to start; owner makes decisions--all expenses, revenues & liabilities are tied to the owner (personal assets are exposed)
question
Limited Liability Corporation
answer
Liability is limited to the assets of the corporation; must register with secretary of state with included fees; must create a document of how company will be set up & organizational structure
question
S corporation
answer
more formal than LLC, more documents to complete; must have Board of directors, shareholder meetings, notice requirements and annual filing & fees; more administrative issues & higher costs to operate; taxed like a corporation; personal assets are protected.
question
single unit management
answer
managing one unit in any industry sector; manager has one responsibility to focus on this single unit
question
competitive advantage
answer
entrepreneur needs to be innovation with products and services provided to the people
question
brand
answer
a specific identity of a business that is intentionally created through a careful combination of: design of its products, services offered, name-logo-slogans-signage. Goal is to convey a personality for the business and consistent image in the minds of guests
question
franchise
answer
a form of business organization in which a firm that has a successful product or service enters into a contractual relationship with other businesses, operate under the franchisor's trade name and use the methods & expertise in exchange for a fee
question
chain operation
answer
a business under one management or ownership; businesses owned by same company offering similar goods and services found in different geographic locations
question
chain
answer
generally six units or more
question
mixed franchise
answer
mix of ownership, some units are owned and operated by the parent-company (franchisor) and the rest are owned and operated by other owners/investors (franchisees)
question
management/franchise form
answer
when the parent-company (franchisor) also offers professional management services for its non-company owned (franchised) units
question
customer tracking programs
answer
data is collected every time you go; start to know your preferences
question
owners
answer
interested in generating cash flow and ensuring their investment grows in value. *most significant recent change is the increase in power of them
question
operators
answer
the organization that manages operations for owners. Desire of increased market presence, maintain day-to-day operations, & long term stability
question
lenders
answer
banks interested in generating a rate of return and protecting the investment *most significant recent change is the increased involvement of them
question
contract negotiations
answer
with all contracts, EACH provision is negotiated
question
Sodexho alliance
answer
the largest on-site foodservice management company based in France
question
Compass group
answer
the second largest on-site foodservice management company based in Britain
question
ARAMARK service inc.
answer
the third largest on-site foodservice management company based in the USA
question
industry association
answer
provide excellent networking opportunities for members through educational seminars, annual meetings, conventions and conference. Leadership opportunities!
question
National Restaurant Association
answer
sends out periodicals each month to keep their members informed on what is happening in the industry; annual trade show in Chicago in May--largest restaurant show in the country.
question
Why join an industry association?
answer
Networking- vitally important to your career & to gain a competitive advantage in your career path
question
American Automobile Association
answer
classification award in diamonds; Five diamond is the highest (less than 1/2 received, far more restaurants than hotels)
question
nonverbal communication
answer
observing body language, eye contact, facial expression, hand movements
question
leadership
answer
personal & human experience; both an art & science; subjective, active, interactive. Qualities: successful and effective
question
three part dynamic of leadership
answer
the leader, the group and the situation are always in interaction and tension with each other
question
the service vision
answer
a future orientation; a standard of excellence or virtuous condition and has the quality of uniqueness; what could and should be
question
technical skills
answer
having the knowledge of and ability to perform a particular job or task
question
judgement
answer
ability to make sound & wise decisions; creative thinking, innovative brilliance, invention
question
conceptual skills
answer
understand the whole and how different parts work together; problem solving & decision making; long range planning, ethical considerations in employee, customer and government relations
question
interpersonal skills
answer
ability to lead, motivate and communicate well with those around them; observant of non-verbal behavior and respectful of cultural differences
question
company mission
answer
top managers determine the direction of the company by recognizing the basic mission and objectives of the company
question
personal ethics
answer
imperative for a qualified organizational manager to ensure truth, a lack of bias, consistency, and respect when interacting with others
question
requirements for management
answer
technical skills, judgment, conceptual skills, interpersonal skills, integrity & a sense of ethics
