Catering and Banquet Organization Exam #1

Strengths, weaknesses, opportunites, and threats a caterer may have

-Strengths: Quality food, unique food, ambition, passion, personality, human resources, commitment to continuous learning, assets, creativity, logistics -Weaknesses: Lack of physical endurance, wanting to socialize at events, lack of specialized knowledge, labor difficulties, insufficient operating apical, unreasonable lease agreements, excessive long term debt, excessive payroll, last minute stock outs of purveyors of food items needed -Opportunities: Business location of facilities, potential economic growth, physical layout of facility to support catering functions, lack of competition -Threats: Competition, lack of a plan for sanitation, inappropriate lease, poor management structure, future competition, target market or communities

Private or nonprofit caterers vs. independent caterer advantages

-They have no labor costs because the labor is donated by the members themselves -They do not pay taxes -Many of them do not incur the expense of carrying any kind of liability insurance

The ingredients for Success and explain what it means to you

1. Every customer server at an event is a possible referral 2. We cannot be all things to all people 3. Research every job 4. Build a relationship of trust 5. Everything must be 100%, 100% of the time 6. Never confuse being a nice person with being an astute business person

The purposes of a mission statement

1. Guides the caterer's decision-making process 2. Permits the business to remain on course while pursuing its market niche by establishing a strategic business plan 3. Describes the type of business, including current customers, types of catering functions, where the events will be execute, and how to solve the current needs of present customers 4. Positions the caterer in relation to the competition by defining it as a corporate caterer, social caterer, or an off or on premise 5. Helps communicate who and what the caterer is to the stakeholders 6. Reflects the companies culture 7. Positions the business independently from the competition

Three general classifications of the food service industry

1. Military Segment: Military, Diplomatic (usually break-even) 2. Commercial Segment: (For-Profit) Independent Caterers, Hotel/Motel Caterers, Home-Based Caterers, Restaurant/Catering Firms, Private Clubs 3. Non-Commercial Segment: (not-for-profit) Business/Industry Accounts, College and University Catering, Health Care Facilities, Recreational Foodservice (amusement and theme parks, conference and convention facilities, museums, libraries, stadiums, sport arenas), School Catering, Social Organizations (fraternal and social clubs, associations, and fire halls), Transportation Food Service Catering (in-flight catering)

Ways off-premise catering events can increase profitability for a restauranteur

1. Unfamiliar surrounds/layout of space 2. Questions about resources (electricity, equipment) 3. Ensuring all equipment is there 4. Packing lists 5. Transportation of food 6. Ease of set-up on site

What is a strategic vision? Why is it important for a caterer to create a strategic vision for a business?

A long-term outlook that focuses on where the business is headed over the next 10 years. All possible demands that may exert pressure on the business during this time are also identified.

Some types of hidden costs the caterer may experience when catering at an off-premise location

Additional catering fee per plate, additional charges for doing business in the hall,

The role a caterer can play in catering for an amusement park

Amusements parks cater to corporations and similar business that have their annual day at the park events

Who are stakeholders and why must a caterer respect them?

Anyone who has direct relationship with the catering business including employees, suppliers, clients, guests, community, neighbors, competitors, or government agencies

How a caterer can use a variety of techniques to protect them against undesirable clients

Background check, know the income level and personality of the client

Examples of unanticipated inconvenience a caterer may confront

Bad politics, hidden costs, gratuities (when the catering hall uses own people and need gratuities for them)

3) Why is it important for the caterer to understand the market

Because the careering market is the group of all actual and potential customers in a caterer's geographic service area who have an unmet need, want, or demand require the service of a caterer

Types of catering events a university-based caterer would execute on campus

Campus Organizations, Individual departments, educational conferences, receptions for visiting dignitaries, pre-meeting dinners for the board of trustees, special requests from the president, special university events (graduations, homecoming, sports activities)

How creativity can provide a caterer with a business edge in the corporate sector

Can build mutual trust and therefore be given more flexibility starting with a typical dinner to a theme dinner to a fund-raising event and then more creativity.

One-stop shop caterer provides what role for wedding planning

Can provide additional services besides food like entertainment, photography, videography, invitations, ice sculptures, etc.

4) Why creating a solid customer base by attracting new customers is a continuous building process for a caterer

Caterers must understand their capabilities from the production capacity of the kitchen to the skill level of employees. Must also be able to accommodate the menu requirements such as providing a low-scale or up-scale menu, servicing social or corporate events, and on or off premise functions

Distinct characteristics found in catering in the social sector

Catering held in the guest's home, but can provide food and service to clients engaged in social events such as weddings, birthdays, and similar events.

The importance of continued education for a caterer and how it helps in the identification of industry trends and changing customer needs.

Continuous research of the marketplace provides the caterer with a flow of new information on the rapidly evolving industry such as emerging market trends, advanced packaging, new products, updated government regulations

This form of catering identifies a clientele consisting of business accounts

Corporate catering

The role of an event planner in a catered event. Why is it important for a caterer and event planner to establish a professional relationship>

Directly coordinates of a client the planning, organizing, implementation, and control of their event and a central point of communication for the catering team

How experience will prepare a caterer for the challenges of business

Explore options for their cooking facilities (touring the facility before the event), research the job (foodservice, personnel, type of service like a buffet or sit down), and how to get to know their customers

T/F: A strategic vision helps the caterer answer the questions "Where is the business currently going?"

False

T/F: SWOT analysis is a catering-industry-specific acronym that means Sweat, Work, and Overtime-something every caterer will do sometime in their career.

False

T/F: The commercial segment of catering management represents the not-for-profit operations, which include business and industry, health care, and private clubs

False

T/F: The evolution of supermarkets and their ability to provide catering service began when they first hired highly trained, certified chefs to upscale the food

False

T/F: The planned growth of a catering company is achieved only by satisfying customer's needs

False

The distinguishing feature of a social catering is that the event is held at the corporate client's place of business

False

Which one of the following reasons explains why a mission statement is important for a caterer?

Guides the decision making process, communicates to the customer the type of business the cater will become, plays a minor role in the creation of a strategic business plan, the first step in understanding who the customers are in the market

Primary caterer

Handles approximately 75% of a client's total catering need

The advantage of a professional sales staff to the caterer is the

Identification of potential clients who are in need of service

The purpose of a caterer reading the daily local newspaper is to

Identify local community events and recent engagements

Why word of mouth is one of the most powerful advertising techniques for the successful caterer

If someone brags a potential client may believe the caterer is as good as the friend says and a potential client can potentially tell at least three friends, family members, or business associations.

Which of the following catering businesses would be found in the commercial segment of the food service industry?

Independent Caterer

Restauranteurs will pursue off-premise catering opportunities for which one of the following reasons?

It incrementally increases gross sales

Why reputation is one of the most important attributes of a successful caterer

It shows if the caterer is respected and well known, if the caterer does most of the catering in the client's area, is customers are satisfied, and if clients recommend the caterer to others

The ___ is a group of all customers in a caterer's geographic service area who have an unmet need or want requiring the service of food and beverage

Market

How can a caterer use the SWOT analysis to gain a competitive advantage in the market?

Match their business strengths to market opportunities. Empowers the caterer to interpret an overall business position and best match strengths to a specific niche in the competitive catering market.

Advantages of catering in the corporate sector

Notify far in advance for future events, mutual trust where the customer stays loyal to the caterer, financial security (profit is better and more guaranteed), corporate fund-raising sponsorship, and weave creativity into events.

When all required tasks, functions, and related services the caterer executes in preparation and implementation of the food and service for a client are done exclusively at the caterer's own facility, that is called

On-premise catering

Five needs all customers have when seeking a caterer

Prestige, Recognition, self-expression, food, safety

A caterer who handles approximately 75% of a client's business is called

Primary caterer

This catering tool is used by the caterer to communicate and inform prospective clients what will be provided during an event.

Proposal

What are the key questions a caterer must answer to determine the market niche most favorable for them to pursue?

Quality standards, price range, kind of food and service, menu, culinary skills relationship to menu, equipment, negotiation skills, skill level of staff, how large or small the caterer wants to be, how fast growth

Prospective strategies a caterer may use to find new clients

Reading the local newspaper for news of events, can service a life cycle of customer events, food tasting events, publicity, advertising,

Common attributes that a client may use to select a caterer

Reputation, Referrals, Word of Mouth

What is meant by a caterer carving the market

Segmenting the whole market into niches requires the caterer to identify customers with similar needs or wants and group them together which enables the caterer to decide how to best build the business to satisfy that specific group.

The distinguishing facet of this type of catering is that the event is held in the client's home

Social catering

2)Features that distinguish corporate catering from social catering

Social catering is usually at someone's home and for a life event such as a wedding, baby shower etc. while corporate catering is in the business world at meetings

The ___ is a future looking, creates a long-term direction for the caterer and helps to answer the type of professional development and special training needed by the caterer

Strategic vision

Catering Management

Tasks of planning, organizing, influencing, and controlling each activity involved in the preparation and delivery of food, beverage, and relaed services at a competitive profitable price that meets and exceeds the customer's perception of value.

Off-Premise Catering

The caterer transports all of the food, equipment, and personnel to an external location to execute the event.

Life cycle of customer events

The cycle of lifetime celebrations: bridal shower, wedding reception, anniversary, birthday, baby shower, baptism, prom, sporting banquet, college graduation, marriage, and death that requires the services of a caterer. The cycle repeats itself.

Secondary caterer

This caterer manages approximately 25% of a client's catering needs often maintained to back up the primary caterer

T/F: An educated, informed caterer is prepared to exceed the always changing needs of a client in the competitive catering industry

True

T/F: Off-premise catering is accomplished when the caterer transports all the food, serving products, and personnel to a location other than the building or facility where the food was prepared.

True

T/F: One advantage a caterer has over the traditional restauranteur is the ability to select their clients

True

T/F: One of the most important considerations a client faces in the decision -making process of selecting a caterer is the caterer's reputation

True

T/F: Positive word-of-mouth advertising is often considered a very powerful way to promote a caterer

True

T/F: Threats in the competitive marketplace are identified as those external elements which can cause some business loss for the caterer.

True

Why home-based caterer may be viewed as a competitive threat to a professional caterer

Unfair advantages with no licensing, no insurances, and no inspections, no expenses of overhead of having commercial equipment, professionally trained staff, and the required insurance coverage to compete in the market.

Referral

When a satisfied customer recommends a caterer to others

On-Premise Catering

When all the tasks, functions, and related services that the caterer executes in the preparation and implementation of food and service for the client are done exclusively within a caterer's own facility.