How do restaurants determine the price of menu items?
For example, let’s say an egg (hypothetically) costs .00. The menu price of that egg is .00. How is the .00 price determined?
In other words, what is the average "mark-up" on food items in the average "family" type restaurant?
2 Responses
basport_200029 Apr 2010
no one29 Apr 2010
Other restaurants of the same caliber and style determine the base price.
At the average restaurant, in order to do business comfortably, they will 3X the cost of the dish, e.g. if all the costs for that one item is $1.00 total, they should charge $3.00..they are not gouging at this mark up