“The Gentle Lentil Restaurant“ Case Solution Report 模型与决策-温柔小扁豆餐厅例题

step1. Background Information of the Question

A Nice Job Offer Form with a Top-flight Management Consulting Firm

Advantages

1.Sanjay’s characteristics:

• He enjoys dealing various assignments and business situation.
• He is very energetic, hard work and motivated.
• Career development is but one piece for him.

2.The salary and the job perspectives:

• In the first year, the salary is $80,000($6666,67 per month).
• His education experience, consulting experience and fluency in Handi hint that he will be very successful and a bright career future.

Disadvantages

1.His life:

• He hates the taxing lifestyle of consultants which is exploited his private life.

A Dreamed Career – an Own Upscale Restaurant

Advantages

• Sanjay’s thoughts:

• He always wanted to start his own business.

• He has always had a passion and talent for gourmet Indian cuisine.

• He enjoys being a good host and he has hospitality in his life.

• His life:

• He thought it would be more fun than consulting because he works for himself.

• Compares with consulting, he has more time and less travel to participate more in his community.

Disadvantages:

1. The financial consideration:

• Sanjay must pay off his educational debt which indicates that he would need to earn about $5000 per month before taxes.
• The revenue is immensely uncertain and the cost is large.

Step2. Cost of the Restaurant

Premise

• These data are based on siting the restaurant, with a seating capacity of 50 patrons, in the Harvard Square area, borrowing money to construct the interior structure, and leasing all capital equipment for the restaurant.

• Assumed that the monthly demand will not be affected by the meal price.

Non-labor fixed operative costs: about $3995 per month.

Table 1 Monthly Non-labor Fixed Costs for the Gentle Lentil Restaurant.

Category	Monthly Cost ($)
Rent	$3000
Leased Equipment	$275
Utilities	$265
Insurance	$155
Loan Repayment	$125
Advertising/Promotion	$100
Miscellaneous	$75
Total Non-Labor Fixed Costs	$3995

The variable costs of food are about $11/meal.

Number of meals sold obey a normal distribution N ( 3000 , 100 0 2 ) N(3000, 1000^2)