What are the advantages of cheap food?

Answer 1

Food costing is made by supply and demand because if one million people are buying bread, you would raise the price. But if only ten to twenty people are buying bread, then you decrease the price. Companies need to know supply and demand so that they can get the products that sell the most.

Answer 2

It is the ABC of catering, caterers are not in the business just to cook but to make money. To make some money you do need to know what product used costs you and you will be surprised that when you change the composition of a recipe the margin can drastically change. If you do not control the price of the main and most expensive ingredients you can easily lose your shirt and the rest within a few days or weeks. Yes you can understand at the end of each period the total of food spending divided by the total of the food turn over BUT it will not tell you which dish give you a better return or the losers. You need to individually cost your recipes to really control your business.