Why do restaurants queue up every day, but still lose money?

1. High-profit dishes: In most cases, the material cost of this type of dish is low, but the price is not low; In other cases, it may also be that labor costs are low.

2. Low-profit dishes: It may be that the material cost is high, or it may be that the labor cost is high. For example, there is a fish ball in the Xiaoshan area of Hangzhou, although the ingredients are ordinary, but the fish ball is purely artificially beaten, and the meat of a fish ball has to be tempered repeatedly for several hours.

Although this dish has considerable profits in terms of materials, its profits are very low when the labor costs are abandoned, and if the sales volume is not high, sometimes it is even a money-losing dish.

3. Loss-making dishes: This kind of dishes are very embarrassing, and sometimes although they are loss-making, they can't do without it. The reason for the loss of dishes may be caused by changes in the price of materials in the market, or it may be caused by the restaurant's own conditions.

For the above three dishes, the more high-profit dishes are sold, the more money the restaurant will make; The more low-profit and loss-making dishes are sold, the more thankless they may be, and they may lose money. But a restaurant has three kinds of dishes, and it is impossible to sell only high-profit dishes, nor will it not have a loss-making dish.

Small profit margins.