For a restaurant, the most important factors will be health regulations relating to food preparation. The restaurant will be affected by factors that affect other businesses as well, such as tax rates and labor laws. However, political issues are not priority or critical. Economic factors
Economic factors are extremely important to a restaurant. This is because restaurants are a luxury, not a necessity; people must have the disposable income to spend at a restaurant. Economic growth is, therefore, extremely important for restaurants. A restaurant will also be affected by the economic factors that affect most businesses such as the cost of capital and inflation. Particularlly, for Bilkent the economic condtions and disposable income are higher than rest of Ankara, however the current population is not hemogenius as it consist of students, families and workers. What is more, The infulation rate could directly effect raw meterials which is the case for past years. Social Factors
The social factors of a market will have a huge impact on a business. For example, in a very health-conscious market, a restaurant should offer healthy foods, while in a market where people prefer high fat foods, they should not. Another important social factor is the attitude that people have toward restaurants and eating out; a restaurant stands a much better chance in a market where people prefer to eat out than in one in which people prefer to stay at home.
In general, the restaurant industry is a low-technology industry. If there are strong technological demands in a market, this may make it difficult to enter the market. In the restaurant industry,...