Abstract
Traditional cost accounting systems have been replaced in the manufacturing sector by activity-based costing (ABC) systems. Now in wide use by manufacturing firms, ABC has made few inroads in the services and hospitality sector, including the restaurant industry. Several recent studies have begun to reverse this trend by applying ABC to restaurants. This study extends those works by creating an ABC menu engineering (ME) analysis, and comparing the results with traditional ME results. Four hypotheses were constructed that tested the relationships between the restaurant manager’s perceptions, traditional ME methods, and ABC-based ME. The results suggest that ABC-based ME may be a feasible alternative for examining menu profitability.
Sign-in/Register to access full text options 
Talk to us
Join us for a 30 min session where you can share your feedback and ask us any queries you have
Schedule a callDisclaimer: All third-party content on this website/platform is and will remain the property of their respective owners and is provided on "as is" basis without any warranties, express or implied. Use of third-party content does not indicate any affiliation, sponsorship with or endorsement by them. Any references to third-party content is to identify the corresponding services and shall be considered fair use under The CopyrightLaw.
