Analysis of the Common Size Income Statement Food Sales, In Bangkok Area to create opportunities for business expansion

Abstract

Urban lifestyles tend to have more behavior of eating outside home due to certain limitations e.g., no time, no cooking space at home, time consuming to prepare the ingredients, not wanting to clean up after cooking, no cooking skill to cook delicious food, etc. The research article consists of the following objectives: 1) to study the results of operation and analyze the common size income statement of food sales in Bangkok and 2) to propose the guidelines for food sales in Bangkok in order to create opportunities for business expansion. The study applies a qualitative research by reviewing data obtained from documents, accounting standard, and related research works. The research instruments are semi-structured interview form and in-depth interview with 4 types of food seller which are noodle, single dish, Isaan food, and a la carte, 10 persons from each type of food, in a total of 40 persons. The key informants are selected by way of purposive sampling. The results of the statistics are descriptively presented. The results of the research are shown as follows: 1) The result of the operation from selling Isaan food has the highest average daily profit of 5,965 baht, followed by single dish of 3,466 baht, a la carte of 2,353 baht, and lastly, noodle with the lowest average daily profit of 1,685 baht, respectively. From analyzing the common size income statement of food sales, it is found that a la carte has the highest average daily profit of 49.73%, followed by Isaan food of 43.13%, a la carte of 40.78%, and noodle with the lowest average daily profit of 36.38%. 2) The guidelines for food sales in Bangkok in order to create opportunities for business expansion require the sellers to think of the following factors: 1) consumption time; 2) food quality and taste; 3) restaurant hygiene; 4) customer service; and 5) the 8 components of the potential of the restaurant business operators.