Case Study

Matt's Pool Hall and Bar is open 4pm to lam seven days a week

It has 5 Pool Tables and room for another 50-60 patrons

It hosts Pool Leagues Monday, Tuesday, Wednesday and Thursday evenings

Each League (evening) has 10 teams of 6 players each, and the games generally go from 7pm to midnight

The cost to play Pool is $2 per game (generally generating $60 per table per night)

Menu prices are

Beer/Wine               $5
Water/Soft Drinks    $2
Cocktails                 $10
Burgers                  $10
Pizza                      $10
Fries                      $5

Average check per Pool Patron is approximately $35 ($15 in Food and $20 in Beverage)

Average Revenue per evening---

Food Cost runs 28.5%     Beverage Cost runs 21.5%    Labor Cost runs 20%

Matt's Pool Hall and Bar has been approached to host a Regional Pool Tournament for the weekend of November 11 & 12 (Saturday and Sunday) with 3 rounds of play (9am, 2pm & 7pm). Though this may sound like a no-brainer, the Regional Tournament Chairperson wants to charge Matt $1500 for the opportunity to host said event.

Assignment- Do an analysis of said opportunity and provide detail about what strategies Matt would need to embrace in order to maximize this event, including menus, pricing, etc. Your overview should be 3-4 pages of explanation with charts/tables, a P&L, etc. And....be prepared to present your findings or recommendations to the class in a 3--4 minute presentation. Remember to consider all the key steps in a 'Business Plan'.