Outlook Bad For Restaurant Business
The future for the restaurant business is not looking quite bright at the moment due to the unstable economic condition in the country. According to a recent report of the restaurant business, the Restaurant Performance Index slipped to its 2 year lowest in July.
The figures coming from genuine people of the restaurant business, the National Restaurant Association, showed the index down at 99.7, down from 100.6 in June and stands as the lowest since August 2010. One of the factors affecting the slip in the restaurant business is Standard & Poor's downgrade of the US credit rating, which added some more uncertainty to an already fragile economy. The restaurant business has come under a lot of pressure in recent months due to high unemployment, expensive gasoline and a weak housing market discouraged people from eating out. The performance index takes into account the current situation as well as expectations for the next 6 months. Anything above 100 is considered expansion for the restaurant business and below 100 is considered contraction.
