Target Costing for Restaurant Services

―Consideration of the restaurant division in the Budoonoki Co., Ltd.―

Abstract

In recent years, it is pointed out that target costing is used also service industry. Target costing was formed and developed in manufacturing industry. Is the target costing really effective in service industry. This study is consideration of the restaurant division in the Budoonoki Co., Ltd. with character as a service industry. As a result, it was shown that upstream Management, cross-functional team activities, value engineering as cost reduction method and follow-up for target costing is effective in restaurant services. Follow-up for target costing and target costing with consistency of concept is to be important in service industry as compared with manufacturing industry.