Effects of the COVID-19 Economic Crisis on the Bhanchha Ghar Restaurant in Salo, Finland.

Abstract

This thesis examines the economic effects of the COVID-19 crisis on Bhanchha Ghar, a Nepalese restaurant in Salo, Finland. It also analyzes limitations brought about by international unrest, including the increasing inflation rate and the war in Russia and Ukraine, with reference to operational difficulties, customer response, and general business sustainability. To meet these goals, the thesis uses literature sources on crisis management in the restaurant industry. Then it gives the results of a qualitative interview with the restaurant manager and a quantitative survey of the customers and employees. The results also indicate that the COVID-19 pandemic posed restaurants with tremendous financial strains due to lockdowns, a falling number of customers visiting their establishments, and a rise in the cost of operation. Nonetheless, Bhanchha Ghar has not slowed down, as it still has its original Nepalese cuisine, hygiene, and faithful clientele. The restaurant was reorganized to have more flexible and takeaway staffing. The recommendations that can be given to small ethnic restaurants to survive through the economic downturns are to embrace cultural authenticity, enhance the online presence, lower the costs, have price dynamism, use social media marketing, hold community events, optimize the menu, and have more delivery partners. These lessons can be applied to other restaurant operators in the same predicament, although the situation in one case would apply to another.