1. Food and Beverage Service Industry Foundations

Introduction and Context

Food and beverage (F&B) service is the organised provision of food, drinks, hospitality, and associated experiences to people away from their homes or usual domestic setting. It is one of the most visible components of hospitality because the guest encounters the organisation directly through menus, service employees, ambience, product quality, hygiene, price, and the manner in which problems are resolved. Although food production is essential, the service function gives the product its context and often determines how value is perceived.

The F&B service industry includes restaurants, cafés, bars, hotels, clubs, institutional catering units, transport catering, contract caterers, event operations, delivery platforms, and many hybrid formats. These operations differ in ownership, purpose, scale, service style, clientele, pricing, regulation, and performance objectives. A luxury hotel restaurant may seek to strengthen the hotel brand and increase room-guest satisfaction, whereas a hospital foodservice unit may prioritise nutrition, safety, cost control, and continuity rather than profit maximisation.

For postgraduate students, understanding the industry requires more than memorising classifications. Managers must interpret how an operation creates value, how its organisational design supports its concept, how commercial and social objectives interact, and how changing consumer behaviour and technology influence performance. This chapter establishes that foundation.

Learning Objectives

After studying this chapter, students should be able to:

1. Explain the evolution, scope, and economic and social significance of F&B service.

2. Distinguish important terminology used in foodservice management.

3. Classify commercial and non-commercial operations using meaningful criteria.

4. Explain alternative organisational structures and contemporary business models.

5. Analyse the principal drivers of operational and financial performance.

6. Apply industry frameworks to managerial decisions and service problems.

7. Evaluate ethical, regulatory, technological, and sustainability issues affecting F&B operations.

From Hospitality Provision to Experience-Based Industry

The origins of foodservice are associated with inns, taverns, communal eating places, religious institutions, military provisioning, and market-based vendors. Historically, food was often consumed where it was produced or traded, while inns provided travellers with meals and accommodation. The growth of cities, commerce, industrial employment, railways, and tourism expanded the need for organised eating outside the home.

Modern restaurant culture developed through the interaction of urban demand, professional cooking, changing labour patterns, and the emergence of hospitality as a specialised business. Hotels subsequently integrated dining rooms, banqueting, bars, room service, and catering departments into a broader guest-service system. In the twentieth century, standardisation, franchising, mass tourism, institutional catering, and quick-service formats increased scale and operational consistency.

The contemporary industry is more diverse than a simple restaurant-versus-hotel distinction suggests. Consumers may purchase a meal in a dining room, through a mobile application, from a food truck, at a workplace, during air travel, within a retail store, or through a chef-led event. The physical dining room remains important, but the industry increasingly combines food production, logistics, technology, entertainment, wellness, retail, and digital marketing.

F&B service is both a product and a service activity. The food and beverage items are partly tangible and can be standardised, but the encounter is experiential and variable. A guest evaluates not only flavour and presentation but also waiting time, employee courtesy, cleanliness, music, seating comfort, payment convenience, and confidence in safety. This combination makes F&B management operationally complex.

Scope and Economic Significance

The scope of F&B service can be viewed through four connected dimensions. First is the product dimension: meals, snacks, beverages, speciality products, dietary offerings, and ancillary merchandise. Second is the service dimension: table service, counter service, self-service, delivery, buffet, room service, catering, and event service. Third is the market dimension: residents, tourists, corporate clients, families, students, patients, employees, passengers, and members of clubs. Fourth is the organisational dimension: independent enterprises, chains, franchises, hotels, public institutions, contractors, and social organisations.

The industry contributes through employment, tourism expenditure, local sourcing, tax revenues, entrepreneurship, cultural expression, and destination identity. Restaurants and food outlets also function as social spaces where people celebrate, negotiate, work, and build relationships. However, the industry faces structural pressures: relatively narrow operating margins, demand fluctuations, labour intensity, perishability, food-safety exposure, and strong dependence on location and reputation.

A useful managerial distinction is between the service encounter and the service system. The service encounter is the guest’s immediate interaction with employees, products, and the physical environment. The service system includes purchasing, recruitment, training, kitchen design, information systems, supply chains, financial controls, and leadership. A pleasant encounter cannot be sustained by an unreliable system, and an efficient system may still fail if the guest experience is poor.

Core Terminology

An F&B outlet is a defined operating unit through which food or beverages are offered, such as a restaurant, bar, café, or banquet department. An operation refers to the entire set of activities and resources used to deliver the offering. The concept is the intended identity and market proposition of the operation, including cuisine, service style, atmosphere, target segment, and price position.

The menu is both a selling document and a control instrument. It communicates the offer to guests while influencing purchasing, production, staffing, pricing, and inventory. Menu engineering analyses the popularity and contribution margin of menu items to support decisions about design and placement. Average check is the average revenue generated per guest or transaction. Table turnover indicates how frequently a table is occupied and cleared during a trading period. Occupancy may refer to seats, rooms, or available capacity that is being used.

Cover commonly means one guest served, although operational definitions may vary. Revenue per available seat hour (RevPASH) measures revenue generated from available seating capacity over time and is particularly useful when table capacity and duration affect performance. Food cost percentage compares food cost with food sales; labour cost percentage compares labour cost with sales. These ratios are informative but must be interpreted alongside quality, guest satisfaction, concept, and service complexity.

Commercial foodservice operates primarily to generate financial returns, although it may also pursue brand, social, or strategic objectives. Non-commercial foodservice provides meals as a support function to a principal activity, such as education, healthcare, manufacturing, defence, or correctional services. Contract catering occurs when a specialist foodservice company operates on behalf of an institution or organisation under an agreed contract. Concession catering involves operating within another organisation’s premises, often in airports, stadiums, hospitals, or shopping centres.

Front of house (FOH) includes guest-facing activities such as reception, seating, order taking, service, cashiering, and complaint handling. Back of house (BOH) includes food production, stewarding, receiving, storage, preparation, and waste management. The distinction is practical rather than absolute: coordination between FOH and BOH is essential to service quality.

Classifying Food and Beverage Operations

No single classification captures the industry adequately. Managers should use several criteria simultaneously.

Commercial and non-commercial operations

Commercial operations seek revenue from customers and generally depend on sales volume, pricing, cost management, and repeat business. They include independent restaurants, branded chains, cafés, bars, hotels, resorts, catering firms, delivery kitchens, and event caterers. Their strategic decisions are shaped by demand, competition, location, positioning, and return on investment.

Non-commercial operations exist primarily to support another institutional purpose. A university dining hall supports education and student welfare; a hospital foodservice department supports patient care; an industrial canteen supports employee welfare and productivity. Some charge users, but the central objective is not necessarily profit. Performance may instead be assessed through nutritional adequacy, budget compliance, accessibility, satisfaction, safety, and service continuity.

Service method

Full-service operations provide substantial employee interaction, often including host service, order taking, table delivery, clearing, and payment. Limited-service or quick-service operations reduce table interaction and emphasise speed, standardisation, convenience, and throughput. Self-service operations transfer some activities to the customer. Buffet service offers customer choice and can support high-volume events, but it requires careful replenishment, presentation, portion control, and hygiene management. Delivery and takeaway formats separate consumption from the production site and place greater importance on packaging, dispatch accuracy, and last-mile logistics.

Market and price position

Operations may serve mass, mid-market, premium, luxury, specialist, institutional, or niche segments. Price alone does not define a market position. A premium operation must create a corresponding value proposition through product quality, expertise, service attention, ambience, authenticity, convenience, or exclusivity. A low-price operation must protect its value promise while controlling complexity and waste.

Ownership and affiliation

An independent operation is controlled by an individual or organisation without a larger brand system. Chains use multiple units under common ownership or management and often benefit from purchasing power, training systems, data, and brand recognition. A franchise allows an operator to use a brand, system, and intellectual property in return for fees and compliance with agreed standards. Management contracts separate ownership of the facility from professional operation. Leased operations provide the operator with control of a site for an agreed payment and term.

These forms involve trade-offs. Franchising can provide a tested concept but restrict local autonomy. Independent ownership permits differentiation but may lack scale and formal systems. Management contracts can provide expertise to owners while imposing performance obligations on operators.

Organisational Design and Departmental Relationships

The organisational structure should reflect the concept, size, risk profile, and degree of standardisation of the operation. A small café may use a simple structure in which the owner-manager supervises purchasing, staffing, service, and finance. A large hotel may have an executive committee, food and beverage director, executive chef, restaurant managers, banquet manager, bars manager, stewarding manager, purchasing staff, cost controllers, and administrative support.

A functional structure groups employees by specialisation. It supports expertise and clear accountability but may create departmental barriers. A divisional structure may group activities by outlet, geographic location, customer segment, or business unit. It improves focus but can duplicate resources. A matrix arrangement combines functional expertise with project or event responsibility and is useful for conferences, banquets, and large-scale catering, although dual reporting can create ambiguity.

The food and beverage manager coordinates commercial, operational, and human dimensions. Typical responsibilities include concept implementation, budgeting, menu strategy, staffing, training, purchasing coordination, service standards, guest satisfaction, compliance, and performance review. The executive chef manages culinary production, menu execution, kitchen organisation, quality, and food safety in cooperation with other departments.

F&B cannot operate in isolation. Finance supports budgeting, cost control, payroll, and revenue analysis. Human resources supports recruitment, training, performance management, and labour compliance. Sales and marketing generate demand and communicate the concept. Engineering maintains equipment and utilities. Housekeeping and front office influence hotel restaurant demand and guest referrals. Information technology supports point-of-sale systems, reservations, inventory, and analytics.

A sound structure clarifies decision rights. For example, the chef may recommend menu changes, the F&B manager may assess commercial viability, finance may review cost implications, and the general manager may approve significant strategic changes. The objective is not bureaucratic control but coordinated accountability.

Contemporary Business Models and Value Creation

A business model explains how an operation creates, delivers, and captures value. In F&B, the value proposition may combine taste, convenience, nutrition, status, entertainment, authenticity, social connection, or reliability. The operation must identify customer segments, channels, key resources, key activities, partners, revenue streams, and cost structure.

Several contemporary models are prominent. The quick-service model relies on limited menus, standardised production, throughput, and convenience. The casual dining model combines moderate service interaction with accessible pricing and a broad social appeal. The fine-dining model relies on high involvement, skilled labour, curated menus, atmosphere, and experiential differentiation. Cloud kitchens or delivery-only kitchens reduce dining-room costs but depend on digital visibility, delivery economics, packaging, and platform relationships. Subscription and membership models seek predictable demand through recurring payments or benefits. Pop-up and event-based models use temporary locations to test concepts, create scarcity, or reach specialised markets.

Many operations are hybrid. A hotel restaurant may serve resident guests, local customers, room service, banquets, and delivery. A retail food hall may combine independent vendors with shared seating and common marketing. The managerial challenge is to ensure that channels do not undermine one another through inconsistent pricing, excessive complexity, or incompatible service promises.

Frameworks for Understanding Performance

A useful performance framework connects five dimensions: demand, capacity, quality, cost, and learning. Demand concerns who buys, when, why, and through which channel. Capacity concerns seats, kitchen capability, labour hours, equipment, and delivery reach. Quality concerns product standards, service reliability, safety, and perceived value. Cost concerns food, labour, occupancy, utilities, technology, waste, and distribution. Learning concerns data, feedback, experimentation, and improvement.

The service-profit logic proposes that internal service quality and employee capability influence service value, customer satisfaction, loyalty, and financial performance. It should not be treated as an automatic law; context, price, competition, and customer segment matter. Nevertheless, it reminds managers that labour is not merely a cost. Training, scheduling, empowerment, and fair treatment affect operational reliability.

The triple bottom line evaluates performance through economic viability, social responsibility, and environmental stewardship. In F&B, this may involve profitable menus, decent employment, responsible sourcing, reduced food waste, energy management, and safe working conditions. The framework is useful because cost reduction that damages employees, suppliers, or the environment may create long-term risk rather than genuine efficiency.

A basic operating dashboard may include sales, covers, average check, RevPASH, food and labour cost percentages, waste, voids and discounts, guest satisfaction, complaint recovery, employee turnover, absenteeism, hygiene audit results, and online reputation. Metrics should be linked to decisions. Measuring many indicators without assigning responsibility produces reporting rather than management.

Professional Applications

Managers use classification and business-model analysis when selecting a site, designing a concept, preparing a feasibility study, or evaluating a struggling outlet. They analyse the target market, competitive set, access, visibility, local regulation, labour supply, supply-chain conditions, investment requirements, and expected demand by daypart.

During operations, the same knowledge supports menu planning, staffing, purchasing, service design, and capacity management. For example, an outlet with strong lunchtime demand but weak evenings might introduce a distinct evening proposition rather than simply discounting all items. A delivery-focused operation may redesign dishes so that texture, temperature, and presentation survive transportation. A hospital foodservice manager may prioritise therapeutic diets, patient identification, allergen control, and delivery accuracy over table turnover.

Revenue management is increasingly relevant. Managers can use reservations, historical demand, event calendars, weather information, and channel data to forecast demand and adjust staffing, seating policies, menu availability, and promotions. However, revenue optimisation must not result in deceptive pricing, discriminatory access, or a service promise that the operation cannot fulfil.

Technology, Data, and Automation

Point-of-sale systems connect orders, payments, menus, inventory records, and sales reports. Reservation systems help manage demand and customer communication. Kitchen-display systems can improve order sequencing and reduce transcription errors. Digital menus, online ordering, delivery platforms, customer relationship systems, and workforce-management software extend the operating system beyond the dining room.

Analytics can identify item popularity, contribution margin, demand by hour, cancellation patterns, labour productivity, and waste. Artificial intelligence may assist forecasting, recommendation, menu description, sentiment analysis, and scheduling. These applications require managerial judgement because data may be incomplete, biased, or poorly defined. Automation can improve consistency and safety in selected activities, but it can also reduce human contact, create surveillance concerns, expose customer data, and shift costs to employees or customers.

Technology should therefore be evaluated against the concept and service promise. A highly personal luxury operation may use digital tools backstage while preserving human interaction in the guest encounter. A high-volume operation may benefit from self-ordering and automated production controls. In both cases, cybersecurity, data protection, accessibility, system continuity, and staff training are governance responsibilities.

Regulation, Ethics, and Sustainability

Foodservice managers have a duty to protect public health through safe sourcing, temperature control, personal hygiene, allergen management, cleaning, pest control, traceability, and documented procedures. Regulatory requirements vary by jurisdiction, but compliance should be treated as a minimum standard rather than a substitute for professional responsibility.

Ethical management includes truthful menu descriptions, transparent pricing, responsible marketing, fair employment practices, respect for cultural and dietary needs, non-discrimination, and appropriate handling of customer data. Particular care is needed with allergens, religious diets, medical diets, alcohol service, age restrictions, and vulnerable guests.

Sustainability is operational as well as reputational. Managers can reduce waste through accurate forecasting, portion management, inventory rotation, donation or redistribution where lawful, and measurement of preparation and plate waste. Energy-efficient equipment, water conservation, reusable systems, responsible procurement, and evaluation of packaging can also improve performance. Claims about local, organic, ethical, or sustainable sourcing should be verifiable; vague claims can mislead customers and damage trust.

Challenges and Common Managerial Errors

The industry’s principal challenges include demand volatility, labour shortages, high turnover, inconsistent execution, rising input costs, supply disruption, online reputation risk, and dependence on third-party platforms. Perishability means that unsold capacity and food cannot always be recovered. Capacity is also time-bound: an empty table during a peak period represents lost opportunity that cannot be stored for later sale.

Common errors include designing a concept without validating demand; using food-cost percentages without examining contribution margin; adding menu items until production becomes unmanageable; treating training as a one-time event; ignoring employee experience; measuring sales without profit or guest value; and adopting technology without redesigning processes. Another frequent mistake is to copy a successful brand superficially while ignoring the systems, location, culture, and customer research that support its performance.

Illustrative Case: Repositioning a Hotel Restaurant

Background

The fictional Riverside Grand Hotel operates a 120-seat all-day restaurant. It serves breakfast to resident guests, lunch to local office workers, and dinner to hotel guests and city residents. Its menu has 86 items, service is slow during peak periods, and delivery platforms account for a growing share of sales.

Situation and Problem

Sales have increased modestly, but profitability and online ratings have declined. Kitchen staff report excessive complexity, servers struggle to explain the menu, and guests complain about inconsistent waiting times. The hotel’s management initially proposes a blanket discount campaign.

Analysis

An operating review shows that a small group of menu items generates most sales and contribution. Several low-volume dishes require unique ingredients and create waste. The restaurant also schedules the same staffing pattern across all dayparts. Delivery orders enter the kitchen without a separate production sequence, disrupting dining-room service. The problem is therefore systemic rather than simply a lack of demand.

Approach

The F&B manager leads a cross-functional project involving the chef, service manager, finance analyst, and marketing team. The menu is reduced to a focused core, with a limited seasonal section. Items are evaluated using popularity and contribution margin, not food-cost percentage alone. The kitchen introduces order prioritisation for dine-in and delivery, while the scheduling model is aligned with forecast demand. Staff receive product and service training, and the hotel communicates a clear positioning based on regional ingredients and reliable all-day dining.

Outcome

In this illustrative case, the operation records fewer stock lines, improved preparation consistency, lower avoidable waste, and shorter peak-period waits. The most important improvement is not the menu reduction by itself but the alignment of concept, capacity, staffing, technology, and communication. Management continues to monitor guest satisfaction, contribution, labour productivity, and waste rather than relying on sales alone.

Learning Points

The case demonstrates that classification and performance frameworks are decision tools. A hotel restaurant is simultaneously a commercial outlet, a support function for accommodation, a local dining venue, and a delivery operation. Its structure and processes must recognise these overlapping roles. It also shows why discounting is often an inadequate response to a problem caused by complexity and poor coordination.

Best-Practice Principles

Effective F&B management is based on several connected practices:

• Define the concept and target customer before designing menus and service systems.
• Match organisational structure, staffing, technology, and controls to the operating model.
• Treat food safety, allergen control, and ethical conduct as non-negotiable responsibilities.
• Use contribution, demand, capacity, quality, and sustainability measures together.
• Build cooperation between FOH, BOH, finance, marketing, human resources, and technology teams.
• Design menus and processes for consistency, flexibility, and manageable complexity.
• Use data to support judgement, not to replace professional and ethical accountability.
• Review the business model periodically because customer expectations, channels, costs, and regulations change.

Chapter Summary

Food and beverage service is a diverse hospitality field combining tangible products with variable, experience-based service. Its history reflects urbanisation, travel, tourism, industrialisation, professionalisation, and technological change. Operations can be classified by purpose, service method, market position, ownership, affiliation, and organisational context; commercial and non-commercial distinctions are especially important for understanding performance objectives.

Organisational design connects departments, roles, decision rights, and service delivery. Contemporary business models include full-service, quick-service, franchised, contract, delivery-only, subscription, pop-up, and hybrid formats. Performance depends on the relationship between demand, capacity, quality, cost, and organisational learning. Technology and analytics support forecasting, ordering, inventory, reservations, and customer insight, but require governance and human judgement. Regulation, ethical conduct, employee welfare, food safety, data protection, and sustainability are central managerial responsibilities. The foundation for effective practice is alignment: the concept, people, processes, resources, controls, and guest promise must reinforce one another.

Key Terms

Average check: Average revenue generated per guest or transaction.

Back of house: Operational areas and activities not normally visible to guests, including production, storage, and stewarding.

Business model: The logic through which an organisation creates, delivers, and captures value.

Commercial foodservice: Foodservice operated principally to generate revenue and financial returns.

Concept: The intended identity and market proposition of an F&B operation.

Concession catering: Foodservice operated within another organisation’s premises under an agreed arrangement.

Contract catering: Operation of foodservice by a specialist provider for an institutional or corporate client.

Cover: A guest served, usually used as a unit of operating measurement.

Food cost percentage: Food cost expressed as a proportion of food sales.

Front of house: Guest-facing activities such as reception, order taking, serving, and payment.

Franchise: A business arrangement allowing use of a brand and operating system under specified conditions and fees.

Menu engineering: Analysis of menu-item popularity and contribution to guide menu decisions.

Non-commercial foodservice: Foodservice supporting a principal institutional purpose rather than primarily seeking profit.

Point-of-sale system: Digital system recording orders, payments, and related operating information.

RevPASH: Revenue per available seat hour, a measure of revenue productivity of seating capacity.

Service encounter: The immediate interaction among guest, employee, product, and service environment.

Table turnover: The frequency with which seating capacity is occupied and cleared during a period.

Triple bottom line: Evaluation of economic, social, and environmental performance.

Cloud kitchen: A production facility designed primarily for delivery and usually without a conventional customer dining room.

Review Questions

Short Answer Questions

1. What distinguishes commercial from non-commercial foodservice?

2. Define service encounter and service system.

3. What is the purpose of menu engineering?

4. State two responsibilities of an F&B manager.

5. What does RevPASH measure?

Long Answer Questions

1. Explain the evolution and contemporary scope of the food and beverage service industry.

2. Discuss the major bases for classifying F&B operations and explain why multiple classifications are necessary.

3. Compare independent, chain, franchise, leased, and management-contract operations.

4. Explain how organisational structure influences coordination between FOH, BOH, and support departments.

5. Discuss the relationship among demand, capacity, quality, cost, and learning in F&B performance management.

Analytical / Application Questions

1. A restaurant has rising sales but falling profit and increasing guest complaints. Using the performance framework in this chapter, identify the information you would collect and the sequence of decisions you would make.

2. Design an appropriate business model and organisational structure for a university dining operation serving students, staff, and visitors. Justify your choices.

3. Evaluate whether introducing self-ordering kiosks would be appropriate for a premium hotel restaurant. Discuss benefits, risks, guest experience, employee implications, and governance requirements.

22. Multiple Choice Questions with Answers

Question 1

Which statement best explains why food and beverage service is more than the production of food?

A. Food production always requires more employees than service

B. Guest value is influenced by the product, interaction, environment, and reliability of the service system

C. Foodservice operations do not require standardisation

D. The service function is independent of purchasing and staffing

Correct Answer: B. Guest value is influenced by the product, interaction, environment, and reliability of the service system

Question 2

A hospital catering department is best classified as non-commercial because its primary purpose is to:

A. Avoid charging users for meals

B. Support patient care and nutritional needs rather than maximise profit

C. Use only self-service methods

D. Operate without financial controls

Correct Answer: B. Support patient care and nutritional needs rather than maximise profit

Question 3

Which measure is most directly concerned with revenue productivity of seating capacity over time?

A. Food cost percentage

B. Average check

C. RevPASH

D. Employee turnover

Correct Answer: C. RevPASH

Question 4

A restaurant adds many low-volume dishes requiring unique ingredients, causing waste and kitchen delays. Which managerial response is most appropriate initially?

A. Add further menu items to increase choice

B. Evaluate items by popularity, contribution, and operational complexity

C. Reduce all prices by the same percentage

D. Eliminate all seasonal offerings

Correct Answer: B. Evaluate items by popularity, contribution, and operational complexity

Question 5

What is a key trade-off associated with franchising?

A. It provides no brand recognition but complete standardisation

B. It offers a tested system but may limit local managerial autonomy

C. It removes the need for training and controls

D. It prevents access to purchasing economies

Correct Answer: B. It offers a tested system but may limit local managerial autonomy

Question 6

Which situation best illustrates a service-system failure rather than only a service-encounter failure?

A. A server uses an impolite expression once

B. A guest dislikes the background music

C. Orders repeatedly arrive late because scheduling, kitchen sequencing, and forecasting are poorly coordinated

D. A customer prefers another cuisine

Correct Answer: C. Orders repeatedly arrive late because scheduling, kitchen sequencing, and forecasting are poorly coordinated

Question 7

Why should food cost percentage not be used as the sole basis for menu decisions?

A. It cannot be calculated for beverages

B. It ignores sales volume, contribution, labour implications, and operational complexity

C. It is unrelated to purchasing

D. It always produces inaccurate food prices

Correct Answer: B. It ignores sales volume, contribution, labour implications, and operational complexity

Question 8

Which technology-related decision reflects appropriate managerial judgement?

A. Adopting AI recommendations without checking data quality

B. Replacing all human interaction regardless of concept

C. Evaluating technology against the operation’s service promise, risks, and guest needs

D. Collecting customer data without governance controls

Correct Answer: C. Evaluating technology against the operation’s service promise, risks, and guest needs

Question 9

A delivery-focused kitchen should give particular attention to which combination?

A. Table turnover and dining-room ambience only

B. Packaging, dispatch accuracy, delivery economics, and digital visibility

C. Banquet seating plans and lobby music

D. Increasing menu complexity for every customer segment

Correct Answer: B. Packaging, dispatch accuracy, delivery economics, and digital visibility

Question 10

The triple bottom line encourages an F&B manager to evaluate:

A. Only sales and market share

B. Economic viability, social responsibility, and environmental stewardship

C. Only food quality and decoration

D. Employee productivity without customer outcomes

Correct Answer: B. Economic viability, social responsibility, and environmental stewardship