Location and menu pricing and its significance to perceived profitability of samgyupsal restaurants
Michael M. Pulongbarit & Jonah Faye A. Gaspar
Abstract
The study aimed to assess the relationship between the location and menu prices of Samgyupsal restaurants and their profitability in the Third District of Nueva Ecija, Philippines. Specifically, the study examined geographical location, economies of scale, competition, price competitiveness, customer perception of value, and meal margin. A descriptive-correlational research design was employed, with 50 owners and managers selected through purposive sampling. Data were analyzed using the weighted mean and Pearson product-moment correlation through IBM SPSS Statistics. The results supported the hypothesis that business profitability is related to location and menu prices. Geographical location was found to be positively related to revenue performance (r = .600, p < .001), cost efficiency (r = .450, p = .001), and profit margin (r = .542, p < .001). The findings also indicated that the competitive environment was positively related to revenue performance (r = .628, p < .001), cost efficiency (r = .604, p < .001), and profit margin (r = .565, p < .001). Price competitiveness was likewise positively related to revenue performance (r = .614, p < .001), cost efficiency (r = .466, p = .001), and profit margin (r = .602, p < .001). Nevertheless, several relationships were found to be non-significant. The findings support the assertion that location and pricing influence profitability. These findings can assist restaurateurs in improving their operational and pricing decisions and provide a basis for future research involving larger samples and more objective financial measures.
Keywords
restaurant location, pricing strategy, restaurant profitability, customer perception
Author information & Contribution
Michael M. Pulongbarit. Corresponding author. MBA. Teacher II, SDO Nueva Ecija. Email: michael.pulongbarit@deped.gov.ph
Jonah Faye A. Gaspar. PhD. Faculty, Graduate School and CHTM, Wesleyan University-Philippines. Email: jagaspar@wesleyan.edu.ph
"All authors equally contributed to the conception, design, preparation, data gathering and analysis, and writing of the manuscript. All authors read and approved the final manuscript."
Disclosure statement
No potential conflict of interest was reported by the authors.
Funding
This work was not supported by any funding.
Institutional Review Board Statement
This study was conducted in accordance with the ethical guidelines set by Wesleyan University-Philippines. The conduct of this study has been approved and given relative clearance(s) by Wesleyan University-Philippines.
Data and Materials Availability
The data supporting the findings of this study are available from the corresponding author upon reasonable request.
AI Declaration
AI tools were not used in writing this paper.
Notes
Acknowledgement
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Cite this article:
Pulongbarit, M.M. & Gaspar, J.F.A. (2026). Location and menu pricing and its significance to perceived profitability of samgyupsal restaurants. International Journal of Academe and Industry Research, 7(3), 1-24. https://doi.org/10.53378/ijair.353376
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