What viruses, similar to coronavirus, have affected or may affect Benihana in the future?
Benihana Franchise · 2024 FDDAnswer from 2024 FDD Document
The United States and other countries have experienced, or may experience in the future, outbreaks of viruses, such as coronavirus, norovirus, Avian Flu or "SARS," and H1N1 or "swine flu," or other diseases such as bovine spongiform encephalopathy, commonly known as "mad cow disease."
Source: Item 22 — CONTRACTS (FDD pages 73–74)
What This Means (2024 FDD)
According to Benihana's 2024 Franchise Disclosure Document, several viruses, similar to coronavirus, have either affected or may affect Benihana in the future. These include norovirus, Avian Flu (bird flu), H1N1 (swine flu) and SARS. Additionally, the document mentions the potential impact of other diseases such as bovine spongiform encephalopathy, commonly known as "mad cow disease."
These health concerns, whether from flu viruses, other diseases, or global health pandemics, could severely affect Benihana's business. If these viruses are transmitted by human contact, employees or customers may become infected or avoid public places, which could reduce guest traffic and make it difficult to adequately staff restaurants or receive deliveries. Jurisdictions may also impose mandatory closures or operational restrictions, further impacting the business.
Moreover, if a virus or disease is perceived to be food-borne, it could affect the price and availability of certain food products and cause customers to reduce their consumption of those products. For example, concerns about "mad cow disease" could negatively impact sales of beef-related menu items, while concerns over "avian flu" could cause fear about consuming chicken and eggs. The inability to serve beef or poultry-based products would limit Benihana's ability to offer a varied menu, potentially leading to customer loss and increased competition.