At a fancy steak house, what is my $60-$100+ per steak paying for?

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Quality meat? Quality cooking? Staff and other overhead costs? Etc.

In: Economics

44 Answers

Anonymous 0 Comments

You are paying for the “fancy” of it all. Obviously.

You can get a quality steak for well under half that cost. And well prepared too! That’s not what you are paying for.

You are paying for the overhead of the fancy restaurant in the fancy location, you are paying for the service/experience, and you are literally just paying for the “status symbol” of being able to eat at an “exclusive/expensive spot”

If that doesn’t sound good to you, don’t go! If that does… go! Some people get off on status symbols. It’s the same with cars, watches, clothing, certain zipcodes/neighborhoods/buildings, etc.

If you don’t get off on status symbols and clout, then skip the expensive restaurant. Get a solid steak from a nice butcher and cook it yourself at home for 1/4th the price! Or go to a nice restaurant for 1/2 the price. But if you want to get that res at Dorsia, you’ll have to pay for that status symbol.

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