Michelin stars shine brightly, but are they profitable?

This article clarifies whether Michelin-starred restaurants are financially profitable and identifies variables that factor into their profitability or lack thereof. After contextualising the Michelin Guide's importance in gastronomy we present a review of literature that informed our creation of a model that we applied in a case study of Michelin-starred restaurants in Spain. The results reveal that Michelin-starred restaurants are not only profitable but also more profitable with each additional star. Apart from the number of stars, the results reveal that other variables -age of the restaurant, chef's gender and level of debt-also affect the profitability of restaurants in a field where men achieve more professional success than women.

Automated summary

Michelin-starred restaurants are not only profitable, but also become more profitable with each additional star. Besides the number of stars, variables such as the age of the restaurant, the gender of the chef, and the level of debt also impact the profitability of these restaurants in an industry where men tend to achieve more professional success than women.