One in two restaurants in Prague overcharges customers, according to a study released by the Czech Retail Inspection in early August. Roman Řezníček, owner and manager of a group of luxury restaurants in Prague that includes Pálffy Palác in Malá Strana, talks to The Prague Post about how to determine whether you are being ripped off, and reveals which celebrities have dined at his restaurants.

1. How would you rate the high-end hospitality industry in Prague and the rest of the country at the moment?

In my opinion, the standard of the Czech, and particularly Prague, fine-dining and luxury hospitality sector is much higher than in either Austria or Germany. The sector hasn't yet reached the high levels of more established markets such as Italy and France. But, in a European context, Prague can certainly hold her head high.

2. Why have you decided to focus on this niche here, and what are your goals for the restaurant group?

Since I first entered the market some 12 years ago, I have consistently focused on quality, not quantity. Unlike some owners, I like to be personally involved in the everyday operations of my business. At present, I already have quite enough to do with my four flagship restaurants: Pálffy Palác, Zlaté studně, Sovovy Mlýny, and my new acquisition, U Malířů, so I don't plan on enlarging the group in the immediate future.

3. Have you noticed an increase in restaurant prices since European Union accession in 2004?

I think this was noticeable in Prague prior to Czech accession to the EU. The service business is struggling with the 19 percent VAT [it increased from 5 percent after accession]. Companies that pay the VAT have already had to increase prices. Another shock for small businesses that operate mostly in cash will come in January with the new law on cash registers. This means that small, inexpensive businesses will have to change their pricing policies.

4. A recent study revealed that half of Prague restaurants still overcharge customers. Will this ever stop?

The market is free, meaning that people have control over what they charge customers. I for one will never overcharge my customers. Quietly measuring the quality of food versus the portion size and service will give you a good indication of whether you are paying a fair price.

5. When lower-quality restaurants overcharge customers, how does that affect your business?

We feel customer numbers drop somewhat, but not so much because of the lower-quality restaurants. It's because there are way too many restaurants in Prague.

6. Let me ask one more money-related question. How do you feel about tipping?

In my opinion, restaurant staff are rarely appreciated enough. Only these dedicated people know how hard it is to work in a kitchen during the summer when it is 50 degrees outside! On top of this, shifts can last 12 hours, and you are expected to smile and be polite to customers for every last second of the time you are on show. Ten percent is the absolute minimum!

7. How much of your customer base is made up of tourists?

This entirely depends on the season, though on average we see a fifty-fifty split between tourists and locals. My visitors are from various backgrounds, be it the film industry, real estate, fashion, etc.

8. Your restaurants are obviously very well-known in Prague. Which famous faces have sat down to eat at your tables?

Phew! It's a hard job keeping track of all the faces I have seen in my restaurants over the past 12 years. Off the top of my head, some of the best-known customers were people like actress Sigourney Weaver, former president and playwright Václav Havel, and I also remember a particularly interesting evening with Ozzy and Sharon Osbourne!

9. All of your restaurants are located in the Malá Strana district of Prague. What is it about this area that has so captivated you?

My first restaurant in Malá Strana was Pálffy Palác, and you are correct that I have opened all my subsequent ventures in this area. I think it's primarily the feeling of tranquility and the peaceful detachment from the typically more bustling east bank of the Vltava River that makes Malá Strana so appealing to me. To tell you the truth, living here in the calm surroundings of leafy and architecturally beautiful Malá Strana is like living outside of a hectic city center.

10. Recent years have seen a spate of fine-dining restaurants spring up around the capital. Is Prague developing a more refined culinary palate?

Czech dining has already changed. Czechs are eating much more fish and beef, even a lot of vegetarian meals. And by vegetarian I don't mean pork! I hope Prague will continue to become not only a European city of fine architecture and culture, but also of fine cuisine. This is something I believe the city is well on its way to achieving.

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