1. INDUSTRY ANALYSIS FULL SERVICE RESTAURANTS BY TEAM PARADIGM PIRATES

2. WHAT WE WILL COVER Quick Overview of Industry Summary of Forces Affecting the Industry What Works Industry Attractiveness

3. INDUSTRY OVERVIEW Over 200,000 individual establishments across the nation Generating about $190 Billion in Annual Revenue Segmented Industry Mom & Pop or Multi-National Conglomerate Mature Growth Stage Highly competitive No clear dominance in the industry Top 4 companies make up just 8% of market share

4. INTERNAL FORCES AFFECTING THE INDUSTRY High Threat of Substitutes Competitive Rivalry is Intense Threat of New Entrants Buyers Have the Power Macro-Environment Low Power of Suppliers

5. Political Economical Influences of Fluctuating Economy Socio-Cultural Health Conscious Consumers Technological Legal Licensing, Health Regulations Environmental EXTERNAL FORCES AFFECTING THE INDUSTRY

6. WHAT WORKS Economies of Scale Cost Management Differentiation Are we really selling just food?

7. HOW DO YOU FAIL? Zone of Competitive Battle Rests in the Garden of Eden Hard to control costs With a saturated market, differentiation is extremely difficult Zone of Competitive Battle Danger Zone Death Valley Relative Differentiation LOW HIGH Relative Cost

8. INDUSTRY ATTRACTIVENESS: PROS Low Barriers to Entry No Dominant Firm Low Cost of Capital Expected Future Growth

9. INDUSTRY ATTRACTIVENESS: CONS Highly Competitive Market Saturation Mature Stage of Life-Cycle Slim Profit Margins Difficult to Manage Costs

10. DO WE WANT TO PLAY THIS GAME?