Outback Steak House Management Case Study

In the case study we defined five main problems Outback Steak House is facing at the present time. From these 5 problems we will choose one to look at more in depth and give an analysis and a solution to solving that problem. One of the main problems that we found in the case was the fact there is very stiff competition not only in the casual dining business, but specifically the steakhouse business. Competition comes from many places; restaurants themselves are the obvious choice, places like Lone Star Steakhouse and Saloon, Sizzlers, and other restaurants. Also many traditional restaurants have upgraded their steak choices in order to compete with Outback. Along the same lines as direct competition is the fact that the restaurant industry is close to saturation. Analysts have said, “Casual dining operators such as Outback were close to saturation and questioned whether the firm could withstand the intense competitive pressures characteristic of the industry” (W-80). One wa...