Bw3 Swot Analysis

BW3 SWOT Analysis

STR/581

30 MAY 2011

BW3 SWOT Analysis

Buffalo Wild Wings Grill & Bar (BW3) was founded by Jim Disbrow and Scott Lowery, in 1982, on The Ohio State University campus. The two proprietors had but one goal: to provide the campus with New York-style chicken wings served in a signature sauce.

BW3 has grown over the years and now offers a full complement of everything from salads and appetizers to ribs and burgers in over 12 signature sauces. The organization is now a National restaurant chain, operating over 650 owned and franchised locations in 32 states.

BW3 offers a unique service style, sports bar atmosphere along with a full menu and bar. BW3’s main competitors are: Apple Bee’s Restaurant®, TGI Friday’s®, Hooters®, Champps Restaurant & Bar®, Bennigan’s Grill & Tavern®, and Chili’s Grill and Bar Family Restaurant. Industry information as well as strengths and weakness of BW3 are compared with the previously stated organizational chains.

BW3 is susceptible to a myriad of factors in each of the remote, industry, and external operating environments. The remote environment, often referred to as the Macro environment, has many factors that generally uncontrollable in nature. BW3’s success, as for all companies, derives from its ability to adapt to this environment. The most significant challenge in this environment has been the economic downturn of the last few years. The number of restaurant visits, per household, is expected to decline “from 197 visits in 2009 to 190 visits per year in 2019, this following a 2 percent decline over the past five years.” (Moss Adams, 2010, p.3)

The most significant industry factor regarding BW3 is the price of chicken. Factored into this price is the cost of the actual feed used to nourish the birds. Chicken prices have risen almost 28% in the last 5 years. (Index Muni, 2010) Since chicken sales account for 20% of all non-beverage sales, this has a significant...