Darden Leans Toward Value Positioning and Scale Advantages in Challenging Industry

Darden Restaurants’ game plan seeks to leverage its competitive advantages as the restaurateur leans into its scale-driven cost advantage, embraces data-centric decision making, works to attract and retain employees with compelling benefits and culture, and management delivers a differentiated dining experience that aligns with core strategy. While we see this approach as strategically sound, we expect any success at Darden to come despite, rather than because of, aggregate industry results as consumers increasingly opt for outdoor dining opportunities.