[RayChuang88]

The combination of restaurant review websites directing people to non-chain eateries and more people wanting to cook at home is hurting a lot of restaurant chains.

Indeed, I think very soon McDonald's may roll out a back to basics menu eliminating most of their specialty sandwiches and emphasizing more the Big Mac and Quarter Pounder at lower prices to draw in customers. After all, In-N-Out have done VERY well with their simple menu selections (few people use their famous "secret menu").

[Mase]

Red Lobster has a tough problem. They have a loyal, but old, following that doesn't want change. If they update the menu and remodel their stores, they could alienate these loyal customers. If they don't, they will never attract a new demographic. Even if they do, they may not attract a new customer base. It's a lose, lose.

The bankers will probably close the unprofitable stores, cut costs wherever they can, and run the stores for the cash for as long as they can. Red Lobster is about to become much smaller.

[Blue Ink]

The problem with Red Lobster is the problem with other gigantic restaurant chains like Chili’s.

Their cooking is microwave oven based. Most dishes are prepared and frozen at distribution centers, trucked in, and microwaved before serving.

That’s why a lot of it doesn’t even taste like real food.

For mid-price dining, you have a better chance of getting something prepared from scratch in the kitchen if you eat at a non-chain local coffee shop, one that still employs experienced short order cooks. (Although where I live, plenty of local restaurants have discovered giant bags of cheap frozen shortcuts from Costco.)