An Overview of the Corporate Background of the Rainforest Cafe Essay

CORPORATE BACKGROUNDHistoryFormationRainforest Cafe, Inc. was incorporated in Minnesota on February 3, 1994 to ownand operate restaurant and retail facilities under the name of "Rainforest Cafe- A Wild Place to Shop and Eat."Chairman of the Board and Chief Executive OfficerElection. Lyle Berman was elected Chairman and CEO of Rainforest Cafe at itsinception in February 1994.Background. Berman has been Chairman and CEO of Grand Casinos, Inc. and itspredecessor since October 1990. He is also CEO and a director of StratosphereCorporation, and a director of G-III Apparel Group Ltd., Innovative GamingCorporation of America and New Horizon Kids Quest, Inc. He previously was thePresident and CEO of Berman Specialty Stores, Inc. ("Bermans") from 1978 untilNovember 1988 when Bermans was acquired by Wilson Suede and Leather, asubsidiary of Melville Corporation.President and Chief Operating OfficerElection. Martin J. O'Dowd was elected in May of 1995. He is the first to holdthis position. As of November 18, 1996 O'Dowd has taken a 30 day leave ofabsence for personal reasons. Dennis Nielson, analyst for R. J. Steichen,predicts that if the leave is only 30 days there should not be a lasting impacton the company (Nielson, November 18, 1996).Background. O'Dowd is a director of Elephant and Castle Group, Inc. He waspreviously the Corporate Director, Food Beverage Services for Holiday InnWorldwide from July 1987 to May 1995. From August 1985 to July 1987, O'Dowd wasVice President and General Operations Manager for the Hard Rock Cafe in New York.Management Philosophy. Berman and O'Dowd stated that they are committed toidentifying and acquiring the resources that will allow them to continue theirhigh rate of growth.Main ActivitiesRainforest Cafe has two areas of each facility, the restaurant and the retailarea.RestaurantThe company believes that its large menu selection is an important factor in theappeal of its restaurants. The restaurant serves lunch and dinner entrees whichrange in price from 7.95 to 15.95. The theme of the company is mirrored onthe menu with all food and beverage selections including a jungle reference(Annual Report,...

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